OTTAWA, March 15, 2016 – C-COM Satellite Systems Inc. (TSXV: CMI; US – OTC: CYSNF), a leading global provider of mobile auto-deploying satellite antenna systems, announced today financial results for the fiscal year ended November 30, 2015.
The company has generated revenues of $10,374,748 and a net after tax profit of $1,596,680 or 4 cents per share. This compared with revenues of $13,205,778 and a net after tax profit of $2,805,033 or 8 cents per share as reported in 2014, representing a decrease of 21.4% and 43.1% respectively.
The working capital of the Company has increased by 0.8% to $20,231,895 at November 30, 2015 as compared to $20,063,450 at November 30, 2014. The Company paid out $1,806,477 in dividends during fiscal 2015 compared to $1,792,752 in fiscal 2014 representing a 0.8% increase. Based on its closing price of $0.96 per share on March 11, 2016, the annual dividend provided a yield of 5.21% per annum.
Results for Q4 saw revenues decrease by 45% to $2,272,798 when compared with results from the same period last year, when total revenues were $4,137,945. The net after tax profit decreased 63.9% to $419,245 compared with the same period last year when the after tax profit was $1,160,949.
“The Company has delivered positive results under the current challenging and adverse global economic conditions, which have affected many of its international customers,” said Leslie Klein, President & CEO of C-COM. “A worldwide economic slowdown, unforeseen political turmoil in key regions, severe exchange rate fluctuations, and a sharp fall in oil prices, all have forced some of C-COM’s larger customers to delay projects and postpone purchases resulting in lower than expected sales,” Klein continued.
Nevertheless, the future appears bright for the Company. “Our SATCOM-on-the-MOVE antennas are generating worldwide interest and will open up new markets which will contribute incremental revenues for the Company. In addition, SATCOM-on-the-PAUSE products for use on both new and existing high-throughput satellites around the world, is expected to remain the cornerstone of the business,” Klein continued.
Despite these adverse economic conditions, the Company has maintained its dividend payout and increased its working capital from the previous year, all while continuing to innovate and prepare for the next generation of mobile antennas.
C-COM continues to develop new products for new markets and is expanding its worldwide reseller network for its proprietary iNetVu® Mobile antenna systems. It also continues to establish new partnerships with corporations around the world interested in combining the capabilities of the iNetVu® antennas with the products and services they offer. The Company is also developing leading edge patentable technologies for the on-the move satellite market and is involved in a research and development project with a leading Canadian university to develop the next generation low profile electronically steerable antenna technology.
About C-COM Satellite Systems Inc.
C-COM Satellite Systems Inc. is a leader in the development, manufacture and deployment of commercial grade mobile satellite-based technology for the delivery of two-way high-speed Internet, VoIP and Video services into vehicles. C-COM has developed a number of proprietary Mobile auto-deploying (iNetVu®) antennas that deliver broadband over satellite into vehicles while stationary virtually anywhere where one can drive. The iNetVu® Mobile antennas have also been adapted to be airline checkable and easily transportable. More than 7000 C-COM antennas have been deployed in 103 countries around the world in vertical markets such as Oil & Gas Exploration, Military Communications, Disaster Management, SNG, Emergency Communications, Cellular Backhaul, Telemedicine, Mobile Banking, and others. The Company's satellite-based products are known worldwide for their high quality, reliability and cost-effectiveness.
C-COM is also involved in the design and development of a new generation of Ka-band (communications on the move) antennas, which will deliver satellite broadband solutions into vehicles while in motion. More information is available at: www.c-comsat.com
iNetVu® is a registered trademark of C-COM Satellite Systems Inc.
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Forward Looking Statements
This news release contains forward-looking information. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. New orders anticipated by C-COM Satellite Systems Inc. may not be received and current orders may be cancelled. New products and services released may not gain market acceptance. Any of those events could have an effect on future performance and C-COM Satellite Systems Inc.’s ability to achieve the results mentioned above. These forward-looking statements are made as of the date hereof and C-COM Satellite Systems Inc. does not assume any obligation to update or revise them to reflect new events or circumstances.