Advantex Announces Fiscal 2019 Results

Fiscal 2019

Fiscal 2018

Change

Change

$

$

%

Revenues

$

6,100,530

$

7,586,757

-$

1,486,227

Direct expenses

Cost of cardholder rewards and marketing in connection with merchant based loyalty programs

$

1,279,228

$

2,085,541

-$

806,313

-38.7%

Expense for provision against delinquent accounts

287,646

$

289,429

-$

1,783

-0.6%

Gross profit

$

4,533,656

$

5,211,787

-$

678,131

-13.0%

Selling and General & Administrative expenses

$

3,570,588

$

4,293,872

-$

723,284

-16.8%

Earnings from operations before depreciation, amortization and interest

$

963,068

$

917,915

$

45,153

4.9%

Stated interest expense - loan payable, and debentures

$

1,297,092

$

1,183,185

$

113,907

9.6%

(Loss) from operations before depreciation, amortization and non-cash interest

$

(334,024)

$

(265,270)

$

(68,754)

-25.9%

Depreciation, amortization and non-cash interest expense

$

577,921

$

305,535

$

272,386

(Loss) and comprehensive (loss) before non-recurring item

$

(911,945)

$

(570,805)

$

(341,140)

-59.8%

Non-recurring item - gain on debt restructuring

$

-

$

1,795,103

-$

1,795,103

Net profit/(loss) and comprehensive profit/(loss)

$

(911,945)

$

1,224,298

$

(2,136,243)

-174.5%

Fuller details available in the Consolidated Financial Statements and MD&A available under Advantex's profile on www.sedar.com

The above tabulation is a non-GAAP presentation and is provided to assist readers in understanding Advantex's financial performance. The information is extracted from consolidated financial statements for twelve months ended June 30, 2019.

Note

June 30, 2019

June 30, 2018

$

$

Assets

Current assets

Cash and cash equivalents

$

119,636

$

635,836

Accounts receivable

11 a

110,630

112,322

Transaction credits 

11 a

9,473,999

5,592,426

Prepaid expenses and sundry assets

52,232

79,349

$

9,756,497

$

6,419,933

Non-current assets

Property, plant and equipment

5

$

15,255

$

43,969

$

15,255

$

43,969

Total assets

$

9,771,752

$

6,463,902

Liabilities

Current liabilities

Loan payable 

6

$

8,416,076

$

4,427,390

Accounts payable and accrued liabilities

2,526,829

2,843,718

9% Non-convertible debentures payable

7

5,095,949

-

$

16,038,854

$

7,271,108

Non-current liabilities

9% Non-convertible debentures payable

7

$

-

$

4,547,951

$

-

$

4,547,951

Total liabilities

$

16,038,854

$

11,819,059

Shareholders' deficiency

Share capital 

8

$

24,530,555

$

24,530,555

Contributed surplus

4,090,382

4,090,382

Accumulated other comprehensive loss

(47,383)

(47,383)

Deficit

(33,928,711)

Total deficiency

$

(6,267,102)

$

(5,355,157)

Total liabilities and deficiency

$

9,771,752

$

6,463,902

Going concern (note 2), Commitments and contingencies (note 13)

The accompanying notes are an integral part of these consolidated financial statements

Approved by the Board

Director:Signed "Marc Lavine"

Director:Signed "Kelly Ambrose"

Marc Lavine

Kelly Ambrose

Class A
preference
shares

Common
shares

Contributed
surplus

Accumulated
other
comprehensive
loss

Deficit

Total

$

$

$

$

$

$

Balance - July 1, 2017

$

3,815

$

24,526,740

$

4,090,382

$

(47,383)

$

(35,153,009)

$

(6,579,455)

Net profit and comprehensive profit

-

-

-

-

1,224,298

1,224,298

Balance - June 30, 2018

$

3,815

$

24,526,740

$

4,090,382

$

(47,383)

$

(33,928,711)

$

(5,355,157)

Balance - July 1, 2018

$

3,815

$

24,526,740

$

4,090,382

$

(47,383)

$

(33,928,711)

$

(5,355,157)

Net (loss) and comprehensive (loss)

-

-

-

-

(911,945)

(911,945)

Balance - June 30, 2019

$

3,815

$

24,526,740

$

4,090,382

$

(47,383)

$

(34,840,656)

$

(6,267,102)