Blackline Achieves Record Q1 Revenue and Positive Cash Flow From Operating Activities

CALGARY, ALBERTA--(Marketwired - March 10, 2015) - Blackline GPS Corp. (TSX VENTURE:BLN) ("Blackline" or the "Company"), a manufacturer of employee safety monitoring and portable tracking solutions, today announced results for the first quarter, ended January 31, 2015.

Q1 Highlights

• Generated $378k of cash from operating activities, an improvement of almost $1 million over Q1 of the prior year
• Achieved record Q1 revenue of $1.7 million, 2.5 times more than Q1 of the prior year
• Achieved record gross margin of $822k, also 2.5 times more than Q1 of the prior year
• European sales grew to 6% in the quarter compared to 0.5% attained in Q1 of the prior year

"During the first quarter, Blackline increased its employee safety monitoring customer base with success that spanned a broad cross-section of industries," says Cody Slater, CEO and Chairman of Blackline GPS. "This is our third straight quarter of double digit growth and second straight quarter where revenue and gross margin improved more than two-fold compared to the prior year." He added, "The last two quarters have been transformational for the Company as it continues on its path to become the world's leading safety monitoring vendor."

Faits saillants financiers

Informations financières clés

During the quarter, Blackline produced $378k in cash from operating activities. After the Company invested in long term assets and paid down portions of its Tecterra loan, the Company still increased its cash and cash equivalents by $68k. This result stemmed from safety monitoring equipment orders in late Q4 FY2014 and Q1 FY2015 that included service plans with a one year term, or greater.

Revenue grew by 153%, reaching a record level of $1.7 million in the first quarter, primarily driven by sales of the Loner Bridge system that launched in Q4 of FY2014. European sales were driven by Blackline's new subsidiary located in the United Kingdom, focused upon the UK, Europe, Middle East, and Africa regions. Increased sales from other safety solutions through the quarter also helped to achieve this level of sales growth.

Gross margin progressed alongside revenue to a quarterly record of $822k. This was the primary contributor to the improved adjusted EBITDA and reduced net loss. Although the Company has increased its sales, operations, and development expenses, the gross margin grew at a faster pace, resulting in record adjusted EBITDA performance.

Blackline's unaudited condensed consolidated interim financial statements and management's discussion and analysis for the quarter ended January 31, 2015 are available at www.sedar.com. All results are reported in Canadian dollars.

À propos de Blackline : Blackline GPS Corp. (TSX VENTURE : BLN) est un leader dans le domaine de la localisation sans fil qui développe, fabrique et commercialise des produits et services destinés à la surveillance de la sécurité des travailleurs et aux applications portables de suivi commercial. Les solutions Blackline assurent la sécurité, la sûreté et la localisation grâce à du matériel sans fil innovant et des interfaces utilisateur personnalisées, notamment des services mobiles, de messagerie et Web. Blackline a pour ambition de devenir le premier fournisseur mondial de produits sans fil destinés à la surveillance de la sécurité des travailleurs et au suivi portable des activités commerciales. Les produits Blackline permettent aux clients de protéger leur personnel et leurs biens précieux, de partager les conditions de leur environnement et de contacter les services d'urgence en cas de besoin. Les solutions Blackline protègent, partagent et connectent.®

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