Xybion Digital Reports Financial Results for the First Quarter of Fiscal 2023
• SaaS revenue grew by 35.3%
• ARR exceeded $10.11 million, UP 15.6% year-over-year.
• Revenue for the quarter was $3.7 million
VANCOUVER, BC and PRINCETON, NJ / ACCESSWIRE / August 29, 2022 / Xybion Digital Inc.
(XYBN:TSXV) (“Xybion” or the “Company”), a global, low-code SaaS company that enables digital
transformation in highly regulated industries like Life Sciences, today reported Q1 F2023 financial results for its first quarter ended on June 30, 2022. Financial references are expressed in US dollars unless otherwise indicated. Please refer to the MD&A and Financial Statements posted onto SEDAR (www.sedar.com) for information relating to non-IFRS measures and risk factors.
“This quarter our clients continued to adopt more SaaS modules,” stated Pradip Banerjee, CEO of Xybion. “We remain focused on our SaaS revenue growth strategy and expect that our SaaS revenues will continue to drive our growth.”
Financial Summary for the Quarter:
Q1 2023 Revenues were unchanged from Q1 2022 at $3.7 million.
Recurring software revenues – which include revenue from SaaS and maintenance – increased by 11.4% to $2.53 million, as compared to $2.27 million in Q1 of fiscal 2022.
Recurring revenue as a percentage of total revenue for the first quarter was 68% for Q1 2023, as compared to 62% in Q1 2022.
Revenue from SaaS increased by 35.3% to $1.23 million.
Annual Recurring Revenue from Software reached $10.11 million on June 30, 2022, an increase of 15.1%, as compared to $9.26 million on June 30, 2021.
Gross profit for Q1 2023 totaled $2.07 million, a decrease of 14.9% or ($.36) million compared to $2.43 million in Q1 of fiscal 2022. Quarter over quarter gross margin is affected by the mix of quarterly revenue for licenses, SaaS and services. On a comparative basis, total operating expenses grew by 46% over the previous first quarter.
We recorded a Net Loss of $(.65) million in Q1 2023, as compared to Net Income of $.26 million for Q1 2022. The main reason for the decrease was higher-than-expected project costs and increased operating expenses. The rivers of the increased operating expenses were an investment to expand revenue, including recruiting and hiring business development and account management staff and the on-going increased costs associated with being a publicly listed company that did not exist in Q1 of 2022.
The loss, on an adjusted EBITDA basis, a non-IFRS measure, was $(0.86) million in Q1 2023 and that compares to an adjusted EBITDA of $.39 million in Q1 2022; a decrease of $1.25 million.
As of June 30, 2022, the Company had $7.5 million in cash on the balance sheet and zero debt.
The Company will hold a conference call to discuss these results. Details are as follows:
Date: August 30, 2022
Time: 8:30am Eastern Time Canada/USA
International Toll: +1-604-638-5340
A transcript of the call will be posted on the Company’s website at www.xybion.com within 72 hours of the call.
Non- IFRS Financial Measures
EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin
EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin are non-IFRS financial measures. EBITDA is defined as net income or loss before net finance expenses, depreciation and amortization expense and income tax expense. Adjusted EBITDA is defined as net income or loss before income taxes, net finance costs, depreciation and amortization, Paycheck Protection Payment (PPP) loan forgiveness, one-time Reverse Takeover (RTO) expenses and stock-based compensation, and Adjusted EBITDA Margin is defined as the percentage of Adjusted EBITDA to revenues. Since the Company capitalizes its operating leases as right of use assets, the amount of amortization related to these right of use (ROU) assets was not added back to earnings in determining Adjusted EBITDA. We believe that Adjusted EBITDA and Adjusted EBITDA Margin are useful measures of financial performance because they provide an indication of the Company’s ability to seize growth opportunities in a cost effective manner and finance its ongoing operations. Each of these non-IFRS financial measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS. These measures are unlikely to be comparable to similar measures presented by other companies. Rather, non-IFRS measures are provided as additional information to complement financial statements by providing further understanding of our results of operations from management’s perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS.
About Xybion Digital Inc.
Xybion is a global SaaS company that helps enterprise life sciences organizations accelerate new drug development into approved medicines that may save lives and keep employees safe. We digitize drug research and development, laboratory testing, regulatory approvals, and pharmaceutical manufacturing on a single, unified cloud platform that is cost-effective, ready to deploy, and easy to use. Xybion has over 160 clients in 29 countries using its low-code software to accelerate timelines, improve compliance, expand capacity, minimize operating risks, and reduce expenses while keeping employees safe.
Learn more about Xybion at https://www.xybion.com/
For further information: For more information regarding Xybion Digital Inc., please contact Pradip Banerjee, Chief Executive Officer, PBanerjee@xybion.com, 609-512-5790 x122.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements (“forward-looking statements“) in this news release may contain forward-looking information concerning relating to the release of financial results, plans related to the Company’s business and other matters that may occur in the future, made as of the date of this news release. In making the forward-looking statements included in this news release, the Company has applied several material assumptions, including with respect to the timing of such release. Although management considers these assumptions to be reasonable based on information available to it, they may prove to be incorrect.
Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements as a number of important factors could cause the actual outcomes to differ materially from the expectations expressed in them. Such factors include, among others, the risks described in disclosure documents filed by the Company on SEDAR. There can be no assurance that forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as otherwise required by applicable securities legislation.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any state securities law and may not be offered or sold in the “United States”, as such term is defined in Regulation S promulgated under the U.S. Securities Act, unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration requirements is available.
SOURCE: Xybion Digital Inc.