ProntoForms Reports Q3 2022 Financial Results (US Dollars)
Achieves 12% annual growth in recurring revenue and third quarter growth of 5% over Q2 2022
OTTAWA, November 3rd, 2022 — ProntoForms Corporation (TSXV: PFM), the global leader in enterprise mobile forms, announced today its third quarter (Q3) financial results for the period ended September 30th, 2022. All amounts are in US dollars unless otherwise stated.
“In Q3, our Annual Recurring Revenue (ARR) base grew by 4.5% over Q2 2022 as we continue to drive our enterprise expansion strategy. ARR growth in the enterprise segment continues to grow in absolute and proportion of total ARR as enterprise account managers hired last year become increasingly productive. We continue to allocate our resources to adding large enterprise customers as well as expanding their use of our products as they show increasing acceptance of the high ROI that we can drive in their field services activities. We had a top five global oil and gas customer expand by over $200k of ARR during the quarter to optimize production on work sites and meet strict compliance regulations. This quarter we also continued to achieve declining churn overall, led by the enterprise segment where we typically enter longer term contracts and enjoy superior renewal performance,” said Alvaro Pombo, Chief Executive Officer.
“We continue to execute on our transformation plan, shifting investments towards enterprise sales while holding overall costs steady. Gross margins remain high, and when combined with the ARR growth, are reducing losses and maintain a good cash position. Field leaders are facing uncertain labor and economic conditions and need to automate faster than ever before. Eighty percent of our customer deployments are achieved in less than eight weeks: delivering reliable workflows, measurable ROI and a great technician experience,” said Alvaro Pombo, Chief Executive Officer.
“Leading enterprises recognize the benefits of mobility solutions for their field teams,” said Chairman Terence Matthews. “The challenge for them is scaling across multiple geographies, languages, use cases, and back-end systems with agility. ProntoForms has the product and team to help organizations successfully transform their global field operations.”
Financial Highlights – 2022 Third Quarter
- Recurring revenue in Q3 2022 increased by 12% to $5.23 million compared to $4.66 million in Q3 2021 and increased by 5% compared to $4.97 million in Q2 2022.
- Total revenue for Q3 2022 increased by 12% to $5.46 million compared to $4.89 million in Q3 2021 and increased by 5% compared to $5.21 million in Q2 2022.
- Gross margin for Q3 2022 was 85% of total revenue compared to 84% in Q3 2021 and 84% in Q2 2022. Gross margin on recurring revenue was 90% for Q3 2022 compared to 89% in Q3 2021 and 89% in Q2 2022.
- Operating loss for Q3 2022 was $1.07 million, up from an operating loss of $1.00 million in Q3 2021 and down from an operating loss of $1.32 million in Q2 2022.
- Net loss for Q3 2022 was $1.01 million, down from a net loss of $1.11 million in Q3 2021 and down from a net loss of $1.34 million in Q2 2022.
- As at September 30, 2022, the Company’s cash and net working capital balances were $6.05 million and $2.90 million respectively with CAD $1.84 million remaining unused on its CAD $10 million debt facility.
Recent Operational Highlights
Notable new and expansion progress from enterprise customers, including:
- Energy Sector
- A top five global oil & gas enterprise expanded its deployment from $100K ARR to over $300K to ensure optimal production on work sites and safety and environmental compliance.
- Two other multi-billion-dollar oil & gas enterprises expanded their ProntoForms deployments to improve drill operations and compliance reporting.
- Manufacturing
- A Fortune 500 HVAC organization expanded its EMEA ProntoForms deployment, adding over 250 subscribers.
- A global refrigeration manufacturer and HVAC enterprise signed a new business agreement with ProntoForms to improve field asset installation and maintenance.
- Construction & Facility Management
- An $18B construction services organization expanded its ProntoForms deployment and upgraded from Advanced to Enterprise tier for site and asset inspections and reporting.
- North America’s largest building materials company deployed ProntoForms and integrated the solution with its CRM platform to improve compliance adherence and reporting.
- Other Industries
- A seafood processing organization with over $350M in annual revenue signed a new business contract with ProntoForms for inspections and preventative maintenance.
- A global airline expanded its deployment of ProntoForms to support training new cabin crew and inflight service inspections.
Other Highlights
- ProntoForms won Service Council’s Best Overall Solution Showcase at Service Council Symposium.
- ProntoForms hosted a digital thought leadership event with a global brand elevator & escalator enterprise on the business impacts of rapid automation. Watch the recording here.
- Alvaro Pombo, ProntoForms’ CEO, delivered the chairperson’s speech at Field Service East in Hilton Head on how agile automation helps organizations overcome challenges in the field.
- ProntoForms’ EMPOWER’22 Customer Conference in Austin, Texas brought together field service leaders to share the impact of rapid automation and the future of the ProntoForms platform.
Q3 Conference Call Date:
Date: Thursday, November 3rd, 2022
Time: 9:00 AM Eastern Time
Participant Dial-in Numbers:
Local Toronto – (+1) 647-484-0475
Toll-Free – (+1) 888-254-3590
Conference ID: 6223762
Recording Playback Numbers:
Local Toronto– (+1) 647-436-0148
Toll-Free – (+1) 888-203-1112
Passcode: 6223762
Expiry Date: November 10th, 2022, at 11:59 PM EST
About ProntoForms Corporation
ProntoForms is the global leader in enterprise mobile forms. ProntoForms’ platform empowers organizations with field teams that perform complex work to rapidly deploy tailored mobile forms that intuitively guide field engineers to the most effective path to service completion.
The Company’s subscribers drive quantifiable business returns by harnessing the agile, scalable, and deeply integrated solution to improve compliance, field engineer productivity, and CSAT. The Company is based in Ottawa, Canada, and trades on the TSXV under the symbol PFM. ProntoForms is the registered trademark of ProntoForms Inc., a wholly owned subsidiary of ProntoForms Corporation.