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ZIM Corporation reports first quarter 2013 financial results

Aug 17, 2012 (06:08 PM EDT)
URL: http://www.techweb.com/show-press-release/X918555/zim-corporation-reports-first-quarter-2013-financial-results.html

OTTAWA, Aug. 17, 2012 /PRNewswire/ - 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, 2012. 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, 2012 was $297,244, a decrease from the $571,316 for the same period last year.  The decrease in revenue was primarily attributable to a large single customer software sale in 2012 coupled with project delays in our enterprise database software and consulting services business and a weakening Brazilian real. Net loss for the quarter ended June 30, 2012 was $64,150 or a basic and diluted loss per share of $0.001 compared to net income for the same period last year of $120,791 or a basic and diluted earnings per share of $0.001. The decrease in net income principally reflects the decrease in database software sales and foreign exchange fluctuations, with a partial offset provided by the Company's continued curtailing of selling and general administrative expenses.

"We experienced a difficult quarter on the revenue front compared to the same quarter last year" said Dr. Michael Cowpland, President and CEO of Zim. "Last year we had a large software sale in Q1 that significantly boosted our normal Q1 performance and as previously disclosed we have experienced delays with two migration projects. For this quarter, I'm pleased that our order backlog has grown to $379,134 and that we continue to manage our costs with an overall 19% cost reduction for the quarter"

ZIM had cash and cash equivalents of $1,671,491 at June 30, 2012 as compared to cash and cash equivalents of $1,762,171 at March 31, 2012.

About ZIM

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