IBEX Reports Results for the Second Quarter and the Six Months Ended January 31, 2021

MONTRÉAL, March 17, 2021 (GLOBE NEWSWIRE) -- IBEX Technologies Inc. (“IBEX” or the “Company”) (TSX Venture: IBT) today reported its financial results for the six months ended January 31, 2021.

“We are pleased that sales increased versus the previous quarter and vs. same quarter year ago, however we believe that much of this traces to COVID-19 related changes in purchasing patterns,” said Paul Baehr, IBEX President & CEO. Along with sales, our net working capital also increased vs. the previous quarter and same quarter year ago.

“Looking forward, we expect some softening in revenues over the next few quarters as customers adjust inventories and thus full fiscal year sales may be lower than last year. Consequently, we anticipate that Fiscal 2021 EBITDA will not reach the same level as F2020”.

“We are also pleased to report that we have advanced our diamine oxidase (DiaMaze) research project into development. DiaMaze will be marketed as a nutraceutical for persons suffering from histamine intolerance.

Note: All figures are in Canadian dollars unless otherwise stated. The Company’s audited consolidated financial statements for the year ended July 31, 2020 and the accompanying notes and the related management’s discussion and analysis is found on the Company’s website at www.ibex.ca or under the Company’s profile on SEDAR at www.sedar.com.

FINANCIAL RESULTS FOR THE SECOND QUARTER OF FISCAL 2021

Revenues for the quarter ended January 31, 2021 totaled $1,312,915 and were up 31% from $1,004,861 in the same period of the prior year.

The company recorded net earnings of $248,505 up $277,508 (vs. net loss $29,003 on a comparable basis in Fiscal 2020) tracing to an increase in revenues of $308,054.

Expenses before taxes were $1,064,357, up $30,493 vs $1,033,864 in the comparable per year ago, tracing mainly to a foreign exchange negative variance offset by the Canada Emergency Wage Subsidy (CEWS) of $159,706.

The increase in revenues, partially offset by an increase in expenses, led to the Company recording an EBITDA of $347,891 versus $80,986 in the same period a year ago.

It should be noted that “EBITDA” (Earnings Before Interest, Tax, Depreciation & Amortization) is not a performance measure defined by IFRS, but we, as well as investors and analysts, consider that this performance measure facilitates the evaluation of our ongoing operations and our ability to generate cash flows to fund our cash requirements, including our capital expenditures program. Note that our definition of this measure may differ from the ones used by other public corporations.