43 unchanged sentences
The Canadian dollar remained relatively unchanged against the U.S.
−Removed: dollar when comparing the average exchange rate for the six-months ended June 30, 2024 versus the comparative 2023 period.
+Added: dollar when comparing the average exchange rate for the nine-months ended September 30, 2024 versus the comparative 2023 period.
Because our Canadian dollar revenue and expenses are evenly matched, exchange rate fluctuations have minimal impact on our net income and cash flows.
−Removed: Our revenue decreased 1% for the six-months ended June 30, 2024 versus the comparative 2023 period.
−Removed: Based on revenue already under contract, we expect revenue growth to improve for the remainder of fiscal 2024.
+Added: Our revenue decreased 1% for the nine-months ended September 30, 2024 versus the comparative 2023 period.
+Added: Based on revenue already under contract, we expect to return to positive revenue growth in fiscal 2025.
Plan of Operation
22 unchanged sentences
Results of Operations
−Removed: Three-months ended June 30,
+Added: Three-months ended September 30,
Corporate Quotestream
3 unchanged sentences
Total subscription revenue
−Removed: Six-months ended June 30,
+Added: Nine-months ended September 30,
Corporate Quotestream
3 unchanged sentences
Total subscription revenue
−Removed: Total licensing revenue decreased 1% when comparing the three and six-months ended June 30, 2024 and 2023.
−Removed: Total Portfolio Management Systems revenue decreased 4% for the three and six-months ended June 30, 2024 and 2023.
−Removed: Corporate Quotestream revenue decreased 5% and 4% for the three and six-months ended June 30, 2024 from the comparative periods in 2023 due to decreases in average revenue per customer since the comparative periods.
−Removed: This decrease in average revenue per customer was due mainly to a decrease in usage for one of our larger Corporate Quotestream customers since the comparative periods in 2023.
−Removed: Individual Quotestream revenue decreased 2% and 3% for the three and six-months ended June 30, 2024 from the comparative periods in 2023 due to decreases in total subscribers, offset by increases in average revenue per subscriber.
−Removed: Interactive Content and Data APIs revenue increased 3% and 1% for the three and six-months ended June 30, 2024 from the comparative periods in 2023.
−Removed: Increases in average revenue per customer were offset by decreases in the number of customers since the comparative periods.
+Added: Total licensing revenue decreased 1% for the three and nine-month ended September 30, 2024 from the comparative 2023 periods.
+Added: Total Portfolio Management Systems revenue increased 0% and decreased 2% for the three and nine-months ended September 30, 2024 from the comparative 2023 periods.
+Added: Corporate Quotestream revenue was relatively unchanged from the comparative 2023 periods, increasing 1% for the three- months ended September 30, 2024 and decreasing 2% for the nine-months ended September 30, 2024.
+Added: Individual Quotestream revenue decreased 1% and 2% for the three and nine-months ended September 30, 2024 from the comparative 2023 periods in due to decreases in total subscribers, offset by increases in average revenue per subscriber.
+Added: Interactive Content and Data APIs revenue decreased 3% and 0% for the three and nine-months ended September 30, 2024 from the comparative periods in 2023.
+Added: The decreases were due to decreases in the number of customers, offset by increases in average revenue per customer.
The launch of new products and the expansion of our data coverage have allowed us to attract larger clients, increasing our average revenue per customer.
Cost of Revenue and Gross Profit Summary
−Removed: Three-months ended June 30,
+Added: Three-months ended September 30,
Cost of revenue
Gross margin %
−Removed: Six-months ended June 30,
+Added: Nine-months ended September 30,
Cost of revenue
3 unchanged sentences
We capitalize the costs associated with developing new products during the application development stage.
−Removed: Our cost of revenue increased 5% and 3% for the three and six-months ended June 30, 2024 from the comparative periods in 2023.
+Added: Our cost of revenue increased 10% and 5% for the three and nine-months ended September 30, 2024 from the comparative periods in 2023.
This was mainly due to increased amortization expenses associated with internally developed application software resulting from our major growth initiative, which included investing in infrastructure, new product development, data collection, and the expansion of our global market coverage.
−Removed: Overall, the cost of revenue increased as a percentage of sales, as evidenced by our gross margin percentage that decreased to 48% and 49% for the three and six-months ended June 30, 2024 from 51% in the comparative 2023 periods.
+Added: Overall, the cost of revenue increased as a percentage of sales, as evidenced by our gross margin percentage that decreased to 46% and 48% for the three and nine-months ended September 30, 2024 from 52% and 51% in the comparative 2023 periods.
Operating Expenses Summary
−Removed: Three-months ended June 30,
+Added: Three-months ended September 30,
Sales and marketing
2 unchanged sentences
Total operating expenses
−Removed: Six-months ended June 30,
+Added: Nine-months ended September 30,
Sales and marketing
4 unchanged sentences
Sales and marketing consist primarily of sales and customer service salaries, investor relations, travel and advertising expenses.
−Removed: Sales and marketing expenses were relatively flat when comparing periods, increasing 3% and decreasing 1% for the three and six-months ended June 30, 2024 when compared to the same periods in 2023.
−Removed: Personnel costs increased for the three and six-months ended June 30, 2024 due to additional sales personnel hired since the comparative periods to support our product growth initiatives and salary increases for existing personnel.
−Removed: The increases in personnel costs were offset by decreases in stock-based compensation expenses as $78,125 and $59,688 in stock-based compensation expenses were incurred in March and June 2023, respectively, related to the fair value adjustment to our preferred stock warrant liability.
+Added: Sales and marketing expenses increased 23% for the three-months ended September 30, 2024, when compared to the same period in 2023 due to increased personnel costs and negative stock-based compensation expense of ($57,188) in the comparative 2023 period related to the preferred stock warrant liability fair value adjustment.
+Added: Sales and marketing expenses increased 6% for the nine-months ended September 30, 2024, when compared to the same period in 2023 due to increased personnel costs, offset by stock-based compensation expense of $80,625 in the comparative 2023 period related to the preferred stock warrant liability fair value adjustment.
+Added: Increases in personnel costs were due to additional sales personnel hired since the comparative periods to support our product growth initiatives and salary increases for existing personnel
General and Administrative
General and administrative expenses consist primarily of salaries expense, office rent, insurance premiums, and professional fees.
−Removed: General and administrative expenses increased 12% and 3% for the three and six-months ended June 30, 2024, when compared to the same periods in 2023.
−Removed: The increases are due to increases in bad debt expenses, offset by decreases in professional fees as we incurred additional professional fees in the comparative 2023 periods resulting from the change of principal accountants in January 2023.
+Added: General and administrative expenses increased 2% for the three-months ended September 30, 2024, when compared to the same period in 2023, due to increases in bad debt expenses.
+Added: General and administrative expenses increased 3% for the nine-months ended September 30, 2024, when compared to the same periods in 2023, due to increases in bad debt expenses offset by decreased professional fees as we incurred additional professional fees in the comparative 2023 period resulting from the change of principal accountants in January 2023.
Software Development
1 unchanged sentence
Software development expenses also include costs incurred to maintain our software applications.
−Removed: Software development expenses increased 15% and 21% for the three and six-months ended June 30, 2024 when compared to the same periods in 2023, primarily due to new personnel hired since the comparative periods to improve our infrastructure, security, and business continuity management.
−Removed: The increase in software development expenses was also due to a decrease in the percentage of total development costs capitalized during the three and six-month periods ending June 30, 2024, when compared to the same periods in 2023.
−Removed: We capitalized $867,400 and $1,682,715 of development costs for the three and six-month periods ended June 30, 2024 compared to $808,832 and $1,575,346 in the same periods in 2023.
+Added: Software development expenses increased 6% and 16% for the three and nine-months ended September 30, 2024 when compared to the same periods in 2023, primarily due to new personnel hired since the comparative periods to improve our infrastructure, security, and business continuity management.
+Added: We capitalized $909,035 and $2,591,750 of development costs for the three and nine-month periods ended September 30, 2024 compared to $812,428 and $2,387,774 in the same periods in 2023.
These costs relate to the development of application software used by subscribers to access, manage, and analyze information in our databases.
1 unchanged sentence
Other Income and (Expense) Summary
−Removed: Three-months ended June 30,
+Added: Three-months ended September 30,
Foreign exchange gain (loss)
1 unchanged sentence
Total other income (expense), net
−Removed: Six-months ended June 30,
+Added: Nine-months ended September 30,
Foreign exchange gain (loss)
2 unchanged sentences
Foreign Exchange Gain
−Removed: We incurred foreign exchange gains of $10,415 and $35,722 for the three and six-months periods ended June 30, 2024, compared to foreign exchange losses of $30,073 and $38,074 in the comparative 2023 periods.
+Added: We incurred a foreign exchange loss of $31,881 and a foreign exchange gain of $3,841 for the three and nine-months periods ended September 30, 2024, compared to a foreign exchange gain of $21,803 and a foreign exchange loss of $16,271 in the comparative 2023 periods.
Foreign exchange gains and losses arise from the re-measurement of Canadian dollar monetary assets and liabilities into U.S.
2 unchanged sentences
Interest expense is netted against interest earned on cash balances.
−Removed: Net interest expenses of $953 and $1,372 were incurred for the three and six-months periods ended June 30, 2024, compared to $1,452 and $1,856 incurred in the same 2023 periods.
+Added: Net interest income of $76 and net interest expense of $1,296 were incurred for the three and nine-months periods ended September 30, 2024, compared to net interest income of $825 and net interest expense of $1,031 incurred in the same 2023 periods.
Provision for Income Taxes
−Removed: For the three and six-months periods ended June 30, 2024, the Company recorded $730 and $1,468 in Canadian income tax expenses compared to $752 and $1,482 in the comparative periods in 2023.
+Added: For the three and nine-months periods ended September 30, 2024, the Company recorded $738 and $2,206 in Canadian income tax expenses compared to $739 and $2,221 in the comparative periods in 2023.
Net Income (Loss) for the Period
−Removed: As a result of the foregoing, our net losses for the three and six-months periods ended June 30, 2024 were $251,173 and $279,349 compared to net income of $71,036 and $186,326 in the comparative periods in 2023.
−Removed: The basic and diluted loss per share was $(0.00) for the three and six-months periods ended June 30, 2024, compared to the basic and diluted earnings per share of $0.00 for the three and six-months periods ended June 30, 2023.
+Added: As a result of the foregoing, our net losses for the three and nine-months periods ended September 30, 2024 were $440,941 and $720,290 compared to net income of $126,036 and $312,362 in the comparative periods in 2023.
+Added: The basic and diluted loss per share was $(0.00) for the three and nine-months periods ended September 30, 2024, compared to the basic and diluted earnings per share of $0.00 for the three and nine-months periods ended September 30, 2023.
Liquidity and Capital Resources
−Removed: Our cash totaled $232,735 at June 30, 2024, as compared with $342,014 at December 31, 2023, a decrease of $109,279.
−Removed: Net cash of $1,602,091 was provided by operations for the six-months ended June 30, 2024, primarily due to adjustments for non-cash charges and the increase in accounts payable and accrued liabilities, offset by an increase in accounts receivable.
−Removed: Net cash used in investing activities for the six-months ended June 30, 2024 was $1,711,370, due to capitalized application software costs and purchases of computer equipment.
+Added: Our cash totaled $291,217 at September 30, 2024, as compared with $342,014 at December 31, 2023, a decrease of $50,797.
+Added: Net cash of $2,575,327 was provided by operations for the nine-months ended September 30, 2024, primarily due to adjustments for non-cash charges and the increase in accounts payable and accrued liabilities, offset by our net loss and an increase in accounts receivable.
+Added: Net cash used in investing activities for the nine-months ended September 30, 2024 was $2,626,124, due to capitalized application software costs and purchases of computer equipment.
We typically operate with a working capital deficit.
−Removed: As of June 30, 2024, our working capital deficit was $2,768,316, however current liabilities include $1,865,332 in deferred revenue.
+Added: As of September 30, 2024, our working capital deficit was $3,330,119, however current liabilities include $2,027,800 in deferred revenue.
The expected costs necessary to realize the deferred revenue are minimal.
If circumstances dictate, we have the flexibility to reduce development spending to maintain a strong liquidity position.
−Removed: Based on the factors discussed above, we believe that our cash on hand and cash generated from operations will be sufficient to fund our current operations for at least the next 12 months through July 2025.
+Added: Based on the factors discussed above, we believe that our cash on hand and cash generated from operations will be sufficient to fund our current operations for at least the next 12 months through October 2025.
However, implementing our business plan may require additional financing.
9 unchanged sentences
Off-Balance Sheet Arrangements
−Removed: At June 30, 2024 and December 31, 2023, we did not have any unconsolidated entities or financial partnerships, or other off-balance sheet arrangements.
+Added: At September 30, 2024 and December 31, 2023, we did not have any unconsolidated entities or financial partnerships, or other off-balance sheet arrangements.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.