Automated Benefits Corp.(TM) Reaches Milestone of $2 Million in Quarterly Revenue
August 26 2011 - 8:00AM
Marketwired
Automated Benefits Corp. (the "Corporation") (TSX VENTURE: AUT)
today reported financial results for the second quarter of fiscal
year 2011. Revenue increased by 58 percent to approximately $2.0
million for the second quarter, compared to revenues of
approximately $1.3 million in the same period last year, an
increase of $0.7 million. Revenue increased by 46 percent to
approximately $3.7 million for the six months ending June 30, 2011,
compared to revenues of approximately $2.5 million in the same
period last year, an increase of approximately $1.2 million.
The net income for the three and six months ending June 30, 2011
increased to approximately $51,000 and $109,000, respectively. This
compares to a loss of approximately $405,000 and $600,000 in the
same period last year, an improvement of approximately $456,000 and
$709,000.
The basic and fully diluted earnings per share for the three
months and six months ending June 30, 2011 was approximately four
one-hundredths of a cent and one-tenth of a cent, respectively.
This compares to a basic and fully diluted loss per share in the
same period last year of approximately three and a half tenths of a
cent and one-half of a cent.
The Corporation believes adjusted EBITDA is also a useful
measure as a proxy for operating cashflow and facilitates
period-to-period operating comparisons. Adjusted EBITDA is defined
as earnings before interest income, taxes, depreciation and
amortization, stock based compensation, restructuring, impairment
charges, and other one-time gains and losses. Adjusted EBITDA for
the three and six months ending June 30, 2011 was $232,000 and
$337,000, respectively. This compares to adjusted EBITDA of
($240,000) and ($401,000) in the same period last year for an
improvement of $472,000 and $738,000.
"We are pleased to have delivered our second consecutive
profitable quarter and our first quarter in excess of $2.0 million
in revenue," says James R. Swayze, Chief Executive Officer of
Automated Benefits Corp. "By continuing to work closely with our
key partners and fostering new customer relationships, we expect to
extend this accelerated revenue growth and profitability throughout
2011."
The Corporation's operating subsidiaries; Symbility Solutions
Inc.™ ("Symbility") and Automated Benefits Inc.™ ("Adjudicare™")
report the following recent business developments:
-- On May 31, 2011, Symbility announced Version 4.0 of Mobile Claims and
Claims Connect products; this release includes communication with
providers of aerial roofing measurements, a new default Claim Structure
and improvements to its Report Builder engine.
-- On June 28 2011, the Corporation announced Richard Adair's promotion to
the role of President of Adjudicare. This organizational change
strengthens the business by formalizing the leadership of the division
and investing additional time of senior management and resources to
focus on growing revenue profitably.
-- On July 26, 2011 Adjudicare announced the formalization of a contract
with Lewer Insurance Agency ("Lewer") of Mississauga, Ontario. A pioneer
in the Third-Party Administration market space, Lewer works with small
business owners, independent marketers and corporate executives in all
industries with a focus on the petroleum and automotive sectors of the
market place. Lewer represents an exciting opportunity for Adjudicare to
expand into the Quebec market.
-- On August 16, 2011, Adjudicare announced that Sirius Benefit Plans, a
full service third party administrator of employee benefit programs for
small to large-enterprise clients in the private and public sectors
across Canada, had completed its implementation of the Adjudicare
software solution to the majority of its existing block of group
insurance business.
About Automated Benefits Corp.
Automated Benefits Corp. is a software company dedicated to
developing applications for the insurance industry in North America
and Europe. The Corporation currently has two platforms; Symbility
and Adjudicare.
Symbility automates property insurance claims through its three
complementary software components which afford users the mobility,
speed and control needed to efficiently and quickly move onto the
next claim. Symbility Claims Connect is the collaborative workflow
management tool that gives every claim participant real-time access
to the claims they are working on. Symbility Inside Adjuster is an
integrated application designed to streamline the first notice of
loss process which leads to faster settlement of claims. Symbility
Mobile Claims software is an estimating tool that increases speed,
efficiency and accuracy by allowing on-site claims processing.
Adjudicare is a web-based software solution that enables
insurance brokers and third party administrators across Canada to
adjudicate health and dental claims on behalf of their group
benefit clients. Adjudicare's software accommodates flexible plan
designs and real-time payment of claims which allows our partners
to provide a high level of service while managing the costs of
their client's benefits plans.
All trade names are the property of their respective owners.
This press release should be read in conjunction with
Corporation's interim consolidated financial statements and related
notes and management's discussion and analysis for the quarter
ending June 30, 2011, copies of which can be found at
www.sedar.com.
Except for historical information contained herein, this news
release contains forward-looking statements that involve risks and
uncertainties. Actual results may differ materially. Automated
Benefits Corp. will not update these forward-looking statements to
reflect events or circumstances after the date hereof. More
detailed information about potential factors that could affect
financial results is included in the documents filed from time to
time with the Canadian securities regulatory authorities by
Automated Benefits Corp.
Adjusted EBITDA does not have any standardized meaning
prescribed by IFRS and is not necessarily comparable to similar
measures presented by other companies. Adjusted EBITDA should not
be considered in isolation of as a substitute for net earnings
(loss) prepared in accordance with IFRS. All other financial
measures referenced herein have been prepared in accordance with
International Financial Reporting Standards unless stated
otherwise.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Automated Benefits Corp. Lucy De Oliveira Director of
Marketing (416) 359-9339, ext. 1007
ldeoliveira@automatedbenefits.com
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