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QIS Quorum Information Technologies Inc

0.85
-0.02 (-2.30%)
19 Jul 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type
Quorum Information Technologies Inc TSXV:QIS TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  -0.02 -2.30% 0.85 0.86 0.87 0.88 0.85 0.88 7,000 20:59:06

Quorum Announces Revenue Milestone

18/02/2009 4:03pm

Marketwired Canada


Quorum Information Technologies Inc. (TSX VENTURE:QIS) (Quorum) announced today
that its core recurring operational revenue continues to grow.  Quorum has four
key revenue streams; recurring support, migrations, integration services and new
sales.  Recurring support revenues are a significant key to the valuation,
profitability and cash flow of the company.  For the fourth quarter of FY2008,
Quorum will report recurring support revenues of over $1.4 million, an increase
of 21% over the $1.16 million reported in Q4 2007.  Recurring support revenue is
now almost two thirds (2/3) of Quorum's total quarterly revenue.  Quorum will
report fourth quarter and annual results on all revenue streams in April 2009.


Migrations revenue is generated from selling services and hardware to bring
existing customers up to the current technology platform so that they can
convert to the latest version of XSELLERATOR(tm) and the IDMS program offered by
General Motors. Currently, of Quorum's 230 customers, more than 190 customers
are now migrated. Expectations are for the balance of customers to migrate prior
to the end of Q2 2009. 


Integration Services with General Motors continues to move forward with several
key Parts integration points being released in the U.S. in February,
specifically:


- Parts Workbench "Material Returns and Part Claims" (U.S.) is the replacement
functionality from the previous RAPID system that was decommissioned by GM. 


- Parts Invoice Parts Workbench "Parts Invoice" (U.S.) is a new ebXML interface
that will all dealerships to view and print invoice reports in XSELLERATOR.


- Parts Workbench "Parts Shipment" (U.S.) involves integration between GM and
XSELLERATOR with regard to parts shipment information.


A number of new integration functions have already been deployed in the past few
months in the U.S., including Parts Order, Parts Availability, SPAC Inquiry and
Parts Information. These integration points create substantial efficiencies and
move Parts staff towards conducting most of their job functions using
XSELLERATOR.


Several integration points to support dealerships' Sales functions are also
being released in the U.S. in February, including:


- Sales Workbench "Send Deal" - Vehicle Sale quotes initiated on the Sales
Workbench can be sent to the Quorum DMS creating a new vehicle sale record.


- Sales Workbench "Vehicle Locate" - Allows the user to make a request for
vehicle status from the sales workbench. The web service will advise the user if
a vehicle is "In Quote", "Quote Approved", "Blocked by Sales", "Available".


And in Canada:

- Open Leads Interface (OLI) - This project will replace the leads available to
GM Dealers in Canada via GM Global Connect spreadsheets with a true STAR
standard lead interface.  The leads will be received from GM and flow into the
XSellerator customer prospecting area.


Finally, testing is currently underway for the following integration for the
U.S. and Canada:


- Customer Delivery Reporting (CDR) - this interface developed in the U.S.
designed to electronically submit delivery records from XSELLERATOR to GM will
also replace the Canadian version known as VDR.  


- Global Warranty Management (GWM) - This integration point will replace the
current GM WINS warranty claim integration.


"Although the current dealership environment is difficult, our sales group
continues to offer creative sales programs to prospective new customers.  There
has never been a better time for a dealership to purchase XSELLERATOR, and we
continue to sell systems. Given market conditions, however, we expect our new
sales to be down for 2009," commented Maury Marks, Quorum's President and CEO.
"As a result, we have reduced our cost structure to a level where we forecast
that by Q2 FY2009, our recurring support and integration services revenues will
cover over 95% of our fixed costs.


In other news, the Company has cancelled 1.64 million employees' and
consultants' options.  The Company has issued 1.86 million new options to
employees and consultants at $0.15 per share.  The options are governed by the
Company stock option plan and are an important component of the Company's
employee compensation and retention strategy. 


About Quorum

Headquartered in Calgary, Alberta, Quorum's focus is on developing, marketing,
implementing and supporting its DMS products for the automotive vertical.
Quorum's suite of dealership and customer management software products automate,
integrate and streamline every process across departments in a dealership. One
of the select North American suppliers of General Motors' IDMS, Quorum is the
third largest DMS provider for GM's Canadian dealerships with over 20% of the
market. Quorum is a Microsoft Gold Certified Partner and Field-Level Managed ISV
in both Canada and the United States.  Quorum Information Technologies is traded
on the Toronto Venture Exchange (TSX-V) under the symbol QIS. For additional
information, please go to www.QuorumDMS.com.


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