Epic Data Announces Q1 Results

Epic Data International Inc. (TSX VENTURE:EKD) (the "Company" or "Epic Data"), a
provider of manufacturing operations management and real-time data collection
solutions, today announced the results of operations for the three months ended
December 31, 2011.


Highlights in the Quarter



--  Hired a Vice President of Sales 
--  Hired a Director of Product Development 
--  Formed a wholly owned subsidiary in Shanghai, China, hired a sales team
    and commenced hiring for our new research and development centre in
    Wuhan, China 
--  Entered into a joint venture arrangement with Huazhong University of
    Science & Technology in Wuhan China, which is expected to be operational
    early in the third quarter 

Results of Operations                                                  
                                                                       
                                                    Three months ended 
                                                           December 31, 
                                                 2011             2010 
                                     ---------------- -----------------
                                                                       
Revenue                               $       869,503  $     1,281,452 
                                                                       
Cost of sales                                 405,438          610,736 
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Gross margin                                  464,065          670,716 
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Expenses                                                               
  General and administration                  479,765          379,695 
  Sales and marketing                         444,697          277,434 
  Product development                         232,368          145,586 
  Net finance charges                          22,886           11,163 
  Foreign exchange                              5,179           32,055 
  Interest accretion                            2,128                - 
-----------------------------------------------------------------------
                                                                       
                                            1,187,023          845,933 
-----------------------------------------------------------------------
                                                                       
Net loss for the period                      (722,958)        (175,217)
-----------------------------------------------------------------------
                                                                       
Loss per share - basic and diluted    $         (0.02) $         (0.01)
-----------------------------------------------------------------------



Results of Operations for the Three Months ended December 31, 2011

Revenue

Revenue for the three months ended December 31, 2011 decreased $411,949 or 32%
to $869,503 compared with $1,281,452 in the same period last year. The decrease
in revenue was due mainly to the slower sales in the quarter.


Gross Margin

The gross margin for the three months ended December 31, 2011 decreased $206,652
or 31% to $464,064 as compared with $670,716 in the same period last year. The
decrease was due to the lower revenue.


The gross margin as a percentage of revenue for the three months ended December
31, 2011 increased to 53% compared with 52% in the same period last year. The
increase in the period was due mainly to the amount of staffing costs being
allocated to cost of sales based on the amount of project work.


General and administration

General and administration expenses for the three months ended December 31, 2011
increased $95,003 or 26% to $460,793 compared with $365,790 in the same period
last year. The increase is principally due to the operations in China.


Sales and marketing

Sales and marketing expenses for the three months ended December 31, 2011
increased $167,263 or 60% to $444,697 compared with $277,434 in the same period
last year. The increase is due primarily to additional sales personnel plus the
operations in China.


Product development

Product development expenses for the three months ended December 31, 2011
increased $86,782 or 60% to $232,368 compared with $145,586 in the same period
last year. The increase is due to the development of the Epic Data MES suite of
applications and the new development team in Wuhan, China.


Net Finance Charges

Net finance charges for the three months ended December 31, 2011 increased
$11,723 or 105% to $22,886 compared with $11,163 in the same period last year.
The increase is due to the term loan received January 31, 2011.


Net loss

Net loss for the three months ended December 31, 2011 increased $546,699 or 312%
to $721,916 compared with $175,217 in the same period last year.


New Director

The Company announces that effective today Mr. Frank Pho has been appointed to
the Board of Directors. Mr. Pho is a Chartered Accountant and is currently the
Vice-President of Global Expansion for the Business Development Bank of Canada.
"The Board welcomes Frank Pho to Epic Data", said Iain Mant, Chairman of the
Board. "He brings a wealth of experience in international business expansion to
Epic Data, which will be of great benefit as the Company executes on its
corporate growth strategies."


Appointment of Officer

The Company announces that Mr. Mike Barnsley has been appointed Chief Financial
Officer. Mr. Barnsley is a Chartered Accountant and has been a financial
consultant to the Company since 2008.


Grant of Stock Options

The Company announces that it has granted 275,000 stock options to
non-management directors and an employee. The term of the options will be 7
years and the exercise price will be the greater of the closing price on March
1, 2012 or $0.10 per share.


About Epic Data

Epic Data International Inc. has produced manufacturing execution and warehouse
management solutions for 36 years. Epic Data solutions synchronize supply chain
and production activities to achieve real-time visibility of manufacturing
metrics that reduces cycle times and costs, optimizes production planning and
control, and boosts quality and efficiency. The solutions are easily implemented
either by module or as a completely integrated solution suite across the global
enterprise. Customers include Hawker Beechcraft, Lockheed Martin, Bell
Helicopter, Komatsu, Bombardier Learjet, CAE Inc., Kingfisher (B&Q) plc, Joy
Mining Machinery, Cobham Defence Communications Ltd., GE Aircraft Engine,
Contour Premium Aircraft Seating, McBride plc, Phoenix Contact, Rolls-Royce and
Volvo.


More information about Epic Data is available at www.epicdata.com.

Caution Regarding Forward-looking Statements

In this document and in other documents filed with Canadian regulatory
authorities or in other communications, the Company may from time to time make
written or oral forward-looking statements within the meaning of applicable
securities legislation, including statements regarding the Company's business
plans and financial objectives. These statements typically use words such as
prospects, believe, estimate, forecast, project, expect, anticipate, plan, may,
should, could and would, or the negative of these terms, variations thereof or
similar terminology. By their very nature, forward-looking statements are based
on assumptions and involve inherent risks and uncertainties, both general and
specific in nature. It is therefore possible that the forecasts, projections and
other forward-looking statements will not be achieved or will prove inaccurate.
Although the Company believes that the expectations reflected in these
forward-looking statements are reasonable, it provides no assurance that these
expectations will prove to have been correct. The Company cautions readers
against placing undue reliance on forward-looking statements when making
decisions, as the actual results could differ considerably from the opinions,
plans, objectives, expectations, forecasts, estimates and intentions expressed
in such forward-looking statements due to various material factors. Among other
things, these factors include fiscal and economic policies, changes in interest
and foreign exchange rates, and general economic conditions, legislative and
regulatory developments, competition and access to capital. The Company further
cautions that the foregoing list of factors is not exhaustive. For more
information on the risks, uncertainties and assumptions that would cause the
Company's actual results to differ from current expectations, please also refer
to the Company's public filings available at www.sedar.com. The Company does not
undertake to update any forward-looking statements, whether oral or written,
made by itself or on its behalf, except to the extent required by securities
regulations.