(Gawkwire.com) iWeb Group Inc. (TSX-V: IWB), a global provider of Internet hosting services and IT infrastructure, today announced its financial results for the first quarter ended December 31, 2009.
First Quarter Financial Highlights:
• Revenues increased to $7.2 million from $6.1 million, up 19% compared to the same quarter of the previous fiscal year
• Adjusted EBITDA of $2.1 million during the first quarter; 28.4% of revenue
• Net income increased to $180,000 compared to the $1,248,000 loss reported a year ago
• Fourth data center confirmed with a total capacity of 20,000 servers
"Revenue growth for this quarter, nearly 20%, reflects our strong position in the IT infrastructure market," said Eric Chouinard, President and CEO, adding that “the Company’s focus is on the consolidation of its substantial growth over the past 5 years. The fourth data center, announced in January 2010, along with its additional capacity of 20,000 servers, will give us tools to continue our growth.
"Virtually every significant figure in iWeb’s financial results has improved," says Chief Financial Officer Philip Tousignant. “Revenues are up 19%, EBITDA exceeds $2 million, net results are now positive and cash flows from operations increased by 40%."
First quarter of 2010 Financial Review
Revenues for the quarter ended December 31, 2009 were $7.2M, an increase of $1.2M or 19% compared to first quarter of 2009 ($6.1M).
Adjusted EBITDA was $2.1M (28.4% of revenues) for the quarter ended December 31, 2009 compared to $1.9M (31.3% of revenues) for the quarter ended December 31, 2008.
The Company recorded a net income of $180,000 for the quarter ended December 31, 2009, compared to a net loss of $1,248,000 for the comparative period last year. Last year’s loss was due to the unrealized exchange loss on the long-term debt.
Key Financial Data (‘000 $ except per share amounts)
First Quarter ended December 31
Revenues $7,249 $6,075
Gross Profit $2,905 $3,155
Operating income $3 $248
Net earnings (loss) $180 ($1,248)
Earnings (loss) per share – basic $0.0064 ($0.0447)
Adjusted EBITDA(1) $2,056 $1,899
Cash flows from operations $1,880 $1,337
As at As at
December 31, September 30,
Total assets $33,271 $32,990
Shareholders’ equity $6,640 $6,365
Cash and term deposits $2,023 $2,215
1- The Company defines Adjusted EBITDA as Earnings before interest expenses, income taxes, depreciation and amortization, stock-based compensation, unrealized exchange gain/loss and straight-line amortization of rental expense.