The first fiscal quarter has historically seen lower revenues for Ottawa-based Magor Corporation, its CEO said late Tuesday.
That trend continued when the visual collaboration provider reported its 2016 first-quarter results, which showed Magor’s overall revenue dipped nine per cent to $162,656.
But chief executive Mike Pascoe said there was good news in the quarterly report as well.
“We saw an increase in recurring revenues over the same period last year because of higher software assurance sales to our growing installed base, as well as an increase in the number of cloud-based subscriptions, as we transition the business to a SaaS model,” Mr. Pascoe said in a statement.
Magor’s recurring revenue total of $131,312 was up 75 per cent from the same quarter in 2015.
The company also announced it had cut operating expenses 21 per cent from last year to $1.3 million. The cuts were part of the cost reduction plan the company put in place in its fiscal 2015.
As of July 31, Magor (TSX-V:MCC) had an order backlog of $509,846, down from $597,673 at the end of April. The company had cash on hand of $41,255, compared with $201,086 three months earlier.