Armada Releases Q1 2019 Results

MISSISSAUGA, ONTARIO / ACCESSWIRE / October 29, 2018 / Armada Data Corporation (TSV.V:ARD) reports its interim financial results for the quarter ended August 31, 2018 have now been filed on SEDAR and are available to view on SEDAR at www.sedar.com and the company's web site www.armadadata.com.

Selected Quarterly Information

Operations

The Company's total revenue increased by 30% in the period ended February 28, 2018 to $738,576 from $568,029 in the same period a year earlier. Comprehensive income decreased to $51,364 in this quarter, down 1% from $51,733 at February 28, 2017.

The Insurance Services division experienced an increase in revenue, from $319,012 in the three months ended February 28, 2017 to $404,750 in 2018, or by 27%. The increase in revenue was the result of processing the most claims in January 2018 in the Company's history.

The Company has combined the Retail, Dealer and Advertising/Marketing divisions into one segment, known as CarCostCanada, due to the fact that the revenues earned by these divisions comes directly or indirectly from the carcostcanada.com website, and as the Company has moved into free trial memberships, the business model for the former Retail Services Division has changed. CarCostCanada revenue was up 27% to $259,651 from $203,693 in 2017. An increase in dealer sales, along with the expansion into Quebec accounts for this increase in revenue.

The Information Technology division revenue increased by 64% to $74,175 in the third quarter of fiscal 2018 ended February 28, 2018, from $45,324 in the same quarter in fiscal 2017. IT continues to offer technical support and web site hosting to hundreds of customers, and is developing new customer relationships on a regular basis, as well as offering new services for sale.

Expenses in this third quarter of fiscal 2018 before amortization increased to $685,643, compared to $506,518, a 35% increase over the same period last year. After the many cost-cutting measures to reduce expenses in 2015 and 2016, the largest increase is in salaries and wages, and advertising expense is up due to new radio advertising campaigns.

As a result of the income reported by the Company in this quarter ended February 28, 2018, the Company's deficit decreased to $(788,977) compared to $(1,081,523) at the quarter ended February 28, 2017. Earnings per share at February 28, 2018 are $0.00, unchanged from $0.00 per share at February 28, 2017.

Management does not plan on issuing any dividends until further notice.

Segmented Quarterly Information

Revenues earned by divisions were as follows:

Outlook

1. Build upon the historical success of the Company's ongoing sales and marketing efforts focused on increasing sales in the three divisions – Insurance, CarCostCanada and IT.
2. Launch first-to-the-market features and tools to further increase market share and take advantage of the significant available base of new car buyers currently not using third-party pricing and dealer referral services.
3. Exploit market awareness and demand for new vehicle pricing information and dealer referrals that result from the additional competition with that market space; by putting more emphasis on outside partners, data outsourcing and our underutilized online magazine TheCarMagazine.com
4. Continue to improve our relationships with some of the largest insurance companies in Canada and partner with some of these organizations to produce new products and services for their vast client base.

About Armada Data Corp.

Armada Data is a Canadian publicly tradedInformation & Marketing Services Company providing accurate and real-time data to institutional and retail customers, through developing, owning and operating automotive pricing-related web sites and providing information technology and marketing services to its clients.

Armada Data shares are listed on the TSX Venture exchange under the trading Symbol ARD. Armada currently has a total of 17,670,265 shares outstanding.

Additional information relating to Armada Data Corporation is filed on SEDAR, and can be viewed at www.sedar.com.

For further information, please contact:

Armada Data Corporation
Mr. R. James Matthews, President & CEO
Email: investors@armadadatacorp.ca

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the Policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Armada Data Corporation