FLYHT Reports Third Quarter 2019 Results
CALGARY, Alberta, Nov. 26, 2019 (GLOBE NEWSWIRE) — FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today reported financial results for the quarter ended September 30, 2019.
Tom Schmutz, CEO, remarked, “During the quarter, FLYHT generated substantial topline revenue growth, press released the selection of AFIRS for the Airbus A220, and began shipping backlog acquired from Panasonic Weather Solutions last October.”Third Quarter 2019 ResultsRevenues and Other Income increased by 88% to $5,820,990 compared to the third quarter of 2018. This included:SaaS revenue of $2,649,345, an increase of 131% from the third quarter of 2018;Hardware revenue of $1,864,523, an increase of 13% from 2018’s third quarter;Licensing revenue of $589,546, an increase of 122% from the third quarter of 2018;A Technical Services revenue total of $94,032, which is an increase of 217% from the third quarter of 2018; andOther Income of $623,544 associated with Subsidy Recovery from Panasonic Avionics Corporation (PAC).
Gross margin was 49% of revenue, compared to 57% in the third quarter of 2018.
Operating expenses increased 48% from the third quarter of 2018, with the addition of Panasonic Weather Solutions expenses to FLYHT’s operations from October 2018 onward. Distribution expenses increased by 39%, Administration expenses increased by 21%, and Research and Development expenses increased by 136%.
Negative EBITDA1 totaled $460,906 in the quarter compared to an EBITDA loss of $792,555 in the same quarter of 2018.
Net loss was $777,648, compared to a net loss in Q3 2018 of $953,034.FLYHT’s balance sheet ended the quarter with:A cash balance of $2,040,638, which was a decrease from 2018 year-end’s balance of $2,406,769 and a decrease from Q3 2018’s balance of $2,065,242; and
FLYHT adopted the requirements of IFRS 16 – Leases effective January 1, 2019 using the modified retrospective approach, which can be seen in several areas of the Q3 2019 financial statements, including:Leased assets of $1,087,931Current lease liability of $629,649Non-current lease liability of $602,234FLYHT’s Q3 2019 Report, which contains more detailed information including the CEO’s Message, Management Discussion and Analysis and Financial Statements, has been posted to the Company’s website and can be accessed at http://flyht.com/financial-reports/. The MD&A and Financial Statements have also been filed with SEDAR and will be accessible at www.sedar.com.FLYHT will host a live conference call to discuss its third quarter financial results on Wednesday, November 27, 2019 at 7 am MDT (9 am EDT, 6 am PDT). The conference call will include a brief presentation about FLYHT’s third quarter and will be followed by a question and answer period with management.To access the conference call by phone within Canada and the U.S.A., the toll-free number is 1-800-319-4610. Outside Canada and the U.S.A., dial 1-604-638-5340. (Callers should dial in five to 10 minutes prior to the scheduled start time).Management will accept questions by telephone and e-mail. Individuals wishing to ask a question during the call, can do so by pressing *1. Questions can be emailed in advance or during the conference call to firstname.lastname@example.org.An archive of the conference call will be posted on the Presentations and Webcasts section of FLYHT’s website as soon as it is available from the conference call provider.About FLYHT Aerospace Solutions Ltd.FLYHT’s mission is to improve aviation safety, efficiency and profitability. Globally, and for more than 20 years, airlines, leasing companies, fractional owners and original equipment manufacturers have installed FLYHT’s differentiated aircraft and enterprise-based solutions to deliver real-time, flight-deck, satellite connectivity for tracking, health monitoring, and streaming of operational, maintenance and weather data. FLYHT is publicly traded as FLY in Canada on the TSX.V; and as FLYLF in the USA on the OTCQX. FLYHT is based in Calgary, Canada with an office in Littleton, Colorado and is an AS9100 Quality registered company. For more information visit www.flyht.com.Join us on social media!
1 EBITDA: defined as earnings before interest, income tax, depreciation and amortization (a non-GAAP financial measure).