Clear Blue Technologies announces Q3 2020 Financial Results
Revenue of $940,849, Gross Margin 40%, negative EBITDA of $796,293
November 18, 2020, TORONTO, ON -- Clear Blue Technologies International Inc. (“Clear Blue”) (TSXV: CBLU) (FRANKFURT: OYA), the Smart Off-Grid™ company, today announces its 2020 third quarter and trailing four quarter (“TFQ”) period results, with the following highlights:
Key Financial Results (all figures in Canadian dollars)
- TFQ Revenue was $3,912,204, a 45% increase over the previous TFQ period;
- Beginning Q2, 2020, the Company began reporting Bookings (see more info below). For the period ending September 30, 2020, the Bookings were $1,378,722;
- Gross profit for TFQ was $992,485 or 25.4%, down slightly from the previous period ($704,548 or 26.1%). This was largely the result of a reallocation from operating expenses to COGS beginning in Q4 2019. Without this, Gross Profit or the previous TFQ would have increased to $1,122,616 or 29%;
- Operating expenses for the TFQ ended September 30, 2020 were $4,781,601, a decrease of $527,185 or 10% compared to the same period in 2019;
- Non-IFRS Adjusted EBITDA for the TFQ was $(3,811,233) as compared to $(4,148,486) for the previous TFQ—an 8% improvement resulting from various cost reduction plans undertaken by the Company as well as government Covid-19 funding support;
For the quarterly Q3 2020 results:
- Q3 quarterly revenues were $940,849, a 40% increase over Q3 2019 ($670,159);
- Gross profit for Q3 was $375,595 or 40% Gross Margin;
- Quarterly, operating expenses increased by $584,067 for the three-month period ended September 30, 2020 versus 2019. This was due to one-time credit of $609,675 for bad debt recovery and government tax credit items in the 2019 operating expenses. Without this, 2020 operating expenses decreased by $25,608 over Q3 2019;
- Quarterly Adjusted EBITDA was ($796,293) versus $172,120 for Q3 2019 due to the one-time transaction mentioned above in Q3 2019.
Clear Blue’s investment in the telecom vertical and Africa is now yielding great results. Subsequent to the quarter end, Clear Blue announced its first roll-out for Orange in Cameroon, in partnership with NuRAN. NuRAN and Clear Blue will provide Rural Telecommunications systems and ongoing operational services in Cameroon to Orange S.A. (NYSE: ORAN), one of the world’s largest mobile network operators.
Additionally, yesterday, the Company was very pleased to announce the award of its third Large Roll-out project. With a major infrastructure operator in Africa, this project is forecast to generate sales of $5 million for 400 telecommunications sites, with 30% delivered in Q4 2020 and the remainder in Q1 2021. These and other activities bode well for Clear Blue’s growth trajectory for the remainder of 2020 and into 2021.
“While Covid impacted our Q2 and Q3 2020, the projects are now moving forward,” said Miriam Tuerk, Co-Founder & CEO. “We are thrilled and excited to begin implementing these large projects, and others, after having worked hard to deliver the required technology and service solutions to make this a reality. The entire team at Clear Blue has worked very hard to achieve this milestone and I am thrilled and honoured to represent Clear Blue’s co-founders, management and entire team to the market.”
While there continues to be significant uncertainty over the forward outlook, as with the world economy and budgets in general, Clear Blue continues to see strong and strategic interest in its offerings in both of its key markets—North American Streetlights as well as Telecom in Emerging markets. Telecom, connectivity, and cleantech are key growth sectors in the world’s economy and Clear Blue continues to be positioned as a key and strategic leader in innovating technologies that make it possible to reliably and cost effectively provide clean off-grid energy to mission critical customers around the world.
The Company will host a conference call to discuss its latest financial results at 1:30 PM Eastern Time (Canada/U.S.) on Wednesday, November 18, 2020.
Those interested can register at: https://zoom.us/webinar/register/WN_40QuWVqfRsetC6-8HHTLKQ
Montieth & Company
155 E 44th St., New York, NY 10017
Co-Founder and CEO
+1 416 433 3952
About Clear Blue Technologies International
Clear Blue Technologies International, the Smart Off-Grid™ company, was founded on a vision of delivering clean, managed, “wireless power” to meet the global need for reliable, low-cost, solar and hybrid power for lighting, telecom, security, Internet of Things devices, and other mission-critical systems. Today, Clear Blue has thousands of systems under management across 37 countries, including the U.S. and Canada. (TSXV: CBLU) (FRANKFURT: OYA)
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains certain "forward-looking information" and/or "forward-looking statements" within the meaning of applicable securities laws. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Clear Blue’s beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Clear Blue'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, information concerning financial results and future upcoming contracts.
By identifying such information and statements in this manner, Clear Blue 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 Clear Blue to be materially different from those expressed or implied by such information and statements.
An investment in securities of Clear Blue is speculative and subject to several risks including, without limitation, the risks discussed under the heading "Risk Factors" in Clear Blue's listing application dated July 12, 2018. Although Clear Blue 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, Clear Blue has made certain assumptions. Although Clear Blue 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. All subsequent written and oral forward- looking information and statements attributable to Clear Blue or persons acting on its behalf is expressly qualified in its entirety by this notice.