JEMTEC INC. TSX-V: JTC
VANCOUVER, BC, Dec. 14,
2022 /CNW/ - JEMTEC Inc.
(TSXV: JTC) (the "Company") is pleased to
provide an update on its
performance for the Quarter ended October 31, 2022 (2023 Q1) and the
Companies financial situation, with no debt, strong
liquidity and net worth.
Q1 Revenues
Revenues have decreased by 50.63%
during the quarter ended October 31,
2022 compared to the quarter ended October 31, 2021 primarily due to the loss of
SOLGEN contract. The Company earned revenues on its agreements with
the Provinces of Saskatchewan,
Nova Scotia as well as the CSC.
The Company also earned revenues from private bail clients by
presenting the release plans for court cases.
Q1 Expenses
During the quarter ended October 31, 2022, expenses decreased by 16.50%
compared to the quarter ended October 31,
2021 primarily due to the fluctuations in consulting fees,
equipment rent and installation, foreign exchange, monitoring and
activation fees, repairs and maintenance, and share-based
payments.
Q1 Income Tax
For the quarter ended
October 31, 2022, the Company
recognized a current income tax expense of $Nil (October 31, 2021 - $77,000) and a deferred income tax (recovery)
expense of ($1,000) (October 31, 2021 - $2,000). The current income tax expense was
related to income tax in Canada.
The deferred income tax recovery was related to unrecognized
deferred tax assets.
Q1 Net Income
For the quarter ended
October 31, 2022, the Company
recorded a net loss of $16,627
compared to a net income of $213,891
during the quarter ended October 31,
2021. This increase in net income is primarily due to
increase in monitoring and activation revenues.
Q1 Liquidity
At October
31, 2022, the Company had cash and cash equivalents of
$2,359,159 and working capital of
$2,344,094. All cash and cash
equivalents are on deposit with a Schedule I bank in Canada in current or interest accruing
accounts.
Eric Caton, President and CEO said, "We are in
the process of reorganizing our business model with a greater
awareness on non-government contracts, we expect the results should
show positive returns going forward however we continue to see
the Company well positioned to grow its core business.
Jemtec has provided a full spectrum of monitoring
technologies and services to provincial and federal correctional
and border services across Canada
since 1987 and in doing so has built a reputation
for offering the best technological solutions
and support for use in this demanding
environment.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements, which
relate to future events or future performance and
reflect management's current expectations and assumptions. Such
forward - looking statements reflect management's current beliefs
and are based on assumptions made by and
information currently available to the Company. Investors
are cautioned that these forward-
looking statements are neither
promises nor guarantees, and are subject
to risks and uncertainties that may cause future results
to differ
materially from those expected. These forward-looking statements are made as of the date hereof
and, except as required
under applicable securities legislation, the
Company does not assume any obligation to
update or revise them to
reflect new events or circumstances.
Neither the 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.
SOURCE Jemtec Inc.
