FOR IMMEDIATE RELEASE: July 31, 2017
VANCOUVER, BC – TIMIA Capital Corporation (“TIMIA” or the “Company”) (TSX-V:TCA) is pleased to announce its Q2 results for 2017.
- Q2 represented the highest quarterly revenue achieved to date, 28% increase over Q1,
- Strong growth in Adjusted EBITDA1 and improved net loss, and
- Payments from investee companies in Q2 increased by 9.2% over Q1.
Revenue of $268,246 for Q2, 2017 is the highest quarterly revenue TIMIA has achieved under its revenue finance model, and a 28% increase over the Q1, 2017 revenue of $208,879. The Q2, 2017 revenue included advisory income of $40,000 related to the closure of the Beanworks transaction while there was no similar event in Q1.
Net Loss / Adjusted EBIDTA
The Company had net income of ($104,462) for Q2, 2017 as compared to net income of ($133,108) in Q1, 2017. The decrease in net loss was due to the increased revenue during the period offset primarily by increased interest expense on the Company’s debentures outstanding and increased share based compensation.
Adjusted EBITDA improved to $74,038 in Q2, 2017 from $4,138 in Q1, 2017 as a result of increased revenue and consistent quarter over quarter cash based operating expenses.
Total Payments Received from Investee Companies
Total payments received from investee companies are a key measure of the Company’s progress as these payments are tied to the revenue of the underlying investee companies. These payments comprise both interest and principal repayments, and for Q2 2017 these payments totalled $247,103 vs $226,268 in Q1, 2017. This represents an increase of 9.2% quarter over quarter.
All investee companies are current in their payments.
The Company had a cash balance of $785,200 at the end of Q2, 2017, and expects to utilize those cash resources in the near term via investment into new and existing investee companies. Please refer to the forward-looking disclaimer below.
About TIMIA Capital Corporation
TIMIA Capital Corporation is a specialty finance company that provides revenue financing to technology companies in exchange for payments tied to revenue and bonus payments upon exiting the investments. The alternative financing option complements both debt and equity financing, while allowing entrepreneurs to retain a greater share of their business. TIMIA’s target market is the fast-growing business-to-business software-as-a-service (SaaS) segment. TIMIA is managed by a seasoned investment team with a track record of originating and managing debt and equity investments, as well as monitoring, compliance and workouts. For more information about TIMIA Capital Corporation, please visit www.timiacapital.com .
Neither the 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 news release.
For more information, please contact:
Chief Executive Officer
TIMIA Capital Corporation
Disclaimer for Forward-Looking Information
Certain statements in this release are forward-looking statements. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. The Company disclaims any obligation to update the forward-looking statements except as required by law.
 Adjusted EBITDA is a non-GAAP measure comprising EBITDA – non-cash items such as Share Based Compensation, Warrant Accretion Expense included in Interest Expense and Loan Loss Provision +/- equity related realized and unrealized gains/losses.