MAM Software Group, Inc. Announces Fiscal Fourth Quarter and Year End 2011 Financial Results

BARNSLEY, England, Sept. 14, 2011 /PRNewswire/ -- MAM Software Group, Inc. (OTC Bulletin Board: MAMS) (the "Company" or "MAM"), a leading provider of business automation and ecommerce solutions for the automotive aftermarket, announced its financial results for the fiscal year ended June 30, 2011, through the filing on September 14, 2011 of its Annual Report on Form 10-K with the Securities and Exchange Commission.  Michael G. Jamieson, CEO of MAM Software Group, Inc., announced today that the Company reported record fourth quarter revenue of $6,752,000, record net income of $737,000 and record EPS of $0.06, and for the full fiscal year reported record revenue of $25,619,000, record net income of $2,288,000 and record EPS of $0.19.  

Fourth Quarter Financial Review:

The Company's revenue was $6,752,000 for the fourth quarter ended June 30, 2011 as compared to $5,648,000 for the fourth quarter ended June 30, 2010, an increase of $1,104,000 or 20%. Operating income for the quarter increased by $553,000 to $1,020,000 versus operating income of $467,000, a 118% improvement, and net income for the quarter increased by $488,000 to $737,000 versus $249,000, a 196% improvement, for the same year ago period, respectively.  Basic earnings per share was $0.06 versus $0.03 per share, and diluted earnings per share was $0.05 versus $0.03 per share, for the same year ago period, respectively.

The Company's revenue from its US and UK operations was $1,489,000 and $5,263,000, respectively, compared to $1,755,000 and $3,893,000, respectively, during the same period in 2010.

Fiscal Year End Financial Review:

The Company reported revenue of $25,619,000 for the fiscal year ended June 30, 2011 as compared to $24,156,000 for the fiscal year ended June 30, 2010, an increase of $1,463,000 or 6%. Operating income for the full fiscal year increased by $2,988,000 to $4,099,000 versus operating income of $1,111,000, a 269% improvement, and net income for the fiscal year ended June 30, 2011,  increased by $2,915,000 to $2,288,000 versus a net loss of $627,000, for the same year ago period, respectively.  Basic earnings per share was $0.19 versus a loss of $0.07 per share and diluted earnings per share was $0.18 versus a loss of $0.07 per share, for the same year ago period, respectively.

The Company reported revenue of $6,328,000 and $19,291,000 from its US and UK operations, respectively for the year ended June 30, 2011, compared to $6,475,000 and $17,681,000, respectively, during the same period in 2010. 

Business Update:

Commenting on the fiscal full year results, MAM's CEO, Michael Jamieson, said, "This has been a year of continued improvement for the Company, driven by our simultaneous execution of sustained growth in sales and earnings, as well as, a reduction in operating expenses. The Company's UK subsidiary, MAM Software Limited, continued to produce increased revenue and income.  Aftersoft Network N.A.'s revenues remained in line with expectations and generated an increase in income from operations. These developments enabled the Company to increase both its gross profit and net income for the fourth quarter and full year. Additionally, during the FY 2011, we have substantially improved our balance sheet by increasing our cash position by $1,574,000 to $2,770,000, decreasing our debt by $3,306,000 to $1,862,000, and increasing our Stockholders' Equity by 115% to $11,473,000." Mr. Jamieson further elaborated that "the fiscal year produced an Adjusted EBITDA result of $5,800,000 versus $3,879,000 for the fiscal year ending June 30, 2010, an increase of 50%."

Commenting on the Company's strategic initiatives, Mr. Jamieson, said, "We continued our strategic development, building on the results achieved in 2010.  We were particularly pleased with the progress that we made with our 'cloud' based application, Autowork Online in the UK.  Subscribers to Autowork Online have increased each month of this fiscal year and now total 2,322. Revenues from Autowork Online were $249,000 for the three months, a $34,000 or 16% quarter-over-quarter revenue growth and $822,000 for the twelve months ended June 30, 2011. We will continue to work hard to extend this positive trend over the coming months as more customers are introduced to the product. In addition to this, the levels of new business that we achieved from system sales remained buoyant throughout the year and this in turn helped to drive increased levels of recurring revenue across the business. Our goals for the upcoming fiscal year include further penetration of the UK market with Autowork Online and the introduction of a US version of the same 'cloud' based product. The overall industry segment for our products and services continues to expand and we believe that our suite of modern business solutions, built by a team of experienced professionals using the latest technology, are clearly differentiated and in high demand. We are looking forward to the 2012 Fiscal Year."

About MAM Software Group, Inc.

MAM Software Group, Inc. (OTC Bulletin Board: MAMS) is a supplier of business and ERP supply chain management solutions to automotive parts manufacturers, distributors and retailers. MAM Software Group provides the automotive aftermarket with a combination of business management systems, information products, and online services that together deliver benefits for all parties involved in the timely repair of a vehicle. For further information, please visit   http://www.mamsoftwaregroup.com/.

This press release contains forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the Company's business including, increased competition; the ability of the Company to expand its operations through either acquisitions or internal growth, to attract and retain qualified professionals, and to expand commercial relationships; technological obsolescence; general economic conditions; and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.

SOURCE MAM Software Group, Inc.