This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Cover-All Announces Third Quarter 2013 Results

Cover-All Technologies Inc. (NYSE MKT:COVR), a Delaware corporation (“Cover-All” or the “Company”), today announced financial results for the quarter ended September 30, 2013.

“We are pleased to report significant revenue and EBITDA* growth for the first nine months in 2013 – up 30% and up 1503%, respectively, year-over-year,” said Manish Shah, CEO and President of Cover-All. “We are having significant momentum with eight new contracts this year and increasing demand for professional services. With outstanding financial results for the first nine months in 2013, we are projecting record revenue in 2013. In keeping with the goal of growing the business and enhancing shareholder value, we are actively looking at several options to expand the potential of the Company, including seeking partners and alliances.”

“We also announced a reorganization of the Company, effective as of October 1, 2013, which we believe will help us meet growing demands and generate annualized cost savings in excess of $1.5 million in 2014. These cost savings will improve operating profitability and free up capital for growth strategies at an appropriate time.”

“We believe that core system modernization and data analytics are top 2014 IT initiatives for the P/C insurance industry in the United States. We believe that we provide the most robust and complete policy and analytics solutions for the P/C industry, which is being endorsed by recent wins and successful implementations. We plan to aggressively pursue marketing our unique software and service offerings and expect to play a significant role during this ongoing technology transformation era for P/C insurance.”

FINANCIAL HIGHLIGHTS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2013

Revenue

  • Total revenues for the nine months ended September 30, 2013 were $16.0 million compared to $12.3 million for the same period in 2012.
  • License revenue for the nine months ended September 30, 2013 was $5.3 million compared to $2.7 million for the same period in 2012.
  • Support Services revenue (which represents contracted continuing revenue) was $6.0 million for nine months ended September 30, 2013 compared to $6.4 million in the same period in 2012.
  • Professional Services revenue for the nine months ended September 30, 2013 was $4.6 million compared to $3.1 million for the same period in 2012.

Profitability

  • Operating income (loss) for the nine months ended September 30, 2013 was $(1.1) million compared to $(3.0) million in the comparable period in 2012.
  • Net income (loss) for the nine months ended September 30, 2013 was $(1.4) million, or $(0.05) per basic and diluted share, compared to $(3.0) million, or $(0.12) per basic and diluted share, in the same period of 2012.

Non-GAAP* Profitability

  • Earnings before interest, taxes, depreciation and amortization (“EBITDA”), a non-GAAP metric, for the nine months ended September 30, 2013 was $2.7 million, or $0.10 per basic and diluted share, and $3.0 million, or $0.11 per basic and diluted share, excluding non-recurring reorganization-related costs, compared to $(190,000), or $(0.01) per basic and diluted share, in the same period of 2012.
  • Net income (loss) excluding non-recurring reorganization-related costs, a non-GAAP metric, for the nine months ended September 30, 2013 was $(1.0) million, or $(0.04) per basic and diluted share, compared to $(3.0) million, or $(0.12) per basic and diluted share, in the same period of 2012.

Earnings per Share Disclosures

  • All earnings per share results disclosed above for the nine months ended September 30, 2013 and 2012 are based on 26.1 million and 25.9 million basic and diluted weighted average shares issued and outstanding, respectively.

FINANCIAL HIGHLIGHTS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2013

Revenue

  • Total revenues for the three months ended September 30, 2013 were $5.1 million compared to $3.3 million for the same period in 2012.
  • License revenue for the three months ended September 30, 2013 was $1.0 million compared to $238,000 for the same period in 2012.
  • Support Services revenue (which represents contracted continuing revenue) was $2.0 million for the quarter ended September 30, 2013 compared to $2.2 million for the same quarter last year.
  • Professional Services revenue for the third quarter of 2013 was $2.0 million compared to $864,000 for the same quarter in 2012.

Profitability

  • Total expenses (cost of revenue and operating expenses) for the three months ended September 30, 2013 were $5.9 million compared to $4.8 million in the comparable period of 2012.
  • Operating income (loss) for the three months ended September 30, 2013 was $(814,000) compared to $(1.5) million in the comparable period in 2012.
  • Net income (loss) for the three months ended September 30, 2013 was $(916,000), or $(0.03) per basic and diluted share, compared to $(1.5) million, or $(0.06) per basic and diluted share, for the same period in 2012.

Non-GAAP* Profitability

  • EBITDA, a non-GAAP metric, for the three months ended September 30, 2013 was $456,000, or $0.02 per basic and diluted share, and $775,000, or $0.03 per basic and diluted share, excluding non-recurring reorganization-related costs, compared to $(393,000), or $(0.02) per basic and diluted share, for the same period in 2012.
  • Net income (loss) excluding non-recurring reorganization-related costs, a non-GAAP metric, for the three months ended September 30, 2013 was $(597,000), or $(0.02) per basic and diluted share, compared to $(1.5) million, or $(0.06) per basic and diluted share, for the same period in 2012.

Balance Sheet

  • As of September 30, 2013, the Company had $1.5 million in cash and cash equivalents and $2.5 million in accounts receivable.

Earnings per Share Disclosures

  • All earnings per share results disclosed above for the three months ended September 30, 2013 and 2012 are based on 26.3 million and 25.9 million basic and diluted weighted average shares issued and outstanding, respectively.

WEBCAST AND CONFERENCE CALL INFORMATION

Management will conduct a live teleconference to discuss its 2013 third quarter financial results at 4:30 p.m. EDT on Thursday, October 31, 2013. Anyone interested in participating should call 1-877-941-1428 if calling from the United States, or 1-480-629-9665 if dialing internationally. A replay will be available until November 14, 2013, which can be accessed by dialing 1-877-870-5176 within the United States and 1-858-384-5517 if dialing internationally. Please use passcode 4647421 to access the replay.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,001.22 -38.27 -0.22%
S&P 500 1,988.40 -3.97 -0.20%
NASDAQ 4,538.5510 +6.4470 0.14%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs