March Networks Corporation, a leading provider of IP-based digital video surveillance solutions, today reported its fourth quarter results for the period ended April 30, 2005. The first public filing of quarterly results by the Company following its April 27, 2005 initial public offering of shares in Toronto and London, is highlighted by annual revenue growth of 262 percent.
Revenue for the fourth quarter of fiscal 2005 was $13.5 million, compared with $4.2 million for the fourth quarter of fiscal 2004, an increase of 219 percent and, compared with $12.3 million for the third quarter of fiscal 2005, a quarter over quarter increase of 10 percent.
Net earnings for the fourth quarter of fiscal 2005 were $2.5 million or $0.20 per share on a diluted basis, compared with a net loss of $256,000 or $0.02 from continuing operations for the fourth quarter of fiscal 2004, and compared with $2.3 million or $0.22 per share for the third quarter of fiscal 2005. Earnings per share from the third quarter to the fourth quarter were affected by the initial public offering of 5,000,000 of the Company's common shares for $60 million in cash in April 2005.
Revenue for fiscal 2005 was $42.7 million, compared with $11.8 million for fiscal 2004, an increase of 262 percent. The strong annual revenue growth resulted from the Company securing multiple new enterprise accounts with leading banks, retailers and transportation authorities. During fiscal 2005, the Company announced retail sector and banking sector account wins in excess of U.S. $5 million each. The Company also secured major U.S. and international transit authority wins with San Francisco MUNI and Singapore's SMRT.
Net earnings for fiscal 2005 were $6.0 million or $0.52 per share on a diluted basis, compared with a net loss from continuing operations of $5.7 million or $(0.56) per share for fiscal 2004.
Peter Strom, President and CEO of March Networks stated, "This has been an excellent growth year for March Networks with significant milestones met in revenue growth, new product acceptance and continuing to successfully work with our customers in key vertical markets. With the IPO now complete, we are ready to execute on the next phase of our growth strategy."