Serenic Corporation — Corporate Update
EDMONTON, April 22, 2009 — Serenic Corporation ("Serenic" or the "Company") (TSX-V:SER), an international software developer and marketer providing financial software solutions to not-for-profit ("NFP"), educational and government organizations is pleased to provide an update to its shareholders following completion of business for the Company's fiscal year ended February 28, 2009 ("Fiscal 2009").
The Company embarked upon its Fiscal 2009 business plan in a relatively stable global economy that deteriorated significantly during the second half of the year. In accordance with the original business plan, management undertook a number of growth initiatives during the first few months of Fiscal 2009, anticipating that revenues would continue its historical growth rates. As a result of the global economic melt-down that began to negatively affect revenues in September 2008, management responded by postponing and curtailing certain initiatives, in a cautionary move to conserve cash and better position the Company to weather the economic downturn. This caused un-planned operational losses because programs were stopped before they could become profitable. However, management feels confident that the Company is now well-poised to re-engage growth initiatives relatively quickly once the current economic downturn reverses course. Measures taken between September 2008 and February 2009 to reorganize business, operational and financial plans have reduced committed expenditures for Fiscal 2010 by approximately $0.75 million from Fiscal 2009, providing the Company greater flexibility to respond to the realities of the current economy.
Considering the severity of the economic downturn, management is relatively pleased with Fiscal 2009 results. Revenue for Fiscal 2009 decreased only marginally from the previous year by approximately 6%. The Company continues to release new versions of its products, and to win new customers. With approximately $2.9 million of cash on hand at Fiscal 2009 year end, no long term debt, and cash positive financial projections for Fiscal 2010, management considers the Corporation to be adequately financed to sustain operations as anticipated, and deliver moderate revenue growth. Expectations are to retain comfortable cash balances throughout Fiscal 2010 without any requirement for incurrence of long term debt or additional equity financings.
Management will continue to seek out partnerships with other organizations to better leverage opportunities in current markets and/or to engage in new markets. Management will also continue to investigate merger and acquisition opportunities to assess accretive acquisition candidates, as well as potential scenarios that might optimize Serenic's structure and growth.
The Company anticipates publishing its full audited financial reports for Fiscal 2009 on or about June 26th 2009, and to schedule the next annual general meeting of the Company's shareholders on July 27th 2009.
Forward Looking Statements
Certain statements contained in this press release, including statements which may contain words such as "could", "should", "expect", "anticipate", "believe", "will", and similar expressions and statements relating to matters that are not historical facts, are forward looking statements. Such forward looking statements involve known and unknown risks and uncertainties which may cause the actual results, performances or achievements of Serenic Corporation to be materially different from any future results, performances or achievements expressed or implied by such forward looking statements. Such factors include, but are not limited to, software industry risks, general business risks, foreign currency risks, economic dependence risks, and credit risks. Serenic undertakes no obligation to update any forward looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, with an exception to comply with securities law requirements.
About Serenic Corporation
Serenic Corporation is an industry-leading publisher of mission-critical software products that satisfy the unique and sophisticated functionality requirements of not for profit organizations, educational institutions, and government agencies. Built on Microsoft Dynamics NAV, Serenic's products deliver fully integrated solutions that can, in many organizations, eliminate the need for multiple third-party business applications.
A Microsoft Gold-certified Industry Solutions Vendor, the Corporation's products include the highly acclaimed Serenic Navigator, Serenic DonorVision, and Serenic MinistryView. In addition, the Corporation is the exclusive developer of the human resources and payroll products for Microsoft Dynamics NAV users for North America.
Serenic Corporation is a public company with offices in Edmonton, Alberta and Lakewood, Colorado. It trades under the symbol "SER" on the TSX Venture Exchange in Canada. Additional information about the Company is available at www.serenic.com.
