Hammer Fiber Optics Holdings Corp Announces Second Quarter Results and Improves Balance Sheet
NEW YORK, March 25, 2021 (GLOBE NEWSWIRE) -- Hammer Fiber Optics Holdings Corp (OTCQB: HMMR) announced operating and financial results for the fiscal quarter ended January 31, 2021. In addition to an increase in revenues versus the same period the prior year, Hammer negotiated settlements in two claims, reducing debt on its balance sheet by $4.314 million.
Key results include:
Total revenues for the quarter were $508,848, a 4.72% increase from the quarter ended October 31, 2020, and a 23.87% increase over the quarter ended January 31, 2020. The increase was due to strong performance from Hammer’s SMS messaging and hosting practices.
EBITDA (non-GAAP) loss for the quarter decreased to $30,325, a 74.15% decrease from the quarter ended October 31, 2020, and a 76.77% decrease from the quarter ended January 31, 2020.
The Company settled with two creditors of its discontinued subsidiaries, reducing liabilities on the balance sheet by $4.314 million, a 45.45% decrease in liabilities. The settlements totaled $160,000 in cash. The Company will continue to settle its remaining liabilities with creditors in coming quarters.
Construction of the first tower location in Huntsville progressed, with fiber having been delivered. Delays due to materials shortages have been resolved and the final live date has been moved to early April.
The Company continued to make progress on its HammerCall video conferencing product, including the completion of the final releases of its IOS and Android applications.
“We continued to experience organic growth in our Over-the-Top business segment, which includes our hosting, SMS messaging and wholesale voice practices,” said Kristen Vasicek, Hammer’s COO. “These revenue streams will be joined by revenues from the fixed wireless business as we complete our deployment in Huntsville.”
In additional to organic growth, the Company significantly improved its balance sheet by settling with two creditors, reducing liabilities by over $4.3 million. “Resolving the Company’s liabilities associated with discontinued operations is one of management’s objectives and this represented a significant milestone,” said Erik Levitt, Hammer’s CEO. “Presenting a strong balance sheet will be key to both operations and the long-term stability of the company as well as any possible future financing.”
A further update on our operations will be available via a HammerLive broadcast on Thursday April 8th, 2021 at 2:00PM EDT, and viewable online at https://www.hammercorp.info/hammerlive.
About Hammer
Hammer Fiber Optics Holdings Corp. (OTCQB:HMMR) is a telecommunications company investing in the future of wireless technology. Hammer’s “Everything Wireless” go to market strategy includes the development of high-speed fixed wireless service for residential and small businesses using its wireless fiber platform, Hammer Wireless® AIR, Over-the-Top services such as voice, SMS and video collaboration services, the construction of smart city networks and hosting services including cloud and colocation. For more information contact our Investor Relations Team at info@hammerfiber.com
