VANCOUVER, British Columbia, Feb. 25, 2022 (GLOBE NEWSWIRE) -- EnWave Corporation (TSX-V:ENW | FSE:E4U) (“EnWave”, or the "Company") today reported the Company’s consolidated interim financial results for the first quarter ended December 31, 2021.
Consolidated Financial Performance:
($ ‘000s) | Three months ended December 31, | |||||
2021 | 2020 | Change % | ||||
Revenues | 6,297 | 7,533 | (16 | %) | ||
Direct costs | 3,581 | 5,835 | (39 | %) | ||
Gross margin | 2,716 | 1,698 | 60 | % | ||
Operating Expenses | ||||||
General and administration | 1,118 | 1,126 | (1 | %) | ||
Sales and marketing | 1,132 | 1,521 | (26 | %) | ||
Research and development | 577 | 569 | 1 | % | ||
2,827 | 3,216 | (12 | %) | |||
Net loss after taxes | (253 | ) | (1,371 | ) | 82 | % |
Adjusted EBITDA(1) | 301 | (911 | ) | 133 | % | |
Loss per share – basic and diluted | (0.00 | ) | (0.01 | ) | ||
(1) Adjusted EBITDA is a non-IFRS financial measure. Refer to the Non-IFRS Financial Measures disclosure below for a reconciliation to the nearest IFRS equivalent.
EnWave’s annual consolidated financial statements and MD&A are available on SEDAR at www.sedar.com and on the Company’s website www.enwave.net.
Key Financial Highlights for Q1 (expressed in ‘000s):
Significant Corporate Accomplishments in Q1 2022 and Subsequently:
Conference Call:
EnWave’s executive management will be holding a conference call to discuss its 2022 First Quarter Financial Results and the Company’s state of affairs. Prepared remarks will be given followed by a question-and-answer session for shareholders.
Date: | February 25, 2022 | |
Time: | 7:00am PST / 10:00am EST | |
Participant Access: | 1-877-407-2988 (toll free number) | |
Webcast: | https://themediaframe.com/mediaframe/webcast.html?webcastid=UItWY7Ag | |
Non-IFRS Financial Measures:
This news release refers to Adjusted EBITDA which is a non-IFRS financial measure. We define Adjusted EBITDA as earnings before deducting amortization and depreciation, stock-based compensation, foreign exchange gain or loss, finance expense or income, income tax expense or recovery, non-recurring impairment, restructuring and/or severance charges, and government assistance. This measure is not necessarily comparable to similarly titled measures used by other companies and should not be construed as an alternative to net income or cash flow from operating activities as determined in accordance with IFRS. Please refer to the reconciliation between Adjusted EBITDA and the most comparable IFRS financial measure reported in the Company’s consolidated financial statements.
Three months ended December 31, | ||||
($ ‘000s) | 2021 | 2020 | ||
Net (loss) income after income tax | (253 | ) | (1,371 | ) |
Amortization and depreciation | 447 | 670 | ||
Stock-based compensation | 234 | 254 | ||
Foreign exchange loss (gain) | 19 | 227 | ||
Finance (income) expense, net | 1 | 4 | ||
Income tax expense (recovery) | - | (370 | ) | |
Government assistance | (147 | ) | (325 | ) |
Adjusted EBITDA | 301 | (911 | ) | |
Non-IFRS financial measures should be considered together with other data prepared accordance with IFRS to enable investors to evaluate the Company's operating results, underlying performance and prospects in a manner similar to EnWave’s management. Accordingly, these non-IFRS financial measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. For more information, please refer to the Non-IFRS Financial Measures section in the Company’s MD&A available on www.sedar.com.
About EnWave
EnWave Corporation, a Vancouver-based advanced technology company, has developed Radiant Energy Vacuum (“REV™”) – an innovative, proprietary method for the precise dehydration of food and cannabis applications. The Company has developed patented methods for uniformly drying and decontaminating cannabis through the use of REV™ technology, shortening the time from harvest to marketable cannabis products. EnWave also holds a robust intellectual property portfolio protecting several unique processes relating to specific food applications produced using vacuum-microwave technology.
REV™ technology’s commercial viability has been demonstrated and is growing rapidly across several market verticals in the food, and pharmaceutical sectors, including legal cannabis. EnWave’s strategy is to sign royalty-bearing commercial licenses with innovative, disruptive companies in multiple verticals for the use of REV™ technology. The company has signed over forty-five licenses to date spanning twenty countries and five continents. In addition to these licenses, EnWave established a Limited Liability Corporation, NutraDried Food Company, LLC, to manufacture, market and sell REV™-dried snack products in North America, including the Moon Cheese® brand, as well as co-manufacture for third parties.
EnWave has introduced REV™ as a disruptive dehydration platform in the food and cannabis sectors: faster and cheaper than freeze drying, with better end product quality than air drying or spray drying. EnWave currently offers two distinct commercial REV™ platforms:
EnWave is also active in the pharmaceutical industry through a joint development agreement with GEA Lyophil, a leader in GMP drying machinery.
More information about EnWave is available at www.enwave.net.
EnWave Corporation
Mr. Brent Charleton, CFA
President and CEO
For further information:
Brent Charleton, CFA, President and CEO at +1 (778) 378-9616
E-mail: [email protected]
Dan Henriques, CFO at +1 (604) 835-5212
E-mail: [email protected]
Safe Harbour for Forward-Looking Information Statements: This press release may contain forward-looking information based on management's expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company's strategy for growth, product development, market position, expected expenditures, and the expected synergies following the closing are forward-looking statements. All third-party claims referred to in this release are not guaranteed to be accurate. All third-party references to market information in this release are not guaranteed to be accurate as the Company did not conduct the original primary research. These statements are not a guarantee of future performance and involve a number of risks, uncertainties and assumptions. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements 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 statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.