Titan Logix Corp. Announces Appointment of New CEO and Director
Edmonton, Alberta, January 23, 2018 – Titan Logix Corp., (TSX Venture: TLA) (“Titan” or the “Company”), a high technology company specializing in advanced technology fluid management solutions, announces its results for the three months ended November 30, 2017.
“I am pleased to report that the Company recorded slightly better revenue for the first quarter, accompanied by an improved gross margin.” said CEO, Douglas Carruthers. “I am encouraged and optimistic with the progress we are making with our telematics trial programs.”
Q1 2018 HIGHLIGHTS
- Due to the slowdown in the mobile tanker truck new construction market the weakness in demand experienced in the prior two years continued into fiscal 2018. Revenues for the first quarter of fiscal 2018 improved slightly to $882,140, a $58,481 increase from the $823,659 recorded in the comparative prior period.
- The gross profit for the first fiscal quarter of fiscal 2018 improved to $410,935 or 47% of revenue compared to $273,072 or 33% of revenue in the comparative prior period, an increase of $137,863. This significant improvement is due to both a reduction in production costs and fixed overhead allocated to inventory units.
- The operating loss before other items in the first quarter of fiscal 2018 was $251,847, a decrease of 30% compared to $361,019 in the comparative prior period. This substantial improvement in the operating loss before other items was primarily due to the improvement in the gross profit.
- Despite the improvement in gross profit the net loss after taxes for the first quarter of fiscal 2018 was $186,093 compared with net income of $18,794 for the comparative prior period that was due primarily to a gain of $335,434 recorded on the sale of the TPZ3310 product line.
- The Company invested $7,006,837 in certain fixed income and equity securities to generate cash to fund operations and product development. $5,000,000 was invested in a secured loan with an expected rate of return of 9% per year, based on prevailing floating rates during the term of the loan and, subject to any early repayment. A further $2,000,000 was invested in equity securities with an expected rate of return of 5%.
- Due to continued weak demand for the GWR product line in the new tanker construction market both in Canada and the U.S. the Company did not realize any significant improvements in revenues in the current fiscal quarter. For the first quarter of fiscal 2018 revenue increased by 7% to $882,140 as compared to $823,659 for the first quarter of fiscal 2017. This slight increase in revenues is largely due to improved sales into the Canadian market and offset with the negative foreign currency impact due to the strengthening of the Canadian dollar on revenues generated outside of Canada.
The Company's unaudited interim condensed consolidated financial statements and the management's discussion and analysis ("MD&A") which includes the Company’s Business Outlook, for the first quarter ended November 30, 2017, are available on SEDAR at www.sedar.com and the Company’s website, www.titanlogix.com.
About Titan Logix Corp.:
Founded in 1979, Titan Logix Corp. (“Titan” or “the Company”) is a developer, manufacturer and marketer of innovative fluid measurement and management solutions. The Company's products include Guided Wave Radar (GWR) gauges for level measurement and overfill prevention (particularly for use in mobile tanker applications), level gauges for storage tanks, and communication systems for remote alarming and control. Titan’s products are mainly used in the upstream/midstream oil and gas industry. Secondary industries for its products include the aviation, waste fluid collection, and chemical industries.
Titan’s products are all developed to be a part of a complete asset management solution. The ultimate solution will consist of Titan’s products integrated with best-in-class third party solutions to enable complete fluid management throughout each stage of their fluid handling processes. This is captured by Titan’s slogan “Advanced Technology Fluid Management Solutions, In the Field, On the Road, In the Office”™.
- In the Field: "In the Field" refers to Titan's solution offerings for storage tanks and process vessels.
- On the Road: "On the Road" refers to Titan's solution offerings for mobile tanker trucks and trailers.
- In the Office: "In the Office" refers to Titan's solution offerings that enable customers to monitor their fluid assets remotely from the convenience of their dispatch center or other back office environment through a wired or wireless connection
Titan Logix Corp. is a public company listed on the TSX Venture Exchange and its shares trade under the symbol TLA.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Information in this press release that is not current or historical factual information may constitute forward looking information within the meaning of securities laws. Implicit in this information are assumptions regarding our future operational results. These assumptions, although considered reasonable by the company at the time of preparation, may prove to be incorrect. Readers are cautioned that actual performance of the company is subject to a number of risks and uncertainties and could differ materially from what is currently expected as set out above. For more exhaustive information on these risks and uncertainties you should refer to our Management Discussion and Analysis in respect of the year ended August 31, 2017 which is available at www.sedar.com. Forward-looking information contained in this press release is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While we may elect to, we are under no obligation and do not undertake to update this information at any particular time, whether as a result of new information, future events or otherwise, except as required by applicable securities law.