Ottawa, Ontario--(Newsfile Corp. - March 26, 2024) - C-COM Satellite Systems Inc. (TSXV: CMI) (OTCQB: CYSNF), a leading global provider of commercial grade mobile auto-deploying satellite antenna systems, announced today its financial results for its fiscal year ended November 30, 2023.
The Company generated revenues of $8,294,957, down 29% compared to 2022's revenues of $11,646,934. However, profitability was a bright spot for C-COM in 2023.
Net income was $1,672,907 in fiscal 2023, up $533,252 from 2022's profit. This was driven by gross margins increasing from 50% in 2022 to 69% in 2023. C-COM's efforts over the past three years to launch upgraded systems, plus its available inventory, allowed the Company to garner superior price realization during the year. These healthy margins, when combined with an 18% drop in SG&A expenses year-over-year, led to a 47% jump in net income compared to 2022's level.
The working capital of the Company also increased by 1% to $25,577,501 as of November 30, 2023. C-COM's liquidity was unaffected by the $2,094,320 in dividends paid to shareholders during fiscal 2023 (up 2% over 2022).
"Though demand for our systems has been dampened by worldwide economic and political turmoil, we were pleased to see a significant increase in profitability in 2023," said Leslie Klein, President and CEO of C-COM Satellite Systems Inc.
"I'm cautiously optimistic that the new antenna systems we're launching in 2024 will stimulate increased interest and revenue growth," Klein added.
Dr. Klein provided this additional commentary: "In particular, our biggest R&D priority is commercialization of our revolutionary Electronically Steered Phased Array antenna. To this end, we are driving towards initial deliveries for field testing by satellite operators and selected resellers by the end of 2024."
About C-COM Satellite Systems Inc.
C-COM Satellite Systems Inc. is a pioneer and a leading global designer, developer, and manufacturer of transportable and mobile satellite-based antenna systems. The Company has developed proprietary, auto-acquisition controller technology for rapid antenna pointing to a satellite with just the press of a button, enabling Broadband Internet via Satellite across a wide range of market applications worldwide, including regions unserved or underserved by terrestrial access technologies.
C-COM has sold more than 10,000 antenna systems, in over 100 countries, through a dedicated dealer network, which provides satellite-based solutions and support to a wide range of vertical markets, such as Oil & Gas Exploration, Military Communications, Disaster Management, SNG, Emergency Communications, Cellular Backhaul, Telemedicine, Mobile Education, Government Services, Mobile Banking, and others. The Company's iNetVu® brand is synonymous with high quality, reliability, and cost-effectiveness.
C-COM is in the final stages of testing of a potentially revolutionary Ka-band, electronically steerable, modular, conformal, on the move flat panel phased array antenna. C-COM is engaged in the design of this unique antenna with the intent of providing low-cost, high-throughput mobility applications over satellite for land, airborne and maritime verticals over LEO, MEO and GEO satellite constellations. For additional information please visit www.c-comsat.com.
iNetVu® is a registered trademark of C-COM Satellite Systems Inc.
The Company is publicly traded on the Canadian Venture Exchange (TSXV: CMI) and on the US OTC Exchange (OTCQB: CYSNF).
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Forward-Looking Statements
This news release contains forward-looking statements. These statements relate to future events or future performance and reflect management's current expectations and assumptions. Statements about C-COM's expectations as to shipments of the new Phased Array Antenna and its recently introduced 1.3M Manpack and its intentions with respect to these products, all contain forward-looking information. Several factors could cause actual events, performance, or results to differ materially from the events, performance and results discussed in the forward-looking statements. Shipments of new products can be delayed for any number of reasons, some of which are outside the control of C-COM. Anticipated benefits of the new technology may not be realized, and new products and services may not be released or, if released may not gain market acceptance. Any of those events and others could influence future performance and C-COM Satellite Systems Inc.'s ability to achieve the results mentioned above. These forward-looking statements are made as of the date hereof and C-COM Satellite Systems Inc. does not assume any obligation to update or revise them to reflect new events or circumstances. Readers are directed to the risk factors associated with the business of C-COM Satellite Systems in the company's most recent MD&A available at www.SEDARplus.ca.
C-COM Satellite Systems Inc.
Tel: (613) 745-4110 ext. 4950
Fax: (613) 745-7144
lklein@c-comsat.com
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