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Tuesday, June 4, 2019

#Tech Sector Snapshot: #Software Solutions Companies See Ongoing Growth Beyond 2019 (OTCQB: $ADGO) (NASDAQ: $APPS) (TSXV: $OSS.V) (OTCQB: $OSSIF) (NASDAQ: $AEYE)


#Tech Sector Snapshot: #Software Solutions Companies See Ongoing Growth Beyond 2019 (OTCQB: $ADGO) (NASDAQ: $APPS) (TSXV: $OSS.V) (OTCQB: $OSSIF) (NASDAQ: $AEYE)

Point Roberts WA, Delta BC – June 4, 2019 - Investorideas.com, a leading investor news resource covering software solutions and technology stocks releases a sector snapshot focusing on the recent rise in business solutions software and what is driving this current trend.

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According to a new market research report Fixed Asset Management Software Marketpublished by MarketsandMarkets, “The global Fixed Asset Management Software Market size is expected to grow from USD 3 billion in 2019 to USD 5.2 billion by 2024, at a Compound Annual Growth Rate (CAGR) of 11.8% during the forecast period.”

“Preventive maintenance and IoT technology to boost adoption of fixed asset management software, and growing need to reduce operational cost and proliferate profits through efficient management of assets are the major factors driving the growth of the Fixed Asset Management Software Market,” the report continued.

Advantego Corporation (OTCQB: ADGO), a business solutions provider that develops stand-alone digital delivery systems, electronic and enterprise software products to capitalize on niche opportunities within a specific market, recently announced the acquisition of the North American distribution rights for wireless audio and innovative electro-acoustic products from Aska Electronics Co., Ltd. of China.

"This acquisition has been in the works for several months and culminates the hard work management has put forth that should have a significant impact on revenues moving forward,” according to Advantego CEO, Robert W. (Rob) Ferguson.  “Combining Aska’s continuing annual sales increases with our ability to now expand the footprint presents an exciting time ahead for both of our firms,” he said.

Aska is a leading manufacturer of wireless audio and innovative electro-acoustic products that include proprietary noise cancellation technology and Bluetooth capability for headphones, earphones, waterproof sport earbuds, speakers and IoT devices.  The firm provides its products and services as an OEM (Original Equipment Manufacturer), an ODM (Original Design Manufacturer) and a JDM (Joint Design Manufacturer) for customers worldwide.

Advantego will provide additional North American product branding, sales and distribution services for Aksa's existing and new product introductions.  Aska will continue to service their existing customers and will provide research and development, product design and manufacturing services, along with private labeled products to Advantego and its customers.

As previously announced, in exchange for the distribution rights Aska will receive 700,000 shares of Advantego's preferred shares at $2 per share.  The preferred shares are convertible into shares of Advantego's common stock, under certain pricing and timing conditions.

Ferguson also pointed out: “The ability to add new cutting-edge technology within the broad range of ASKA’s already unique capabilities presents both a great opportunity and challenge for Advantego. To address both, we have expanded several relationships recently in anticipation of this to maximize the opportunities we now see in front of us and are looking forward to seeing the results of our new joint efforts beginning in the third quarter and throughout the rest of the year.”  

Digital Turbine, Inc. (NASDAQ: APPS), the #1 mobile platform connecting operators and OEMs with mobile advertisers, announced in early May that it is partnering with leading attribution and analytics companies to accelerate the expansion of SingleTap capabilities by leveraging the scale of existing integrations with application providers. Partners including AppsFlyer, Branch, Kochava, and Singular represent approximately 85% of the top global applications market.

Digital Turbine's SingleTap solution streamlines the app install process by enabling app delivery from any mobile ad in just one tap. SingleTap is currently enabled on more than 150M Android devices globally including nearly 50% of all Android smartphones in the US. SingleTap to date is delivering up to 200% lift in click-to-install conversion rates for advertisers and application providers.

"As the largest and most robust mobile measurement platform on the globe we are excited to integrate the AppsFlyer platform with Digital Turbine's SingleTap Installs solution," said Ben Roodman, Director of Partnerships at AppsFlyer. "We have already seen early success with a number of our application partners and are excited to expand SingleTap across many more apps."

"Improving the customer experience and more accurate attribution have always been the key values of Branch's platform," said Eric Stein, EVP and GM of Partnerships at Branch. "Our app partners can now receive even more value through frictionless app installs powered by Digital Turbine's SingleTap solution, driving their users from an ad directly to the right page of their app without going through the standard download process. Simply put, the power of SingleTap combined with the power of Branch is driving the world's best app experiences."

"We are extremely excited to work with AppsFlyer, Branch, Kochava, and Singular to deliver a better and simplified end-user experience. SingleTap delivers improved conversions for advertisers and creates new revenue streams for our Operator and OEM partners," said Bill Stone, CEO of Digital Turbine. "Our vision to expand SingleTap capabilities for any application a consumer wants to download, on any Android device, anywhere on the planet, is being accelerated through these strategic partnerships."

OneSoft Solutions Inc. (TSX-V: OSS) (OTCQB: OSSIF), a North American developer of cloud-based business solutions, recently announced its financial results for the first quarter of fiscal 2019 that ended March 31, 2019.

Some of the financial highlights included a revenue of $592,302 for the quarter ended March 31, 2019 more than doubled the $283,202 reported for the comparative period, the gross margin remained strong at 86% due to high margin software revenue and compared to 88% in the comparative period, as well as subsequent to the quarter, collection of a large account receivable and completion of the $9.2 million bought deal financing in April 2019 increased cash to approximately $12.7 million.

Management is optimistic that the Company is well positioned to successfully cross the “market adoption chasm” that disruptive new technologies typically experience in their quest to garner market share (refer to Company’s FYE February 28, 2018 MD&A, page 10 for further explanation).

“We believe that OneSoft’s “first mover” advantage in having developed and commercialized the first O&G pipeline integrity management solutions based on cloud computing, machine learning and data science is highly beneficial. Management will now accelerate the development of additional new technology and solutions that are accretive to CIM and will appeal to CIM clients and prospective customers. We believe our strategy to accelerate technology advancement, now feasible because of the capital raise completed in April 2019, will ultimately contribute to increased value for shareholders,” according the companies release.

AudioEye, Inc. (NASDAQ: AEYE), a leading provider of digital accessibility solutions that provide barrier-free website access for individuals with disabilities, also recently reported financial results for the first quarter ended March 31, 2019.

Some of the first quarter operational highlights included augmenting the existing management team through the appointment of 20-year Corporate Finance Executive and proven Business Leader, Sach Barot as new Chief Financial Officer, engaging former New York Governor David Paterson as key political advocate and business consultant for the AudioEye solution with the goal of addressing the significant increase in litigation related to digital accessibility, specifically in New York State and continued growth of direct sales channel client roster in the first quarter with prominent new customers from the technology, fashion, retail, hospitality and healthcare space among others.

Total revenues increased 73% to a record $1.99 million from $1.15 million in the same period a year-ago. The increase in revenues was primarily due to continued execution in direct channel as well as steady growth in the indirect channel and gross profit increased 93% to $1.08 million (54.5% of total revenues) from $562,000 (48.9% of total revenues) in the same year-ago period. The increase in gross profit and gross margin was primarily due to the increase in revenues previously described.

AudioEye Executive Chairman, Carr Bettis said, “The first quarter was a strong start to the year that has us in good position to continue ramping our growth efforts throughout the balance of 2019. Total revenues increased 73% to a record $1.99 million, which marks the thirteenth consecutive quarter that we’ve achieved record topline results. Looking ahead, we’re seeing even greater signs of growth and expansion. The past two months, April and March, have been the best months in the history of our company in terms of cash contract bookings. Thanks to our enhanced public relations and marketing efforts, we’ve been able to increase our pipeline substantially and will look to continue to accelerate this program going forward. We are continuing to strategically funnel financial resources and add key personnel into areas that will allow us to build on our market leading position and further establish AudioEye as the de-facto leader in digital.”

Increased revenue and continued growth supports the idea that this is a still a segment to watch in the tech sector as demand continues to reduce operational costs and proliferate profits through efficient management of assets.

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