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Calgary, Alberta CANADA, December 17, 2012 /FSC/ - Platinum Communications Corporation (PCS - TSX Venture), today announced financial results for the fiscal year ended August 31, 2012.
Highlights for the 2012 fiscal year, include the following:
* Platinum had an overall expansion of 11% in revenues from operations for fiscal 2012 compared to fiscal 2011. The acquisition of two competitors during the year contributed 52% to this increase and accelerated activity with our commercial clients provided 25% of the increase. The balance of the increase came from Residential wireless revenues 15%, VoIP 4% and other activities 4%. In addition, the acquisitions increased customer base by over 1700 customers to a milestone of 10,200 customers now serving 180 communities including Canmore,
Banff, Lake Louise and Kananaskis.
* Reduced operational expenses and other efficiencies provided an increase in gross profit of 10% and an increase of 11% in earnings before interest, depreciation and amortization compared to the prior year.
* Cash provided by operating activities was $1,178,238 in fiscal 2012 compared to $846,244 in fiscal 2011, an increase of 39%. Cash used to acquire property, plant and equipment and intangible assets was $1,742,731 in fiscal 2012, compared to $511,933 in fiscal 2011. Cash employed on the two acquisitions totaled $1,170,135. Cash provided by financing activities was $455,905 in fiscal 2012, compared to cash provided by financing activities of $182,368 in fiscal 2011 due to new financings completed during the year.
* Platinum recorded Net income of $197,601 for fiscal 2012 a positive change of $213,221 from the net loss recorded in fiscal 2011.
* As of the date of this release Platinum has approximately $915,000 of available cash.
To view table1 please click on the link at the bottom of the release.
(1)Includes acquisitions of MyCanopy and AlbertaHighSpeed from March 1, 2012 and May 1, 2012 respectively.
(2)Gross Profit is a widely accepted measure of financial performance used by some analysts and investors to analyze and compare companies on the basis of operating performance. Gross profit is not defined under IFRS and should not be considered in isolation or as an alternative to, or more meaningful than, net income or cash flow as determined in accordance with IFRS as an indicator of the Corporation’s performance or liquidity. Platinum’s gross profit is unlikely to be comparable to similar measures presented by other companies.
(3)Earnings before interest, depreciation and amortization is a widely accepted financial indicator used by some analysts and investors to analyze and compare companies on the basis of liquidity. Earnings before interest, depreciation and amortization is not defined under IFRS and should not be considered in isolation or as an alternative to, or more meaningful than, net income or cash flow as determined in accordance with IFRS as an indicator of the Corporation’s financial performance or liquidity.
Platinum Communications Corporation (TSX-V: PCS) is a leading provider of superior quality fixed wireless Internet and Broadband solutions in Alberta. Based in Calgary, Platinum operates a wireless broadband network that utilizes Next-Generation Wimax technology to bring fast, reliable and affordable Internet and digital phone service to residents and businesses across the province. Serving more than 10,200 customers in over 180 communities, Platinum caters primarily to rural and near-urban markets that are often beyond the reach of traditional Internet providers. Platinum's high quality infrastructure, excellent service record and ever-growing network and capabilities, make it the provider of choice for customers within its vast coverage area. For more information please visit our website at www.platinum.ca or call 403-301-4591.
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This news release may contain forward-looking statements. These forward-looking statements do not guarantee future events or performance and should not be relied upon. Actual outcomes may differ materially due to any number of factors or uncertainties, many of which are beyond Platinum's control. Some of these risks and uncertainties may be described in Platinum's corporate filings (posted at www.sedar.com). Platinum has no intention or obligation to update or revise any forward-looking statements due to new information or events.
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 news release.
For further information please contact:
Bernard Parkinson, CEO
Phone (403) 301-4591
Katherine Kirkup, CFO
Phone (403) 301-4594
Source: Platinum Communications Corporation (PCS) www.platinum.ca
To view this press release as a webpage, please click on the following link:
Source: Platinum Communications Corporation (TSX-V: PCS) www.platinum.ca
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