DENVER – November 15, 2017 (TSX: IMP) (ITMSF:BB) – Intermap Technologies Corporation (“Intermap” or the “Company”) reported financial results for the third quarter ended September 30, 2017.
All amounts in this news release are in United States dollars, unless otherwise noted.
For the third quarter of 2017, Intermap reported net income of $1.1 million, compared to a net loss of $2.0 million for the same period last year. Total revenue for the quarter increased 91% to $6.3 million, compared to $3.3 million last year. Operating Income for the quarter was $1.7 million, compared to a $1.9 million loss for the same period last year. Third quarter adjusted EBITDA, a non-GAAP and non-IFRS financial measure, was $2.1 million, compared to a $0.8 million loss for the same period last year.
The Company also announced today that it will proceed with its previously approved share consolidation on a 10 for 1 basis, adopted at the Annual General and Special Meeting of Shareholders, held on May 16, 2017, subject to fulfilling the requirements of the Toronto Stock Exchange.
The Company finished the third quarter with $5.3 million of cash and negative working capital of $0.8 million, compared to cash of $2.4 million and a working capital deficit of $30.9 million last year. For the nine-month period, personnel expense, the largest component of the Company’s cost structure, declined to $6.2 million, compared to $7.7 million last year, a 20% improvement. Investments in sensor upgrades and processing technology totaled $3.6 million for the nine-month period, compared to $100 thousand for the comparable period last year. Total assets, which exclude the NEXTMap® database and internally developed software applications, increased to $12.4 million, up from $5.8 million last year.
The Company recently completed a large government task order, providing high resolution multi-frequency imagery and elevation data and services including change detection, sensor fusion and technology transfer. The cost effective and timely fulfillment of this contract was enabled by Intermap's proprietary multi-sensor acquisition platform. The new foundational datasets will be used to support applications, including flood analytics, security monitoring, transportation and pattern-of-life algorithms, agriculture crop analysis, urban development and modernization, and energy infrastructure development. The Company’s sensors successfully captured error and void-free high resolution spatial content through heavy cloud-cover and tree canopies. The contract was delivered on time and on budget, while realizing a 25% increase in data processing speed and data volume throughput.
“These results reflect significant year-over-year improvement in the Company’s solution offerings to its customers, top and bottom-line financial performance, cost structure, liquidity position, and operational capabilities”, commented Patrick Blott, Intermap’s Chairman and CEO. “Intermap is winning customers all over the world, including major global insurance companies and governments, by consistently providing actionable geospatial answers that are timely, relevant, and accurate. We have invested in cutting edge processing, application development, and sensor technology. Our customers do not require deep geospatial expertise to access scalable, cloud native, and web-based tools which help them to discover, filter and assess the information that is most relevant to their needs, derived from multi-sensor spatial data that is 100% cloud-free, every time, without gaps or voids.”
As a reminder, last fall the Company adopted a no further guidance disclosure policy until it is profitable and its debt burden has been reduced.