TORONTO, ONTARIO–(March 18, 2013) – Symbility Solutions Inc. (the “Corporation”) (TSX VENTURE:SY)(OTCQX:ATBEF), a global software company dedicated to developing applications for the insurance industry, today reported that revenue increased by 108% to $16.54 million for the fiscal year ended December 31, 2012. This compares to revenues of $7.95 million in FY 2011 and is an increase of $8.59 million.
The net loss for the year ended December 31, 2012 was $3.39 million and represents a basic and fully diluted loss per share of $0.02. This compares to a loss of $94,000 in FY 2011. Included in the net loss for the year were transaction related expenses of $1.83 million and non-cash amortization and stock based compensation of $2.39 million, for a total of $4.22 million.
The Corporation believes Adjusted EBITDA(1) is also a useful measure as a proxy for operating cash flow and facilitates period-to-period operating comparisons. Adjusted EBITDA for the twelve month period ending December 31, 2012 was $831,000, compared to $807,000 in 2011.
Selected Annual Financial Information
| As at / For the years ended December 31 (in thousands of dollars) | 2012 | 2011 |
| Consolidated Revenue | 16,537 | 7,946 |
| Adjusted EBITDA | 831 | 807 |
| Cash and cash equivalents | 15,008 | 1,301 |
| Total Assets | 36,409 | 5,454 |
“2012 was a transformational year for Symbility,” states James Swayze, Chief Executive Officer, Symbility Solutions Inc. “We are very proud of the fact that we completed the acquisition and integration of the MSB claims division, added additional offices, more than doubled our staff and rolled out a number of new customers globally. Our financial position was strengthened through a bought deal financing of $10 million in December 2012. An additional achievement has been to expand our sales and marketing resources as this will be critical to our continued success in 2013 and beyond.”
The Company currently has published research from five investment banks. The average of the 2013 revenue estimates for the Company is $23.3 million and the Company reports that it believes that it will meet or exceed this consensus estimate for fiscal 2013.
The Corporation is also pleased to announce that they will be holding their Annual and Special Meeting of shareholders on Wednesday May 15, 2013 at 12:00 p.m. EST. The meeting will be held at Malaparte, located at the TIFF Bell Lightbox, 6th Floor, 350 King Street West, Toronto, Ontario, M5V 3X2. Any and all holders of common shares of the Corporation as at the close of business on the Record Date, which is April 2, 2013, will be entitled to vote at this meeting. For more information, please refer to the Corporation’s Management Information Circular, which will be posted at www.sedar.com.
On January 16, 2013, Symbility announced its strategic partnership with Digicall Solutions, a market leader of technology-enabled outsourcing and software solutions, for the expansion of the Symbility mobile claims platform in South Africa. They will begin using the Symbility application through its Assessing Solutions division, to process claims and manage the contractor network for tier one insurers including, Absa Insurance Company Limited and Zurich Insurance Company South Africa Limited. Concurrent with these deployments, Digicall will leverage its customer relationships to become an exclusive value added reseller of Symbility’s software.
On January 23, 2013, Symbility announced that it had successfully concluded their 3rd annual Symbility Symposium that was held at the Marriott Sawgrass Resort & Spa – home of the world famous TPC Sawgrass Stadium Golf Course, annual host of The Players Championship. This year’s Symposium brought together a diverse claims community including mitigation specialists, restoration contractors, independent adjusters, third party administrators, material suppliers and additional partner vendors, plus half of the top 10 property insurance companies in the market, to network, collaborate and discuss the future of the property and casualty industry and how we can collectively improve the claims experience for all participants.
The Corporation also announced today that 691,000 options were granted to a Director and Officers in accordance with the Corporation’s stock option plan. Each option entitles its holder to purchase one common share of the Corporation at a price of $0.50 per share for a period of ten years from the date of grant. The options will vest in three equal tranches with one-third vesting immediately, one-third vesting on the first anniversary of the grant date, and one-third vesting on the second anniversary of the grant date. On January 22, 2013, the Corporation issued 111,438 Common Shares to the independent directors of the Corporation for services provided in 2012. Such aggregate value is the aggregate net amount owing to the independent directors after making all statutorily required source deductions.
[1] Adjusted EBITDA is a non-IFRS measure and is calculated as earnings before interest income, taxes, depreciation and amortization, impairment losses, stock-based compensation, non-recurring gains or losses including transaction costs related to acquisition. Management believes Adjusted EBITDA is a useful measure that facilitates period-to-period operating comparisons. Adjusted EBITDA does not have any standardized meaning prescribed by IFRS and is not necessarily comparable to similar measures presented by other companies. Adjusted EBITDA should not be considered in isolation or as a substitute for net earnings (loss) prepared in accordance with IFRS. All other financial measures referenced herein have been prepared in accordance with International Financial Reporting Standards unless stated otherwise.
About Symbility Solutions Inc.
Symbility Solutions (TSX VENTURE:SY)(OTCQX:ATBEF) is a global software company dedicated to developing applications for the insurance industry. The organization currently has two product family brands: Symbility® and Adjudicare®.
The Symbility platform is a cutting-edge, easy-to-use, cloud-based claims processing and estimating technology that optimizes claims performance for the Property & Casualty insurance industry. Relying on the most extensive and defendable property cost data developed by Marshall & Swift/Boeckh (“MSB”), our collaborative workflow management, mobile estimating, claims triage solutions and analytical services allow insurers to reduce costs while delivering a market-leading claims experience. Symbility Claims solutions, used in conjunction with MSB’s Underwriting Solutions, means property insurers now have a dynamic, market-driven enterprise solution. Providing a virtual feedback loop between claims and underwriting systems, this enterprise solution allows insurers to manage property risks more proactively and effectively.
Adjudicare is an advanced, practical web-based software solution used by a network of Employee Benefits Brokers and Third-Party Administrator partners across Canada in the adjudication of health and dental claims. Adjudicare’s rules-based engine and leading-edge features ensure that claims are precisely adjudicated and paid in real-time, giving our partners’ customers optimum flexibility, along with transparent disclosure on the benefit plan’s financial performance.
This press release should be read in conjunction with Corporation’s consolidated financial statements and related notes, management’s discussion and analysis and the Annual Information Form for the year ending December 31, 2012, copies of which can be found atwww.sedar.com.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Symbility Solutions Inc. will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Symbility Solutions Inc.
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