Ottawa technology firm Espial reported a strong fourth quarter on Thursday to round out a record revenue-generating year.
Espial (TSX:ESP), which makes software and interactive platforms for video service providers, posted revenues of $12.8 million in the final quarter of its fiscal 2016 year. That’s more than double its revenues of $5.2 million over the same period a year ago.
This growth can be largely tied to the company’s licenses and royalties from providing its television interface platform software. Revenues from these streams stood at $9.8 million for the quarter, an increase of nearly 400 per cent year-over-year.
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For Ginger Bertrand, some of her earliest childhood memories in Ottawa are centred around healthcare. “I grew up across the street from what was originally the General Hospital,” she explains,
Espial’s shareholders were excited as markets opened on Friday, as the company’s share price rose to $2.65 in early morning trading, an increase of 16 per cent from Thursday’s market close.
Espial’s revenues from its professional services for the quarter were $1.1 million, a drop from $1.6 million in 2015.
The company’s revenue growth translated into a profit of $2.5 million as compared to a $1 million loss a year previous.
Regionally, Espial saw the highest revenue gains in North America, as revenues were $7.8 million in fourth quarter of 2016, compared to $2.5 million a year earlier. Revenues from its European channels also increased significantly, coming in at $4.2 million for the quarter and nearly doubling 2015 figures.
The rapid growth quarter capped off a record year for Espial, as revenues for fiscal 2016 came in at $28.6 million, a 15 per cent increase over the previous year’s figures and a record for the company.
However, the company’s strong fourth-quarter financial performance couldn’t offset softness earlier in 2016 as Espial reported a full-year loss of $4.9 million, compared to a profit of $1.3 million in 2015.
In a statement, Espial CEO Jaison Dolvane said he was “very pleased” with results from the latest quarter and fiscal 2016 as a whole.
