ZIM Corporation reports first quarter 2011 financial results
OTTAWA, Aug. 16 /PRNewswire-FirstCall/ - ZIM Corporation (OTCBB: ZIMCF), a provider of software products and services for the database and mobile markets: today announced its financial results for its first quarter ended June 30, 2010. All figures presented are calculated in accordance with generally accepted accounting principles (GAAP) in the United States and presented in US dollars.
Revenue for the quarter ended June 30, 2010 was $487,310, an increase of 41% from the $346,636 for the same period last year. The increase in revenue was primarily attributable to increased sales of enterprise database software and consulting services with a smaller portion of the increase related to favorable foreign exchange fluctuations.
Net loss for the quarter ended June 30, 2010 was $29,383 or a basic and diluted loss per share of $0.000 compared to net income for the same period last year of $122,766 or a basic and diluted loss per share of $0.001. The decline in net income principally reflects the other income realized from an out of court settlement of an unrecognized claim in the amount of $171,400 in the first quarter of fiscal 2010 and stock based compensation of $100,000 paid to executive officers and consultants in the first quarter of fiscal 2011.
"I am pleased with our performance this quarter," said Dr. Michael Cowpland, President and CEO of Zim. "We produced solid growth on our top line as a result of increased sales activity in our Enterprise Database business. We also, generated $40,326 of positive cash flow for the period while maintaining our levels of R&D investment consistent with previous quarters."
ZIM had cash and cash equivalents of $1,201,207 at June 30, 2010 as compared to cash and cash equivalents of $1,160,881 at March 31, 2010. The $100,000 of non-cash expense in our net loss is reflected in the increase in cash position.
ZIM is a provider of software products and services for the database and mobile markets. ZIM products and services are used by enterprises in the design, development and management of business, database and mobile applications. Certain of ZIM's mobile products are also provided to the consumer market. For more information on ZIM and its customers, partners and products, visit: www.zim.biz.
This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, with respect to ZIM's use of its cash from operations. All forward-looking statements made in this press release relating to expectations about future events or results are made as of, and are based upon information available to ZIM as of, the date hereof. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those described or implied by any forward-looking statements. New risks can arise and it is not possible for management to predict all such risks, nor can it assess the impact of all such risks on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. All forward-looking statements speak only as of the date of this news release. We undertake no obligation to revise or update publicly any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this news release, other than as required by law. Please refer to ZIM's filings with the SEC for additional information regarding risks and uncertainties. Copies of these filings are available through the SEC's website at www.sec.gov.
SOURCE ZIM CORPORATION