IGEN Announces First Quarter 2019 Financial Results & Update on Strategic Initiatives
Wednesday, May 15, 2019 6:00 AM
Positioned to Achieve Profitability
MURRIETA, CA / ACCESSWIRE / May 15, 2019 / IGEN Networks Corporation (OTCQB: IGEN, CSE: IGN), a leading innovator of cloud-based and Internet of Things (IoT) automotive solutions for the protection and management of mobile assets, today announced financial results and an update on key initiatives:
First Quarter 2019 and Update on Key Initiatives:
- Achieved revenue of $245,397 with $213,374 of gross profits for the three months
- Expenses totaled $304,881 representing 41% decrease in expenses reported the same period in 2018
- Gross profit margin increased by 32% to 87% compared to the same period in 2018
- Net loss of $91,507 for the three months; compared to Net loss of $416,153 over the same period in 2018, the smallest quarterly loss-to-date and significant progress towards profitability
- IGEN receives Letter of Intent from Seguros Multiples for distribution rights in Puerto Rico and Latin America for marketing of white-labeled IGEN products to 200 credit union cooperatives accounting for 100,000 auto insurance policies enforced in the territory
- IGEN's co-branded product Sprint CU TRAK have identified 360 credit unions for marketing of IGEN services along with confirmed market trials in Puerto Rico, Southern California and the Mid-West Regions
- Patent-pending on "Digital Telematics Signature" for establishing an industry standard in measuring driver behavior for the insurance industry
- Next-generation platform with renewal store, driver-score, and dealership management system integration completed for beta-testing
CEO Neil Chan stated, "As we transition to higher-margin business through insurance companies, credit unions, and direct channels to dealerships and ultimately the consumer, we see a path to profitability. We are particularly excited as various components of our strategy are coming together including our Sprint relationship, specific to the co-branded product CU TRAK which is a platform customized for the specific needs of credit union automotive finance customers. Our relationship with Seguros Multiples is indicative of our go forward strategy - the insurer markets our services to the credit union and uses the data for optimizing their revenue models, the credit union creates a profit center in selling our products to their members along with having a mechanism to reduce their loan loses, and the membership purchases a new car with our services to protect the asset along with real-time alerts on driver behavior and vehicle health."
"Finally, we have a healthy pipeline of recurring and new business revenue streams driving IGEN to new revenue records ahead. During this reporting period we saw a significant increase in renewal revenues from consumers using our service. We expect a significant number of our Pre-load customers who chose our service three years ago to renew their subscriptions throughout 2019."
About IGEN Networks Corporation
IGEN Networks Corporation provides peace-of-mind to automotive consumers and their families through direct access to Internet-of-Things (IoT) cloud-based services that include Stolen Vehicle Protection, Real-time updates on asset health and Driver Behavior.
IGEN is a fully reporting company in both Canada and the United States. It is publicly traded on the OTCQB under the symbol IGEN, and listed on the CSE under the symbol IGN. For more information, please visit http://igen-networks.com and www.NimboTracking.com.
This news release may contain forward-looking statements or forward looking information within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Canadian securities law. The terms and phrases "goal", "commitment", "guidance", "expects", "would", "will", "continuing", "drive", "believes", "indicate", "look forward", "grow", "outlook", "forecasts", "intend", and similar terms and phrases are intended to identify these forward-looking statements. Forward-looking statements are based on estimates and assumptions made by IGEN in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that IGEN believes are appropriate in the circumstances, including but not limited to statements regarding investment liquidity, financing options and long term goals of the Company, general economic conditions, IGEN's expectations regarding its business, customer base, strategy and prospects, and IGEN's confidence in the cash flow generation of its business. Many factors could cause IGEN's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including, without limitation: risks related to competition; IGEN's reliance on key personnel; IGEN's ability to maintain and enhance its brand; and difficulties in forecasting IGEN's financial results, particularly over longer periods given the rapid technological changes, competition and short product life cycles that characterize the mobile application industry. These risk factors and others relating to IGEN that may cause actual results to differ are set forth in the under the heading "Risk Factors" in IGEN's periodic filings with the British Columbia Securities Commission and the U.S. Securities and Exchange Commission (copies of which filings may be obtained at www.sedar.com or www.sec.gov. These factors should be considered carefully, and readers should not place undue reliance on IGEN's forward-looking statements. IGEN has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
IGEN Networks Corporation
SOURCE: IGEN Networks Corporation