CORRECTION FROM SOURCE: Turnium Technology Group Inc. Reports Growth in Fiscal Q1 2024 Financial Results
This release provides the corrected name for Claratti in the second paragraph
Vancouver, British Columbia–(Newsfile Corp. – February 29, 2024) – Turnium Technology Group Inc. (TSXV: TTGI) (FSE: E48) (“Turnium” or “the Company“), an industry leader in cloud native SD-WAN, focused on improving application performance for enterprises with safe and secure multi-site connectivity without the burden of expensive dedicated bandwidth and hardware, announces its financial results for Fiscal Q1 2024. All financial information is provided in Canadian dollars unless otherwise indicated.
These results are being published following the recent announcement of the Letter of Intent (LOI) to acquire Claratti Limited that will bring hundreds of Australian based clients into the Turnium portfolio, driving growth in cross-sell opportunities.
Ralph Garcea, Chairman of Turnium commented, “In the first quarter of fiscal 2024, the Turnium team continued its focus on expanding our channel partners, increasing monthly recurring revenue (MRR), and delivering superior product and service solutions to our global clientele. The Company is very well positioned to achieve cashflow positive results this year, as we continue to execute on our dual pronged growth strategy: First priority is continuing our organic growth initiatives, further expanding our Global Partnership Program which has onboarded 16 new agreements over the last 12 months. The second part of the growth strategy involves mergers and acquisitions, where we have two planned for this year. Our intention to acquire Claratti, discussed below, is one of these strategic acquisitions. We continue to evaluate other acquisitions as we look to scale our revenue over the next few years.”
The Consolidated Financial Statements and Management Discussion and Analysis (“MD&A”) for the first fiscal quarter ended December 31, 2023, are available on the Company’s SEDAR profile at www.sedar.com.
Fiscal First Quarter 2024 Highlights:
- Revenue in the first quarter increased to $1.28 million, compared to $1.26 million in the previous quarter;
- Gross Margin in the first quarter increased to $0.89 million, compared to $0.87 million in the previous quarter;
- Total Expenses in the first quarter decreased to $1.5 million, compared to $2.2 million in the previous quarter;
- Net Loss in the first quarter decreased to ($0.62) million, compared to ($1.7) million in the previous quarter;
- Number of Common Shares Outstanding (basic) at the end of the first quarter 2024 was 104,605,243.
Fiscal Quarter Financial Highlights:
The Company’s key financial results for the three months ended December 31, 2023, are as follows:
| Canadian Dollars | Q1 F2024 – For the three months ended December 31, 2023 |
Q4 F2023 – For the three months ended September 30, 2023 |
Q3 F2023 – For the three months ended June 30, 2023 |
Q2 F2023 – For the three months ended March 31, 2023 |
| Total revenue | 1,284,210 | 1,257,622 | 1,476,342 | 1,185,056 |
| Gross margin | 890,182 | 873,459 | 916,845 | 886,540 |
| Total Expenses | 1,495,940 | 2,217,763 | 1,512,661 | 2,089,325 |
| Net comprehensive income (loss) | (624,842) | (1,662,592) | (745,223) | (1,201,843) |
| Weighted average number of common shares outstanding | 104,605,243 | 90,370,451 | 68,935,614 | 68,865,009 |
| Basic and diluted loss per common share | (0.01) | (0.02) | (0.01) | (0.02) |
Special Notes:
It is anticipated that revenues and expenses may vary, perhaps materially, from quarter to quarter due to several factors, including changes in product mix, costs related to planned increase in market share, global expansion costs and ongoing corporate development initiatives. Although revenues may fluctuate from quarter to quarter, and such fluctuations may be material, management expects that revenues will increase year over year.
There are no known trends or seasonal impacts on the Company’s business although seasonal trends may develop as the Company grows.
Subsequent Highlights to the Fiscal First Quarter:
February 28, 2024 – the Compnay announced it has entered into a non-binding Letter of Intent (LOI) to acquire Claratti Limited (Claratti), a provider of managed IT Solutions for enterprises covering areas such as internet and telecommunications services, remote work and connectivity, cybersecurity and high-quality hardware and software. Claratti is headquartered in Perth, Australia and serves hundreds of clients across Australia. Additionally, the Company also announced that Mr. Derek Spratt will be retiring as CEO, effective February 29, 2024, but will continue as a Director. The Company has implemented an Office of the CEO consisting of Founder/Director Johan Arnet and Director Jim Lovie. All decisions going forward, until a permanent replacement for the role of CEO has been appointed, will be a collaborative effort between the Chairman, Mr. Arnet and Mr. Lovie, with input from the rest of the Board. (Link)
February 20, 2024 – the Company and Wafaicloud announce partnership to drive cloud adoption across the Middle East. Wafai International Company Inc. of Saudi Arabia (WafaiCloud) has signed a multiyear term and volume commitment to partner with Turnium Technology Group Inc. Currently with 200 sites already in service, Wafai forecasts aggressive growth in its Turnium SD-WAN pipeline which can grow revenue more than 10 times within three years.
Additional Fiscal First Quarter 2024 Highlights:
November 29, 2023 – the Company has changed its auditor from Manning Elliott LLP to Kingston Ross Pasnak LLP, effective November 28, 2023. The former auditor submitted a resignation letter as the auditor of the company, effective November 27, 2023, and the board of directors of the company appointed the successor auditor as the company’s auditor, effective November 28, 2023, until the next annual general meeting of the company.
November 29, 2023 – the Company announced the appointment of Konstantin Lichtenwald as the Chief Financial Officer. Mr. Lichtenwald has over 16 years of finance and accounting experience, including corporate compliance, accounting and financial management, initial public offerings, and reverse takeovers, providing corporate finance, valuation, taxation, financial reporting, consulting and other accounting services to both small businesses and public companies.
October 24, 2023 – the Company’s board of directors has authorized the grant of an aggregate of 3.1 million incentive stock options to directors, officers and employees of the company, at an exercise price of $0.10 per common share. The options are exercisable for a five-year period from the date of grant. Certain grants will be subject to vesting terms in accordance with the terms of the option plan.
October 12, 2023 – The Company’s development of Turnium SD-WAN version 7.0 is progressing toward completion. This new software release will revolutionize Turnium SD-WAN and increase the use-cases and capabilities that Turnium Channel Partners can use to solve common customer issues in today’s cloud-based networked business environment. Version 7.x will enable Turnium to integrate the numerous global partners that have been announced to date, and others that are currently in our pipeline – as Turnium scales from 10,000+ lines currently to 100,000+ lines over the next few years.
September 28, 2023 – The Company has signed a five-year OEM (original equipment manufacturer) licensing agreement with a large technology group and service provider in Southeast Asia. The new five-year OEM licensing agreement with the Southeast Asian service provider, signed on July 18, 2023, will activate across Indonesia initially.
September 25, 2023 – At the Company’s shareholder meeting held on September 15, 2023, all resolutions were passed. A total of 54,836,337 common shares were represented at the Meeting, representing approximately 54.9% of the common shares issued and outstanding as of the record date.
September 12, 2023 – SDWAN & SASE Solutions Ltd. has joined the Turnium Technology Group global partner program to enable it to license, package and bundle Turnium’s SD-WAN software into SDWAN & SASE Solutions’ portfolio.
About Turnium Technology Group Inc.
Turnium Technology Group Inc. delivers its SD-WAN solution as a white label, disaggregated software platform that OEM channel partners host, manage, brand, and price. Turnium is also available to Resellers as a Turnium-branded managed service. Turnium SD-WAN is sold through a channel partner program designed for Communications Service Providers, Internet and Managed Service Providers, System Integrators, and Value-Added Resellers.
For more information, contact sales@ttgi.io, visit www.ttgi.io or follow us on Twitter @turnium.
About SD-WAN
SD-WAN is revolutionizing the networking and telecommunications industry by abstracting secure, high-speed networking and network control from underlying physical circuits. SD-WAN frees enterprises, small and medium businesses, cloud and managed services providers from the business and cost constraints imposed by traditional telecommunications companies.
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Turnium Contact:
Investor Relations: Bill Mitoulas, Email: investor.relations@ttgi.io, Telephone: +1 416-479-9547
Media inquiries: please email media@ttgi.io.
Sales inquiries: please email sales@ttgi.io
CAUTIONARY NOTES
Neither the TSX Venture Exchange 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 release.
Forward-Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain acts, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company, as the case may be, to be materially different from those expressed or implied by such forward-looking information. Some of these risks are described under the “Caution on Forward-Looking Information” section and “Risk Factors” section of the MD&A. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by these statements. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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