Tellza Announces 2016 Q1 Financial Results
TORONTO, ONTARIO–(Marketwired – April 27, 2016) – Tellza Communications Inc. (TSX:TEL) announced its unaudited financial results for the first quarter of 2016.
Revenue in Q1 2016 was US$92 Million compared to US$59 Million in Q1 2015, an increase of US$33 Million or 57% year over year. EBITDA* was US$0.7 million compared to US$0.4 million in 2015. While we conduct our business primarily in USD, we are based in Canada and our common shares are listed and trade on the Toronto Stock Exchange in CDN dollars. Reporting in CDN dollars, our EBITDA* is CDN$0.9 million for Q1 2016 compared to CDN$0.5 million in Q1 2015. Net Income for Q1 2016 was US$0.2 million compared to a net loss of US$41,000 in Q1 2015.
“Tellza operates in the “nearly free” market for communications. Our long term investment in systems has allowed us to remain profitable, while many of our competitors have commenced exiting the business. We believe that the “nearly free” communications market will remain strong and sizeable into the future,” said Gary Clifford, Executive Chairman. “In recent months, we have utilized the profits from our Communications business to expand into the Financial Services Product Support Business via our investments in Merkez and Rightway.”
The Company’s financial statements and other disclosures are available on SEDAR.
The Company’s corporate profile is located at www.tellza.com/investors.html.
Tellza is a Technology Company operating in the Communication market. The business is organized into three business units: Tellza Communications, Tellza Technologies and Tellza Investments. Tellza Communications is a global communications company operating under several brands: Route Dynamix, Phonetime, Tel3, and MatchcoM. Tellza Technologies provides real time big data management tools for the telecommunications market. Tellza Investments is focused on Financial Products Support Business through our portfolio investments in Merkez and Rightway. Tellza is a public company listed on the Toronto Stock Exchange (TEL).
Caution Regarding Forward Looking Information:
This press release contains forward-looking statements, which may be identified by words like “expects”, “anticipates”, “plans”, “intends”, “indicates” or similar expressions. These statements are not a guarantee of future performance and are inherently subject to risks and uncertainties. Tellza’s actual results could differ materially from those currently anticipated due to a number of factors set forth in reports and other documents filed by the Company with Canadian securities regulatory authorities from time to time. See www.sedar.com which contains all securities files.
*We define EBITDA and Cash Profits as earnings before taxes, depreciation and amortization, stock based compensation, and interest. EBITDA, which is a non-GAAP financial measure, it is a standard measure used in the telecommunications industry to assist in understanding and comparing operating results. EBITDA is reviewed regularly by management and our Board of Directors in assessing performance and in making decisions regarding the ongoing operations of the business and the ability to generate cash flows. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with IFRS. EBITDA is not a measure of financial performance nor does it have a standardized meaning under IFRS. In evaluating these measures, investors should consider that the methodology applied in calculating as such measures may differ among companies and analysts. Below is a reconciliation of “EBITDA” to net income for the periods presented:
Tellza Communications Inc.
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