Unaudited fourth quarter sales are expected to be approximately $4 million and revenue for the full year of 2014 will be about $13.8 million, an increase of around 7% from the prior year
MARKHAM, ONTARIO / ACCESSWIRE / July 29, 2014 - Sangoma Technologies Corporation (TSX VENTURE:STC), a leading provider of hardware and software components that enable or enhance IP Communications Systems for both voice and data, today announced preliminary unaudited revenue for the fourth quarter of fiscal 2014 ended June 30, 2014.
Sales for the fourth quarter of fiscal 2014 are expected to be approximately $4 million, an increase of 14% from the immediately preceding third quarter of fiscal 2014 and about flat compared with the same quarter of fiscal 2013. Revenue for the full year of fiscal 2014 is expected to be approximately $13.8 million, an increase of about 7% from the prior year.
"I am moderately pleased with the way this year unfolded overall, though slightly disappointed that our fourth quarter sales were not as strong as we'd expected", said Bill Wignall, President and CEO of Sangoma. "Sales of our new products continue to grow and will represent close to half of our revenue for fiscal 2014, an impressive accomplishment in under three years, a period that included the entire development cycles of completely new product lines for Sangoma. And I'm somewhat encouraged that the decline in sales of our legacy products was much more modest this year. We know that Sangoma's fiscal first quarter revenue is typically lower than the prior year's fourth quarter, due to the seasonality of a weak summer period. I therefore expect our Q1 sales to be well below this $4 million level, but everyone at Sangoma remains focused on the objective of delivering growth above last year's first quarter sales level."
David Moore, Sangoma's Chief Financial Officer noted that, "many of our shareholders seek information about our fourth quarter, before the full audit cycle is completed. This release is a way for us to further accelerate disclosure and increase transparency. We will do this only for fourth quarters, when the release cycle is longer. Sangoma will announce its full annual financial results after completion of the annual audit, and the full release will be followed shortly thereafter by a conference call to discuss the results with investors."
About Sangoma Technologies Corporation
Sangoma is a leading provider of hardware and software components that enable or enhance IP Communications Systems for both telecom and datacom applications. Sangoma's data boards, voice boards, gateways and connectivity software are used in leading PBX, IVR, contact center and data-communication applications worldwide. The product line in-cludes both hardware and software compo-nents that offer a comprehensive toolset for deploying cost-effective, powerful, and flex-ible communication solutions.
Founded in 1984, Sangoma Technologies Corporation is publicly traded on the TSX Venture Exchange (TSX VENTURE: STC). Additional information on Sangoma can be found at: www.sangoma.com.
Cautionary Statement Regarding Forward Looking Statements
This press release contains forward-looking statements, including statements regarding the future success of our business, development strategies and future opportunities.
Forward-looking statements include, but are not limited to, statements and objectives concerning estimates of expected expenditures, statements relating to expected future production and cash flows, and other statements which are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions indicate forward-looking statements.
Although Sangoma believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Forward-looking statements are based on the opinions and estimates of management at the date that the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in forward-looking statements. Sangoma undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by law.
Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other events contemplated by the forward-looking statements will not occur. Although Sangoma believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct as these expectations are inherently subject to business, economic and competitive uncertainties and contingencies. Some of the risks and other factors which could cause results to differ materially from those expressed in the forward-looking statements contained in the management's discussion and analysis include, but are not limited to changes in exchange rate between the Canadian Dollar and other currencies, changes in technology, changes in the business climate, changes in the regulatory environment, the decline in the importance of the PSTN and new competitive pressures. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
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Sangoma Technologies Corporation
Chief Financial Officer
(905) 474-1990 Ext. 107