MAM Software Group Inc., a leading global provider of on-premise and cloud-based business management solutions for the auto parts, tire and vertical distribution industries, has announced its financial results for its first fiscal quarter ended Sept. 30, 2017.
Michael Jamieson, MAM’s president and CEO, commented, “Fiscal year 2018 is off to a solid start with results that were in-line with our expectations. We also continued to focus our efforts on progressing on our key development projects, including VAST Online and Autocat+.
“Our team achieved a significant milestone in October with the first installation of VAST Online at a Goodyear dealer location as part of our pilot test program,” continued Jamieson. “We are pleased with the feedback that we’ve received so far from our customer. With this being the first location to go live we will continue to monitor it closely while preparing for the roll-out at additional locations.”
First Quarter Financial Results:
Net revenues were $8.6 million for the quarter ended Sept. 30, 2017 versus $8.1 million for the same period last year, an increase of $576,000 or 7.1 percent. On a constant currency basis, revenue was up 7.4 percent over the same period last year.
Recurring revenue for the quarter was $7.1 million, or 82 percent of total revenue, an increase of $673,000 or 10.5 percent, over $6.4 million, or 79.5 percent of total revenue, for the first quarter last year. Sequentially, recurring revenue increased $225,000, or 3.2 percent, compared to $6.9 million in the fiscal fourth quarter of 2017.
Total Software as a Service (SaaS) revenue for the quarter was $2.6 million, an increase of $580,000, or 29 percent, year-over-year and an increase of $179,000, or 7.5 percent, sequentially when compared to the fourth quarter of fiscal 2017. The increase in the SaaS revenue was primarily attributable to a 24.3 percent increase in Autowork Online (SaaS) revenue for the quarter to $1.5 million, and a 36.5 percent increase in Autopart Online (SaaS) revenue for the quarter to $1.1 million.
Total Data as a Service (DaaS) revenue for the quarter was $2.3 million, an increase of $72,000, or 3.2 percent, year over year, and $114,000, or 5.1 percent, sequentially when compared to the fiscal fourth quarter of 2017.
Gross profit for the quarter was $4.8 million, or 55.9 percent of total revenue, an increase of $87,000 compared to $4.7 million, or 58.8 percent of total revenue, for the same period last year.
Operating income for the quarter increased by $160,000, or 11.7 percent, to $1.5 million, as compared to $1.4 million for the same period last year.
Net income for the quarter was $1.1 million, or 9 cents per basic and diluted share, compared to net income of $1.2 million, or 10 cents per basic and diluted share, for the same period last year.
Business Outlook
The company reaffirmed its expectations for fiscal year 2018 Adjusted EBITDA in the range of $5.5 million to $6 million, on a constant currency basis.
