DEVERON CORP. Third Quarter 2019 Financial and Operational Highlights
The Company’s financial performance improved significantly over the previous year’s quarter, driven by organic growth in data collection and the successful integration of our analytics arm. Deveron reported an improvement in gross margin as its data collection network operated at a higher capacity which management believes will continue to improve unit economics. For the three-month financial results ended
- Revenue grew 493% year over year to
$642,408 in Q3 2019, from$108,416 in Q3 2018; - Gross profit was
$455,449 in Q3 2019 which was an improvement from -$21,003 in Q3 2018; - Gross profit margin improved to 71% in Q3 2019 from 0% in Q3 2018;
- Second quarter in a row that quarterly revenue surpassed 2018 total fiscal year revenue of
$500,626 ; - Working capital of
$2,067,244 and no debt.
“Our third quarter results reflect continued revenue growth driven by data collection services, including drone and soil, which will continue to drive future analytics sales as our customers look for insights into their data,” commented
Summary of Financial Results
| Results of operations | For the three months ended | For the nine months ended | ||||||||||||||
| September 30, 2019 | September 30, 2018 | % Change | September 30, 2019 | September 30, 2018 | % Change | |||||||||||
| Total Revenue | $ | 642,408 | $ | 108,416 | 493 | % | $ | 1,470,945 | $ | 267,045 | 451 | % | ||||
| Gross Profit | $ | 455,449 | $ | (21,003 | ) | 2,268 | % | $ | 1,033,340 | $ | 50,377 | 1,951 | % | |||
| Gross Profit Margin % | 71 | % | - | - | 70 | % | 19 | % | 268 | % | ||||||
| Operating Expenses | $ | 867,056 | $ | (119,485 | ) | 826 | % | $ | 2,429,533 | $ | 996,991 | 144 | % | |||
| Total Comprehensive Loss | $ | (411,607 | ) | 377 | % | $ | (1,396,193 | ) | $ | (896,614 | ) | 56 | % | |||
| Weighted Average Common Shares Outstanding | 38.1 M | 34.8 M | 37.9 M | 32.4 M | ||||||||||||
| Per Share: | ||||||||||||||||
| Comprehensive Net Loss | $ | (0.01 | ) | 0.00 | (0.04 | ) | (0.03 | ) | ||||||||
*Deveron booked a one-time
Operational Highlights for Q3:
- On
August 13 , Deveron announced the acquisition ofAtlas Team to form a US beach head for US market development; - Deveron signed a new national account to provide data collection services from
Nebraska east toOhio andSouth Dakota south toArkansas which will extend data collection offerings in Q4; - On
September 9 , Deveron announced that technology leaderJay Deen , had joined its advisory board.
Business Outlook
Q2 and Q3 are generally the busiest times for agriculture service companies as our teams are in the field collecting data and providing recommendations. Given the weather across
The Company continues to build out its digital tools and services supporting some of agriculture’s largest companies throughout
The Management’s Discussion and Analysis for the period and the accompanying financial statements and notes are available under the Company’s profile on SEDAR at www.sedar.com. This news release is not in any way a substitute for reading those financial statements, including the notes to the financial statements.
About
For more information and to join our community, please visit www.deveronuas.com/register or reach us on Twitter @DeveronUAS or @MyVeritas_HQ
President & CEO
416-367-4571 ext. 221
dmacmillan@deveronuas.com
This news release includes certain “forward-looking statements” within the meaning of that phrase under Canadian securities laws. Without limitation, statements regarding future plans and objectives of the Company are forward looking statements that involve various degrees of risk. Forward-looking statements reflect management's current views with respect to possible future events and conditions and, by their nature, are based on management's beliefs and assumptions and subject to known and unknown risks and uncertainties, both general and specific to the Company. Although the Company believes the expectations expressed in such forward-looking statements are reasonable, such statements are not guarantees of future performance and actual results or developments may differ materially from those in our forward-looking statements. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world-wide price of agricultural commodities, general market conditions, risks inherent in agriculture, the uncertainty of future profitability and the uncertainty of access to additional capital. Additional information regarding the material factors and assumptions that were applied in making these forward looking statements as well as the various risks and uncertainties we face are described in greater detail in the "Risk Factors" section of our annual and interim Management's Discussion and Analysis of our financial results and other continuous disclosure documents and financial statements we file with the Canadian securities regulatory authorities which are available at www.sedar.com. The Company undertakes no obligation to update this forward-looking information except as required by applicable law. The Company relies on litigation protection for forward looking statements.
2019 GlobeNewswire, Inc., source
