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Quisitive Technology Solutions Inc. Reports Fiscal 2019 Third Quarter Results

Quisitive Technology Solutions, Inc.

Record quarterly revenues of $5.3M and gross margin of $2.6M


Toronto – TheNewswire - November 25, 2019Quisitive Technology Solutions Inc. (Quisitive or the “Corporation“) (TSXV:QUIS), a premier Microsoft solutions provider, announced today that it is has achieved quarterly revenues of $5,337,191 or 65% year over year growth with adjusted EBITDA of $855,011 or 16% of revenue for the quarter ended September 30, 2019.

“Our second quarter market recognition and acquisition transaction were the catalysts for the revenue impact we demonstrated in our third quarter,” said Mike Murphy, CFO. “The momentum we had coming into this quarter contributed to the significant increase in enterprise consulting engagements and record revenues.”

FY2019 Q3 Financial Results:

- Revenue for the quarter ended September 30, 2019 was $5,337,191 representing 65% revenue growth over the quarter ended September 30, 2018.  

- Gross margin for the quarter ended September 30, 2019 was $2,575,841 or 48% of revenue.  This is a 139% increase over the gross margin of $1,078,420 or 33% for the quarter ended September 30, 2018.

- Adjusted EBITDA for the quarter ended September 30, 2019 was $855,011 or 16% of revenue.  This is a significant increase from the quarter ended September 30, 2018 where the adjusted EBITDA was a loss of ($610,829) or (18.8%) of revenue.


FY2019 Nine-Month Financial Results

- Revenue for the first nine months of 2019 was $13,527,806 or 78% revenue growth from first nine months of 2018 revenue of $7,586,189.  

- Gross margin for the first nine months of 2019 was $6,027,836 or 45% of revenue.  Gross margin for the first nine months of 2018 was $2,551,804 or 34% of revenue.

- Adjusted EBITDA for the first nine months of 2019 was $1,352,744 or 10% of revenue.  This is a significant increase from the first nine months of 2018 where the adjusted EBITDA was a loss of ($941,867) or (12.4%) of revenue.


FY2019 Q3 Business Highlights:

- The completed acquisition of Corporate Renaissance Group solidified a major milestone for the Corporation strengthening their growth vision in third quarter by expanding geographic base throughout Canada, United States and the Caribbean. The CRG business complements the Corporation’s Microsoft Azure and Microsoft Office 365 cloud services by adding CRG’s expertise in the implementation, customization and support of Microsoft Dynamics, as well as their recurring revenue model driven by the emPerform performance management solution.

- The Corporation achieved Microsoft Azure Cloud Solution Provider designation for Government customers in the United States.

- The Corporation launched a major initiative in partnership with Microsoft to drive the adoption of Microsoft Teams within major enterprise customers.

- The Corporation signed an agreement with Microsoft Consulting Services to become a Microsoft Enterprise Services Supplier. The designation enables Quisitive to support Microsoft Consulting Services (MCS) in pre-sales pursuits and jointly deliver projects incorporating Microsoft cloud solutions to U.S.-based enterprises to enable their digital transformation.


       Quisitive’s Q3 customer wins and project momentum included:

- The Corporation secured a large‑scale modern application development project in the healthcare manufacturing/retail space.

- The Corporation secured a modern data warehouse project to assist a large public utility in developing a strategy and roadmap for migrating their data estate to Microsoft Azure.

- The Corporation continues to have success with the Quisitive Azure Assessment program. This program was designed to guide customers through their Microsoft cloud adoption journey. During the quarter ending in September 30, 2019, Quisitive ran 21 assessments, completing 7. To date, the program has converted 17 opportunities originating from assessment customers into Quisitive projects.

- The Corporation secured a strategic contract working with Caribbean based conglomerate in distribution, food services, retail and transportation with operations in four countries. leveraging the CRGroup Level 7™ framework for consolidation reporting and analytics, organizational restructuring and design, and implementation of HRIS and talent management platforms.  

- The Corporation released version 5.3 of its proprietary performance management system, CRG emPerform™ and added new customers in healthcare, banking, not for profit, advertising, engineering and software technology sectors


Conference Call Access

We look forward to discussing our third quarter in more detail on our Q3 earnings release call on Tuesday Nov. 26th at 8:30AM ET.

To access the conference call by phone, please dial the following numbers.

Canada/United States: 1-800-319-4610

Toronto: 1-416-915-3239

The Company’s unaudited financial statements for the quarter ended September 30, 2019 and related management’s discussion and analysis can be found on the Company’s website and at  All figures are expressed in United States dollars unless otherwise stated.


Replays of the conference call will be available following the call.

About Quisitive:

Quisitive is a premier Microsoft solutions provider that helps enterprise organizations move, operate and innovate in the Microsoft cloud: Microsoft Azure, Microsoft Dynamics and Microsoft O365 as well as proprietary solutions such as CRG emPerform™ and internal Independent Software Vendor capabilities and products.  With a legacy of deep technical expertise, Quisitive is empowering the enterprise to navigate the ever-changing technology climate their business relies upon. Quisitive helps customers harness the power of the Microsoft cloud and innovative technologies such as blockchain, artificial intelligence, machine learning, and the Internet of Things (IoT) through customized solutions and first-party cloud-based products including

Quisitive is the 2019 Microsoft United States Partner of the Year. Quisitive earned this top honor among a global field of top Microsoft partners for demonstrating excellence in innovation and implementation of customer solutions based on Microsoft technology.

Quisitive is uniquely comprised of former Microsoft leaders and technologists who share a deep understanding of market needs and the appropriate application of Microsoft cloud technology. The company's expertise and focus are on helping industries such as financial services, manufacturing, oil and gas, and retail, drive innovation using Microsoft cloud-based technologies.

Quisitive serves clients globally with offices in Dallas, TX; Denver, CO; Minneapolis, MN; Ottawa, ON; and Toronto, ON. For more information, visit and follow @BeQuisitive. TSXV: QUIS.


For further information, please contact:

Mike Reinhart – Chief Executive Officer

Reconciliation of Non-GAAP Financial Measures - Adjusted EBITDA and Adjusted EBITDA as a percentage of revenue

We prepare and release quarterly unaudited and annual audited financial statements prepared in accordance with IFRS. We also disclose and discuss certain non-GAAP financial information, used to evaluate our performance, in this and other earnings releases and investor conference calls as a complement to results provided in accordance with IFRS. We believe that current shareholders and potential investors in our company use non-GAAP financial measures, such as Adjusted EBITDA and Adjusted EBITDA as a percentage of revenues, in making investment decisions about our company and measuring our operational results.

The term "Adjusted EBITDA" refers to a financial measure that we define as earnings before certain charges that management considers to be non-operating expenses and which consist of interest, taxes, depreciation, amortization, foreign exchange, stock-based compensation (for which we include related fees and taxes), acquisition-related expenses and listing expense. Adjusted EBITDA as a percentage of revenues divides Adjusted EBITDA for a period by the revenues for the corresponding period and expresses the quotient as a percentage.

Management considers these non-operating expenses to be outside the scope of Quisitive' ongoing operations and the related expenses are not used by management to measure operations. Accordingly, these expenses are excluded from Adjusted EBITDA, which we reference to both measure our operations and as a basis of comparison of our operations from period-to-period.

Management believes that investors and financial analysts measure our business on the same basis, and we are providing the Adjusted EBITDA financial metric to assist in this evaluation and to provide a higher level of transparency into how we measure our own business. However, Adjusted EBITDA and Adjusted EBITDA as a percentage of revenues are non-GAAP financial measures and may not be comparable to similarly titled measures reported by other companies. Adjusted EBITDA and Adjusted EBITDA as a percentage of revenues should not be construed as a substitute for net income determined in accordance with IFRS or other non-GAAP measures that may be used by other companies, such as EBITDA. The use of Adjusted EBITDA and Adjusted EBITDA as a percentage of revenues does have limitations. As these acquisition-related expenses charges may continue as we pursue our consolidation strategy, some investors may consider these charges and expenses as a recurring part of operations rather than expenses that are not part of operations.

Reconciliation of Adjusted EBITDA loss


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Neither TSX Venture Exchange nor its Regulation Services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements: Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to proposed activities, consolidation strategy and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements.  Such factors include, among others the limited history of operations, lack of profitability, availability of financing, the need for additional financing and the timing and amount of expenditures, ability to successfully execute on consolidation strategies, the failure to find economically viable acquisition targets, funding for internally developed technology solutions, client retention and attrition, client demands, reliance on key personnel, economic spending in the IT industry and technological changes in the IT industry.  Quisitive Technology Solutions Inc. does not assume the obligation to update any forward-looking statements.

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