VendTek Systems announces first quarter 2012 financial results

    




 TSX Venture Exchange: VSI  

 VANCOUVER, March 30, 2012 /CNW/ - VendTek Systems Inc.  (the  "Company"), a developer and licensor of software for the global prepaid  and financial services markets, today reported its financial results  for the first quarter ended January 31, 2012. 

 Selected First Quarter Operational Highlights 




        --  Signed agreement with Multipla in Brazil to offer recharge
            services to Multipla's 500 merchants.
        --  Expansion of the Now Prepay Network in Brazil to 1,865
            locations
        --  Completed the initial development of the mobile commerce
            platform




 Selected Financial Information for the Three Months ended January 31,  2012 




        --  Revenues for the three months ended January 31, 2012, decreased
            $2.2 million to $24.3 million from $26.5 million for the
            corresponding period in 2011;
        --  Gross margin increased to 5.7% for the three months ended
            January 31, 2012, from 5.2% for the first three months of 2011;
        --  Adjusted EBITDA1 decreased to a loss of $639,000 for the first
            quarter of 2012 from $305,000 for the first quarter of 2011;
        --  Net loss of $939,058 for 2012, compared to $451,421 for 2011.




 "We have seen steady growth in our Brazilian network," said Doug  Buchanan, President and Chief Executive Officer of VendTek. "We  invested approximately $630,000 during the quarter to expand our  network in Brazil. We continue to explore opportunities to accelerate  our expansion in Brazil while controlling our costs." 

 "We are also pleased that we have improved our margins in our North  American operations. Our focus on expanding our product portfolio to  include financial products has a positive impact on our gross profits  and has diversified our product offering," continued Mr. Buchanan. 

 Nurez Khimji, Secretary and Chief Financial Officer of the Company, says  the Company reached an important milestone with the successful  completion of the first phase of the mobile commerce platform. "We can  now connect any mobile wallet account or bank account to each other.  This will allow for increased financial inclusion in the developing  world. This will also allow for people in the developing world to  receive their pay, top-up their phone, or pay for their utility bill  directly from their mobile phone. We expect that our first deployment  will be in Afghanistan," said Khimji. 

 VendTek's MD&A and complete statements are available at www.sedar.com and the Company's website www.vendteksystems.com. 

 Conference Call VendTek management will host a conference call on Monday April 2nd at  8:30 AM EDT (5:30 AM PDT) to discuss its financial results and  operational highlights for the first quarter of fiscal 2012. 

 To access the conference call by telephone, dial 1-647-427-7450 or  1-888-231-8191 and reference the company name, VendTek Systems Inc., or  the conference code 67866258. 

 A live audio webcast of the conference call will be available at http://www.newswire.ca/en/webcast/detail/946771/1013503 Please connect at least 15 minutes prior to the conference call to  ensure adequate time for any software download that may be required to  join the webcast. 

 (___________________________) (1) Management defines Adjusted EBITDA as net income adjusted for  financing, taxes, depreciation, amortization expenses, foreign exchange  differences and stock based compensation expense. Please see the  Management Discussion and Analysis for more details. 

    

VendTek Systems Inc.


CONTACT:  or to receive the complete statements please contact SamanthaWhite at604-805-4653 or 1-800-806-4958 or [e-mail]. 


    

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