Welcome!

News Feed Item

Epic Data Announces Year End Results

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/28/13 -- Epic Data International Inc. (TSX VENTURE:EKD), a provider of manufacturing execution systems (MES), a provider of manufacturing operations management and real-time data collection solutions, today announced the results of operations for the three months and year ended September 30, 2012.

Highlights for the year:


--  Increased product development spending in 2012 compared to 2011 by
    nearly 150% to $1.6 million; 
--  Released IntegraMES 6.4, our newly architected, web-enabled MES
    platform; 
--  Developed UniView, our new rugged shop floor terminal that supports
    browser-based web applications and high security; 
--  Set up a majority-owned equity joint venture with Huazhong University of
    Science & Technology, one of China's most prominent engineering
    universities and grew the operations to 115 staff in Wuhan; and 
--  Completed a $2.4 million equity and debenture financing.

Results of Operations                                                       
                             Three months ended                  Year ended 
                                  September 30,               September 30, 
                             2012          2011          2012          2011 
                     ------------- ------------- ------------- -------------
                                                                            
Revenue              $    956,508  $    935,869  $  4,213,752  $  4,202,974 
                                                                            
Cost of sales             717,025       458,325     2,441,982     2,082,498 
----------------------------------------------------------------------------
                                                                            
Gross margin              239,483       477,544     1,771,770     2,120,476 
----------------------------------------------------------------------------
                                                                            
Expenses                                                                    
  General and                                                               
   administration         638,641       500,444     2,435,705     1,814,415 
  Sales and marketing     527,396       284,708     1,852,273       987,761 
  Product development     365,706       182,475     1,570,417       632,137 
  Net finance charges      77,280        52,742       473,213       153,382 
  Deferred income tax                                                       
   (recovery)            (117,768)            -      (117,768)     (167,608)
  Foreign exchange        (38,576)        7,640         8,421        84,833 
----------------------------------------------------------------------------
                                                                            
                        1,452,679     1,028,009     6,222,261     3,504,920 
----------------------------------------------------------------------------
                                                                            
Net loss               (1,213,196)     (550,465)   (4,450,491)   (1,384,444)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
Loss per share -                                                            
 basic and diluted   $      (0.04) $      (0.02) $      (0.13) $      (0.05)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Results of Operations for the year ended September 30, 2012 compared with 2011

Revenue

Revenue for the year ended September 30, 2012 increased $10,778 or 0.3% to $4,213,752 compared with $4,202,974 in the prior year. The increase in revenue was due to revenue from the start-up operations in China.

Gross Margin

The gross margin for the year ended September 30, 2012 decreased $348,706 or 17% to $1,771,770 as compared with $2,120,476 in the prior year. The decrease was due to the start-up operations in China where a number of projects are in progress, however certain conditions necessary to allow revenue recognition have not yet been met.

General and administration

General and administration expenses for the year ended September 30, 2012 increased $621,290 or 34% to $2,435,705 compared with $1,814,415 in the prior year. The increase is principally due to the start up operations in China, which were for $605,834.

Sales and marketing

Sales and marketing expenses for the year ended September 30, 2012 increased $864,512 or 87% to $1,852,273 compared with $987,761 in the prior year. The increase is primarily due to the start-up operations in China which accounted for $324,132 and compensation and sales consulting related costs to new personnel, including the hiring of a new vice president of sales, totaling for $461,388.

Product development

Product development expenses for the year ended September 30, 2012 increased $938,280 or 148% to $1,570,417 compared with $632,137 in the prior year. We have development teams in Richmond, Canada and Wuhan, China. The increase in spending was comprised of the new development team in Wuhan, which accounted for $300,178 of the increase and the balance of the increase of $638,102 was incurred in Richmond. The increase is due to the development of the UniView, our new rugged shop floor terminal that supports browser-based web applications and high security and the release of IntegraMES 6.4, our newly architected, web-enabled MES platform.

Net finance charges

Net finance charges for the year ended September 30, 2012 increased $319,831 or 57% to $473,213 compared with $153,382 in the prior year. The increase is due to the interest accretion of $292,534, which was primarily related to the repayment of debt in the year, and to the interest charged on the debt.

Net loss

Net loss for the year ended September 30, 2012 increased $3,066,047 or 221% to $4,450,491 compared with $1,384,444 in the prior year. The significant components are the start-up operations in China, which had a loss of 1,583,760 and the increased product development.

Results of operations for the fourth quarter

Revenue for the three months ended September 30, 2012 increased $20,639 or 2% to $956,508 compared with $935,869 in the same period of the prior year. The increase was due to project work in the fourth quarter. Cost of sales however increased by $258,700 as a result of the operations in China, which had a number of projects in progress, however certain conditions necessary to allow revenue recognition have not yet been met.

Expenses for the three months ended September 30, 2012 increased $424,670 or 55% to $1,452,679 compared with $1,028,009 in the same period of the prior year. In general the expenses for the three months ended September 30, 2012 are higher than last year due mainly to the operations in China.

Net loss for the three months ended September 30, 2012 increased $662,731 to a loss of $1,213,196 compared with a loss of $550,465 in the same period of the prior year.

Loan Financing

The Company announces that it has received a term loan of $555,000 from Hua Zhuo Lin, a minority shareholder of the Company. The proceeds of the loan will be used to complete the Company's registered capital obligation for its 51% investment in Epic-Hust Technology (Wuhan) Co. Ltd ("Epic-Hust JV) in China. The principal amount of the loan is due on January 31, 2016 and will bear interest at the rate of 5% per annum payable semi-annually. In connection with this loan, the Company has granted a security against the Company's equity interest in Epic-Hust JV.

About Epic Data

Epic Data International Inc. has produced manufacturing execution and warehouse management solutions for 36 years. Epic Data solutions synchronize supply chain and production activities to achieve real-time visibility of manufacturing metrics that reduces cycle times and costs, optimizes production planning and control, and boosts quality and efficiency. The solutions are easily implemented either by module or as a completely integrated solution suite across the global enterprise. Customers include Lockheed Martin, Bell Helicopter, Komatsu, Hawker Beechcraft, Bombardier Learjet, CAE Inc., Kingfisher (B&Q) plc, Joy Mining Machinery, Cobham Defence Communications Ltd., GE Aircraft Engine, Contour Premium Aircraft Seating, McBride plc, Phoenix Contact, Rolls-Royce and Volvo.

More information about Epic Data is available at www.epicdata.com.

Caution Regarding Forward-looking Statements

In this document and in other documents filed with Canadian regulatory authorities or in other communications, the Company may from time to time make written or oral forward-looking statements within the meaning of applicable securities legislation, including statements regarding the Company's business plans and financial objectives. These statements typically use words such as prospects, believe, estimate, forecast, project, expect, anticipate, plan, may, should, could and would, or the negative of these terms, variations thereof or similar terminology. By their very nature, forward-looking statements are based on assumptions and involve inherent risks and uncertainties, both general and specific in nature. It is therefore possible that the forecasts, projections and other forward-looking statements will not be achieved or will prove inaccurate. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, it provides no assurance that these expectations will prove to have been correct. The Company cautions readers against placing undue reliance on forward-looking statements when making decisions, as the actual results could differ considerably from the opinions, plans, objectives, expectations, forecasts, estimates and intentions expressed in such forward-looking statements due to various material factors. Among other things, these factors include fiscal and economic policies, changes in interest and foreign exchange rates, and general economic conditions, legislative and regulatory developments, competition and access to capital. The Company further cautions that the foregoing list of factors is not exhaustive. For more information on the risks, uncertainties and assumptions that would cause the Company's actual results to differ from current expectations, please also refer to the Company's public filings available at www.sedar.com. The Company does not undertake to update any forward-looking statements, whether oral or written, made by itself or on its behalf, except to the extent required by securities regulations.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
Every successful software product evolves from an idea to an enterprise system. Notably, the same way is passed by the product owner's company. In his session at 20th Cloud Expo, Oleg Lola, CEO of MobiDev, will provide a generalized overview of the evolution of a software product, the product owner, the needs that arise at various stages of this process, and the value brought by a software development partner to the product owner as a response to these needs.
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
Most DevOps journeys involve several phases of maturity. Research shows that the inflection point where organizations begin to see maximum value is when they implement tight integration deploying their code to their infrastructure. Success at this level is the last barrier to at-will deployment. Storage, for instance, is more capable than where we read and write data. In his session at @DevOpsSummit at 20th Cloud Expo, Josh Atwell, a Developer Advocate for NetApp, will discuss the role and value...
SYS-CON Events announced today that Technologic Systems Inc., an embedded systems solutions company, will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Technologic Systems is an embedded systems company with headquarters in Fountain Hills, Arizona. They have been in business for 32 years, helping more than 8,000 OEM customers and building over a hundred COTS products that have never been discontinued. Technologic Systems’ pr...
While some vendors scramble to create and sell you a fancy solution for monitoring your spanking new Amazon Lambdas, hear how you can do it on the cheap using just built-in Java APIs yourself. By exploiting a little-known fact that Lambdas aren’t exactly single threaded, you can effectively identify hot spots in your serverless code. In his session at 20th Cloud Expo, David Martin, Principal Product Owner at CA Technologies, will give a live demonstration and code walkthrough, showing how to ov...
SYS-CON Events announced today that Tappest will exhibit MooseFS at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. MooseFS is a breakthrough concept in the storage industry. It allows you to secure stored data with either duplication or erasure coding using any server. The newest – 4.0 version of the software enables users to maintain the redundancy level with even 50% less hard drive space required. The software func...
SYS-CON Events announced today that EARP will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. "We are a software house, so we perfectly understand challenges that other software houses face in their projects. We can augment a team, that will work with the same standards and processes as our partners' internal teams. Our teams will deliver the same quality within the required time and budget just as our partn...
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory?
SYS-CON Events announced today that Outscale will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Outscale's technology makes an automated and adaptable Cloud available to businesses, supporting them in the most complex IT projects while controlling their operational aspects. You boost your IT infrastructure's reactivity, with request responses that only take a few seconds.
New competitors, disruptive technologies, and growing expectations are pushing every business to both adopt and deliver new digital services. This ‘Digital Transformation’ demands rapid delivery and continuous iteration of new competitive services via multiple channels, which in turn demands new service delivery techniques – including DevOps. In this power panel at @DevOpsSummit 20th Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, panelists will examine how DevOps helps to meet th...
Most technology leaders, contemporary and from the hardware era, are reshaping their businesses to do software in the hope of capturing value in IoT. Although IoT is relatively new in the market, it has already gone through many promotional terms such as IoE, IoX, SDX, Edge/Fog, Mist Compute, etc. Ultimately, irrespective of the name, it is about deriving value from independent software assets participating in an ecosystem as one comprehensive solution.