TORONTO--(BUSINESS WIRE)--NamSys Inc. (CTZ – TSX-V) today reports the results of operations for the first six months and the second quarter of fiscal 2020 ended April 30th. All amounts referenced herein are in Canadian dollars. Revenue for the second quarter was $1,189,897 as compared to $1,038,973 for the same period last year; an increase of 14.5%. Net income before tax for the quarter of $640,356 ($0.02 per share) was recorded as compared to $548,204 ($0.01 per share) for the three months ended April 30th, 2019.
Revenue for the first six months of fiscal 2020 was $2,313,732 as compared to revenue in the same period last year of $1,941,383; an increase of 19.2%. The Company recorded net income before tax of $907,277 ($0.02 per share) in the six months ended April 30th, 2020 as compared to $956,837 ($0.02 per share) in the same period last year.
The Company has chosen to compare year over year Comprehensive Income before taxes, however, certain figures in 2020 are not comparable to previous years due to the adoption in this fiscal year of IFRS 16. As the bulk of the Company’s sales are in US dollars, fluctuations in the exchange rate between Canadian and US dollars impact reported income. Revenues are converted to Canadian dollars when sales are completed and booked. Foreign exchange adjustments are then required when payments are actually received.
The financial statements and Management’s Discussion and Analysis for the fiscal quarter ended April 30th, 2020 are available under the Company’s profile on SEDAR at www.sedar.com.
K. Barry Sparks, the Chief Executive of the Company stated: “The Annual Meeting of Shareholders was held virtually on April 29, 2020. Following the formal part of the Annual Meeting, our President, Jason Siemens presented NamSys’ vision for the future, including a conference call for investors.
Mr. Siemens noted that the “Smart Safe” solution is only one of many initiatives that NamSys is taking to streamline the processing of currency. The present “Cirreon” initiatives include:
- Web and mobile applications for commercial/online banking
- Logistics management for cash-in-transit providers
- Exploring industries with similar high-security logistics challenges
As you can appreciate, these changes to traditional practices take time for the parties to understand and internalize. While we are spending considerable time to move the above initiatives forward, the operating results are now starting to reflect the fruits of our labour. This includes the recent execution of a new distribution agreements with several North American Cash in Transit companies.
The presentation and follow-up discussions with shareholders at the April 29th, 2020 Annual Meeting conference call is recorded on the Company’s website at www.namsys.com (Investor Relations Section). Interested parties are welcome to learn more about the Company from this presentation.
It remains our belief that we will continue to grow and achieve greater revenue and profitability in 2020 and beyond.”
NamSys Inc. products are designed to bring efficiency to the processing of currency and other value instruments in financial institutions, large retailers, public transportation operations and the gaming industry. NamSys’ proprietary software products for this market are “open-architectured” and have been developed to interface with clients’ legacy systems.
The TSX Venture Exchange has neither approved nor disapproved of the information contained in this release. This Media Release may contain forward-looking statements, which reflect the Corporation’s current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual events could differ from those projected herein and depend on a number of factors including the success of the Corporation’s sales strategies.