Top Image Systems Ltd.
|
|||
Date: August 4, 2016
|
|||
|
By:
|
/s/ Izhak Nakar | |
Izhak Nakar | |||
Active Executive Chairman | |||
· | Revenues were $8.5 million, consistent with revenues of $8.5 million in Q1 2016; |
· | Recurring revenues were $4.9 million representing 57% of total revenue in the current quarter; |
· | Q2 2016 expenses were $8.6 million, a decrease of $0.6 million compared to Q1 2016 expenses of $9.2 million (excluding restructuring costs); |
· | Net loss was $(0.2) million, compared to $(2.1) million in the first quarter of 2016; |
· | Adjusted EBITDA* was $667,000 compared to break even in the first quarter of 2016; |
· | Our eFLOW® AP for SAP solution achieved certified integration with SAP NetWeaver® running on SAP HANA®; |
· | We saw increased traction for our eFLOW AP for SAP solution. Early adopters included a Swiss construction company; a $125,000 deployment by a mid-sized European medical device company, a $100,000 agreement with an aerospace component manufacturer and a $115,000 agreement with a U.S.-based technology provider. The new eFLOW AP solution was showcased to the European SAP community at the “Financials2016” conference in Vienna; |
· | We announced more than $700,000 in revenues from two Banking Process Automation wins at leading banks in Italy; |
· | In the mobile capture arena, we announced a partnership with US financial services provider iStream and a mobile check deposit win at one of the top 5 leading banking groups in Israel; |
· | We executed upsell of eFLOW contracts worth $350,000 in total contract value with long-standing customers that lead the global logistics market, and in the same market delivered an eFLOW project valued at some $100,000 to an Asian-Pacific BPO subsidiary of a national Postal Service; |
· | We appointed Kristian Niklasson as Chief Service Officer (CSO) to ensure successful project deliveries and to lead the cloud delivery of our existing and new products. |
US Toll-Free Dial-in Number: 1-877-407-0784
US Toll/INTERNATIONAL Dial-in Number: 1-201-689-8560
Israel Toll-Free Dial-in Number: 1-809-406-247
|
||
Company Contact:
Shelli Zargary
Director of Corporate Marketing
shelli.zargary@topimagesystems.com
+972 3 767 9114
|
Investors:
James Carbonara
Regional Vice President, Hayden IR
james@haydenir.com
+ 1 646 755 7412
|
Top Image Systems Ltd.
|
||||
Consolidated Balance Sheet as of
|
June 30,
|
December 31,
|
|||||||
2016
|
2015
|
|||||||
In thousands
|
||||||||
Unaudited
|
Audited
|
|||||||
Assets
|
||||||||
Current Assets:
|
||||||||
Cash and Cash Equivalents
|
$
|
1,773
|
$
|
2,404
|
||||
Restricted Cash
|
175
|
262
|
||||||
Trade Receivables, net
|
10,248
|
9,348
|
||||||
Other Accounts Receivable and Prepaid Expenses
|
1,130
|
932
|
||||||
Total Current Assets
|
13,326
|
12,946
|
||||||
Long-Term Assets:
|
||||||||
Severance Pay Funds
|
1,234
|
1,327
|
||||||
Restricted Cash
|
151
|
147
|
||||||
Long-term Deposits and Long-term Assets
|
170
|
204
|
||||||
Property and Equipment, net
|
1,265
|
1,444
|
||||||
Intangible Assets, net
|
4,341
|
5,058
|
||||||
Goodwill
|
18,794
|
19,091
|
||||||
Total Long-term Assets
|
25,955
|
27,271
|
||||||
Total Assets
|
$
|
39,281
|
$
|
40,217
|
||||
Liabilities and Shareholders' Equity
|
||||||||
Current Liabilities:
|
||||||||
Short-term Bank Loans
|
$
|
857
|
$
|
77
|
||||
Trade Payables
|
1,468
|
1,541
|
||||||
Deferred Revenues
|
2,842
|
2,966
|
||||||
Accrued Expenses and Other Accounts Payable
|
5,589
|
4,421
|
||||||
Total Current Liabilities
|
10,756
|
9,005
|
||||||
Long-Term Liabilities:
|
||||||||
Accrued Severance Pay
|
$
|
1,437
|
$
|
1,533
|
||||
Non-current Deferred Revenues
|
2,972
|
3,280
|
||||||
Other Long-term Liabilities
|
252
|
407
|
||||||
Total Long-term Liabilities
|
4,661
|
5,220
|
||||||
Total Liabilities
|
$
|
15,417
|
$
|
14,225
|
||||
Total Parent Shareholders' Equity
|
$
|
23,831
|
$
|
25,967
|
||||
Non-controlling Interest
|
33
|
25
|
||||||
Shareholders' Equity
|
23,864
|
25,992
|
||||||
Total Liabilities and Shareholders' Equity
|
$
|
39,281
|
$
|
40,217
|
Top Image Systems Ltd.
|
||||||||
Statement of Operations for the
|
Three months
ended
|
Three months
ended
|
Six months
ended
|
Six months
ended
|
|||||||||||||
June 30,
|
June 30,
|
June 30,
|
June 30,
|
|||||||||||||
2016
|
2015
|
2016
|
2015
|
|||||||||||||
In thousands, except per share data
Audited
|
||||||||||||||||
License Revenues
|
1,719
|
2,475
|
3,475
|
4,755
|
||||||||||||
Services Revenues
|
6,767
|
7,439
|
13,468
|
13,420
|
||||||||||||
Revenues
|
$
|
8,486
|
$
|
9,914
|
$
|
16,943
|
$
|
18,175
|
||||||||
Cost of License Revenues
|
532
|
306
|
893
|
675
|
||||||||||||
Cost of Services Revenues
|
3,680
|
3,481
|
7,569
|
6,889
|
||||||||||||
Cost of Revenues
|
4,212
|
3,787
|
8,462
|
7,564
|
||||||||||||
Gross Profit
|
4,274
|
6,127
|
8,481
|
10,611
|
||||||||||||
Expenses
|
||||||||||||||||
Research & Development
|
1,024
|
1,145
|
2,315
|
2,257
|
||||||||||||
Sales & Marketing
|
1,933
|
2,870
|
4,096
|
5,542
|
||||||||||||
General & Administrative
|
1,283
|
1,411
|
2,645
|
2,598
|
||||||||||||
Amortization Costs
|
127
|
74
|
254
|
148
|
||||||||||||
Restructuring Charge
|
3
|
-
|
1,186
|
-
|
||||||||||||
4,370
|
5,500
|
10,496
|
10,545
|
|||||||||||||
Operating Profit (Loss)
|
(96
|
)
|
627
|
(2,015
|
)
|
66
|
||||||||||
Financial Expenses, net
|
(196
|
)
|
(164
|
)
|
(274
|
)
|
(520
|
)
|
||||||||
Other Income (loss), net
|
1
|
(8
|
)
|
6
|
(5
|
)
|
||||||||||
Profit (loss) Before Taxes on Income
|
(291
|
)
|
455
|
(2,283
|
)
|
(459
|
)
|
|||||||||
Tax Expenses (income)
|
(117
|
)
|
80
|
6
|
157
|
|||||||||||
Net Profit (loss)
|
(174
|
)
|
375
|
(2,289
|
)
|
(616
|
)
|
|||||||||
Net Income Attributable to Noncontrolling Interest
|
(6
|
)
|
(7
|
)
|
(8
|
)
|
(11
|
)
|
||||||||
Net Profit (loss)
|
$
|
(180
|
)
|
$
|
368
|
$
|
(2,297
|
)
|
$
|
(627
|
)
|
|||||
Earnings per Share
|
||||||||||||||||
Basic Earnings (Loss) per Share
|
$
|
(0.01
|
)
|
$
|
0.02
|
$
|
(0.13
|
)
|
$
|
(0.04
|
)
|
|||||
Weighted Average Number of Shares Used in Computation of Basic Net Income (Loss) per Share
|
17,919
|
17,836
|
17,919
|
17,832
|
||||||||||||
Diluted Earnings (Loss) per Share
|
$
|
(0.01
|
)
|
$
|
0.02
|
$
|
(0.13
|
)
|
$
|
(0.04
|
)
|
|||||
Weighted Average Number of Shares Used in Calculation of Diluted Net (Loss) Earnings per Share
|
17,919
|
18,170
|
17,919
|
17,832
|
Adjusted EBITDA Results:
|
Three months
ended
|
Three months
ended
|
Six months
ended
|
Six months
ended
|
|||||||||||||
June 30,
|
June 30,
|
June 30,
|
June 30,
|
|||||||||||||
2016
|
2015
|
2016
|
2015
|
|||||||||||||
In thousands, except per share data
|
||||||||||||||||
Adjusted EBITDA:
|
||||||||||||||||
Net Profit (Loss)
|
$
|
(180
|
)
|
$
|
368
|
$
|
(2,297
|
)
|
$
|
(627
|
)
|
|||||
Interest
|
21
|
51
|
36
|
82
|
||||||||||||
Other Financial Expenses
|
175
|
102
|
238
|
386
|
||||||||||||
Taxes
|
(117
|
)
|
80
|
6
|
157
|
|||||||||||
Depreciation
|
174
|
160
|
343
|
306
|
||||||||||||
Amortization
|
361
|
336
|
723
|
672
|
||||||||||||
Stock-based Compensation Expenses
|
230
|
128
|
455
|
257
|
||||||||||||
Restructuring Charge
|
3
|
-
|
1,186
|
-
|
||||||||||||
Total Adjusted EBITDA
|
$
|
667
|
$
|
1,225
|
$
|
690
|
$
|
1,233
|
||||||||
Reconciliation of GAAP to Non-GAAP Results:
|
||||||||||||||||
Net Profit (Loss)
|
$
|
(180
|
)
|
$
|
368
|
$
|
(2,297
|
)
|
$
|
(627
|
)
|
|||||
Amortization
|
361
|
336
|
723
|
672
|
||||||||||||
Stock-based Compensation Expenses
|
230
|
128
|
455
|
257
|
||||||||||||
Restructuring Charge
|
3
|
-
|
1,186
|
|||||||||||||
Non-GAAP Net Profit
|
$
|
414
|
$
|
832
|
$
|
67
|
$
|
302
|
||||||||
Non-GAAP Net income used for basic earnings per share
|
$
|
414
|
$
|
832
|
$
|
67
|
$
|
302
|
||||||||
Shares Used in Basic Earnings per Share Calculation
|
17,919
|
17,836
|
17,919
|
17,832
|
||||||||||||
Non-GAAP Basic Earnings per Share
|
$
|
0.02
|
$
|
0.05
|
$
|
0.00
|
$
|
0.02
|
||||||||
Non-GAAP Net Income Used for Diluted Earnings per Share
|
$
|
414
|
$
|
832
|
$
|
67
|
$
|
302
|
||||||||
Shares Used in Diluted Earnings per Share Calculation
|
17,936
|
18,170
|
17,946
|
17,832
|
||||||||||||
Non-GAAP Diluted Earnings per Share
|
$
|
0.02
|
$
|
0.05
|
$
|
0.00
|
$
|
0.02
|