Ottawa, Canada – November 18, 2014 - ZIM Corporation (OTCBB: ZIMCF), a provider of software products and services for the database and mobile markets: today announced its financial results for its second quarter ended September 30, 2014. All figures presented are calculated in accordance with generally accepted accounting principles (GAAP) in the United States and presented in US dollars.
Total revenues for the three months ended September 30, 2014 was $287,277 as compared to $296,025 for the three months ended September 30, 2013. Total revenues for the six months ended September 30, 2014 were $581,529 as compared to $565,522 for the six months ended September 30, 2013. The quarter over quarter decrease of $8,748 (3%) in revenues is attributable to a decrease in Bulk SMS sales. These year-to-date increases of $16,007 (3%) in revenues is attributable to an increase in enterprise consulting sales and increased Bulk SMS sales that is partially offset by lower enterprise software sales.
Net loss for the quarter was $204,898 as compared to a net loss of $112,328 for the quarter ended September 30, 2013. On a year-to-date basis net loss was $219,572 as compared to a net loss of $227,128 for the same period in fiscal 2014. The decrease in net income for the quarter is a reflection of a $38,197 increase in stock based compensation expense, increased R&D investment and the timing of receipt of tax refunds related to research and development.
“I am pleased with our progress for this quarter” said Dr. Michael Cowpland, President and CEO of ZIM, “Despite a slight decrease in revenue, we achieved revenue growth in our enterprise software business compared to the same period last year. Our investments in R&D are producing results with the latest release of our application development and database product – ZIM 8.50 and, we have a number of customer trials in progress.”
ZIM had cash and cash equivalents of $1,274,448 at September 30, 2014 as compared to cash and cash equivalents of $1,386,737 at March 31, 2014.
ZIM is a provider of software products and services for the database and mobile markets. ZIM products and services are used by enterprises in the design, development and management of business, database and mobile 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.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, with respect to ZIM’s use of its cash from operations. All forward-looking statements made in this press release relating to expectations about future events or results are made as of, and are based upon information available to ZIM as of, the date hereof. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those described or implied by any forward-looking statements. New risks can arise and it is not possible for management to predict all such risks, nor can it assess the impact of all such risks on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. All forward-looking statements speak only as of the date of this news release. We undertake no obligation to revise or update publicly any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this news release, other than as required by law. Please refer to ZIM’s filings with the SEC for additional information regarding risks and uncertainties. Copies of these filings are available through the SEC's website at www.sec.gov.
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