Intouch Insight Announces Q1 2023 Financial Results
By: Sarah Beckett May 29, 2023
OTTAWA – Intouch Insight Ltd (“Intouch” or “the Company”) (TSXV: INX) (OTCQX: INXSF), a leader in customer experience measurement solutions, today announced its operating and financial results for the quarter ended March 31, 2023.
Key highlights for Q1 2023
- Revenue decreased 3% to $5,096,941 compared to $5,244,316 in Q1 2022
- Recurring revenue increased by 1% to $5,032,170 from $4,988,983 in Q1 2022
- Net loss decreased to $184,514 compared to a loss of $266,439 in Q1 2022
- Adjusted EBITDA decreased 88% to $22,088 compared to $191,688 in Q1 2022
- Gross margin decreased to 48.2% from 52.4% in Q1 2022 due to the shift in product mix and one-time costs
- SaaS revenues grew 20% organically
“There was a slight decline in revenues due to the overlap of a non-recurring project - however, we are pleased with the continued pace of growth in our SaaS product lines and with achieving growth in recurring revenue despite the current economic climate,” said Cameron Watt, President & Chief Executive Officer of the Company.
“Margins were lower, driven by initial costs around a new client with strong long-term potential. Although Q2 revenues will decrease from last year due to the one-time low margin contract in 2022, we expect non-recurring revenues and margins to improve. We remain focused on overall growth as well as ensuring the Company is EBITDA positive, allowing us to continue to self-finance the growth of our SaaS-based software business from within,” said Watt.
Consolidated Statements of Operations
|Q1 2023||Q1 2022|
|Revenue||$ 5,096,941||$ 5,244,316|
|Cost of services||2,639,604||2,497,417|
|Total operating expenses||2,690,453||2,840,898|
|Earnings (loss) from operating activities||(233,116)||(93,999)|
|Other earnings (expense)||48,602||(172,440)|
|Income tax recovery (expense)||-||-|
|Net earnings (loss)||$ (184,514)||$ (266,439)|
About Intouch Insight
Intouch Insight offers a complete portfolio of customer experience management (CEM) products and services that help global brands delight their customers, strengthen brand reputation and improve financial performance. Intouch helps clients collect and centralize data from multiple customer touch points, gives them actionable, real-time insights, and provides them with the tools to continuously improve customer experience. Founded in 1992, Intouch is trusted by over 300 of North America’s most-loved brands for their customer experience management, customer survey, mystery shopping, mobile forms, operational and compliance audits, geolocation data capture and event marketing automation solutions. For more information, visit intouchinsight.com.
Certain statements included in this news release contain forward looking statements that are made of the date hereof, which by their nature are necessarily subject to risks and uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such statements reflect the Company’s current views with respect to future events, including the acquisition, future revenues and references to the Company’s expansion and growth of the business and operations, and are based on information currently available to the Company and on hypotheses which it considers to be reasonable; however, management warns the reader that hypotheses relative to future events which are beyond the control of management could prove to be false, given that they are subject to certain risks and uncertainties. Please refer to the risks set forth in the Company’s most recent annual MD&A and the Company’s continuous disclosure documents that can be found on SEDAR at www.sedar.com. The Company does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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Chief Financial Officer