MAM's sales climb as earnings slide
BARNSLEY, England (May 15, 2014) — MAM Software Group Inc.'s net earnings fell 18.8 percent to $659,000 despite a 15.3-percent jump in sales to $7.87 million during its fiscal third quarter, ended March 31, compared with the year-ago period.
“This quarter's results again demonstrate good progress that we are making to develop cloud-based revenue streams, penetrate our addressable markets and expand our business,” said Michael Jamieson, MAM Software Group president and CEO. “We delivered our 16th consecutive profitable quarter while growing the top-line and generating cash. Recurring revenues increased 15 percent year over year and represented 71 percent of total sales for the quarter. At the same time, we continued to invest in the business, focusing on building our sales and marketing infrastructure in North America to position the company for further growth. This was a solid quarter with measurable progress against each of our strategic goals.”
Total Software as a Service (SaaS) revenue for the quarter jumped 103 percent to $938,000 while total Data as a Service (DaaS) revenue rose 2 percent to $2.20 million, compared with the year-ago period.
The company's revenue from its U.S. operations was $2.16 million, compared with $2.05 million during the same period last year. U.S. recurring revenue increased 9 percent to $1.42 million.
For the nine-month period, MAM's net earnings fell 21.4 percent to $1.74 million as sales climbed 13.6 percent to $22.8 million, compared with the year-ago period.
Recurring revenue for the nine months, which accounted for 71 percent of total revenue, increased 13 percent to $16.1 million. SaaS revenue surged 86 percent to $2.28 million while DaaS rose 12 percent to $6.44 million.
The company — a global provider of on-premise and cloud-based business management solutions for the auto parts, tire and vertical distribution industries — also announced that its CEO and CFO will present at the 15th Annual B. Riley Investor Conference this month in Santa Monica, Calif.
Michael Jamieson, MAM's CEO, and Charles Trapp, chief financial officer, will give presentations at 11 a.m. PT on May 19. The conference will be held May 19-21 at Loews Santa Monica Beach Hotel in Santa Monica.
Investors and other interested parties can access the live presentation on the company's website. The webcast will be archived for 90 days following the live presentation.
MAM's portfolio includes software, data and integration services that provide businesses with point-of-sale, inventory, purchasing, reporting, data and e-commerce solutions for the wholesale, retail and installer business segments.
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