CounterPath Returns to Revenue Growth in Fiscal 2015Vancouver, BC, Canada — July 16, 2015 —
CounterPath Corporation (“CounterPath” or the “Company”) (NASDAQ: CPAH) (TSX: CCV), an award-winning provider of desktop and mobile VoIP software products and solutions, today announced the financial and operating results for its fourth quarter and fiscal year ended April 30, 2015.
“Revenue increased in 2015, on strength in mobile, Europe and recurring revenue,” said Donovan Jones, President and Chief Executive Officer. “We completed the repositioning of the company towards the large SMB and enterprise opportunity, which included signing a new agreement with Alcatel-Lucent and obtaining certifications from leading MDM vendors who are taking us into larger deals in the financial services, automotive and healthcare sectors. We also launched new features and products designed for enterprises, including the Messaging and Presence module for our Stretto Platform™, call center specific features for large enterprises, and our market leading Bria Virtual Edition for the Desktop-as-a-Service market. Looking ahead, we anticipate strong demand for our products as businesses launch Enterprise OTT solutions to increase employee productivity and reduce costs by leveraging our universal overlay solutions.
This news release contains "forward-looking statements". Statements in this news release which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, outlook, expectations or intentions regarding the future such as the following: (1) that leading MDM vendors are taking the Company into larger deals in the financial services, automotive and healthcare sectors; and (2) that the Company anticipates strong demand for its products as businesses launch Enterprise OTT solutions to increase employee productivity and reduce costs by leveraging universal overlay solutions.
It is important to note that actual outcomes and the Company’s actual results could differ materially from those in such forward-looking statements. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others: (1) lack of cash flow which may affect the Company’s ability to continue to develop its technology and market its products, (2) the variability in CounterPath’s sales from reporting period to reporting period due to extended sales cycles as a result of selling CounterPath’s products through channel partners or the length of time of deployment of CounterPath’s products by its customers, (3) the Company’s ability to manage its operating expenses, which may adversely affect its financial condition, (4) the Company’s ability to remain competitive as other better financed competitors develop and release competitive products, (5) a prolonged decline in the price of the Company’s common stock could result in a reduction in the liquidity of its common stock and a reduction in its ability to raise capital, or a delisting from a stock exchange on which the common stock trades, (6) the impact of intellectual property litigation that could materially and adversely affect the Company’s business, (7) the success by the Company of the sales of its current and new products, (8) the impact of technology changes on the Company’s products and on its industry, (9) the failure to develop new and innovative products using the Company’s technologies, (10) the potential dilution to shareholders or overhang on the Company’s share price of its outstanding stock options. Readers should also refer to the risk disclosures outlined in the Company’s quarterly reports on Form 10-Q, or in the annual reports on Form 10-K and the Company’s other disclosure documents filed from time-to-time with the Securities and Exchange Commission at www.sec.gov and the Company’s interim and annual filings and other disclosure documents filed from time-to-time on SEDAR at www.sedar.com.
CounterPath’s SIP-based VoIP softphones are changing the face of telecommunications. An industry and user favorite, Bria softphones for desktop and mobile devices, together with the Company’s server applications and Fixed Mobile Convergence (FMC) solutions, enable service providers, OEMs and enterprises to offer a seamless and unified communications experience across both fixed and mobile networks. Standards-based, cost-effective and reliable, CounterPath’s award-winning solutions power the voice and video calling, messaging, and presence offerings of customers such as Alcatel-Lucent, AT&T, Avaya, BroadSoft, BT, Cisco Systems, GENBAND, Metaswitch Networks, Mitel, NEC, Network Norway, Rogers and Verizon.
For more information about CounterPath’s Bria softphone applications and provisioning solutions, visit: www.counterpath.com/products.
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This news release contains “non-GAAP financial measures”. The non-GAAP financial measures in this news release consist of non-GAAP gross margin and non-GAAP income (loss) from operations which exclude non-cash stock-based compensation relative to gross profit and income (loss) from operations calculated in accordance with GAAP. The non-GAAP financial measures also include non-GAAP net income (loss) which excludes non-cash stock-based compensation and fair value adjustment on derivative instruments charges relative to income (loss) calculated in accordance with GAAP. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. CounterPath utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. CounterPath believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors' understanding of CounterPath’s core operating results and trends.