VANCOUVER, British Columbia--(BUSINESS WIRE)--Absolute (TSX: ABT), the endpoint visibility and control company, today announced financial results for the three and nine months ended March 31, 2018. All dollar figures are unaudited and stated in U.S. dollars, unless otherwise indicated.
“Absolute’s visibility and control platform goes beyond other solutions in the space by protecting the weakest link within the security landscape,” said Steve Munford, interim chief executive officer at Absolute. “Over the past quarter, after discussions with our current and prospective customers as well as our partners, it’s clear that Absolute has an opportunity to accelerate its growth rate with laser focus and a sense of urgency on specific market segments where our success rate is highest, including regulated and highly mobile markets. We plan to direct resources into those specific markets and rapidly build a repeatable process for success.”
Key Financial Metrics
- Commercial recurring revenue in Q3-F2018 was $22.2 million, representing a year-over-year increase of 3%. Year-to-date commercial recurring revenue was $66.0 million, increasing 4% over the prior year-to-date period.
- Total revenue in Q3-F2018 was $23.3 million, representing a year-over-year increase of 1%. Year-to-date total revenue was $69.5 million, representing an increase of 2% over the prior year-to-date period.
- The Commercial Annual Contract Value (“ACV”) Base at March 31, 2018, was $90.3 million, an increase of 2% year-over-year and 1% sequentially.
- The Enterprise portion of the ACV Base increased 9% year-over-year and was up 3% sequentially. Enterprise customers represented 52% of the ACV Base at March 31, 2018, compared with 49% in the prior year. The Public Sector portion of the ACV Base decreased 4% year-over-year and was down 1% sequentially.
- Net ACV Retention from existing Absolute customers was 100% during Q3-F2018, compared with 102% in Q3-F2017.
- Incremental ACV from New Customers was $0.8 million in Q3-F2018 compared with $0.6 million in Q3-F2017.
- Adjusted EBITDA in Q3-F2018 was $2.4 million, or 10% of revenue, compared with $2.3 million, or 10% of revenue, in Q3-F2017. For the year-to-date period, Adjusted EBITDA was $6.1 million, or 9% of revenue, compared with $6.0 million, or 9% of revenue in the prior year period.
- Cash generated from operating activities in Q3-F2018 was $2.3 million compared with negative $0.4 million in Q3-F2017. For the year-to-date period, cash generated from operating activities was $7.6 million, compared with $0.3 million in the prior year period. The prior year-to-date figures are net of reorganization and income tax payments of $6.0 million.
- Absolute paid a quarterly dividend of CAD$0.08 per common share during Q3-F2018.
Products and Organizational Developments
- In January 2018, the Company appointed former Absolute advisor Steve Munford as interim chief executive officer. Mr. Munford is an accomplished cybersecurity industry leader with a track record of guiding high-growth cybersecurity companies to market leadership. This includes serving as the chief executive officer of Sophos Group plc, a leading endpoint security vendor, from 2006 to 2012 where he led the company through a period of dramatic growth. Mr. Munford currently serves as a nonexecutive director at Sophos and as chairman of Carbonite Inc., in addition to board and advisory roles with a number of private companies.
- In March 2018, Absolute released new General Data Protection Regulation (“GDPR”) Data Risk and Endpoint Readiness Assessments to help global organizations identify and secure their sensitive data and devices in order prepare for the impending GDPR deadline. The assessment delivers a measurable estimate of risk and actionable recommendations to improve endpoint hygiene as well as insights into where sensitive data is at risk of being accessed, stored or shared.
- In February 2018, Absolute expanded its K12 Education offering with the addition of Student Technology Analytics (“STA”) to enable school administrators to track and analyze device usage. With Absolute’s unique ability to capture device telemetry and usage data across diverse device populations, STA delivers the analytics that school administrators need in order to optimize technology investments and to understand the correlation between student device usage and learning outcomes.
- In January 2018, the Company added new scripts to its growing Absolute Reach Library to automate the cleanup of Meltdown/Spectre vulnerabilities. Leveraging the power of Absolute Reach and its ability to apply customized workflows across an entire endpoint population, Absolute’s customers were able to perform endpoint assessment, remediation and protection within 24 hours of the patch announcement. Since the addition of the new Reach Library and Wizard to the Absolute platform, the number of automation use cases has grown to address hundreds of endpoint challenges.
Summary of Key Financial Metrics |
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USD Millions, except per share data | Q3 | YTD | |||||||||||||||||||||||
F2018 | F2017 | Change | F2018 | F2017 | Change | ||||||||||||||||||||
Revenue | |||||||||||||||||||||||||
Commercial recurring(1) | $ | 22.2 | $ | 21.6 | 3 | % | $ | 66.0 | $ | 63.5 | 4 | % | |||||||||||||
Other | $ | 1.1 | $ | 1.5 | (21 | %) | $ | 3.5 | $ | 4.5 | (21 | %) | |||||||||||||
Total | $ | 23.3 | $ | 23.1 | 1 | % | $ | 69.5 | $ | 68.0 | 2 | % | |||||||||||||
Adjusted EBITDA(2) | $ | 2.4 | $ | 2.3 | 3 | % | $ | 6.1 | $ | 6.0 | 2 | % | |||||||||||||
As a percentage of revenue | 10 | % | 10 | % | 9 | % | 9 | % | |||||||||||||||||
Net Income (Loss) | $ | 1.1 | $ | (0.2 | ) | 565 | % | $ | 0.6 | $ | (2.9 | ) | 120 | % | |||||||||||
Per share (basic) | $ | 0.03 | $ | (0.01 | ) | $ | 0.01 | $ | (0.07 | ) | |||||||||||||||
Per share (diluted) | $ | 0.03 | $ | (0.01 | ) | $ | 0.01 | $ | (0.07 | ) | |||||||||||||||
Cash from (used in) operating activities | $ | 2.3 | $ | (0.4 | ) | 727 | % | $ | 7.6 | $ | 0.3 | 2,210 | % | ||||||||||||
Dividends paid | $ | 2.5 | $ | 2.4 | 7 | % | $ | 7.6 | $ | 7.1 | 6 | % | |||||||||||||
Per share (CAD) | $ | 0.08 | $ | 0.08 | - | $ | 0.24 | $ | 0.24 | - | |||||||||||||||
Cash, equivalents and short-term investments | $ | 31.9 | $ | 34.6 | (8 | %) | |||||||||||||||||||
Total assets | $ | 90.8 | $ | 93.1 | (2 | %) | |||||||||||||||||||
Deferred revenue | $ | 136.5 | $ | 132.2 | 3 | % | |||||||||||||||||||
Common shares outstanding | 40.2 | 39.6 | 2 | % | |||||||||||||||||||||
1. Commercial recurring revenue represents revenue derived from term licenses and recurring managed services, both of which are included as part of our Commercial ACV Base. Other revenue represents revenue derived from professional services and ancillary product lines, including consumer products.
2. “Adjusted EBITDA” is used as a profitability measure. Please refer to the “Non-IFRS Measures” section of the Company’s March 31, 2018 MD&A for further discussion on this measure.
Corporate Outlook
The Company is updating its outlook for F2018:
- The Company is narrowing its revenue forecast to $93.0 million to $94.0 million, from $93.0 million to $95.0 million.
- The Company is maintaining its guidance for Adjusted EBITDA of 8% to 10% of revenue.
- The Company is narrowing its guidance for cash from operating activities to 9% to 12% of revenue, compared with previous guidance of 8% to 12% of revenue.
- Expected capital expenditures remain unchanged at $3.0 million to $3.5 million.
Quarterly Dividend
On April 20, 2018, the Company declared a quarterly dividend of CAD$0.08 per share on its common shares, payable in cash on May 29, 2018, to shareholders of record at the close of business on May 8, 2018.
Quarterly Filings
Management’s Discussion and Analysis (“MD&A”) and Interim Condensed Consolidated Financial Statements and the notes thereto for the fiscal quarter and year-to-date period ended March 31, 2018 can be obtained today from Absolute’s corporate website at www.absolute.com. The documents will also be available at www.sedar.com.
Notice of Conference Call
Absolute will hold a conference call to discuss the Company’s Q3-F2018 results on Monday, May 7, 2018, at 5:00 p.m. ET. All interested parties can join the call by dialing 647-427-7450 or 888-231-8191. Please dial in 15 minutes prior to the call to secure a line. The conference call will be archived for replay until Monday, May 14, 2018, at midnight ET. To access the archived conference call, please dial 416-849-0833 or 1-855-859-2056 and enter the reservation code 8977316.
A live audio webcast of the conference call will be available at www.absolute.com and https://bit.ly/2JbZhqw. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast. An archived replay of the webcast will be available on the Company’s website for 90 days.
Non-IFRS Measures and Definitions
Throughout this press release, the Company refers to a number of measures that the Company believes are meaningful in the assessment of the Company’s performance. All these metrics are nonstandard measures under International Financial Reporting Standards (“IFRS”), and are unlikely to be comparable to similarly titled measures reported by other companies. Readers are cautioned that the disclosure of these items is meant to add to, and not replace, the discussion of financial results or cash flows from operations as determined in accordance with IFRS. For a discussion of the purpose of these non-IFRS measures, please refer to the Company’s March 31, 2018 MD&A on SEDAR at www.sedar.com.
These measures, as well as their method of calculation or reconciliation to IFRS measures, are as follows:
1) Commercial ACV Base, Net ACV Retention and ACV from New Customers
As
the majority of the Company’s customer contracts are sold under
multiyear term licenses, there is a significant lag between the timing
of the billing and the associated revenue recognition. As a result, the
Company focuses on the aggregate annualized value of its subscriptions
under contract, measured by Annual Contract Value (“ACV”), as an
indicator of its future revenues.
Commercial ACV Base measures the amount of recurring annual revenue Absolute will receive from its commercial customers under contract at a point in time, and therefore is an indicator of the Company’s future revenue streams. Net ACV Retention measures the percentage increase or decrease in the Commercial ACV Base at the end of a period for the customers that made up the Commercial ACV Base at the beginning of the same period. This metric provides insight into the effectiveness of Absolute’s customer retention and expansion functions. ACV from New Customers measures the addition to the Commercial ACV base from sales to new commercial customers during the quarter.
We believe that increases in the amount of ACV from New Customers, and improvement in the Company’s Net ACV Retention, will grow our Commercial ACV Base and, in turn, our future revenues.
2) Adjusted EBITDA
Management believes that analyzing
operating results exclusive of significant noncash items or items not
controllable in the period provides a useful measure of the Company’s
performance. The term Adjusted EBITDA refers to earnings before
deducting interest and investment gains (losses), income taxes,
amortization of acquired intangible assets and property and equipment,
foreign exchange gain or loss, share-based compensation, and
restructuring and reorganization charges and post-retirement benefits.
The items excluded in the determination of Adjusted EBITDA are
share-based compensation, amortization of acquired intangibles,
amortization of property and equipment, and restructuring and
reorganization charges and certain post-retirement benefits.
3) Adjusted Operating Expenses
A number of significant
noncash or nonrecurring expenses are reported in the Company’s Cost of
Revenue and Operating Expenses. Management believes that analyzing these
expenses exclusive of these noncash or nonrecurring items provides a
useful measure of the cash invested in the operations of its
business. The items excluded in the determination of Adjusted Operating
Expenses are share-based compensation, amortization of acquired
intangible assets, amortization of property and equipment, and
restructuring and reorganization charges and certain post-retirement
benefits. For a description of the reasons these items are adjusted,
please refer to the “Non-IFRS Measures” section of the March 31, 2018
MD&A.
About Absolute
Absolute provides visibility and resilience
for every endpoint with self-healing endpoint security and
always-connected IT asset management to protect devices, data,
applications and users — on and off the network. Bridging the gap
between security and IT operations, only Absolute gives enterprises
visibility they can act on to protect every endpoint, remediate
vulnerabilities, and ensure compliance in the face of insider and
external threats. Absolute’s patented Persistence technology is already
embedded in the firmware of PC and mobile devices and trusted by over
15,000 customers worldwide. For the latest information, visit www.absolute.com
and follow us at @absolutecorp.
Forward-Looking Statements
This press release contains forward-looking statements and financial outlook that involve risks and uncertainties. These forward-looking statements and financial outlook relate to, among other things, the expected performance, functionality and availability of the Company’s services and products, and other expectations, intentions and plans contained in this press release that are not historical facts. When used in this press release, the words “plan,” “expect,” “believe” and similar expressions generally identify forward-looking statements. These statements reflect the Company’s current expectations. They are subject to a number of risks and uncertainties, including, but not limited to, changes in technology and general market conditions. In light of the many risks and uncertainties, readers of the press release should understand that Absolute cannot assure them that the forward-looking statements and financial outlook contained in this press release will be realized. Furthermore, the forward-looking statements and financial outlook contained in this press release are made as of the date hereof and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements and financial outlook, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
©2018 Absolute Software Corporation. All rights reserved. Absolute and Persistence are registered trademarks of Absolute Software Corporation. For patent information, visit www.absolute.com/patents. The Toronto Stock Exchange has neither approved nor disapproved of the information contained in this news release.
ABSOLUTE SOFTWARE CORPORATION |
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March 31, 2018 | June 30, 2017 | ||||||||
ASSETS | |||||||||
CURRENT | |||||||||
Cash and cash equivalents | $ | 31,533,090 | $ | 32,511,093 | |||||
Short-term investments | 367,689 | 366,789 | |||||||
Trade and other receivables | 14,413,307 | 19,460,872 | |||||||
Income taxes receivable | 1,996,511 | 83,487 | |||||||
Prepaid expenses and other | 2,422,028 | 2,419,881 | |||||||
50,732,625 | 54,842,122 | ||||||||
PROPERTY AND EQUIPMENT | 5,749,247 | 6,304,152 | |||||||
DEFERRED INCOME TAX ASSETS | 20,797,411 | 22,286,804 | |||||||
INTANGIBLE ASSETS AND GOODWILL | 13,530,214 | 14,894,518 | |||||||
$ | 90,809,497 | $ | 98,327,596 | ||||||
LIABILITIES | |||||||||
CURRENT | |||||||||
Trade and other payables | $ | 11,448,102 | $ | 13,079,456 | |||||
Income taxes payable | 92,048 | - | |||||||
Accrued warranty | 340,000 | 570,000 | |||||||
Deferred revenue – current | 73,232,469 | 72,361,648 | |||||||
85,112,619 | 86,011,104 | ||||||||
DEFERRED REVENUE | 63,257,536 | 66,040,653 | |||||||
148,370,155 | 152,051,757 | ||||||||
CONTINGENCIES | |||||||||
SHAREHOLDERS’ DEFICIENCY | |||||||||
Share capital | 68,166,343 | 64,875,130 | |||||||
Equity reserve | 36,270,302 | 36,254,893 | |||||||
Treasury shares | (458,320 | ) | (499,443 | ) | |||||
Deficit | (161,538,983 | ) | (154,354,741 | ) | |||||
(57,560,658 | ) | (53,724,161 | ) | ||||||
$ | 90,809,497 | $ | 98,327,596 | ||||||
ABSOLUTE SOFTWARE CORPORATION |
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Three months ended |
Nine months ended |
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2018 | 2017 | 2018 | 2017 | ||||||||||||||
REVENUE | $ | 23,336,655 | $ | 23,091,063 | $ | 69,546,664 | $ | 68,026,070 | |||||||||
COST OF REVENUE | 3,798,961 | 3,376,636 | 11,014,456 | 10,838,729 | |||||||||||||
GROSS MARGIN | 19,537,694 | 19,714,427 | 58,532,208 | 57,187,341 | |||||||||||||
OPERATING EXPENSES | |||||||||||||||||
Sales and marketing | 10,249,816 | 11,104,476 | 30,698,594 | 33,519,393 | |||||||||||||
Research and development | 4,904,448 | 3,922,951 | 15,236,233 | 13,176,739 | |||||||||||||
General and administration | 2,825,748 | 3,121,113 | 8,949,724 | 9,546,588 | |||||||||||||
Share-based compensation | 443,605 | 1,009,798 | 1,646,605 | 3,227,273 | |||||||||||||
18,423,617 | 19,158,338 | 56,531,156 | 59,469,993 | ||||||||||||||
OPERATING INCOME (LOSS) | 1,114,077 | 556,089 | 2,001,052 | (2,282,652 | ) | ||||||||||||
OTHER INCOME (EXPENSE) | |||||||||||||||||
Interest income, net | 39,036 | 25,761 | 59,668 | 73,347 | |||||||||||||
Foreign exchange gain (loss) | 68,531 | (11,340 | ) | (41,715 | ) | (40,585 | ) | ||||||||||
107,567 | 14,421 | 17,953 | 32,762 | ||||||||||||||
NET INCOME (LOSS) BEFORE INCOME TAXES | 1,221,644 | 570,510 | 2,019,005 | (2,249,890 | ) | ||||||||||||
INCOME TAX EXPENSE | (169,000 | ) | (797,000 | ) | (1,460,000 | ) | (609,000 | ) | |||||||||
NET INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) | $ | 1,052,644 | $ | (226,490 | ) | $ | 559,005 | $ | (2,858,890 | ) | |||||||
BASIC AND DILUTED INCOME (LOSS) PER SHARE | $ | 0.03 | $ | (0.01 | ) | $ | 0.01 | $ | (0.07 | ) | |||||||
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING, BASIC | 40,136,234 | 39,150,654 | 39,969,935 | 39,050,786 | |||||||||||||
ABSOLUTE SOFTWARE CORPORATION |
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Share Capital | ||||||||||||||||||||||||
Number of Common shares | Amount | Equity reserve | Treasury Shares | Deficit | Total | |||||||||||||||||||
BALANCE, JUNE 30, 2016 | 38,881,307 | $ | 58,607,382 | $ | 36,732,175 | $ | - | $ | (139,049,869 | ) | $ | (43,710,312 | ) | |||||||||||
Shares issued on options exercised | 583,625 | 3,535,299 | (1,141,589 | ) | - | - | 2,393,710 | |||||||||||||||||
Shares issued under Employee Share Purchase Plan | 84,455 | 361,477 | - | - | - | 361,477 | ||||||||||||||||||
Shares issued under Phantom Share Unit Plan | 327,145 | 2,281,206 | (2,281,206 | ) | - | - | - | |||||||||||||||||
Shares repurchased and cancelled under the Normal Course Issuer Bid | (280,100 | ) | (449,848 | ) | - | - | (876,847 | ) | (1,326,695 | ) | ||||||||||||||
Treasury shares repurchased under the Normal Course Issuer Bid | - | - | - | (499,443 | ) | - | (499,443 | ) | ||||||||||||||||
Share-based compensation | - | - | 2,649,702 | - | - | 2,649,702 | ||||||||||||||||||
Dividends paid | - | - | - | (7,127,606 | ) | (7,127,606 | ) | |||||||||||||||||
Net loss and total comprehensive loss | - | - | - | (2,858,889 | ) | (2,858,889 | ) | |||||||||||||||||
BALANCE, MARCH 31, 2017 | 39,596,432 | $ | 64,335,516 | $ | 35,959,082 | $ | (499,443 | ) | $ | (149,913,211 | ) | $ | (50,118,056 | ) | ||||||||||
Shares issued on options exercised | 78,213 | 504,482 | (171,606 | ) | - | - | 332,876 | |||||||||||||||||
Shares issued under Performance and Restricted Share Unit plan | 7,104 | 35,132 | (35,132 | ) | - | - | - | |||||||||||||||||
Share-based compensation | - | - | 502,549 | - | - | 502,549 | ||||||||||||||||||
Dividends paid | - | - | - | - | (2,349,244 | ) | (2,349,244 | ) | ||||||||||||||||
Net loss and total comprehensive loss | - | - | - | - | (2,092,286 | ) | (2,092,286 | ) | ||||||||||||||||
BALANCE, JUNE 30, 2017 | 39,681,749 | $ | 64,875,130 | $ | 36,254,893 | $ | (499,443 | ) | $ | (154,354,741 | ) | $ | (53,724,161 | ) | ||||||||||
Shares issued on options exercised | 330,500 | 2,303,329 | (674,628 | ) | - | - | 1,628,701 | |||||||||||||||||
Shares issued under Employee Share Purchase Plan | 99,477 | 440,714 | - | - | - | 440,714 | ||||||||||||||||||
Shares issued under Phantom Share Unit Plan | 50,812 | 297,786 | (297,786 | ) | - | - | - | |||||||||||||||||
Shares issued under Performance and Restricted Share Unit plan | 80,922 | 322,565 | (367,320 | ) | 41,123 | - | (3,632 | ) | ||||||||||||||||
Shares repurchased and cancelled under the Normal Course Issuer Bid | (49,800 | ) | (73,181 | ) | - | - | (172,243 | ) | (245,424 | ) | ||||||||||||||
Share-based compensation | - | - | 1,355,143 | - | - | 1,355,143 | ||||||||||||||||||
Dividends paid | - | - | - | - | (7,571,004 | ) | (7,571,004 | ) | ||||||||||||||||
Net income and total comprehensive income | - | - | - | - | 559,005 | 559,005 | ||||||||||||||||||
BALANCE, MARCH 31, 2018 | 40,193,660 | $ | 68,166,343 | $ | 36,270,302 | $ | (458,320 | ) | $ | (161,538,983 | ) | $ | (57,560,658 | ) | ||||||||||
ABSOLUTE SOFTWARE CORPORATION |
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Three months ended |
Nine months ended March 31, |
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2018 | 2017 | 2018 | 2017 | ||||||||||||||
OPERATING ACTIVITIES | |||||||||||||||||
Net income (loss) | $ | 1,052,644 | $ | (226,490 | ) | $ | 559,005 | $ | (2,858,890 | ) | |||||||
Items not involving cash | |||||||||||||||||
Amortization of property and equipment | 852,249 | 763,475 | 2,392,400 | 2,163,244 | |||||||||||||
Amortization of acquired intangible assets | 3,750 | 11,444 | 51,250 | 95,926 | |||||||||||||
Amortization of intangible assets – contract costs and brand | 2,293,139 | 2,280,904 | 6,855,904 | 6,766,589 | |||||||||||||
Share-based compensation | 352,032 | 1,014,285 | 1,355,144 | 3,227,273 | |||||||||||||
Deferred income taxes | 1,556,393 | (1,408,987 | ) | 1,489,393 | (1,301,987 | ) | |||||||||||
Amortization of investment premium | - | - | - | 466,885 | |||||||||||||
Change in non-cash working capital | |||||||||||||||||
Trade and other receivables | (173,085 | ) | 2,149,315 | 5,047,565 | 9,475,486 | ||||||||||||
Income taxes receivable | (1,976,751 | ) | 826,688 | (1,820,976 | ) | (3,597,186 | ) | ||||||||||
Prepaid expenses and other | (298,612 | ) | (135,020 | ) | (2,147 | ) | (11,453 | ) | |||||||||
Intangible assets – contract costs and brand additions | (1,518,340 | ) | (1,840,714 | ) | (5,542,850 | ) | (5,873,286 | ) | |||||||||
Trade and other payables | 22,056 | (2,312,666 | ) | (691,918 | ) | (2,515,933 | ) | ||||||||||
Accrued warranty | (20,000 | ) | - | (230,000 | ) | 30,000 | |||||||||||
Deferred revenue | 148,351 | (1,488,301 | ) | (1,912,296 | ) | (5,739,760 | ) | ||||||||||
CASH FROM (USED IN) OPERATING ACTIVITIES | 2,293,826 | (366,067 | ) | 7,550,474 | 326,908 | ||||||||||||
INVESTING ACTIVITIES | |||||||||||||||||
Purchase of property and equipment | (1,455,192 | ) | (885,262 | ) | (2,720,482 | ) | (3,968,246 | ) | |||||||||
Income taxes paid on disposal of business unit | - | - | - | (2,623,890 | ) | ||||||||||||
Proceeds from investments | - | 268,146 | - | 23,623,146 | |||||||||||||
CASH (USED IN) FROM INVESTING ACTIVITIES | (1,455,192 | ) | (617,116 | ) | (2,720,482 | ) | 17,031,010 | ||||||||||
FINANCING ACTIVITIES | |||||||||||||||||
Repurchase of common shares for cancellation | (245,423 | ) | (714,653 | ) | (245,423 | ) | (1,326,695 | ) | |||||||||
Dividends paid | (2,548,152 | ) | (2,378,728 | ) | (7,571,004 | ) | (7,127,606 | ) | |||||||||
Purchase of treasury shares | - | (499,443 | ) | - | (499,443 | ) | |||||||||||
Issuance of common shares | 421,048 | 1,784,650 | 2,024,868 | 2,757,698 | |||||||||||||
CASH USED IN FINANCING ACTIVITIES | (2,372,527 | ) | (1,808,174 | ) | (5,791,559 | ) | (6,196,046 | ) | |||||||||
FOREIGN EXCHANGE EFFECT ON CASH | (497 | ) | (69,699 | ) | (16,436 | ) | (49,711 | ) | |||||||||
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (1,534,390 | ) | (2,861,056 | ) | (978,003 | ) | 11,112,161 | ||||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 33,067,480 | 37,066,069 | 32,511,093 | 23,092,852 | |||||||||||||
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 31,533,090 | $ | 34,205,013 | $ | 31,533,090 | $ | 34,205,013 | |||||||||