VANCOUVER, May 30, 2019 /CNW/ – Universal mCloud Corp. (TSX-V:MCLD) (OTCQB:MCLDF) (“mCloud” or the “Company”), a leading provider of asset management solutions combining IoT, cloud computing, artificial intelligence (“AI”) and analytics, today announced that it has filed its financial results for the full year ended December 31, 2018(“Fiscal 2018”).
Overview of Fiscal 2018
(all figures in Canadian dollars)
For the period of January 1, 2018, to December 31, 2018, revenues were expected to be recorded at $2,825,152. Variations were made following the completion of an audit, including the adoption of the IFRS 15 Revenue from Contracts with Customers accounting standard, purchase accounting adjustments and recognition of revenues to be recorded in fiscal 2019, resulting in adjusted net revenues of $1,794,472. Net revenue for the fourth quarter of 2018 remained unchanged at $864,146.
The following annual adjustments were made:
- $315,657 reallocated from fiscal 2018 to 2019
- $705,635 toward the acquisition purchase price and other adjustments
Other balance sheet items
- Goodwill impairment
Management amended its initial assumption basis for the Company’s original acquisitions, resulting in a decision to not pursue several types of legacy contracts that were inconsistent with the high growth of its AssetCare™ offering, along with efforts to expand mCloud’s footprint in new markets, primarily China and the UK.
Patents and trademarks that were acquired with the NGRAIN acquisition were adjusted to reflect their projected useful life.
- One-time, non-recurring reclassification of capitalized R&D
Items totaling $989,965 were reclassified as a result of management pursuing an opportunity to obtain an available 46.2% tax credit for SR&ED spending.
Restatements from 2017
Management identified cut-off errors related to the late receipt of December 31, 2017 payables. These corrections had no impact on the Company’s reported net cash flows from operating, financing, or investing activities.
Expenses related to acquisitions and financing
For 2018, expenses associated with acquisitions and financings totaled $2,322,641.
Items from MD&A
The Management’s Discussion & Analysis contains 2018 quarterly financial summaries for both Agnity Global and CSA on a standalone basis. Furthermore, the Company disclosed normalized income as a result of one-time, non-recurring, extraordinary, and non-cash expenses related to changes in accounting policies, such as the adoption of IFRS 15 and corporate development activities.
About Universal mCloud Corp.
Universal mCloud Corp. (TSX-V:MCLD) (OTCQB:MCLDF) is creating a more efficient future with the use of AI and analytics, curbing energy waste, maximizing energy production, and getting the most out of critical energy infrastructure. Headquartered in Vancouver, Canada, with technology and operations centers in San Francisco, CA, and Bristol, PA, mCloud takes advantage of IoT sensors to bring data from connected assets into the cloud, applying AI and analytics to maximize their health and performance. Today, mCloud offers complete asset management solutions to four distinct segments: smart buildings, wind energy, utilities, and oil and gas. With over 100 blue chip customers and more than 28,000 assets connected in thousands of locations worldwide, mCloud is changing the way energy assets are managed. For more information, visit www.mcloudcorp.com.
Forward-Looking Information and Statements
This press release contains certain “forward-looking information” within the meaning of applicable Canadian securities legislation and may also contain statements that may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition but instead represent only the Company’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of the Company’s control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or may contain statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “will continue”, “will occur” or “will be achieved”. The forward-looking information contained herein may include, but is not limited to, the completion of the Transaction, the future business prospects of the Company and the potential revenue of the Company.
By identifying such information and statements in this manner, the Company is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such information and statements.
An investment in securities of the Company is speculative and subject to several risks as discussed under the heading “Risk Factors” on pages 29 to 46 of the Company’s filing statement dated October 5, 2017. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information and forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended.
In connection with the forward-looking information and forward-looking statements contained in this press release, the Company has made certain assumptions. Although the Company believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to the Company or persons acting on its behalf is expressly qualified in its entirety by this notice.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
SOURCE Universal-mCloud Corp