Wi2Wi Corporation Announces Second Quarter Financial Results

Rhea-AI Summary

Wi2Wi Corporation reported its Q2 FY22 financial results, revealing a revenue of $1.561 million but a significant decline in gross profit from $465,000 in Q2 FY21 to $128,000. The company has $1.812 million in cash and is investing heavily in R&D, anticipating a strong book-to-bill ratio moving forward. Despite a net loss of $426,000, management is optimistic about future bookings and the company's prospects as they prepare for increased demand across sectors including avionics and healthcare.

Positive

• Investment in R&D aimed at supporting customer needs.
• Cash management strategy remains effective with $1.812 million in cash.
• Increased inquiries from new and existing customers.

Negative

• Gross profit decreased from $465,000 in Q2 FY21 to $128,000.
• Net income reported a loss of $426,000.
• Total assets decreased from $11,261,000 to $9,590,000.

Wi2Wi Invests in R&D and Prepares for Rising Book-to-Bill Ratio

TORONTO, ON / ACCESSWIRE / August 12, 2022 / Wi2Wi Corporation today announced its unaudited consolidated financial results for the quarter ending June 30, 2022. The company continues to execute on the fundamentals of its operations, while investing in research and development to best serve customers.

Key Financial Highlights

In Q2 FY22, Wi2Wi saw new inquiries for quotes from new and existing customers, including those in avionics, IIoT and healthcare. The company is investing heavily in R&D both internally and externally and anticipates a healthy book-to-bill ratio to continue in the coming months.

This quarter, revenue was $1.561 million. Gross profit decreased from $465,000 in Q2 FY21 to $128,000. The company's cash management strategy remains effective, with $1.812 million in cash on hand.

"As we close out the first half of FY22, we are excited about the prospects on the horizon," said Zachariah Mathews, Chief Executive Officer of Wi2Wi. "Our continued focus on R&D shows outstanding promise, and we are seeing increased bookings and interest from both new and existing customers. We look forward to welcoming Jason Grelowski, an experienced business executive and entrepreneur, to our board. Through these changes, we are confident our positive momentum will carry forward and that our book-to-bill ratio will continue to rise in the coming months."

Q2 FY22 Financial Overview (Unaudited)

(In thousands of U.S. dollars)		3 Months ending June 30, 2022				3 Months ending June 30, 2021
Revenue		$	1,561			$	1,619
Net income			(426	)			(2	)
Net cash provided by (used in) operations			(146	)			383
Total assets			9,590				11,261
Cash on hand			1,812				2,517
Total current liabilities			1,289				1,712
Shareholders' equity			5,718				6,365

Detailed and historical financial information is available here.

Investor & Media Contact

Dawn Leeder, Chief Financial Officer
+1-608-203-0234
dawn_l@wi2wi.com

About Wi2Wi Corporation

Wi2Wi enables customers to substantially reduce their wireless R&D expenses and time to market. Wi2Wi designs, manufactures and markets deeply integrated, end-to-end wireless connectivity solutions as well as customizable, high-performance timing and frequency control devices. Wi2Wi provides real time technical support throughout the entire product life cycle for customers across the Internet of Things (IoT), Industrial Internet of Things (IIoT), Avionics, Space, Industrial, Medical and Government sectors.

Wi2Wi was founded in 2005 and is strategically headquartered in San Jose, California with satellite offices in Middleton, Wisconsin and Hyderabad, India. Wi2Wi's manufacturing operations, its laboratory for reliability and quality control, together with design and engineering for timing and frequency control devices are located in Middleton, Wisconsin. The branch office, located in Hyderabad, India, focuses on developing end to end wireless connectivity subsystems and solutions.

Wi2Wi has partnered with best-in-class global leaders in technology, manufacturing and sales. The company uses a global network of manufacturer's representatives to promote its products and services, and has partnered with world class distributors for the fulfillment of orders along with direct sales.

Forward-Looking Statements: This news release contains certain forward-looking statements, including management's assessment of future plans and operations, and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with the ability to access sufficient capital, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, stock market volatility. The Company's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, that the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the Company's operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward- looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Wi2Wi Corporation

View source version on accesswire.com:
https://www.accesswire.com/711671/Wi2Wi-Corporation-Announces-Second-Quarter-Financial-Results

FAQ

What were Wi2Wi's financial results for Q2 FY22?

Wi2Wi reported a revenue of $1.561 million and a net loss of $426,000 for Q2 FY22.

How did Wi2Wi's gross profit change in Q2 FY22 compared to Q2 FY21?

Wi2Wi's gross profit declined from $465,000 in Q2 FY21 to $128,000 in Q2 FY22.

What is the current cash position of Wi2Wi Corporation?

As of June 30, 2022, Wi2Wi holds $1.812 million in cash.

What sectors is Wi2Wi focusing on for increased customer inquiries?

Wi2Wi is seeing inquiries from avionics, IIoT, and healthcare sectors.

What future outlook did Wi2Wi management provide?

Management is optimistic about a healthy book-to-bill ratio and increased bookings in the coming months.