Peak Positioning Files 2013 Year End Results and Operating Highlights
April 30 2014 - 5:34PM
Marketwired
Peak Positioning Files 2013 Year End Results and Operating
Highlights
MONTREAL, QUEBEC--(Marketwired - Apr 30, 2014) - Peak
Positioning Technologies Inc. ("Peak") (TSX-VENTURE:PKK) today
announced its financial results and reviewed highlights for the
year ended December 31, 2013.
Financial Highlights:
- Net revenues from royalties and consulting of $300,283 derived
from Chinese market.
- R&D expenditures, net of tax credits, of $467,221.
- Net loss of $830,800 for the year.
Operating Highlights:
- Signing of memorandum of understanding and beginning of
negotiations to acquire LongKey Hong Kong ("LongKey")
- $738,500 of new financing in combination of debt and
equity
- Release of client-side beta version of AiNi mobile cloud on
Chinese app store
2013 proved to be a challenging year for Peak. The Company's
attention was focused on 2 main elements throughout the year; 1)
completing the full commercial release of its AiNi mobile cloud
platform following the release of the limited client-side beta
version on the HiAPK Chinese app store, and; 2) moving the
negotiations and the process of the acquisition of LongKey forward
to close the acquisition by the end of the year.
The client-side beta release of AiNi revealed certain issues on
the server-side of the platform, which Peak spent the latter part
of 2013 addressing. The Company has recently concluded that the
best approach to have a more robust platform is to redesign the
server-side of the platform. Although this will delay the full
commercial release of the platform in the short run, Peak feels
that ensuring the platform is robust and scalable enough to handle
virtually any number of mobile subscribers will benefit the Company
in the long run.
The discussions for the acquisition of LongKey were particularly
challenging because the transaction needs to satisfy not only
LongKey and Peak, but also certain regulatory stakeholders both in
China and in Canada. Although Peak and LongKey were unable to
finalize their negotiations by the end of 2013 to reach an
agreement that was satisfactory to all parties, the Company feels
that enough progress was made and is optimistic that a satisfactory
agreement might be reached in the near future.
Outlook for 2014:
"The theme for Peak in 2014 is diversification", said Johnson
Joseph, president and CEO of Peak. "Yes, China and our partnership
with LongKey will continue to be the main drivers of our business
operations for the foreseeable future, but we plan to put more
emphasis in 2014 on diversifying our activities through internal
projects and strategic acquisitions to mitigate our financial and
geographical risk and create more opportunities for the Company",
he went on to say. Part of this more diversified approach is
evidence by the Company's recent announcement of its planned
acquisition of Quickable.com.
Fiscal 2013 financial results:
The Company generated $400,379 in gross royalty revenues for the
year ended December 31, 2013, which translated to net revenue from
royalties of $266,013 after amortization of other assets, to which
were added consulting revenues of $34,270 for total net revenues of
$300,283. In the prior year period, net revenues from royalties
were $163,884. Expenses for fiscal 2013 amounted to $1,150,107,
compared to $2,629,246 in the prior year. 2013 was another year of
investment and foundation building for the Company's operations in
China. The net loss for the year was $830,800 compared to
$2,465,362 in 2012. Full details of the Company's 2013 financial
results can be found in the Audited Consolidated Financial
Statements and Management's Discussion and Analysis (MD&A) for
the years ended December 31, 2013 and 2012, which are available at
www.sedar.com.
About Peak Positioning Technologies Inc.:
Peak Positioning Technologies Inc. ("Peak"), (TSX-VENTURE:PKK),
is a public company whose wholly-owned subsidiary, Peak Positioning
Corporation provides Web development services and develops mobile
software platforms destined to mobile network operators worldwide.
As a public company, Peak aims to deliver value to its shareholders
by assembling a portfolio of high-growth potential projects and
companies in mobile, mobile e-Commerce, and Web development in
North America and China. For more information:
http://www.peakpositioning.com
Forward-Looking Statements / Information
This news release may include certain forward-looking
information, including statements relating to business and
operating strategies, plans and prospects for revenue growth, using
words including "anticipate", "believe", "could", "expect",
"intend", "may", "plan", "potential", "project", "seek", "should",
"will", "would" and similar expressions, which are intended to
identify a number of these forward-looking statements.
Forward-looking information reflects current views with respect to
current events and is not a guarantee of future performance and is
subject to risks, uncertainties and assumptions. The Company
undertakes no obligation to publicly update or review any
forward-looking information contained in this news release, except
as may be required by applicable laws, rules and regulations.
Readers are urged to consider these factors carefully in evaluating
any forward-looking information.
The TSX Venture Exchange has in no way passed upon the merits of
this transaction and has neither approved nor disapproved the
contents of this press release. Neither the TSX Venture Exchange,
Inc. nor its Regulation Service Provider (as that term is defined
under the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of the contents of this
press release.
Jeanny SoDirector of OperationsCHF Investor
Relations416-868-1079 ext.: 225jeanny@chfir.comJohnson
JosephPresident and CEOPeak Positioning Technologies
Inc.514-340-7775 ext.: 501investors@peakpositioning.com