ProntoForms Reports Q2 2018 Financial Results

ProntoForms (TSXV:PFM), a global leader in smart mobile forms for enterprise announced its second quarter financial results for the three and six months ended June 30, 2018.

The company which noted that it has moved to reporting in US Dollars commencing this quarter said that its recurring revenue in Q2 2018 increased by 19 percent to US$2.6 million.

As quoted in the press release:

“The 5% sequential growth we recorded in Q2 extended the rebound in our revenue growth to 20% over prior year,” said Alvaro Pombo, CEO of ProntoForms. “The accelerating growth rate in recurring revenue is a result of stronger sales execution in accounts of all sizes combined with reduced overall churn. Our enterprise strategy continues to be focused at engaging larger enterprises who can provide continued growth and longer committed contract length.”

“Our platform has the key attributes that major global enterprises require, including scalability, security, and cloud integrations. Our Annual Recurring Revenue (“ARR”) base now includes 12 customers that contribute more than $100,000 of ARR each, representing 23% of the base, up from 4 customers representing 9% a year ago. This growth comes from both new enterprise customers and significant expansion from existing customers. We have also formalized arrangements with important channel partners and this is bringing us to opportunities where enterprise grade cloud-based mobile workflows are needed.”

Financial Highlights – 2018 Second Quarter – Presented in US dollars

• Total revenue for Q2 2018 increased by 20% to $2,906,166 compared to $2,422,369 in Q2 2017, and increased by 6% compared to $2,748,548, in Q1 2018
• Gross margin for Q2 2018 was 83% of total revenue compared to 82% in Q2 2017 and 82% in Q1 2018. Gross margin on recurring revenue was 88% for Q2 2018 compared to 91% for Q2 2017 and 89% in Q1 2018
• Operating loss for Q2 2018 was $627,069, down from a loss of $706,239 in Q2 2017, and down from a loss of $776,701 in Q1 2018
• Net loss for Q2 2018 was $673,814, down from a net loss of $895,675 in Q2 2017, and down from a net loss of $775,163 in Q1 2018
• Comprehensive loss for Q2 2018 was $707,809, down from a comprehensive loss of $822,687 in Q2 2017, and $822,823 in Q1 2018
• As at June 30, 2018, the Company’s cash and net working capital balances were $3,759,137 and $3,045,513 respectively

Recent Operational Highlights

• ProntoForms added deep integrations with four leading enterprise business platforms and marketplaces:

  • The Salesforce App Exchange – the world’s leading enterprise cloud marketplace
  • Predix ServiceMax by GE – the leading application development platform for the Industrial Internet
  • Geotab Marketplace – leading technology platform for telematics & fleet management
  • Box Relay – an enterprise workflow tool that automates and standardizes digital business processes. Box is a leading Cloud service provider

• $1.2M 3-Year Contract with Fortune Global 500 Company; enterprise customer expanding existing deployment to improve field operations, service delivery, and compliance

Click here for the full text release.