Turnium Technology Group Inc. Reports Fiscal Q3 2022 Results and Change in CEO
Vancouver, Canada--(Newsfile Corp. - August 30, 2022) - Turnium Technology Group Inc. (TSXV: TTGI) ("Turnium" or "the Company"), an industry leader in cloud-native software-defined wide area networking solutions (SDWAN), reports financial results for the three and nine months ended June 30, 2022. Financial statements and Management Discussion and Analysis can be found at www.sedar.com. All dollar amounts in this news release are stated in Canadian Dollars.
The Company (formerly "RMR Science Technologies Inc.") reports its first financial report since it completed its reverse takeover effective June 16, 2022. The results include the consolidated operations of Turnium from October 1, 2022 and the operations of RMR Science Technologies Inc., renamed Turnium Technology Group Inc., from June 16, 2022.
Current assets as at June 30, 2022 increased by 108% over current assets at September 30, 2021 due mainly to an increase in cash from the Company's recent $3,309,951 subscription receipts financing in connection with its reverse takeover transaction. Also, during the nine months the Company raised $1 million from the proceeds of a convertible note, which converted to common shares during the quarter. Non-current liabilities decreased by 55% mainly due to a net decrease in derivative liabilities of $1,287,235.
Results for the three and nine months ended June 30, 2022 and 2021 are as follows:
|Income Statement Data (unaudited) ||Three Months Ended June 30, 2022||Three Months|
June 30, 2021
|Nine Months Ended June 30, 2022||Nine Months|
June 30, 2021(1)
|Loss before other income||(1,382,223)||(1,800,024)||(3,510,904)||(2,251,072)|
|Refundable tax credits||226,212||-||226,212||253,512|
|Foreign exchange gain||(1,696)||(4,275)||901||(34,844)|
|Loss on conversion of debt||(93,308)||-||(93,308)||-|
|Gain (loss) on change in value of derivative instruments||(120,895)||2,591||(80,353)||2,591|
|Net comprehensive loss for the period ||(3,304,878)||(1,888,410)||(5,845,840)||(2,258,735)|
|Basic and diluted loss per common share ||$ (0.06)||$ (0.04)||$ (0.10)||$ (0.04)|
|Weighted average number of common shares outstanding||59,165,329||53,832,142||58,179,536||50,537,219|
(1)TNET was acquired on February 28, 2021.
Revenue for the nine months increased by 37% over revenue of the same period of the prior year due to a 21% increase in recurring revenue and a 107% increase in one-time revenue, primarily due to the acquisition of TNET which contributed only four months of operations since its acquisition in the prior year period. Revenue for the quarter grew by 7% over revenue for the same quarter, due to a 13% increase in recurring revenue and a 14% decrease in one-time revenue.
During the quarter, the Company recorded listing expense of $1,793,611 comprised of the fair value of RMR's 2,047,155 pre-RTO shares, the assumption of RMR net liabilities of $172,726 and legal and filing costs of $474,838.
The contract for services of the CEO with Johan Arnet has ended and Derek Spratt has been appointed Acting CEO. Mr. Arnet will continue as a Director of the Company. Mr. Spratt is currently Executive Chairman and a Director of the Company.
About Turnium Technology Group Inc.
Turnium Technology Group Inc. delivers its SD-WAN solution as a white label, containerized, disaggregated software platform that channel partners host, manage, brand, and price and as a managed cloud-native service provided by Turnium. Both Turnium SD-WAN offers are available through a channel partner program designed for Communications Service Providers, Internet and Managed Service Providers, System Integrators, and Value-Added Resellers.
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.
For further information please contact:
Derek Spratt, CEO, Telephone 604 736-5199
Investor Relations: Bill Mitoulas, Email: firstname.lastname@example.org, Telephone: +1 416-479-9547
Media inquiries: please email email@example.com.
Sales inquiries: please email firstname.lastname@example.org
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.
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. 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 depending on, among other things, the risks that the Company may terminate and not proceed with the Agreement, or that the Agreement and associated transactions will not be successfully completed for any reason (including failure to obtain the required acceptance from the TSX Venture Exchange). The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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