Iota provides overview of financial results and business update following second quarter report
ALLENTOWN, PA / ACCESSWIRE / January 22, 2020 / Iota Communications, Inc. (IOTC), a wireless network carrier and software service company that provides Internet of Things solutions that optimize energy efficiency, sustainability and operations for commercial facilities, today announced its financial results for the fiscal 2020 six months ended November 30, 2019.
Year over Year
Revenue for the first six months of fiscal year 2020 was $1,015,566, a 15% increase compared to revenue of $885,665 in the first six months of fiscal 2019, while gross profit increased to $198,650 from $122,290 year over year, an increase of 63%. Gross margin increased year over year to 19.6% the first six months of 2020 versus 13.8% for the same period last year.
Operating expenses decreased for the first six months of fiscal 2020 to $9,386,073 compared to $25,606,972 in the same period in fiscal 2019, a decrease of $16,220,899 or 63%, excluding extraordinary items. We realized a one-time gain on the settlement of past due lease obligations in the second quarter, which resulted in a positive operating income for the first six months of fiscal 2020 of $1,980,539 versus an operating loss of $25,484,682 for the first six months of fiscal 2019.
Net loss per share was $0.01 per share in the first six months of fiscal 2020 versus a loss of $0.18 per share in the first six months of fiscal 2019.
Net cash used in operating activities was $6,837,664 for the six months ended November 30, 2019, versus $12,087,500 for the same period in fiscal 2019, a year over year decrease of 43%.
"As we hit the half-way mark in fiscal 2020, we remain on track and very optimistic regarding our goals for this year. Balance sheet enhancement, investing resources toward growing recurring, high margin revenue and operating our business at optimal efficiency remain our focus and we believe the success in these areas will bring great value to our shareholders," stated Terrence DeFranco, President and CEO of Iota. "Additionally, the progress toward commercialization of our network remains on track for mid-2020, which we believe will be a game-changing achievement for both our company and the overall market. Our valuable crown jewel spectrum assets, that serve as the underpinning to a secure, reliable and ubiquitous wireless network for the Internet of Things, give us a significant competitive advantage in the market and we expect our future financial results will reflect that value. Our team is pleased with our accomplishments to date, but we know there is much more to accomplish, and we are very excited about our future"
The company's Quarterly Report on Form 10-Q for the period ended November 30, 2019 is on file with Securities and Exchange Commission and can also be found on the company's website https://www.iotacommunications.com/sec-filings/.
About Iota Communications, Inc.:
Iota is a wireless network carrier and software applications provider dedicated to the Internet of Things. Iota sells recurring-revenue solutions that optimize energy usage, sustainability and operations for commercial and industrial facilities both directly and via third-party relationships. Iota also offers important ancillary products and services which facilitate the adoption of its subscription-based services, including solar energy, LED lighting, and HVAC implementation services.
This press release may contain "forward-looking statement" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements include, but are not limited to, any statements relating to our growth strategy and product development programs and any other statements that are not historical facts. Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated include, but are not limited to,: risks related to the acquisition and integration of the assets we acquired from Solbright Group, Inc., risks related to our growth strategy; risks relating to the results of research and development activities; our ability to obtain, perform under and maintain financing and strategic agreements and relationships; our dependence on third-party suppliers; our ability to attract, integrate, and retain key personnel; the early stage of products under development; our need for substantial additional funds; government regulation; patent and intellectual property matters; competition; as well as other risks described in our SEC filings. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law.
Iota Communications, Inc.
600 Hamilton Street
Allentown, PA 18101
Attn: Investor Relations
Public Relations Contact:
Greg Lutowsky, SVP, Corporate Communications
SOURCE: Iota Communications, Inc.
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