Proactive Investors - Run By Investors For Investors

RSI International Systems says it's back towards operating free cash flow positive

The firm has resumed its progress of becoming operating free cash flow positive
RSI International Systems says it's back towards operating free cash flow positive
The company provides software solutions to the hotel industry

RSI International Systems Inc (CVE:RSY), which has developed a web-based property management system, told investors it was back on track to become operating free cash flow positive, as it posted first quarter numbers.

"We are pleased to resume our progress in becoming operating free cash flow positive after getting off trend in third quarter and fourth quarter last year," said Tim Major, the group's president and chief executive.

"With the payments resulting from a customer billing dispute and the costs of significantly reducing our monthly office space fully provided for in fourth quarter 2017, two major cost hurdles are behind us, and this will help our financial performance going forward."

Major added: "We had some difficult decisions to make in 2017, and in particular towards the end of the year.

"We believe that the company is now set to reap the financial benefits of these and other decisions, as we continue to improve the company's financial health and best position ourselves to deliver value to our shareholders."

The firm  sold 33 new PMS to properties in the first compared to 41 in the same period last year and customer revenue was C$1.174mln compared to C$1.324mln in the same period in 2017, a decrease of 11%.

The net loss was C$151,853, compared to a loss  of C$69,206 for Q1 2017.

In order to realise its near term goal of being free cash flow positive, RSI confirmed again that it is implementing cost rationalization strategies as well as ways to increase the speed of software development.

View full RSY profile View Profile

RSI International Systems Inc. Timeline

Related Articles

Background check
May 14 2019
The company provides background check and medical screening solutions for employers to give them reliable information when hiring new staff.
Rail car on a track
July 27 2018
The US has more than 1.5 million freight cars and Duos Technologies has found a faster and innovative way to safely maintain them
scientist in laboratory
March 07 2019
In a January update, Instem said trading had been in-line with expectations, helped by a 500% rise in orders for its SEND platform

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use