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OneSoft Solutions (OSS) investor relations material

OneSoft Solutions Q2 2024 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 2024 earnings summary28 Aug, 2024

Executive summary

  • Q2 2024 revenue increased 24% year-over-year to $3.1M, driven by new and existing SIM/CIM customers.

  • Gross margin remained steady at 76%, with gross profit up 25% to $2.4M.

  • Net loss for Q2 2024 was $615,000, higher than Q2 2023 due to increased staff and non-cash expenses.

  • Adjusted EBITDA loss improved to $17,000 in Q2 2024 from $203,000 in Q2 2023.

  • Pending sale to Earth/Irth at $0.88 per share, representing a 49% premium to market cap and a 42% premium to share price.

Financial highlights

  • Six-month 2024 revenue up 28% to $6M; gross margin for the period was 75.6%.

  • Adjusted EBITDA loss for H1 2024 was $261,000, a $321,000 improvement year-over-year.

  • Cash and cash equivalents stood at $5.7M as of June 30, 2024; debt at $247,000.

  • Deferred revenue at $4.3M, exceeding year-end forecast due to early customer payments.

  • Stock-based compensation rose to $998,000 in H1 2024 from $448,000 in H1 2023.

Outlook and guidance

  • Fiscal 2024 revenue guidance maintained at $15M–$16M, a 44–54% increase over 2023.

  • Management expects profitability in the second half of 2024 if sales forecasts are met.

  • Net loss and Adjusted EBITDA guidance unchanged, pending Q3 review.

  • Business to operate as usual until transaction closes; focus remains on new modules and customer growth.

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Frequently asked questions

OneSoft Solutions Inc. is a technology company specializing in the development and provision of advanced software solutions, specifically targeting the oil and gas pipeline industry across Canada, Australia, and the United States. The company's flagship product, Cognitive Integrity Management, is a sophisticated software-as-a-service (SaaS) offering designed to streamline and enhance the integrity management processes of oil and gas pipelines. This solution facilitates various critical functions such as assessment planning, integrity compliance, dig management, threat monitoring, data management, and dataset analysis. Utilizing data science and proprietary machine learning algorithms, OneSoft's ILI Management software module offers automatic normalization, ingestion, alignment, and analysis of pipeline in-line inspection data files. The company is headquartered in Edmonton, Canada, and its shares are listed on the TSX.

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