Revenues Increase 10.5%
Operating Profit Increases 66.9%; 20th Consecutive Profitable Quarter
Quarterly Dividend Payment Declared; 16th Consecutive Quarterly Dividend
OTTAWA, April 19, 2016 – C-COM Satellite Systems Inc. (TSXV: CMI; US – OTC: CYSNF), a leading global provider of mobile auto-deploying satellite antenna systems, announced today financial results for its first quarter ended February 29, 2016.
The company has generated revenues of $2,433,713 and a net after tax profit of $308,547 or 1 cent per share. This compared to revenues of $2,201,578 and a net after tax profit of $376,431 or 1 cent per share as reported in Q1 2015, representing an increase of 10.5% and a decrease of 18.0% respectively.
The working capital of the Company has increased by 0.7% to $20,179,032 at February 29, 2016 as compared to $20,044,633 at February 28, 2015.
The Company also announced the payment of its quarterly eligible dividend in the amount of $0.0125 per common share payable on May 17, 2016 to all shareholders of record as of May 3, 2016. Based on the closing price of $0.93 per share on April 18, 2016, this dividend represents a yield of 5.38% on an annualized basis. This is the Company’s 20th consecutive quarter of profitability and 16th consecutive dividend paying quarter. The Company ended the quarter with a strong cash position of over $15 Million and continues to be debt free.
In the first quarter of this fiscal year the company has generated significant new business from Asia. The iNetVu® antenna product quality and reliability has been steadily gaining market share in Japan, Korea, Indonesia and China.
"The deployment of our antennas into new vertical markets is also contributing incremental revenues for the company. Our customer base is steadily increasing in a number of these new sectors worldwide and continues to generate new sales for the company” said Leslie Klein, President and CEO of C-COM Satellite System Inc.
C-COM continues to develop new products for new markets and is expanding its worldwide reseller network for its proprietary iNetVu® Mobile antenna systems. One of the new products the Company is developing is an in-motion antenna, which will deliver broadband Internet over satellite into vehicles and trains while in full motion. This new product will work with the most advanced Ka and Ku band high throughput satellites. C-COM also continues to establish new partnerships with companies around the world interested in combining the capabilities of the iNetVu® antennas with the products and services they offer.
About C-COM Satellite Systems Inc.
C-COM Satellite Systems Inc. is a leader in the development and deployment of commercial grade mobile satellite-based technology for the delivery of two-way high-speed Internet, VoIP and Video services into vehicles. C-COM has developed a unique proprietary Mobile auto-deploying (iNetVu®) antenna that allows the delivery of high-speed satellite based Internet services into vehicles while stationary virtually anywhere where one can drive. The iNetVu® Mobile antennas have also been adapted to be airline checkable and easily transportable. The company's satellite-based products and services deliver high-quality, cost-effective solutions for both fixed and mobile applications throughout the world. More information is available at: www.c-comsat.com
iNetVu® is a registered trademark of C-COM Satellite Systems Inc.
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Forward Looking Statements
This news release contains forward-looking information. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. New orders anticipated by C-COM Satellite Systems Inc. may not be received and current orders may be cancelled. New products and services under development may not be released or may not gain market acceptance. Any of those events could have an effect on future performance and C-COM Satellite Systems Inc.’s ability to achieve the results mentioned above. These forward-looking statements are made as of the date hereof and C-COM Satellite Systems Inc. does not assume any obligation to update or revise them to reflect new events or circumstances.