Kontrol Technologies Announces Record Fourth Quarter and Fiscal Year 2021 Financial Results
Revenues Increased 367% Year-over-Year to Record $58 Million in 2021
Toronto, ON / March 31st, 2022 / Kontrol Technologies Corp. (NEO:KNR) (OTCQB:KNRLF) (FSE:1K8) (“Kontrol” or the "Company") a leader in smart buildings and cities through IoT, Cloud and SaaS technology, provided financial results for the three months and fiscal year ended December 31, 2021. A complete set of the Financial Statements and Management's Discussion & Analysis have been filed on SEDAR (www.sedar.com).
Fourth Quarter and Fiscal Year 2021 Highlights
· Record revenues of $28.7 million in the fourth quarter of 2021, up 567% year-over-year
· Record revenues of $57.7 million in fiscal year 2021, up 367% year-over-year, exceeded guidance of $43 million to $46 million
· Record Adjusted EBITDA* of $6.5 million in fiscal year 2021, up 227% year-over-year and in-line with guidance of $6 million to $7 million
· Net income of $1.0 million in fiscal year 2021, compared to net loss of $1.9 million in 2020
· Cash flows from operating activities of $4.7 million in fiscal year 2021, up 200% year-over-year
· Strengthened balance sheet by eliminating $3.0 million of secured debt in 2021
· Completed acquisition of Global HVAC & Automation Inc. (“Global”)
Management Commentary
“2021 was a watershed year for Kontrol, as we executed well against our growth strategy to achieve revenue growth to a record of $58 million,” said Paul Ghezzi, CEO of Kontrol Technologies. “Our primary focus on sustainability, energy conservation, and greenhouse gas emission reduction are driving the organic expansion of our operating platform, while we continue to scale our acquisitions as demonstrated by the multi-year service agreements and large projects that we secured under our Global HVAC business. Our building technology and cloud-based platform are enabling us to expand our North American market footprint rapidly and with stability from our tier-one commercial and industrial customers. We are well positioned for a year of continued growth as we scale into new verticals and build our recurring revenues base with new contracts, while expanding opportunities within our existing blue-chip customer relationships. I look forward to providing updates on our progress as we work diligently to provide innovative solutions to some of the most important challenges facing our society and ultimately build sustainable long-term value for our stakeholders.”
* Adjusted EBITDA is a non-IFRS financial measure. The Company defines Adjusted EBITDA as net income or loss before interest, income taxes, amortization, and depreciation, share based compensation, acquisition related expenses, and listing expense.
Conference Call
The Company will host a conference call on Thursday, March 31st, 2022, at 8:30 AM Eastern Time to discuss Kontrol’s fourth quarter and fiscal year 2021 financial results. To participate, please use the following information:
Title: Kontrol Technologies Reports Q4 and Fiscal Year 2021 Financial Results
Event Date and Time: Thursday, March 31st, 2022 @ 8:30 AM Eastern Time
Event Duration: 45 Minutes
Webcast Link: Kontrol Technologies Q4 and Fiscal Year 2021 Webcast
Call-in Numbers:
Confirmation #: 19376558
Local: 416-764-8609 (Toronto)
North American Toll Free: 888-390-0605
Please dial in at least 5 minutes before the call start time to ensure timely participation.
A recording of the Q4 and Fiscal Year 2021 financial results conference call is available here:
Replay Local: 416-764-8677
Replay North American Toll Free: 1-888-390-0541
Replay Entry Code: 376558 #
Replay Webcast Link: Kontrol Technologies Q4 and Fiscal Year 2021 Webcast
Replay Expiration Date: April 7, 2022
About Kontrol Technologies Corp.
Kontrol Technologies Corp., a Canadian public company, is a leader in smart buildings and cities through IoT, Cloud and SaaS technology. Kontrol provides solutions and services to its customers to improve energy management, monitor continuous emissions and accelerate the sustainability of all buildings.
Additional information about Kontrol Technologies Corp. can be found on its website at www.kontrolcorp.com and by reviewing its profile on SEDAR at www.sedar.com
Kontrol Technologies Corp.
Paul Ghezzi
CEO
info@kontrolcorp.com
180 Jardin Drive, Unit 9, Vaughan, ON L4K 1X8
Tel: (905) 766.0400
Investor Relations:
Brooks Hamilton
MZ Group - MZ North America
KNRLF@mzgroup.us
Tel: +1 (949) 546.6326
Neither IIROC nor any stock exchange or other securities regulatory authority accepts responsibility for the adequacy or accuracy of this release.
Non-IFRS Financial Measures
The Company defines Adjusted EBITDA as net income or loss before interest, income taxes, amortization, and depreciation, share based compensation, and acquisition related expenses. The Company believes Adjusted EBITDA is a useful measure as it provides information to management about the operating and financial performance of the Company and its ability to generate operating cash flow to fund future working capital needs, as well as future growth. Adjusted EBITDA may also be used by investors and analysts for the purpose of valuing the Company. Readers are cautioned that these non-IFRS definitions are not recognized measures under IFRS, do not have standardized meanings prescribed by IFRS, and should not be construed to be alternatives to net earnings determined in accordance with IFRS or as indicators of performance, liquidity, or cash flows.
Forward-Looking Statements
This news release contains “forward-looking information” within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as “may”, “will”, “expect”, “likely”, “should”, “would”, “plan”, “anticipate”, “intend”, “potential”, “proposed”, “estimate”, “believe” or the negative of these terms, or other similar words, expressions, and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen, or by discussions of strategy.
Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is based on assumptions made in good faith and believed to have a reasonable basis. Such assumptions include, without limitation, that sufficient capital will be available to the Company and that technology will be as effective as anticipated.
However, forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected, or implied by such forward-looking
statements. Such risks include, but are not limited to, that sufficient capital and financing cannot be obtained on reasonable terms, or at all, that technologies will not prove as effective as expected, that customers and potential customers will not be as accepting of the Company's product and service offering as expected, and government and regulatory factors impacting the energy conservation industry.
Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and are based on the beliefs, estimates, expectations, and opinions of management on such date. Kontrol does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required under applicable securities law. Readers are cautioned to consider these and other factors, uncertainties, and potential events carefully and not to put undue reliance on forward-looking information.