FLYHT Reports First Quarter 2017 Results - Fourth Consecutive Profitable Quarter and Increasing Cash
Calgary, Alberta – May 10, 2017 – FLYHT Aerospace Solutions Ltd. (TSX-V: FLY) (OTCQX: FLYLF) (the “Company” or “FLYHT”), the leading provider of real-time data streaming and communication technologies in the aerospace industry, has reported financial results for the first quarter ended March 31, 2017.
“FLYHT is pleased with our first quarter results and the Company’s improved cash position,” stated Thomas R. Schmutz, Chief Executive Officer of FLYHT. “We achieved $218,156 in EBITDA and a 43% improvement in revenue over the comparable 2016 period. In addition, we announced nearly $6 million of direct contract sales in the quarter, starting the year strong in sales.”
First Quarter highlights include:
- Revenue of $3,729,082, which represents 42.8% increase over the first quarter of 2016.
- EBITDA of $218,156 in the quarter compared to negative $993,836 in the same quarter of 2016.
- Net income of $113,340 which was an increase of $1,356,282 over the first quarter of 2016.
- Gross profit was 69.5% of revenue compared to 67.0% for the first quarter of 2016.
- Recurring revenue (voice and data services) of $1,154,473, an increase of 8.1% over the first quarter of 2016, and parts sales $1,563,918, an increase of 52.1%.
- Distribution expenses were $1,195,194 representing an increase of $62,467 compared to the first quarter of 2016, attributable mainly to higher costs associated with sales activities.
- Administration expenses were comparable to the same quarter of 2016 with a decrease of $307 to $638,120 in the quarter.
- Research and development expenses were $561,158, or 43.2% lower than in the same quarter of 2016, when a warranty claim was settled. No similar expense was incurred in the current year.
- Customer deposits of $701,556 at quarter end were a small increase from Q1 2016, and payments received in the quarter were $368,217 higher than the same quarter last year.
- The value of deposits moved to unearned revenue was $898,008, a decrease of $337,554 compared to Q1 2016, but $195,426 increase compared to Q4 2016.
- Unearned revenue decreased in the quarter to $807,494 from $827,235 at December 2016. This was 58.7% lower than March 2016, but is consistent with balances in the last half of the 2016 year.
- Revenue recognized on AFIRS units shipped was $489,667 higher than in Q1 2016. Revenue was recognized on 15 installation kits in Q1 2017 compared to 9 in the first quarter of 2016.
- The value of AFIRS units shipped in Q1 2017 was $898,008, a 27.3% decrease from Q1 2016, but 27.8% higher than in Q4 of 2016.
Detailed information in FLYHT’s 2017 First Quarter Report containing the CEO’s Message, Management Discussion and Analysis and Financial Statements has been posted to the Company’s website and can be accessed at http://flyht.com/financial-reports/. The MD&A and Financial Statements have also been filed with SEDAR and will be accessible at www.sedar.com.
FLYHT’s Annual and Special Meeting will be held on May 10, 2017 at 2:00 PM (MT) at Fort Calgary – JOW Gallery 750 – 9th Avenue SE, Calgary, Alberta.
FLYHT will not host a live conference call about the first quarter results, however, will provide an update through a live video feed of the Company’s Annual and Special Meeting. The video will be available on FLYHT’s Facebook page, www.facebook.com/flyht starting at approximately 2:15 pm MT. The video will be accessible to those with a Facebook account. An archive video of the meeting will be posted on the Presentations and Webcasts section of FLYHT’s website as soon as it is available. http://flyht.com/presentation-and-webcast/
Questions submitted to management by e-mail before 1:00 pm (MT) on May 10 will be answered during the meeting. Questions can be emailed to email@example.com.
About FLYHT Aerospace Solutions Ltd.
FLYHT is a leading provider of real-time aircraft intelligence and cockpit communications for the aerospace industry. More than 70 customers, including airlines, leasing companies and original equipment manufacturers, have installed our systems in order to increase safety, improve operational efficiencies and enhance profitability. FLYHT’s proprietary technology, the Automated Flight Information Reporting System (AFIRSTM), operates on multiple aircraft types and provides functions such as safety services voice and text messaging, data collection and transmission, and on-demand streaming of flight data recorder (black box), engine and airframe data. AFIRS sends this information through the Iridium Satellite Network to FLYHT’s UpTimeTM ground-based server, which routes the data to customer-specified end points and provides an interface for real-time aircraft interaction. AFIRS has flown over 2.5 million aggregate flight hours and 1.7 million flights on customers’ aircraft. FLYHT holds supplemental type certificates (STC) which allow for the installation of AFIRS on 95% of transport category aircraft.
FLYHT Aerospace Solutions Ltd.
Nola M. Heale, CPA, CA
Chief Financial Officer
The Howard Group Inc.
(888) or (403)-221-0915
Join us on social media!
Neither the 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.
 EBITDA: defined as earnings before interest, income tax, depreciation and amortization (a non-GAAP financial measure).