First Quarter 2020 Financial and Operational Highlights
The Company’s financial performance improved over the previous year’s quarter, driven by the continued customer uptake of Deveron’s soil sampling service. For the three-month financial results ended
- Revenue grew 181% year over year to
$283,420 in Q1 2020, from$100,564 in Q1 2019.
- Gross profit grew 160% year over year to
$180,212 in Q1 2020, from$69,833 in Q1 2019.
“Our first quarter results are highlighted by continued growth in acres serviced for our data collection group,” commented
Summary of Financial Results
Results of operations | For the three months ended | |||||
Total Revenue | $ | 283,420 | $ | 100,564 | ||
Gross Profit | $ | 180,212 | $ | 69,833 | ||
Gross Profit Margin % | 63 | % | 69 | % | ||
Operating Expenses | $ | 748,995 | $ | 952,919 | ||
Total Comprehensive Loss | $ | (568,783 | ) | $ | (882,919 | ) |
Weighted Average Common Shares Outstanding | 38.1 M | 37.8 M | ||||
Per Share: | ||||||
Comprehensive Net Loss | $ | (0.01 | ) | (0.02 | ) | |
Operational Highlights for Q1:
- On
January 7 , Deveron announced further collaboration with Huron Tractor, a leading John Deere dealer, to offer data insights and collection products to help deliver increased value to agriculture data while offering additional support to help farmers leverage raw data into value add solutions.
- Increased data collection revenue to
$139,786 in 2020 versus$3,332 in 2019.
- Increased data insights revenue of 47% to
$143,634 in 2020 versus$97,232 in 2019.
Business Outlook
“Our goal was to achieve significant revenue growth in both our data collections and analytics business. We achieved this in Q1 with revenue growth of 181% over Q1 2019, in what is typically our lowest activity quarter. We moved our strategy forward in Q1 by growing our customer base and increasing the acres under management that we service. This will directly impact the remainder of the year and set us up for solid growth again in 2020. Secondly, with our acquisition of Better Harvest in
Subsequent to Quarter End
- On
May 11 , Deveron acquired Better Harvest, aTexas based agronomy solutions business. Better Harvest provides unbiased agronomic advice, nitrogen management solutions and optimization for irrigation to over 100,000 acres of growers. Better Harvest had unaudited reported revenue of$471,769 USD in 2019.
- The Company also completed a private placement of
$1.35 million (see press releases datedApril 7, 2020 andApril 17, 2020 ). In conjunction with this financing,Bill Linton joined its Board of Directors, where he will serve as non-executive Chairman.Bill Linton is an experienced Director and private investor. He currently serves on the Boards ofTMX Group (TSE: X), Empire Company (TSE: EMP.A), andCSL Group . He has invested in and served as an advisor to and/or Board member of a number of successful technology companies including UXP Systems (acquired by AmDocs), In The Chat (acquired by Pegasystems) andSoftchoice Corp. (acquired byBirch Hill Equity Partners ). Bill retired in 2012 as the CFO of Rogers Communications Inc. and prior to that was the CEO ofCall Net Enterprises .
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.
Source:
2020 GlobeNewswire, Inc., source