Vigil Health Solutions Reports Profitable Second Quarter

Vigil Health Solutions Inc. (TSX VENTURE:VGL) ("Vigil") announces the results of
operations for the quarter ending September 30, 2013.


Business Highlights



--  Revenue grew 59% to $1.31 million from $826 thousand in the three-month
    period ended September 30, 2012 
--  Net Income of $22 thousand compared to $32 thousand in the three month
    period ended September 30, 2012. 
--  Bookings for the quarter were $1.12 million down 12% compared to $1.27
    million in the three-month period ended September 30, 2012. (Bookings
    year to date were up 19% at $2.72 million.) 
--  Increased backlog to approximately $3.26 million compared to
    approximately $2.72 million in the three-month period ended September
    30, 2012. 



"We are pleased to see another profitable quarter and steady sales bookings.
Vigil has focused on serving large multi-site corporate clients by providing
solutions for the full continuum of care. Corporate customers continued to
provide repeat business with a total of 8 new contracts signed by existing
clients in the quarter. Vigil also started 6 new projects in the quarter for a
recently acquired corporate client," stated Troy Griffiths, President and CEO of
Vigil Health Solutions Inc.


Financial Results

Revenue for the three-months ended September 30, 2013 was $1.31 million compared
to $826 thousand in the three-month period ended September 30, 2012, an increase
of 59%. Project revenue made up 65% of total revenue; the remaining revenue came
from follow on sales to existing customers. These sales include service and
maintenance billings and replacement products including wireless devices and
communication equipment.


Bookings for the quarter were $1.12 million down 12% compared to $1.27 million
in the three-month period ended September 30, 2012. Management believes this is
due in part to timing following the record bookings ($1.60 million) in the first
quarter of fiscal 2014. (Bookings year to date were up 19% at $2.72 million.)


At September 30, 2013 Vigil had a backlog of approximately $3.26 million
(including $1.45 million in deposits and progress billings, recorded as deferred
revenue on the balance sheet) a 20% increase compared to approximately $2.72
million (including $836 thousand in deposits and progress billings, recorded as
deferred revenue on the balance sheet) at September 30, 2012. At September 30,
2013, Vigil's backlog included 38 projects at varying stages of installation and
progress billing with an average project size of $86 thousand. This was up
slightly from the 37 projects with an average value of $74 thousand at September
30, 2012. Projects can include individual buildings or floors of multiple phase
campus construction.


The gross margin percentage for the three months ended September 30, 2013 was
45% compared to 49% for the three months ended September 30, 2012. Gross margin
was within management's usual expectations of margins of between 42% and 47%.
Margins have been higher in previous quarters due to a large number of one off
sales, which usually have better margins due to the lower labour component.
There were also a number of projects in the current quarter that included
subcontractor labour which is usually lower margin.


Expenditures for the three months ended September 30, 2013 were $577 thousand,
up 59% from $363 thousand for the period ended September 30, 2012. The increase
is primarily due to increased compensation costs reflecting higher staffing
levels. Staffing is now back to normal levels similar to those seen prior to the
recession.


Net income for the three month period ended September 30, 2013 was $22 thousand,
or $0.001 per share compared to income of $32 thousand, or $0.002 per share for
the previous year. The profitable quarter follows an increase in all operating
costs as staffing levels and related expenses return to normal levels. The
decline in profitability relates to the small decrease in gross margin year over
year as well as the increase in operating costs.


Detailed financial statements along with Management Discussion and Analysis have
been filed with SEDAR (www.sedar.com).


Financial information will be mailed to entitled security holders on November
29, 2013. Or, upon notice to the Company, entitled security holders may request
a copy of financials in advance.


Summary Financial Information



----------------------------------------------------------------------------
                             Three months ended            Six months ended 
                    September 30, September 30, September 30, September 30, 
                             2013          2012          2013          2012 
----------------------------------------------------------------------------
Revenue            $    1,310,206       826,434     2,204,103     1,499,662 
Cost of sales             720,909       423,838     1,144,007       765,754 
----------------------------------------------------------------------------
                          589,297       402,596     1,060,096       733,908 
                                                                            
Expenses                  577,227       363,070     1,040,657       755,975 
                                                                            
----------------------------------------------------------------------------
Income (loss)                                                               
 before the                                                                 
 following items           12,070        39,526        19,439       (22,067)
                                                                            
Other income                                                                
 (expense)                  9,475        (7,362)       22,607        (7,066)
                                                                            
----------------------------------------------------------------------------
Income / (loss)                                                             
 for the period    $       21,545        32,164        42,046       (29,133)
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Non-IFRS Measure

For the three months ended September 30, 2013, we are disclosing Adjusted
EBITDA, a non-IFRS financial measure, as a supplementary indicator of operating
performance. We define Adjusted EBITDA as net income before, interest, income
taxes, amortization, stock based compensation and currency gains or losses
including derivative foreign exchange differences. We are presenting the
non-IFRS financial measure in our filings because we use it internally to make
strategic decisions, forecast future results and to evaluate our performance and
because we believe that our current and potential investors and analysts use the
measure to assess current and future operating results and to make investment
decisions. It is a non-IFRS measure, may not be comparable to other companies
and it is not intended as a substitute for IFRS measures.




----------------------------------------------------------------------------
                             Three months ended            Six months ended 
                    September 30, September 30, September 30, September 30, 
                            2013          2012           2013          2012 
----------------------------------------------------------------------------
Income / (loss)                                                             
 for the period    $       21,545        32,164        42,046       (29,133)
                                                                            
Add / (deduct)                                                              
 Foreign exchange          (2,695)       11,062       (19,473)       (6,671)
 Derivative                                                                 
  exchange                 (6,890)       (7,858)       (3,989)        5,642 
 Interest                     110         4,158           855         8,185 
 Stock based                                                                
  compensation             24,645        12,643        34,622        13,354 
 Amortization               4,162         3,812         7,666         8,229 
----------------------------------------------------------------------------
                           19,332        23,817        19,681        28,649 
                                                                            
----------------------------------------------------------------------------
Adjusted EBITDA    $       40,877        55,981        61,727          (484)
----------------------------------------------------------------------------
----------------------------------------------------------------------------



About Vigil Health Solutions Inc.

Vigil offers a proprietary technology platform combining software and hardware
to provide comprehensive solutions to the expanding seniors' housing market.
Vigil has established a growing presence in North America and an international
reputation for being on the leading edge of systems design and integration.
Vigil's objective is to offer solutions for the full continuum of care. Vigil's
product range includes the innovative wireless Vitality Care System(TM)
featuring discreet 'mini pendants', a nurse call system, mobile fall,
incontinence monitoring, resident check and the award-winning Vigil Dementia
System.


Certain statements contained in this news release that are not based on
historical facts may constitute forward-looking statements or forward-looking
information within the meaning of applicable securities laws ("forward-looking
statements"). These forward-looking statements are not promises or guarantees of
future performance but are only predictions that relate to future events,
conditions or circumstances or our future results, performance, achievements or
developments and are subject to substantial known and unknown risks,
assumptions, uncertainties and other factors that could cause our actual
results, performance, achievements or developments in our business or in our
industry to differ materially from those expressed, anticipated or implied by
such forward-looking statements.


Forward-looking statements include all financial guidance, disclosure regarding
possible events, conditions, circumstances or results of operations that are
based on assumptions about future economic conditions, courses of action and
other future events. We caution you not to place undue reliance upon any such
forward-looking statements, which speak only as of the date they are made. These
forward-looking statements appear in a number of different places in this
presentation and can be identified by words such as "may", "estimates",
"projects", "expects", "intends", "believes", "plans", "anticipates", or their
negatives or other comparable words. Forward-looking statements include
statements regarding the outlook for our future operations, plans and timing for
the introduction or enhancement of our services and products, statements
concerning strategies or developments, statements about future market
conditions, supply conditions, end customer demand conditions, channel inventory
and sell through, revenue, gross margin, operating expenses, profits, forecasts
of future costs and expenditures, the outcome of legal proceedings, and other
expectations, intentions and plans that are not historical fact.


The risk factors and uncertainties that may affect our actual results,
performance, achievements or developments are many and include, amongst others,
our ability to develop our sales force and generate revenue, the length of the
sales cycle, management of the Company's growth, ability to recruit and retain
staff, fluctuations in demand for current and future products, our ability to
develop, manufacture, supply and market existing and new products that meet the
needs of customers, volatility in the exchange rate, ability to secure
financing, ability to secure product liability insurance, the continuous
commitment of our customers, increased competition, changes in regulation and
reliance on third party suppliers. These risk factors and others are discussed
in the Risks and Uncertainties section of our "Management Discussion and
Analysis" segment of our fiscal 2013 Annual Report. Many of these factors and
uncertainties are beyond the control of the Company. Consequently, all
forward-looking statements in this news release are qualified by this cautionary
statement and there can be no assurance that actual results, performance,
achievements or developments anticipated by the Company will be realized.


Forward-looking statements are based on management's current plans, estimates,
projections, beliefs and opinions and, except as required by law, the Company
does not undertake any obligation to update forward-looking statements should
the assumptions related to these plans, estimates, projections, beliefs and
opinions change.


The TSX Venture Exchange has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Vigil Health Solutions Inc.
Troy Griffiths
President and CEO
[phone]
[phone] (FAX)
[e-mail]


Vigil Health Solutions Inc.
2102-4464 Markham Street
Victoria, BC
V8Z 7X8
www.vigil.com