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Joining the Microsoft Global Solutions Alliance Program subsequent to the quarter strengthens growth outlook.
OTTAWA, ON, Aug. 25, 2021 /CNW/ - Martello Technologies Group Inc., ("Martello" or the "Company") (TSXV: MTLO), a leading developer of enterprise digital experience monitoring ("DEM") solutions for thousands of customers around the world, today released financial results for the three months ended June 30, 2021. Martello software provides businesses with actionable insights on the performance and user experience of cloud services such as video conferencing and unified communications (UC), with a focus on Microsoft 365 and Microsoft Teams.
"Since acquiring GSX last year, our investments in integration, product and channel development have brought growth in Microsoft DEM revenue, making it Martello's largest revenue stream this quarter for the first time in the Company's history", said John Proctor, President and CEO of Martello. "Joining Microsoft's Global Solutions Alliance program partner tier as one of the only DEM vendors is both recognition of the value of our solutions, and a game changer for the trajectory of our business. We are already optimistic about performance in the second half of fiscal 2022, due to fundamental investments to enable growth. The Microsoft Global Solutions Alliance Program improves our longer-term financial outlook".
"Through Q1 FY22, we've maintained close to 100% recurring revenue with gross margins over 90%", said Erin Crowe, Chief Financial Officer of Martello. "Key investments in both product and channel development allow us to cost-effectively enter the small and medium sized enterprise market, which we expect to result in H2 FY22 revenue growth trajectories. Legacy product revenue streams, which have been a drag on our overall growth rates, will continue to diminish in impact as they burn off. Based on activity in our pipeline, we remain comfortable with our target of 3.5 million Microsoft users by the end of fiscal 2022".
Q1 FY22 Financial Highlights
(Three months ended)
Cost of Goods Sold
Loss from operations
Loss from continuing operations before income tax
Income tax recovery
Net loss from continuing operations
Loss from discontinued operations, net of tax
Total Comprehensive loss
(1) Non-IFRS measure. See "Non-IFRS Financial Measures" in MD&A.
Q1 FY22 Financial Highlights
Q1 FY22 Business and Segment Highlights
Conference Call Details
Martello will host a conference call with John Proctor, President & CEO and Erin Crowe, CFO at 8:00 AM Eastern Time on Thursday, August 26, 2021, at which they will address Q1 FY22 financial results and the recent Microsoft Global Solutions Alliance announcement.
Canada/USA Toll Free: 1-800-319-4610
International Toll: +1-604-638-5340
Callers should dial in 5 – 10 min prior to the scheduled start time and simply ask to join the Martello call. An audio recording of the call will be available on August 26, 2021 at https://martellotech.investorroom.com/quarterly-results.
The financial statements, notes and Management Discussion and Analysis ("MD&A") are available under the Company's profile on SEDAR at www.sedar.com, and on Martello's website at www.martellotech.com. The financial statements include the wholly-owned subsidiaries of Martello. All amounts are reported in Canadian dollars.
Three institutional investment firms provide research coverage of Martello. The Company does not endorse the research of third-party institutions.
The next issue of Martello's quarterly Investor Newsletter will be sent to subscribers in September 2021. To join the mailing list, complete the Subscribe form on Martello's website.
About Martello Technologies Group
Martello Technologies Group Inc. (TSXV: MTLO) is a technology company that provides digital experience monitoring (DEM) solutions. The company's products provide monitoring and analytics on the performance and user experience of critical cloud business applications, while giving IT teams and service providers control and visibility of their entire IT infrastructure. Martello's software products include Microsoft 365 end user experience monitoring, unified communications performance analytics, and IT service analytics. Martello is a public company headquartered in Ottawa, Canada with employees in Europe, North America and the Asia Pacific region. Learn more at http://www.martellotech.com
This press release does not constitute an offer of the securities of the Company for sale in the United States. The securities of the Company have not been registered under the United States Securities Act of 1933, (the "1933 Act") as amended, and may not be offered or sold within the United States absent registration or an exemption from registration under the 1933 Act.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward-Looking Statements
This news release contains "forward-looking statements". Forward-looking statements can be identified by words such as:"anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Examples of forward-looking information contained in this news release include, among others, statements with respect to increasing Microsoft users on Martello's DEM platform to 3.5 million in fiscal 2022, and the aim to increase MRR and Microsoft DEM user growth in the second half of FY22.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following:
Any forward-looking statement made by us in this news release is based only on information currently available to us and speaks only as of the date on which it is made. Except as required by applicable securities laws, we undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
SOURCE Martello Technologies Group Inc.