SANGOMA ANNOUNCES PRELIMINARY REVENUE FOR FISCAL 2018
Fourth quarter sales are expected to be approximately $17.5 million and revenue for the full year of 2018 will be over $57 million, more than double that of 2017
MARKHAM, ONTARIO, August 2, 2018 – Sangoma Technologies Corporation (TSXV:STC), a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, and Service Providers, both on-premises and in the cloud, today announced preliminary unaudited revenue for the fourth quarter of fiscal 2018 ended June 30, 2018.
Sales for the fourth quarter of fiscal 2018 are expected to be approximately $17.5 million, more than double that of the same quarter last year, and about 8% above the immediately preceding third quarter of fiscal 2018. Revenue for the full year of fiscal 2018 is expected to be over $57 million, also more than twice that of fiscal 2017 and above prior guidance of $55 million for the year with EBITDA expected to somewhat exceed the previous guidance of $6 million.
“Many of our shareholders seek information about our fourth quarter, before the full audit cycle is completed”, noted David Moore, Sangoma’s Chief Financial Officer. “This release is a way for us to accelerate disclosure on the top line, given Sangoma will announce our full financial results in October as usual, after the completion of our annual audit. At that point, we will hold a conference call with investors to discuss the results in detail.”
“I am proud of our results this year and very pleased that we have finished on a strong note”, said Bill Wignall, President and CEO of Sangoma. “Sales have continued to grow across the portfolio, profitability has expanded such that we’re now generating about $2 million per quarter in EBITDA, our cloud revenue is growing at over 30% per year, and we successfully closed two significant acquisitions in fiscal 2018. I look forward to sharing full financial results with our investors in a few months and continuing with our strategy of increasing shareholder value via a combination of organic growth and M&A opportunities that are complementary to our business.”
About Sangoma Technologies Corporation
Sangoma Technologies is a trusted leader in delivering Unified Communications solutions for SMBs, Enterprises, OEMs, Carriers and service providers. Sangoma’s globally, scalable offerings include both on-premises and cloud-based phone systems, telephony services and industry leading Voice-Over-IP solutions, which together provide seamless connectivity between traditional infrastructure and new technologies. Sangoma’s products and services are used in leading PBX, IVR, contact center, carrier networks and data-communication applications worldwide. Businesses can achieve enhanced levels of collaboration, productivity and ROI with Sangoma. Everything Connects, Connect with Sangoma!
Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.
Cautionary Statement Regarding Forward Looking Statements
This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.
Forward-looking statements include, but are not limited to, statements concerning estimates of future revenue, expected expenditures, expected future production and cash flows, and other statements which are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions indicate forward-looking statements.
Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements are based on the opinions and estimates of management on the date that the statements are made and involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur or will differ materially from those expected. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable based on the current business environment, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management’s discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, the variability of sales between one reporting period and the next, changes in technology, changes in the business climate in one or more of the countries that Sangoma operates in, changes in the regulatory environment, the rate of adoption of the company’s products in new markets, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and Sangoma undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by law.
Readers are directed to Sangoma’s filings on SEDAR with respect to Management’s Discussion and Analysis of Financial Results for the basis of Sangoma’s reconciliation of EBITDA to net income as calculated under IFRS.
Neither the 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.
Sangoma Technologies Corporation
Chief Financial Officer
(905) 474-1990 Ext. 4107