TORONTO, ONTARIO -- (Marketwired) -- 08/12/13 -- GuestLogix Inc. (TSX: GXI), the leading global provider of onboard retail and payment technology to airlines and the passenger travel industry, today announced its financial and operational results for the three and six month periods ended June 30, 2013. All financial statements are prepared in accordance with International Financial Reporting Standards ("IFRS") and reported in U.S. dollars.
"Our second quarter saw the beginning of GuestLogix driving substantial inroads in the Asia Pacific region with the signings of Cathay Pacific and Dragonair. Subsequent to our second quarter, we announced two landmark signings with China Southern and mainland China's low cost carrier Spring Airlines, which has proven that there is a new focus in the region on advancing their onboard retail technology and GuestLogix is best positioned to be the provider of choice throughout Asia," said Brett Proud, President & CEO GuestLogix. "We achieved sequential growth of 19% in our revenue performance compared to the same quarter in the previous year, and EBITDA continues to improve as the Company gets closer to the inflection point of financial performance as a global transaction processor."
Proud also noted: "Year-to-date revenues are 22% ahead of where we were in 2012 and these results reflect our commitment to executing on our strategic objectives. Looking ahead, we are committed to continuing this positive trend which will result in sustained improvements to our bottom-line results."
Proud continued: "The opportunities that lie ahead of us as a Company are tremendous. For example, our OnTouch® Analytics platform is seeing significantly improved adoption, as we are deploying this offering with each of the newly signed airlines in the Asia Pacific region, resulting in significantly improved margins for each contract signing. As well, the growth within our global partnerships with inflight entertainment providers Panasonic and Thales provide approximately two-times the margin we have experienced in our traditional point-of-sale business model. These new agreements will bring about a sharp inflection point that will see our growth in revenues start to outpace any increases in our expense base and bring about improved shareholder value."
Q2 F2013 Financial Summary
-- Revenue of $7.2 million, compared to $6.0 million in Q2 F2012-- Operating Expenses(1) of $7.1 million, compared to $6.6 million in Q2 F2012-- EBITDA(2)of $0.7 million, compared to $(0.4) million in Q2 F2012-- Net income of $1.1 million, compared to $(0.5) million in Q2 F2012
Q2 F2013 Operational Highlights
Increasing the Number of Transactions that we process
-- Signed 4-year agreement with leading Asia Pacific airlines Cathay Pacific and regional subsidiary Dragonair-- Subsequent to quarter end, signed multi-year agreement with Chinese low cost carrier, Spring Airlines-- Subsequent to quarter end, signed multi-year agreement with China's largest airline, China Southern
Increasing the Average Transaction Value
-- Announced China Southern will deploy GuestLogix' seat upgrade auction technology which will significantly increase the average transaction value for that customer