Recurring revenue boosts ProntoForms earnings report

Citing a growing recurring revenue base, Ottawa’s ProntoForms Corp. announced 2014 second-quarter earnings Thursday that exceeded the previous quarter and the same quarter of 2013.

The mobile data solutions company reported revenue of $1.6 million for the three months ending June 30, up 17 per cent from the first quarter and 67 per cent from the second quarter of 2013.

Recurring revenue for ProntoForms (TSXV: PFM), at nearly $1.2 million, was just over 74 per cent of total revenue for the quarter and was up nine per cent from the previous quarter and 55 per cent from the same quarter last year.

CEO Alvaro Pombo said he was pleased with these numbers.

“We also had good growth with our professional and other services revenue with delivery on some larger partner and customer contracts," he said in a statement.

One of those larger partners is AT&T, whose new set of private-labelled products, AT&T Mobile Forms, is based on the ProntoForms platform.

"Enterprise mobility is reaching a new stage and organizations are positioning to capitalize on the opportunity,” Mr. Pombo said.

The company reported an operating loss for the quarter of $52,510, for a total operating loss of $176,566 year-to-date, an improvement of 84 per cent and 73 percent, respectively, from last year. Net loss for the quarter came in at $176,677, bringing that year-to-date total to $353,322.

The company posted a net income of $535,485 and $179,032 for these same periods last year, due to the sale of certain patents and some deferred revenue.

On a pro forma basis, net loss improved by 48 per cent and 49 percent, respecitively, from the same periods last year.

The company reported cash and cash equivalents of $3.4 million and net working capital of $3.6 million as of June 30.