Ottawa-based ProntoForms’ in-house sales drive 13% rise in Q2 revenue

Tablet
Stock image for illustrative purposes only.

Revenues continue to climb at ProntoForms (TSX-V:PFM). The Kanata-based tech firm reported revenues of $3.3 million for the second quarter that ended June 30, a 13-per-cent increase over the same quarter a year ago.

The firm, which develops a mobile workflow and analytics platform, says its in-house sales staff drove this growth. Direct recurring revenue rose 41 per cent this past quarter, while the contributions from the firm’s channel partners – IT resellers and tier-1 carriers such as AT&T – dropped by 11 per cent year-over-year. Total recurring revenue for the quarter was roughly $3 million, a 16-per-cent increase.

In a statement, CEO Alvaro Pombo remained high on the firm’s channel partners despite this quarter’s drop-off in earnings.

“Inspections, human actions in the field and IoT digitalization of assets are generating more workflows that constantly evolve, and our platform is a great solution to these growing requirements. To accelerate market penetration, we have adopted a partner strategy to complement our direct initiatives and this market approach is strengthening," Mr. Pombo said.

ProntoForms posted a net loss of $1.2 million this past quarter, a deeper loss than $865,000 a year ago.

The firm also filled its coffers in Q2, completing a private placement worth $5.8 million. Cash in hand stood at $8.5 million at the end of the quarter.

ProntoForms share price was down 10 per cent, or four cents, to 36 cents on the TSX Venture Exchange in early afternoon trading on Monday.