D-BOX Technologies Inc., has announced the results for the fourth quarter and fiscal year ended March 31, 2020. The company also expressed the details on the impact of COVID-19 pandemic.
Before getting into results we need to know that the dollar amounts expressed in the results are basically in Canadian currency. D-BOX reported fourth quarter of the fiscal year ended March 31, 2020 revenues of $6.6 million, a decrease of 20.4% compared to the fourth quarter of previous fiscal year revenues of $8.3 million. Recurring revenues were recorded at $1.3 million for the quarter compared to $1.8 million reported in the prior year same period. Its net loss for the fourth quarter was $3.1 million which jumped about 400% compared to previous year same quarter net loss of $0.6 million. It includes $0.4 million as restructuring costs that reflect the amount comprised in the change of the organizational structure and $1.3 million sat in the impairment charges. The company reported Adjusted EDITDA of $7 thousand decreased from $0.3 million.
The Company known for immersive entertainment experiences reported full year ended March 31, 2020 revenues of $25.9 million, a decrease of 24% compared to the previous year revenues of $34.2 million. Recurring revenues were recorded at $7.3 million for the full year as compared to $8.6 million reported in the previous year. Its net loss for the financial year was $1.7 million which jumped about 270% compared to previous year net loss of $6.3 million. It includes $1.4 million as restructuring costs and $1.3 million as impairment charges. The company reported Adjusted EDITDA of $0.6 million compared to Adjusted EDITDA of $2.1 million reported for previous year.
Sébastien Mailhot, President and CEO of D-BOX said that COVID-19 pandemic intensely impacted the company’s fourth quarter results. He expressed, “With mandated social distancing and government-imposed temporary shutdown of entertainment venues around the world, the impact on our industry was exacerbated during the month of March.” He added that it’s D-BOX key priority to achieve a profitable business till its business activity normalizes. The company took steps to transform itself into a different structure in order to ensure the long-term sustainability of the core business.
The corporation expects that $2 million increased in long-term debt with the Business Development Bank of Canada and the reconstituting of the current debt with the National Bank of Canada to provided credit of $4 million will help the company’s liquidity position.