Renoworks Announces Fourth Quarter and Record Fiscal Year 2021 Financial Results
CALGARY, ALBERTA, April 22, 2022 – Renoworks Software Inc. (TSXV: RW) (“Renoworks” or the “Company”), the world’s leading end-to-end visualization and lead generation platform for the home remodeling and new home construction industry announced financial results for the fourth quarter and fiscal year ended December 31, 2021. The financial statements and related management’s discussion and analysis (“MD&A”) can be viewed on SEDAR at www.sedar.com.
Financial and business highlights for the fourth quarter and fiscal 2021:
• Annual revenues of $5,553,379 up 8% over the prior year.
• Quarterly revenue of $1,258,956 for the three months ended December 31, 2021 compared to $1,265,642 in 2020.
• Deferred Revenue of $1,389,547 for the year ended December 31, 2021 compared to $970,835 in 2020, up 43%.
• Gross margins continue to be strong at 62% and 66%, respectively for the fourth quarter 2021 and 2020.
• Net loss of $360,626 for the quarter ended December 31, 2021 compared to a net loss of $69,583 in 2020.
• As at December 31, 2021, the Company had 38,985,968 common shares issued and outstanding.
“Renoworks finished 2021 with the achievement of several financial records, including our highest-ever annual revenue.”
“Renoworks finished 2021 with the achievement of several financial records, including our highest-ever annual revenue.” Said Renoworks CEO Doug Vickerson. “In addition to record-setting revenue, our pipeline of client deals that are closed and in development, represented by deferred revenue, grew 43% over 2020.”
Mr. Vickerson continued, “These successes were driven by increasing client demand for advanced consumer data insights, lead conversion technology, A.I. image preparation, and 3D modeling and measurement solutions on the Renoworks platform – solutions that are filling a technology gap in a historically digital-lagging industry. As we look to the future, equipped with a boost of capital from our recently-closed $805,000 private placement, Renoworks will continue to invest in talent acquisition and platform value to develop ROI for our clients and empower them to gain more insight, influence, and control over the construction and remodeling journey of their end consumers.“
Financial results from operations for the fourth quarter 2021 with comparatives for 2020 are as follows:
|
Three Months Ended December 31 |
||
|
2021 |
2020 |
|
|
Revenue |
$1,258,956 |
$1,265,642 |
|
Gross Margin |
$783,066 |
$839,423 |
|
Expenses |
$1,130,499 |
$851,484 |
|
Net Loss |
$360,626 |
$69,583 |
|
Loss per share |
($0.01) |
($0.00) |
|
Adjusted EBITDA |
($263,630) |
($22,301) |
|
Weighted Average Shares Outstanding |
38,916,463 |
36,610,507 |
Financial results from operations for the fiscal year 2021 with comparatives for 2020 are as follows:
|
Twelve Months Ended December 31 |
||
|
2021 |
2020 |
|
|
Revenue |
$5,553,379 |
$5,132,109 |
|
Gross Margin |
$3,485,777 |
$3,457,640 |
|
Expenses |
$4,022,917 |
$3,215,556 |
|
Income (Loss) |
($608,960) |
$123,582 |
|
Income (Loss) per share |
($0.02) |
$0.00 |
|
Adjusted EBITDA |
($368,259) |
$355,892 |
|
Weighted Average Shares Outstanding |
37,829,136 |
36,610,507 |
|
Cash increase from operations |
$93,930 |
$181,524 |
The Company’s financial position as of December 30, 2021 with comparatives from 2020 is as follows:
|
December 31, 2021 |
December 31, 2020 |
|
|
Cash Balance |
$1,189,346 |
$523,555 |
|
Accounts Receivable |
$596,182 |
$617,161 |
|
Working Capital |
$470,642 |
$276,098 |
|
Deferred Revenue |
$1,389,547 |
$970,835 |
|
Long- term liabilities |
$212,053 |
$344,434 |
|
Shareholder’s Equity |
$571,776 |
$203,577 |
|
Deficit |
($8,414,230) |
($7,805,270) |
|
Total Assets |
$2,214,085 |
$1,534,171 |
About Renoworks
Renoworks Software Inc. develops and sells unique digital visualization software and integration solutions for the remodeling and new home construction industry. Renoworks delivers its technology to manufacturers, contractors, builders, and retailers offering solutions to one of the home improvement industry’s greatest challenges: enabling homeowners to review their product selections in a hyper-realistic, virtual environment before committing to purchases and construction. Renoworks markets its technologies as an innovative engagement, sales, and marketing platform and generates revenues from five main business lines: Renoworks Enterprise, Renoworks PRO, Renoworks Design Services, Renoworks FastTrack, and Renoworks API (Application Programming Interface). For more information, visit www.renoworks.com and www.renoworkspro.com.
For further information on Renoworks, please contact:
Doug Vickerson, CEO
Phone: 403-296-3880
E-mail: doug.vickerson@renoworks.com
Renoworks Software Inc.
2721 Hopewell Place NE
Calgary, Alberta, Canada T1Y 7J7
FOR INVESTOR RELATIONS FOR RENOWORKS, PLEASE CONTACT:
Sean Peasgood, IR (Sophic Capital)
Phone: (647) 670-2366
Calgary, Alberta, Canada T1Y 7J7 Email: sean@sophiccapital.com
*Non-IFRS Measures
Adjusted EBITDA is a measure not recognized under IFRS. However, management of Renoworks believes that most shareholders, creditors, other stakeholders and investment analysts prefer to have these measures included as reported measures of operating performance, a proxy for cash flow, and to facilitate valuation analysis. Adjusted EBITDA is defined as earnings before interest income, taxes, depreciation and amortization, stock-based compensation, restructuring costs, impairment charges and other non-recurring gains or losses. Management believes Adjusted EBITDA is a useful measure that facilitates period-to-period operating comparisons.
Adjusted EBITDA does not have any standardized meanings prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. Readers are cautioned that Adjusted EBITDA is not an alternative to measures determined in accordance with IFRS and should not, on its own, be construed as indicators of performance, cash flow or profitability. References to the Renoworks’ Adjusted EBITDA should be read in conjunction with the financial statements and management’s discussion and analysis of Renoworks posted on SEDAR (www.sedar.com).
Forward Looking Information
Certain statements in this news release, other than statements of historical fact, are forward looking information that involves various risks and uncertainties. Such statements relating to, among other things, the prospects for the company to enhance operating results, realize a revenue or other return on technology and platform development, capitalize on actual or perceived opportunities in the marketplace, or adequately cope with the impact of COVID-19, are necessarily subject to risks and uncertainties, some of which are significant in scope and nature. These uncertainties may cause actual results to differ from information contained herein. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of the management on the dates they are made and expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking statements should circumstances or management’s estimates or opinions change.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
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