From FLYHT Aerospace Solutions Ltd
CALGARY, Alberta, April 08, 2020 (GLOBE NEWSWIRE) — FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”) today reported financial results for the fourth quarter and full year ended December 31, 2019.
“In 2019, we finished the year with a positive million dollars in EBITDA and annual revenues that exceeded $21 million dollars. It was a very encouraging year where we earned nearly fifty percent of our revenues in recurring Software as a Service revenues,” said CEO Thomas R. Schmutz. “Our challenge now is to protect our cash and weather this incredibly challenging COVID-19 pandemic.”
Fourth Quarter 2019 Results
- Revenues and Other Income increased 6.1% to $4,281,612 compared to the fourth quarter of 2018. This included:
- SaaS revenue of $2,711,228, an increase of 19.9% from the fourth quarter of 2018;
- Hardware revenue of $657,577, a decrease of 55.1% from the fourth quarter of 2018;
- Licensing revenue of $772,466, an increase of 209.2% from the fourth quarter of 2018; and
- Technical Services of $140,341, an increase of 140.7% from the fourth quarter of 2018.
- Gross margin was 62.7% of revenue compared to 56.0% in the fourth quarter of 2018.
- Operating expenses increased 4.1% from the fourth quarter of 2018. Distribution expenses decreased by 4%, Administration expenses decreased by 4.7%, and Research and Development and certification engineering expenses increased by 39.5%.
- Negative EBITDA1 totaled $711,486 in the quarter compared to an EBITDA gain of $53,845 in the same quarter of 2018.
- Net loss was $1,212,971, compared to a net income in Q4 2018 of $217,954.
Full-Year 2019 Results
- Revenue for the full year was $21,171,159, representing an increase of 55.8% compared to full-year 2018 revenue of $13,590,516. This included:
- SaaS revenue of $10,246,685, an 85.3% increase year-over-year;
- Hardware revenue of $6,651,673, a 20.1% increase year-over-year;
- Licensing revenue of $3,241,285, a 43.1% increase year-over-year; and
- Technical Services of $1,031,516, a 297.1% increase over 2018.
- Gross Margin increased 52.8% from the prior year to $12,326,802.
- Operating expenses increased 37.1% year-over-year to $16,279,202. This included a 38.4% increase in Distribution expenses, a 29.6% increase in Administration expenses, and a 43.2% decrease in Research & Development expenses.
- EBITDA gain was $1,015,591 in 2019, which compares to an EBITDA loss of $1,787,930 for the full-year 2018.
- Net loss for the year decreased 62.0% to $746,635 from a net loss $1,966,748 in 2018.
FLYHT’s balance sheet ended the year with:
- Cash and short-term investments of $4,127,648 at the end of 2019, an increase from the 2018 and Q3 2019 ending balances of $2,406,769 and $2,040,638, respectively;
- Trade and Other Receivables increased 44.7% year-over-year; and
- Contract liabilities decreased 56.8% year-over-year, as subsidy amounts received from Panasonic Avionics Corporation in 2018 were recognized as Other Income in Q1 2019.