Zim Corporation Reports First Quarter 2011 Financial Results

Mon, 2010-08-16 12:00 -- zim-admin

Ottawa, Canada - August 16, 2010 - ZIM Corporation (OTCBB: ZIMCF), a provider of software products and services for the database and mobile markets: today announced its financial results for its first quarter ended June 30, 2010. All figures presented are calculated in accordance with generally accepted accounting principles (GAAP) in the United States and presented in US dollars.

Revenue for the quarter ended June 30, 2010 was $487,310, an increase of 41% from the $346,636 for the same period last year. The increase in revenue was primarily attributable to increased sales of enterprise database software and consulting services with a smaller portion of the increase related to favorable foreign exchange fluctuations.

Net loss for the quarter ended June 30, 2010 was $29,383 or a basic and diluted loss per share of $0.000 compared to net income for the same period last year of $122,766 or a basic and diluted loss per share of $0.001. The decline in net income principally reflects the other income realized from an out of court settlement of an unrecognized claim in the amount of $171,400 in the first quarter of fiscal 2010 and stock based compensation of $100,000 paid to executive officers and consultants in the first quarter of fiscal 2011.

"I am pleased with our performance this quarter. " said Dr. Michael Cowpland, President and CEO of ZIM. "We produced solid growth on our top line as a result of increased sales activity in our Enterprise Database business. We also, generated $40,326 of positive cash flow for the period while maintaining our levels of R&D investment consistent with previous quarters. "

ZIM had cash and cash equivalents of $1,201,207 at June 30, 2010 as compared to cash and cash equivalents of $1,160,881 at March 31, 2010. The $100,000 of non-cash expense in our net loss is reflected in the increase in cash position.

About ZIM

ZIM is a provider of software products and services for the database, mobile and IPTV markets. ZIM products and services are used by enterprises in the design, development and management of business, database and IPTV applications. Certain of ZIM’s mobile products are also provided to the consumer market. For more information on ZIM and its customers, partners and products, visit: www.zim.biz.

For more information:

E-mail: investorrelations@zim.biz
ZIM Corporation

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