OTTAWA, Oct. 22, 2013 /CNW/ - Espial®Group Inc. ("Espial" or the "Company"), (TSX: ESP), a leader in the
delivery of on-demand TV software and services, today announced its
third quarter financial results for the three month period ended
September 30, 2013.
Q3 Espial Highlights
Signed a multi-year, multi-million dollar contract with a Tier 1 North
American cable operator to deploy Espial RDK software solutions
including the Espial G4 Application Framework and Espial G4 User
Experience across multi-platform set-top boxes, TVs, Tablets and
A leading Asian chipset vendor selected Espial TV Browser to power
millions of Smart TVs.
2 Smart TV manufacturers committed to shipping TVs with Espial browser
software starting Q4, 2013.
Revenue of $3.8 million, a 68% sequential increase over the previous
EBITDA earnings of $0.2 million compared to a loss of $1.5 million in
the previous quarter.
"Overall, we are pleased with our financial results for Q3 and with the
momentum we picked up with significant customer wins in the service
provider and Smart TV markets. We signed major contracts with a North
American Tier 1 Cable operator, one of the industry's leading Smart TV
chipset vendors along with 2 global Smart TV manufacturers who will
begin shipping in Q4 2013. These contracts are significant financial
and industry wins for us" said Jaison Dolvane, CEO, Espial. "Our
leadership in HTML5 user experience and RDK solutions - a new set-top
software initiative driven by the cable community - have been key
factors in securing these recent wins. Our European customers are also
beginning to increase investments in upgrading and extending their TV
platforms. Overall, we remain optimistic about our business moving
forward and feel that Espial is well positioned to capitalize on
Service Provider and Smart TV opportunities to build and deliver their
next generation video & TV services."
For the three-month period ended September 30, 2013, the Company
reported revenues of $3.8 million compared with revenues of $3.1
million for the three months ended September 30, 2012. Earnings before
interest, foreign exchange, taxes, stock compensation, depreciation and
amortization (EBITDA) for the third quarter of fiscal 2013 was earnings
of $0.2 million compared with a loss of $0.2 million in the third
quarter of fiscal 2012. Net loss for the quarter was $0.3 million or
$0.02 per share, compared with a net loss of $0.8 million last year, or
$0.06 per share.
Q3 Financial Results
Revenue for the third quarter of fiscal 2013 was $3,825,306 compared
with revenues of $3,070,677 in the same period a year ago. Third
quarter software license and royalty revenues were $2,209,553 compared
with software license and royalty revenues of $1,924,453 in the third
quarter of fiscal 2012. Professional services revenue for the third
quarters of 2013 and 2012 were $484,676 and $275,816 respectively.
Maintenance and support revenues for the third quarter were $1,131,077
compared with $870,408 last year.
European revenues were $1,114,031 in the third quarter of 2013 compared
to $1,916,897 in 2012. Asia revenues were $1,876,136 in the third
quarter of 2013 compared to $354,998 in 2012. North American revenues
were $835,139 in the third quarter of 2013 compared to $798,782 in
Gross margin for the third quarter of fiscal 2013 was 82 percent
compared with 83 percent in the third quarter of fiscal 2012.
Operating expenses for the third quarter of fiscal 2013 were $3,185,697
compared with $3,127,787 in the third quarter of fiscal 2012.
Earnings for the third quarter of fiscal 2013 before interest, foreign
exchange, taxes, stock compensation, depreciation and amortization
(EBITDA) was $231,914 compared with a loss of $183,730 in the third
quarter of fiscal 2012.
Net loss in the third quarter was $273,284 compared with a loss of
$778,920 last year.