The expense of going public helped push Magor Corp.’s (TSX-V:MCC) quarterly loss to $3.6 million in the fourth quarter, the company announced Wednesday, a year-over-year increase of nearly 400 per cent.
© Joël Côté-Cright
Mike Pascoe, CEO of Magor Communications.
The Ottawa company, which describes itself as a visual collaboration solutions provider, said the increase in its loss from $957,993 of last year was due to listing and financing expenses related to its initial public offering.
An increase in sales, marketing, research and development costs also played a role in the results for the three-month period ending April 30, the firm said in a statement.
Magor’s loss for the fiscal year was $8.6 million (a loss of 39 cents a share) compared with $5.2 million the year previous (a loss of 29 cents a share).
At the same time, however, quarterly revenues increased 62 per cent year-over-year to $837,325. Software sales and hardware sales were up 162 per cent and 86.4 per cent respectively.
Gross profit also grew 68 per cent to $437,940 in the fourth quarter, compared to $260,732 last year.
"The strength of our financial results clearly speaks to the quality of our disruptive technology, and the great market opportunity ahead," said Mike Pascoe, Magor CEO, in a statement.
"To ensure accelerated growth, we anticipate the full launch of our Aerus cloud-based services this fall, transitioning us into a revenue model that adds monthly recurring revenue to our current transaction business.”