Welcome!

News Feed Item

OneSoft Solutions Inc. (Formerly Serenic Corporation) Reports Financial Results for the Three Months Ended May 31, 2014

EDMONTON, ALBERTA -- (Marketwired) -- 07/29/14 -- THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

OneSoft Solutions Inc. (the "Company" or "OneSoft"), formerly Serenic Corporation ("Serenic"), (TSX VENTURE: SER), reports its financial results for the three months ended May 31, 2014.


----------------------------------------------------------------------------
                                         Three months ended May 31
                               ---------------------------------------------
                                                                 Increase /
                                          2014           2013     (Decrease)
                               ---------------------------------------------
                                             $              $              %
----------------------------------------------------------------------------
Revenue                              3,369,094      2,603,370          29.4
----------------------------------------------------------------------------
Net loss                             (210,037)      (317,052)         (33.8)
----------------------------------------------------------------------------
Basic and diluted loss per
 share                                  (0.02)         (0.02)             -
----------------------------------------------------------------------------
Adjusted EBITDA (1)                  (132,440)      (238,254)          44.4
----------------------------------------------------------------------------
Adjusted EBITDA as % of sales            (3.9)          (9.2)          57.0
----------------------------------------------------------------------------
Weighted average common shares
 outstanding - basic                13,961,958     14,639,646
-------------------------------------------------------------
Weighted average common shares
 outstanding - diluted              13,961,958     14,724,023
----------------------------------------------------------------------------

(1) Adjusted EBITDA represents earnings before interest, taxes, depreciation, amortization, and stock option expense. Please review the Serenic Management Discussion and Analysis ("MD&A") for the Three months ended May 31, 2014 for more information

SALE OF SERENIC SUBSIDIARIES JULY 28, 2014

On July 28, 2014, Serenic closed on a sale transaction whereby Sylogist Ltd. acquired its three operating subsidiaries which were a substantial portion of Serenic's assets, for net cash of approximately $7,911,471, subject to certain closing adjustments. Please refer to the Serenic Press Release dated July 28, 2014 and the Management's Discussion and Analysis for the Three months ended May 31, 2014, both of which are posted on SEDAR.

CHANGE OF NAME OF CORPORATION and CHANGE OF CEO

On July 28, 2014, Serenic Corporation changed its name to OneSoft Solutions Inc., as this name change was required as a condition of the sale of the subsidiaries to Sylogist. Dwayne Kushniruk will replace Randy Keith as CEO and President of the Company, effective August 1, 2014. The Board wishes to thank Mr. Keith for his dedicated leadership of the Company since 2007, and looks forward to Mr. Keith's continued contribution as a director of the Company for the ensuing year.

QUARTER HIGHLIGHTS

During the quarter ended May 31, 2014 ("Fiscal 2015 Q1") revenue increased 29.4% to $3,360,094 from $2,603,370 for the comparative quarter last year. Software license sales were 43.3% higher year over year due to increases in Serenic Navigator license sales that were sold directly by Serenic and by reselling partners in the USA, Canada and in Africa. Services revenue increased 70% due to some large Human Resource Information System ("HRIS") projects being implemented by subcontractors, which were supplementary to Serenic's usual level of engagements with implementations and software version upgrades for direct customers. Serenic introduced its Total Care Plan in September 2013, which also added to Services revenue and which has resulted in an increased demand by customers for software version upgrades. Software maintenance contract revenue also increased year over year. The increase in the Canadian to U.S. dollar exchange rate also favourably affected revenues.

Gross profit increased 9.8% year over year, to $1,900,108 from $1,730,542, due to the increase in license and maintenance contracts revenue. Expenses were similar to last year at $2,080,442 versus $2,053,909 in the comparable period last year. While savings were realized from staff reductions that were made in February, 2014, the increase in the foreign exchange rate offset these and other cost savings measures. The net loss reduced year over year, from $317,052 in Q1 of Fiscal 2014 to $210,037 in Q1 of Fiscal 2015. Adjusted EBITDA also decreased year over year, from a loss of $238,254 in Q1 of Fiscal 2014 to a loss of $132,440 in Q1 of Fiscal 2015.

OUTLOOK

The sale of the Serenic operating companies to Sylogist is very beneficial. This has allowed us to unlock approximately $6.9 million (approximately $0.45 per share on a fully diluted basis) of value for shareholders, and also provide funding to advance the on-going Cloud business. With significant investment already having been made in the Cloud technology and products, we anticipate that new OneSoft divisions will now be operated with only minimal staff, and essentially in "start-up" mode until Cloud-only revenues start to occur and build.

The OneSoft IP includes: the underlying cloud technology that enables Serenic's legacy Dynamics NAV ERP products to be re-configured for Microsoft's Cloud and volume strategies: and, three products: Express, Essentials and Donor Vision 2013, which are derivative products of the Serenic legacy products. OneSoft's first order of business is to execute upon its plans to sell the OneSoft products into new NFP markets that are ideally suited for these products, which have not historically been addressable with Serenic's legacy solutions. This will be conducted pursuant to the OEM arrangement that OneSoft entered into with the Serenic operating companies immediately prior to Sylogist acquiring the Serenic companies. We intend to also investigate potential opportunities to enter into similar arrangements with other Dynamics NAV vendors who have developed ERP solutions for other vertical markets, whereby OneSoft's underlying technology can be applied to those products, and new volume markets within those verticals can be addressed. We believe that developing this bridge to Microsoft Cloud is not easily repeatable by or feasible for most small software companies to pursue, particularly by those who had not yet committed to this development strategy and are now lagging from a technology perspective.

Management's immediate priority is to now accelerate and leverage the OneSoft strategies. Investigation will be conducted to determine alternatives in this regard, which may include organic growth strategies as well as joint venture or M&A scenarios. The Company has sufficient cash to operate as envisioned (which will likely be on a negative EBITDA basis), for approximately four quarters. We anticipate that further announcements to outline future strategies will be forthcoming in the next couple of quarters.

ON BEHALF OF THE BOARD OF DIRECTORS

OneSoft Solutions Inc.

Dwayne Kushniruk, Chairman

Forward-looking Statements

This news release contains forward-looking statements relating to the future operations and profitability of the Company and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expects", "believe", "will", "intends", "plans" and similar expressions. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Such forward-looking information is provided for the purpose of providing information about management's current expectations and plans relating to the future. Investors are cautioned that reliance on such information may not be appropriate for other purposes, such as making investment decisions. In respect of the forward-looking information and statements, the Company has provided such in reliance on certain assumptions that it believes are reasonable at this time, including expectations and assumptions concerning, among other things: interest and foreign exchange rates; planned synergies, capital efficiencies and cost-savings; applicable tax laws; the sufficiency of budgeted capital expenditures in carrying out planned activities; the availability and cost of labour and services; the success of growth projects; future operating costs; that counterparties to material agreements will continue to perform in a timely manner; that there are no unforeseen events preventing the performance of contracts; and that there are no unforeseen material development or other costs related to current growth projects or current operations. Accordingly, readers should not place undue reliance on the forward-looking information contained in this press release.

Readers are cautioned that the foregoing list of factors is not exhaustive. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release, and the Company undertakes no obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by Canadian securities law.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities within the United States. The securities to be offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of such Act or other laws.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contacts:
OneSoft Solutions Inc.
Dwayne Kushniruk
[email protected]

OneSoft Solutions Inc.
Paul Johnston
CFO
780.426.5387 ext 509
[email protected]

Investor Relations
Cantech Communications
Nick Waddell
[email protected]

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
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, demonstrated how to move beyond today's coding paradigm and shared the must-have mindsets for removing complexity from the develo...
SYS-CON Events announced today that MangoApps will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides modern company intranets and team collaboration software, allowing workers to stay connected and productive from anywhere in the world and from any device.
“We're a global managed hosting provider. Our core customer set is a U.S.-based customer that is looking to go global,” explained Adam Rogers, Managing Director at ANEXIA, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
DevOps at Cloud Expo – being held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real results. Am...
Basho Technologies has announced the latest release of Basho Riak TS, version 1.3. Riak TS is an enterprise-grade NoSQL database optimized for Internet of Things (IoT). The open source version enables developers to download the software for free and use it in production as well as make contributions to the code and develop applications around Riak TS. Enhancements to Riak TS make it quick, easy and cost-effective to spin up an instance to test new ideas and build IoT applications. In addition to...
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...
"This week we're really focusing on scalability, asset preservation and how do you back up to the cloud and in the cloud with object storage, which is really a new way of attacking dealing with your file, your blocked data, where you put it and how you access it," stated Jeff Greenwald, Senior Director of Market Development at HGST, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
"We've discovered that after shows 80% if leads that people get, 80% of the conversations end up on the show floor, meaning people forget about it, people forget who they talk to, people forget that there are actual business opportunities to be had here so we try to help out and keep the conversations going," explained Jeff Mesnik, Founder and President of ContentMX, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
SYS-CON Events announced today that Isomorphic Software will exhibit at DevOps Summit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Isomorphic Software provides the SmartClient HTML5/AJAX platform, the most advanced technology for building rich, cutting-edge enterprise web applications for desktop and mobile. SmartClient combines the productivity and performance of traditional desktop software with the simp...
"When you think about the data center today, there's constant evolution, The evolution of the data center and the needs of the consumer of technology change, and they change constantly," stated Matt Kalmenson, VP of Sales, Service and Cloud Providers at Veeam Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
“Being the one true cloud-agnostic and storage-agnostic software solution, more and more customers are coming to Commvault and saying ' What do you recommend? What's your best practice for implementing cloud?” explained Randy De Meno, Chief Technologist at Commvault, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
"We're bringing out a new application monitoring system to the DevOps space. It manages large enterprise applications that are distributed throughout a node in many enterprises and we manage them as one collective," explained Kevin Barnes, President of eCube Systems, in this SYS-CON.tv interview at DevOps at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
“delaPlex Software provides software outsourcing services. We have a hybrid model where we have onshore developers and project managers that we can place anywhere in the U.S. or in Europe,” explained Manish Sachdeva, CEO at delaPlex Software, in this SYS-CON.tv interview at @ThingsExpo, held June 7-9, 2016, at the Javits Center in New York City, NY.
From wearable activity trackers to fantasy e-sports, data and technology are transforming the way athletes train for the game and fans engage with their teams. In his session at @ThingsExpo, will present key data findings from leading sports organizations San Francisco 49ers, Orlando Magic NBA team. By utilizing data analytics these sports orgs have recognized new revenue streams, doubled its fan base and streamlined costs at its stadiums. John Paul is the CEO and Founder of VenueNext. Prior ...
IoT is rapidly changing the way enterprises are using data to improve business decision-making. In order to derive business value, organizations must unlock insights from the data gathered and then act on these. In their session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, and Peter Shashkin, Head of Development Department at EastBanc Technologies, discussed how one organization leveraged IoT, cloud technology and data analysis to improve customer experiences and effi...