Memex Inc. Releases Q3-F2018 Financial Results and Provides Improving Outlook

Burlington, ON, Canada – August 15, 2018 – Memex Inc. (“Memex” or the “Company”) (TSX-V: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its financial highlights for the third quarter ending June 30, 2018. All results are reported in Canadian dollars. A complete set of the June 30, 2018 Consolidated Financial Statements and Management’s Discussion & Analysis has been filed at www.sedar.com.

Summary Financial Highlights for the Three-months ended June 30, 2018:

  • Memex reported $650 thousand in revenue during the third quarter, up 23% from the $529 thousand in the year-ago quarter;
  • Gross margin was 64% during the quarter compared to 56% in the year-ago quarter, due to the higher gross sales and relatively flat directs costs;
  • Net and comprehensive loss was $687 thousand ($0.005 per share) compared to a $1.08 million loss ($0.009 per share) in the year-ago quarter, and $511 thousand ($0.004 per share) last quarter;
  • Bookingsi for the quarter were $1.04 million, similar to Q3-F2017 and an increase of 64% from $632 thousand in the prior quarter;
  • Cash consumed from operating activities (before changes in working capital balances) was $610 thousand for the current period, an improvement of $396 thousand from the same period a year ago, and;
  • Memex had $1.47 million in cash at June 30, 2018, as compared with $1.78 million in cash at March 31, 2018.

Management Commentary:

“Once again, I am pleased with both the sequential and year-over-year improvement in revenue, gross margin, and bookings in Q3,” said Memex President and CEO David McPhail. “Coming out of the quarter, we are seeing increased follow-on orders and demand from existing customers. We are also seeing more highly motivated new prospects than ever before and we can only expect this to grow after we showcase our technology at IMTS 2018 – North America’s largest manufacturing trade show – in Chicago this coming September. Until then, we are focusing on closing advanced sales opportunities and remain confident that we can achieve a break-even run rate by the fourth quarter of calendar 2018.”

Summary Financial Highlights for the Nine-months ended June 30, 2018:

  • Memex reported $1.78 million in revenue for the nine-months ended June 30, 2018 compared to $1.38 million in revenue in the same period a year ago (a 29% increase);
  • Gross margin was 63% for the period compared to 51% for the year-ago period, the increase primarily due to higher sales volume;
  • Bookingsi for the period totalled $2.33 million versus $2.01 million in the same period a year ago, a 16% increase;
  • Net and comprehensive loss for the period was $2.18 million ($0.016 per share), compared to $3.10 million ($0.027 per share) for the same period a year ago.

Selected Financial Information:

   

Three-months period ended

June 30

 

   

Nine-months period ended

June 30

 

(Canadian dollars – in thousands except per share and margin%) 2018 2017 Change  

 

2018 2017 Change
Revenue 650 529 +    23%   1,776 1,381 +    29%
Bookingsi 1,039 1,041      0%   2,330 2,005 +    16%
Gross margin % 63.7 56.4 +    13%   62.6 50.5 +    24%
Operating expenses 1,088 1,364      20%   3,256 3,799     14%
Cash utilized in operating activities1 610 1,006     39%   1,927 2,910     34%
Net and comprehensive loss for the period 687 1,078     36%   2,183 3,103     30%
Basic and diluted loss per share – period 0.005 0.009     43%   0.016 0.027     40%
  1. Before changes in non-cash working capital balances.
 

As at

(Canadian dollars – in thousands except WC ratio)

 

June 30, 2018 September 30, 2017  

 

       
Cash on hand 1,465 3,458          
Current assets 2,199 4,104          
Total assets 2,559 4,522          
Current liabilities 1,415 1,313          
Working capital* 784 2,791          
Working capital ratio** 1.55 to 1 3.13 to 1          
Backlogii 1,780 1,311          

*   Working Capital = current assets – current liabilities

**  Working Capital ratio = current assets / current liabilities

 

Outlook:

Strategic cost saving initiatives implemented in March 2018 continue to be seen in operating results. Combined with the Company’s strong bookings record backlog, management anticipates its highest grossing quarterly sales level in Q4 this year, and bottom line operating results approaching break-even.

Based upon current backlogii of $1.78 million at June 30, 2018 and estimated delivery timing, management anticipates recognizing between $1.00 and $1.20 million in revenue for its fiscal Q4-2018.  Management continues to target a cash flow break-even run rate from operations in the fourth quarter of fiscal 2018.

 

About Memex Inc.:

Memex was founded with a vision to improve the way automated machine and production equipment work and connect on the factory floor. Since its inception Memex has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. Memex is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time. Memex’s software and hardware IIoT solution enables customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com

 

Forward-Looking Statements:

The statements “… management anticipates its highest grossing quarterly sales level in Q4 this year, and bottom line operating results approaching break-even “, “…management anticipates recognizing between $1.00 and $1.20 million in revenue for its fiscal Q4-2018” and “Management continues to target a cash flow break-even run rate from operations in the fourth quarter of fiscal 2018” are forward-looking statements. The intention was to communicate management’s interpretation of the Company’s backlog and the effect that their cost cutting initiatives will have on future financial results.  These forward-looking statements are based upon bookings the Company has already received from its Customers that are supported by purchase orders, as well as from management’s best estimate of future bookings to be generated and converted into revenue beyond the end of the third quarter of fiscal 2018.  These statements also consider internally prepared future forecasts of Company performance and take into account the spending reductions implemented since the end of December 2017.  However, there is no guarantee that revenues will fall within management’s projections or if actual cost cutting initiatives can or will be maintained or will have the anticipated effect, or if other factors may prevent the Company from achieving revenue growth, a cash flow break even run rate or profitability at any point in the future. These forward-looking statements are subject to material risk factors such as anticipated future bookings not materializing, bookings not converting into revenue as quickly as management anticipates, or at all, and that unforeseen costs may be incurred delaying profitability beyond management’s expectations or achieving profitability at all.  In addition, these forward-looking statements are subject to various unknown material risks and uncertainties, many of which are beyond the ability of the Company to control or predict.  Such forward-looking information represents Management’s reasonable judgment based on information currently available. No forward-looking statement can be guaranteed, and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.  The aforementioned forward-looking statements are made as of the date of this press release and, except as required by applicable securities legislation, MEMEX assumes no obligation to update publicly or revise these forward-looking statements to reflect subsequent information, events, or circumstances.

 

For investor inquiries please contact:

Ed Crymble, Chief Financial Officer

905-635-1540

investor.relations@memexOEE.com

 

David McPhail, President & CEO

905-635-1540

investor.relations@memexOEE.com

 

Sean Peasgood, Investor Relations

647-977-9264

sean@sophiccapital.com

 

Neither the 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.

_________________________________

i & ii  These non-IFRS financial measures are identified, defined and reconciled to their closest IFRS measures, revenue and unearned revenue, within our Management’s Discussion and Analysis for the periods ended June 30, 2018 and 2017, in the section “Other Financial Measures.”  That MD&A is available at www.sedar.com under our company profile.

Memex Inc. Releases Q2-2018 Financial Results

BURLINGTON, ON / ACCESSWIRE / May 24, 2018 / Memex Inc. (“Memex” or the “Company”) (TSX-V: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its financial highlights for the second quarter ending March 31, 2018. All results are reported in Canadian dollars. A complete set of the March 31, 2018 Consolidated Financial Statements and Management’s Discussion & Analysis has been filed at www.sedar.com.

Summary Financial Highlights for the Three-months Ended March 31, 2018:

  • Memex reported $764 thousand in revenue during the second quarter, up 120% from the $348 thousand in the year-ago quarter and up 111% from last quarter;
  • Gross margin was 71% during the quarter compared to 32% in the year-ago quarter and 43% last quarter, the significant improvement in margins this quarter was due to the increase in sales and flat direct labour cost;
  • Net and comprehensive loss was $511 thousand ($0.004 per share) compared to a $1.26 million loss ($0.011 per share) in the year-ago quarter, and $985 thousand ($0.007 per share) last quarter;
  • Bookingsi for the quarter were $633 thousand versus $573 thousand during Q2-2017 and $660 thousand last quarter;
  • Cash consumed from operating activities (before changes in working capital balances) was $416 thousand for the current period, an improvement of $756 thousand from the same period a year ago and better than the $901 thousand consumed last quarter, and;
  • The Company had $1.43 million in working capital including $1.78 million in cash at March 31, 2018, as compared with $1.87 million in working capital and $2.46 million in cash at December 31, 2017.

Summary Financial Highlights for the Six-months Ended March 31, 2018:

  • Memex reported $1.13 million in revenue for the six-months ended March 31, 2018 compared to $853 thousand in total revenue in the same period a year ago (a 32% increase);
  • Gross margin was 62% for the period compared to 47% for the year-ago period, primarily due to higher sales volume;
  • Bookingsi for the period totalled $1.29 million versus $966 thousand in the same period a year ago, a 34% increase;
  • Net and comprehensive loss for the period was $1.50 million ($0.011), compared to $2.03 million ($0.018) for the same period a year ago.

Management Commentary:

“I am pleased with both the sequential and year-over-year improvement in revenue and bookings in Q2, but we still have more work to do,” said Memex President and CEO David McPhail. “Following a few challenging quarters, we are starting to see a strong reversal in sales opportunities with more motivated prospects than ever before. While we continue to invest in targeted customer market outreach and will be showcasing our technology at IMTS 2018 in Chicago this coming September, we are now focusing on closing advanced sales opportunities.”

Selected Financial Information:

 

Three-months period ended
March 31
Six-months period ended
March 31
(Canadian dollars – in thousands except per share and margin%)
2018
2017
Change
2018
2017
Change
Revenue
764 348 + 120 % 1,126 853 + 32 %
Bookingsi
633 573 + 10 % 1,292 966 + 34 %
Gross margin %
71.1 32.1 + 121 % 62.0 46.7 + 33 %
Operating expenses
1,041 1,362 – 24 % 2,168 2,435 – 11 %
Cash utilized in operating activities1
416 1,172 – 65 % 1,317 1,904 – 31 %
Net and comprehensive loss for the period
(511 ) (1,263 ) – 60 % (1,497 ) (2,025 ) – 26 %
Basic and diluted loss per share – period
(0.004 ) (0.011 ) – 64 % (0.011 ) (0.018 ) – 37 %

 

1. Before changes in non-cash working capital balances.

 

As at
(Canadian dollars – in thousands except WC ratio)
March 31,
2018
September 30,
2017
Cash on hand
1,775 3,458
Current assets
2,632 4,104
Total assets
3,004 4,522
Current liabilities
1,206 1,313
Working capital*
1,426 2,791
Working capital ratio**
2.18 to 1
3.13 to 1
Backlogii
1,388 1,311

 

* Working Capital = current assets – current liabilities
** Working Capital ratio = current assets / current liabilities

Outlook:

Strategic cost saving initiatives implemented in March 2018, which included reducing Senior Management salaries as well as corporate overhead, are already yielding benefits. This is evident in the Company’s second quarter results and should help to produce better financial results in future quarters.

Based upon current backlogii of $1.39 million at March 31, 2018, Memex anticipates recognizing between $500 to $750 thousand in revenue for its third quarter of fiscal 2018, in addition to several larger projects moving towards completion but not anticipated to be completed in Q3. Management is still targeting a cash flow break-even run rate in the fourth quarter of fiscal 2018.

About Memex Inc.:

Memex was founded with a vision to improve the way automated machine and production equipment work and connect on the factory floor. Since its inception Memex has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. Memex is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time. Memex’s software and hardware IIoT solution enables customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com

Forward-Looking Statements:

The statements “…Memex anticipates recognizing between $500 and $750 thousand in revenue for its fiscal Q3-2018…” and “Management is still targeting a cash flow break-even run rate in the fourth quarter of fiscal 2018” are forward-looking statements. The intention was to communicate management’s interpretation of the Company’s backlog and the effect that their cost cutting initiatives will have on future financial results. These forward-looking statements are based upon bookings the Company has already received from its Customers that are supported by purchase orders, as well as from management’s best estimate of future bookings to be generated and converted into revenue beyond the end of the third quarter of fiscal 2018. These statements also consider internally prepared future forecasts of Company performance and take into account the spending reductions implemented since the end of December 2017. However, there is no guarantee that revenues will fall within management’s projections or if actual cost cutting initiatives can or will be maintained or will have the anticipated effect, or if other factors may prevent the Company from achieving revenue growth, a cash flow break even run rate or profitability at any point in the future. These forward-looking statements are subject to material risk factors such as anticipated future bookings not materializing, bookings not converting into revenue as quickly as management anticipates, or at all, and that unforeseen costs may be incurred delaying profitability beyond management’s expectations or achieving profitability at all. In addition, these forward-looking statements are subject to various unknown material risks and uncertainties, many of which are beyond the ability of the Company to control or predict. Such forward-looking information represents Management’s reasonable judgment based on information currently available. No forward-looking statement can be guaranteed, and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information. The aforementioned forward-looking statements are made as of the date of this press release and, except as required by applicable securities legislation, MEMEX assumes no obligation to update publicly or revise these forward-looking statements to reflect subsequent information, events, or circumstances.

For investor inquiries please contact:

Ed Crymble, Chief Financial Officer
905-635-1540
investor.relations@memexOEE.com

David McPhail, President & CEO
905-635-1540
investor.relations@memexOEE.com

Sean Peasgood, Investor Relations
647-977-9264
sean@sophiccapital.com

Neither the 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.

i & ii These non-IFRS financial measures are identified, defined and reconciled to their closest IFRS measures, revenue and unearned revenue, within our Management’s Discussion and Analysis for the periods ended March 31, 2018 and 2017, in the section “Other Financial Measures.” That MD&A is available at www.sedar.com under our company profile.

 

Click here to view: Memex-Q2 2018 MDA

Click here to view: Memex-Q2 2018 Financial Statements

Annual General Meeting 2018

Date: March 15, 2018

Time: 11.00 AM EST

Venue: 880 Laurentian Drive – Unit #2

Burlington, ON

L7N 3V6

Please find below the investor documents:

1) Annual Financial Statement and MD&A

2) NI Card

3) Management Information Circular

Memex Inc. Releases Annual Financial Results

BURLINGTON, ON / ACCESSWIRE / January 16, 2018 / Memex Inc. (”Memex” or the ”Company”) (TSX-V: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its annual financial and operational highlights for its fiscal year ended September 30, 2017. All results are reported in Canadian dollars.

Summary Financial Highlights for the Year Ended September 30, 2017:

  • Memex reported a $3.98 million net and comprehensive loss for the year ended September 30, 2017 on $2.01 million in revenue equating to a $0.034 loss per share. This compares with a $2.81 million net and comprehensive loss on $2.91 million in total revenue for the year ended September 30, 2016, and a $0.028 loss per share;
  • Bookingsi for the year totalled $2.37 million versus $3.42 million a year ago;
  • Backlogii at September 30, 2017 was $1.31 million, up $464 thousand from $848 thousand a year ago;
  • Gross margin percentage for the fiscal year was 55.4%, down from the 66.2% last year;
  • Cash consumed from operating activities (before changes in working capital balances) was $3.69 million for the year, up $969 thousand from $2.72 million a year ago; and
  • The Company had $2.79 million in working capital including $3.46 million in cash at year end, relative to $3.11 million in working capital and $2.90 million in cash at the end of fiscal 2016.

Management Commentary:

”Fiscal 2017 was a challenging year for Memex,” said President and CEO David McPhail. ”Uncertainty surrounding the tax policy during the U.S. election extended well into mid-2017 for our targeted customers. Our sales ramp through the back half of 2017 was slower than anticipated. Although I am disappointed with our results, we continue to get positive feedback from our customers around MERLIN’s value proposition and feature set. As the largest shareholder, I remain confident in the positioning of our product, the significant funnel of interested customers and can assure you we are working to turn around our financial performance in 2018. I would like to thank our loyal shareholder base over the last year as we worked through the more challenging than anticipated market conditions.”

2017 Fiscal Year End Operational Highlights:

  • The Company successfully closed an equity financing for more than $2.85 million in (gross) proceeds through the sale of 17.8 million units at $0.16 (a share and half warrant) on September 26, 2017;
  • In Q3 the Company secured its largest ever single-customer project, SEW Eurodrive, worth more than $450 thousand dollars for a plant-wide MERLIN implementation at one of this customer’s locations; and
  • The Company restructured its sales management and delivery procedures during the year, including hiring a VP of Sales and the adoption of SalesForce to better mine Memex’s existing U.S. Pipeline, develop new markets and growth opportunities and to better monitor the Company’s sales development activities.

Summary Financial Highlights for the Fourth Quarter Ended September 30, 2017:

  • Memex reported revenue of $626 thousand, 22% lower than the same quarter a year ago;
  • Gross margin of 66.4% was down from 71.9% reported the same quarter a year ago;
  • Bookings[i] for the quarter were $364 thousand (net of a $129 thousand lost order), down 55% from the same quarter a year ago; and
  • Memex reported a net and comprehensive loss of $881 thousand for the quarter, equating to a $0.008 loss per share. This compares with a $726 thousand net and comprehensive loss in Q4 last year, and a $0.007 loss per share.

Selected Financial Information:

 

Three-months period ended

September 30

 

 

Year ended

September 30

 

(Canadian dollars – in thousands except per share and margin%) 2017 2016 Change  

 

2017 2016 Change
Revenue 625 806     22% 2,008 2,910 –    31%
Bookingsi 364 811    55% 2,370 3,416 –    31%
Gross margin % 66.4 71.9 55.4 66.2
Operating expenses 1,284 1,296      1% 5,083 4,867 +      4%
Cash utilized in operating activities1 779 659 +  18% 3,389 2,720 +    36%
Net and comprehensive loss for the period (881) (726) +  21% (3,984) (2,805) +    42%
Basic and diluted loss per share – period (0.008) (0.007) +  15% (0.034) (0.028) +    24%
  1. Before changes in non-cash working capital balances.
 

As at

(Canadian dollars – in thousands except WC ratio)

 

September 30, 2017 September 30, 2016  

 

Cash on hand 3,458 2,899
Current assets 4,104 4,156
Total assets 4,522 4,639
Current liabilities 1,313 1,047
Working capital* 2,791 3,109
Working capital ratio** 3.13 to 1 3.97 to 1
Backlogii 1,311 848

*   Working Capital = current assets – current liabilities

**  Working Capital ratio = current assets / current liabilities

i & ii  These non-IFRS financial measures are identified, defined and reconciled to their closest IFRS measures, revenue and unearned revenue, within our Management’s Discussion and Analysis for the periods ended September 30, 2017 and 2016, in the section “Other Financial Measures.”  That MD&A is available at www.sedar.com under our company profile.

About Memex Inc.:

Memex was founded with a vision to improve the way automated machine and production equipment work and connect on the factory floor. Since then Memex has proved itself a pioneer in IIoT time and again. The company is committed to its mission of ”successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. Memex is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time. Memex’s software and hardware IIoT solution enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 percent. For more information, please visit: www.MemexOEE.com

For investor inquiries, please contact:

Ed Crymble, Chief Financial Officer
905-331-4343
ed.crymble@MemexOEE.com

David McPhail, President & CEO
519-993-1114
david.mcphail@MemexOEE.com

Sean Peasgood, Investor Relations
416-565-2801
sean@sophiccapital.com

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

Click here to view: MEMEX Q4 Year End 2017 MDA

Click here to view: MEMEX Q4 30Sep2017 Financial Statements 

 

Memex Inc. Releases Q3-2017 Financial Results: Record Bookings and Backlog Set the Stage for a Return to Growth

Burlington, ON, Canada – August 28, 2017 – Memex Inc. (“Memex” or the “Company”) (TSX-V: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its third quarter financial and operational highlights for its 2017 fiscal year, which ended June 30, 2017. All results are reported in Canadian dollars.

Summary Financial Highlights for the Third Quarter Ended June 30, 2017:

  • Memex reported revenue of $529 thousand, 42% lower than the same quarter a year ago, but up 52% sequentially;
  • Gross margin of 56.4% was down from 72.5% reported the same quarter a year ago – (excluding Amortization and Client Services labour, which was down 16.1% in Q3-2017 vs 2016, gross margin is down only 7.3%).
  • Bookings[i] for the quarter were a record $1.04 million, up 16% from the same quarter a year ago, and 82% higher than Q2-2017;
  • The Company reported a net and comprehensive loss of $1.078 million for the quarter, equating to a $0.009 loss per share. This compares with a $447 thousand net and comprehensive loss in Q3 last year, and a $0.004 loss per share.
  • At June 30, 2017, the Company had $2.34 million in current assets including $1.60 million in cash and $976 thousand in working capital.

Management Commentary:

“Memex began F2017 with clients sitting on the side-lines due to uncertainties introduced during the 2016 U.S. election that impacted much of the discretionary spending within the US manufacturing sector. Mid-way through our third quarter this client behaviour appears to have shifted and we experienced a significant ramp in current and new customer engagement. Although our third quarter results were down year-over-year, we did improve by more than 50% over the prior quarter and are pleased to report record bookings of $1 million during Q3, as well as exiting the quarter with record backlog near $1.6 million,” said David McPhail, President and CEO of Memex.  “In addition, since the end of June we have announced over $480 thousand in purchase orders as demand from the U.S. manufacturing sector continues to ramp and more importantly, we recently announced our largest single-customer deployment with a plant wide adoption of our technology. Recent industry data also portrays an improving macro picture, with a U.S Commerce Department survey that showed factory activity rising to a 3-year high, and the U.S. Cutting Tool Institute report that June consumption increased 6% year-over-year, and year-to-date was up 5.8% compared to the same period in 2016. Based on our conversations with customers and prospects, we expect these trends to continue.”

Selected Financial Information for Q3 2017

   

Three-months period ended

June 30

 

   

Nine-months period ended

June 30

 

(Canadian dollars – in thousands except per share and margin%) 2017 2016 Change  

 

2017 2016 Change
Revenue 529 919     42%   1,381 2,104 –    34%
Bookingsi 1,041 895 +   16%   2,004 2,605 –    23%
Gross margin % 56.4 72.5     50.5 64.0  
Operating expenses 1,364 1,188 +   15%   3,799 3,571 +      6%
Cash utilized in operating activities1 1,005 441 +  128%   (2,910) (2,061) +    41%
Net and comprehensive loss for the period (1,078) (447) +  141%   (3,103) (2,079) +    49%
Basic and diluted loss per share – period (0.009) (0.004) +  113%   (0.027) (0.021) –     29%
  1. Before changes in non-cash working capital balances.
 

As at

(Canadian dollars – in thousands except WC ratio)

 

June 30,  2017 September 30, 2016  

 

       
Cash on hand 1,601 2,899          
Current assets 2,339 4,156          
Total assets 2,782 4,639          
Current liabilities 1,363 1,047          
Working capital* 976 3,109          
Working capital ratio** 1.72 to 1 3.97 to 1          
Backlogii 1,567 848          

*   Working Capital = current assets – current liabilities

**  Working Capital ratio = current assets / current liabilities

Summary Financial Highlights for the Nine-months Ended June 30, 2017:

  • Memex reported revenue of $1.381 million, 34% lower than the same period a year ago;
  • Gross margin of 50.5% was down from 64.0% reported the same period a year ago (excluding Amortization and Client Services labour, which is up 1.3% in the current YTD, GM% is down only 3.9% YTD over a year ago).;
  • Bookings[ii] for the period were $2.00 million, down 23% from the same period a year ago;
  • The Company reported a net and comprehensive loss of $3.10 million for the period, equating to a $0.027 loss per share. This compares with a $2.08 million net and comprehensive loss in the prior year period, and a $021 loss per share; and

Q3 2017 and Subsequent Operational Highlights:

  • Memex generated $1.04 million in bookings for Q3-2017, its highest ever quarterly achievement, and finished the quarter with $1.57 million in backlog, the highest level the Company has ever seen;
  • The Company secured its largest ever single-customer project, SEW Eurodrive, worth more than $450 thousand dollars for a plant-wide MERLIN implementation;
  • The Company restructured its Sales Management and hired new VP of Sales, John Artman, to mine Memex’s existing U.S. Pipeline, and to develop new markets and growth opportunities;
  • The Company engaged SalesForce to assist and monitor the Company’s sales development activities; and
  • The Company announced (via Press Release) August 21, 2017 its engagement of Eight Capital to assist in raising $1.5 million to $2.0 million in capital through the sale of Memex securities.

About Memex Inc.

Memex was founded with a vision to improve the way automated machine and production equipment work and connect on the factory floor. Since then Memex has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. Memex is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time. Memex’s software and hardware IIoT solution enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com

For investor inquiries please contact:

Ed Crymble, Chief Financial Officer

905-331-4343

ed.crymble@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

Sean Peasgood, Investor Relations

416-565-2801

sean@sophiccapital.com

 

Neither the 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.

i & ii  These non-IFRS financial measures are identified, defined and reconciled to their closest IFRS measures, revenue and unearned revenue, within our Management’s Discussion and Analysis for the periods ended March 31, 2017 and 2016, in the section “Other Financial Measures.”  That MD&A is available at www.sedar.com under our company profile.

Memex Q3 2017 Financial Statements  | Memex Q3 2017 MDA

Memex Inc. Releases Q2-2017 Financial Results

Strong End to the Quarter as Manufacturing Spending Begins to Recover

BURLINGTON, ON–(Marketwired – May 29, 2017) –  Memex Inc. (“Memex” or the “Company”) (TSX VENTURE: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its second quarter financial and operational highlights for its 2017 fiscal year, which ended March 31, 2017. All results are reported in Canadian dollars.

Summary Financial Highlights for the Second Quarter Ended March 31, 2017:

  • Memex reported revenue of $348 thousand, 39% lower than the same quarter a year ago;
  • Gross margin of 32.1% was down from 53.5% reported the same quarter a year ago — (excluding Amortization and Client Services labour, which was up 1.42% in the current quarter over a year ago, gross margin percentage on variable expenses is down only 4.2% in the current quarter over a year ago).
  • Bookingsi for the quarter were $573 thousand, down 31% from the same quarter a year ago;
  • The Company reported a net and comprehensive loss of $1.26 million for the quarter, equating to a $0.011 loss per share. This compares with a $991 thousand net and comprehensive loss in Q2 last year, and a $0.010 loss per share.
  • At March 31, 2017, the Company had $3.12 million in current assets including $2.23 million in cash (down from $3.00 million last quarter) and $1.97 million in working capital.
  • The final two weeks of the quarter brought in more than $400 thousand in new and follow on orders.

Management Commentary:

“During the first six-months, Memex and the broader manufacturing industry saw decreased investment due to uncertainty concerning trade both before and after the U.S. Presidential election,” said David McPhail, President and CEO of Memex. “The American Manufacturing Association (AMT) echoed our observations, but AMT anticipates that a manufacturing resurgence should occur in the Spring. We have seen recent signs of this resurgence in our sales leads and orders. Given our strong cash balance and low burn rate, we are well positioned to weather this temporary market disturbance.”

Selected Financial Information for Q2 2017
Three-months period ended
March 31
Six-months period ended
March 31
(Canadian dollars – in thousands except per share and margin%) 2017 2016 Change 2017 2016 Change
Revenue 348 571 39% 853 1,185 – 28%
Bookingsi 573 833 31% 965 1,710 – 44%
Gross margin % 32.1 53.5 40% 46.7 57.4 – 19%
Operating expenses 1,362 1,338 + 2% 2,435 2,384 + 2%
Cash utilized in operating activities1 1,172 976 + 20% 1,904 1,620 + 18%
Net and comprehensive loss for the period (1,236) (991) + 27% (2,025) (1,632) + 24%
Basic and diluted loss per share – period (0.011) (0.010) + 10% (0.018) (0.017) – 7%
1. Before changes in non-cash working capital balances.
As at
(Canadian dollars – in thousands except WC ratio)
March 31, 2017 September 30, 2016
Cash on hand 2,232 2,899
Current assets 3,124 4,156
Total assets 3,587 4,639
Current liabilities 1,150 1,047
Working capital* 1,974 3,109
Working capital ratio** 2,72 to 1 3.97 to 1
Backlogii 997 848
* Working Capital = current assets – current liabilities
** Working Capital ratio = current assets / current liabilities

Summary Financial Highlights for the Six-months Ended March 31, 2017:

  • Memex reported revenue of $853 thousand, 28% lower than the same period a year ago;
  • Gross margin of 46.7% was down from 57.4% reported the same period a year ago – – (excluding Amortization and Client Services labour, which is down 2.75% in the current YTD over a year ago, GM% on variable expenses is down only 1.8% YTD over a year ago).;
  • Bookings(1) for the period were $965 thousand, down 44% from the same period a year ago;
  • The Company reported a net and comprehensive loss of $2.03 million for the period, equating to a $0.018 loss per share. This compares with a $1.63 million net and comprehensive loss in the prior year period, and a $0.017 loss per share

Q2 2017 and Subsequent Operational Highlights:

  • Announced MERLIN Tempus First Customer Ship (FCS) during the quarter;
  • In March, successful marketing efforts at AeroDef 2017 (Fort Worth, TX) and American Manufacturing Summit (Chicago, IL) generated more than 300 quality sales leads; and
  • The final two weeks of the quarter brought in more than $400 thousand in new and follow on orders.

About Memex Inc.

MEMEX was founded with a vision to improve the way automated machine and production equipment work and connect on the factory floor. Since then MEMEX has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. MEMEX is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time. MEMEX’s software and hardware IIoT solution enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com

Neither the 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.

i & ii These non-IFRS financial measures are identified, defined and reconciled to their closest IFRS measures, revenue and unearned revenue, within our Management’s Discussion and Analysis for the periods ended March 31, 2017 and 2016, in the section “Other Financial Measures.” That MD&A is available at www.sedar.com under our company profile.

For investor inquiries please contact:

 

Ed Crymble, Chief Financial Officer

905-331-4343

ed.crymble@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

 

Sean Peasgood, Investor Relations

416-565-2805

sean@sophiccapital.com

Memex Inc. Releases Annual Financial Results

Record Annual Revenue and Gross Margin

BURLINGTON, ON–(Marketwired – Dec 15, 2016) –  Memex Inc. (“Memex” or the “Company”) (TSX VENTURE: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its annual financial and operational highlights for its fiscal year ended September 30, 2016. All results are reported in Canadian dollars.

Summary Financial Highlights for the Year Ended September 30, 2016:

  • Memex reported revenue of $2.91 million, 51% higher than a year ago;
  • Gross margin of 66.2% was up from 58.9% reported a year ago;
  • Bookingsi for the year were $3.42 million (with no comparative information available);
  • The Company reported a net and comprehensive loss of $2.81 million for the year, equating to a $0.028 loss per share. This compares with a $2.35 million net and comprehensive loss last year, and a $0.030 loss per share; and
  • At September 30, 2016, the Company had $4.16 million in current assets including $2.90 million in cash and $3.11 million in working capital. Subsequent to year-end, Memex added $464 thousand to its cash reserves through 2.33 million redeemed Warrants.

Management Commentary:

“2016 was a transition year where early adopters more fully understood the value of our data-driven manufacturing solutions. Additionally, customers expanded their current deployments of our platform, and new prospects were asking about enterprise wide deployment strategies,” said David McPhail, President and CEO of Memex. “At IMTS, we introduced a whole new range of next generation IIoT products, and we believe that these products will increase MERLIN’s value proposition in Cisco’s Connected Machines Strategy.”

2016 Fiscal Year End and Operational Highlights:

  • The Company issued 11.83 million shares in the fourth quarter of 2016 through the redemption of Warrants for total proceeds of $2.03 million.
  • The Company acquired 37 new customers and received 44 follow-on orders from existing customers during fiscal 2016.
  • Memex was featured at Cisco Live (Cisco’s annual technology conference), where Cisco revealed that Memex’s MERLIN platform would be part of Cisco’s Connected Machines portfolio of solutions. A key component of Cisco’s value proposition is that MERLIN facilitates the real-time calculation of Overall Equipment Effectiveness (OEE). Cisco demonstrated MERLIN’s integration in Cisco’s Connected Machines Strategy during IMTS 2016 while exhibiting in Memex’s booth.
  • Management finalized arrangements and completed the early payout of lender, Business Development Bank of Canada. The early payout eliminated future interest and royalty payments, and led to a one-time recovery adjustment of $74 thousand. Directors and Management provided most the funding to extinguish the debt by paying above market value (at the time) to redeem their expiring warrants.
  • The Company showcased a new league of next generation IIoT products. These included MERLIN Tempus, MERLIN Tempus EE, MERLIN FOEE, MERLIN MTC-One, MERLIN DNC and MERLIN Continuous Improvement Roadmap, which were launched during IMTS 2016. MERLIN OPTime, a free gateway to Real-Time manufacturing analytics, was launched at MC2 conference.
  • The Company was judged one of Canada’s “Top 20” hottest innovative public technology companies; the recipient of the Canadian Innovation Exchange (CIX) Top 20 Award. MERLIN, a next generation IIoT platform and MEMEX’s flagship product, received the 2016 Global Machine Monitoring Systems Product Leadership Award from Frost and Sullivan.

Summary Financial Highlights for Fourth Quarter Ended September 30, 2016:

  • Memex reported revenue of $806 thousand, 40% higher than the same period in the prior year;
  • Gross margin of 72.0% was up from 67.3% reported in the same quarter a year ago;
  • Bookingsi were $811 thousand, up 46% from the same quarter a year ago; and
  • The Company showed a $726 thousand net and comprehensive loss for the quarter equating to a $0.007 loss per share. This compares with a $500 thousand net and comprehensive loss in the same quarter a year ago, and a $0.005 loss per share.

Selected Financial Information

Three-month period ended
Sep 30
Year ended
Sep 30
(Canadian dollars – in thousands except per share and margin%) 2016 2015 Change 2016 2015 change
Revenue 806 575 + 40% 2,910 1,929 + 51%
Bookingsi 811 556 + 46% 3,415 Note 1
Gross margin % 72.0 67.3 + 7% 66.2 58.9 + 12%
Operating expenses 1,296 987 + 31% 4,867 3,542 + 37%
Cash utilized in operating activities2 659 467 + 41% 2,720 2,076 + 31%
Net and comprehensive loss for the period (726) (500)  45% (2,805) (2,353) 19%
Basic and diluted loss per share – period (0.007) (0.005)  39% (0.028) (0.030) + 8%

1. Memex only began collecting bookings data July 1, 2015, comparable information is not available.

2. Before changes in non-cash working capital balances.

As at September 30
(Canadian dollars – in thousands except WC ratio)
2016 2015
Cash on hand 2,899 3,316
Current assets 4,156 4,219
Total assets 4,639 4,745
Current liabilities 1,047 990
Working capital* 3,109 3,229
Working capital ratio** 3.97 to 1 4.26 to 1
Backlogi 848 409

* Working Capital = current assets – current liabilities
** Working Capital ratio = current assets / current liabilities

About Memex Inc.

Memex, the developer of MERLIN, an award winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time, is the global leader in machine to machine connectivity solutions. Committed to its mission of, “Successfully transforming factories of today into factories of the future”, and encouraged by the accelerating adoption and success of MERLIN, Memex is relentlessly pursuing the development of increasingly innovative solutions suitable in the IIoT era. Memex envisions converting every machine into a node on the corporate networks, thereby, creating visibility from shop-floor-to-top-floor. Memex, with its deep commitment towards machine connectivity, offers solutions that are focused on finding hidden capacity by measuring and managing Real-Time data. This empowers Memex’s customers to effectively quantify and manage OEE, reduce costs, and incorporate strategies for continuous lean improvement.

For more information, please visit: www.MemexOEE.com

Neither the 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.

i This non-IFRS financial measure is identified, defined and reconciled to the closest IFRS measure, revenue, within our Management’s Discussion and Analysis for the years ended September 30, 2016 and 2015, in the section “Other Financial Measures.” That MD&A is available at www.sedar.com under our company profile.

For investor inquiries please contact:
Ed Crymble, Chief Financial Officer

905-331-4343

ed.crymble@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

 

Sean Peasgood, Investor Relations

416-565-2801

sean@sophiccapital.com

Memex MME Icon logo 2 colour white interior TM

Memex Inc. Releases Q3 – 2016 Results

Another Record Sales Volume Achievement

BURLINGTON, ON–(Marketwired – Aug 22, 2016) – Memex Inc. (“Memex” or the “Company”) (TSX VENTURE: OEE) a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released financial and operational highlights from its third quarter of fiscal 2016 which ended June 30, 2016. All results are reported in Canadian dollars.

Summary Financial Highlights for the Third Quarter Ended June 30, 2016:

  • Memex reported revenue of $919 thousand, 104% higher than the same period in the prior year. Third quarter revenue was 61% higher than Q2-2016. Year-to-date sales of $2.1 million eclipsed the $2 million level for the first time in the Company’s history, with one quarter still remaining in the fiscal year.
  • Gross margin of 72.5% was up from 50.4% reported in the same quarter a year ago.
  • Bookings1 were $895 thousand, up 7% from the prior quarter, with year-to-date bookings exceeding $2.6 million.
  • The Company showed a $447 thousand net and comprehensive loss for the quarter equating to a $0.004 loss per share. This compares with a $880 thousand net and comprehensive loss in the same quarter last year, and a $0.011 loss per share.
  • At June 30, 2016 the Company had $2.7 million in current assets including more than $1.5 million in cash and $1.8 million in working capital. Subsequent to quarter end, Memex added $790 thousand to its cash reserves through 5.0 million exercised warrants primarily associated with a private placement completed in August 2014.

Q3 Fiscal 2016 and Subsequent Operational Highlights:

  • In July, Memex was featured at Cisco Live (Cisco’s annual technology conference), where Cisco revealed that Memex’s MERLIN platform would be part of Cisco’s Connected Machines portfolio of solutions. A key component of Cisco’s value proposition is that MERLIN facilitates the real-time calculation of Overall Equipment Effectiveness (OEE).
  • Q3 saw Memex collect 5 new customer project orders and 5 follow on orders from its current customer group. Since quarter-end Memex has added another 3 new customer projects and 2 follow on orders, including a significant project from Pioneer Products Inc.
  • In April, Sun Hydraulics Corp. placed an 89 machine follow-on order for MERLIN MES Enterprise Edition Software, after completing an 11 machine initial phase.
  • In June, Company Management finalized arrangements and completed the early payout of lender Business Development Bank of Canada (the “BDC”). The early payout eliminated future interest and royalty payments, and led to a one-time recovery adjustment of $74 thousand for the period.

Management Commentary:

“Our third quarter financial and operational results show that manufacturers see MERLIN’s compelling value equation of delivering real returns from data-driven manufacturing,” said CEO David McPhail. “We are seeing an increase of follow-on orders as existing customers transition to company-wide deployments. This organic growth along with our recent partnership announcements positon the Company to continue on its current trajectory, delivering positive IIoT centric business outcomes.”

Selected Financial Information

Three-month period ended
June 30
Nine-month period ended
June 30
(Canadian dollars – in thousands except per share and margin%) 2016 2015 change 2016 2015 change
Revenue 919 451 + 104% 2,104 1,354 + 55%
Bookings1 895 Note 1 2,603 Note 1
Gross margin % 72.5 50.4 + 44% 64.0 55.4 + 16%
Operating expenses 1,188 1,095 + 8% 3,571 2,555 + 40%
Cash utilized in operating activities2 565 724  22% 2,186 1,608 + 36%
Net and comprehensive loss for the period (447) (880)  49% (2,079) (1,853) + 12%
Basic and diluted loss per share – period (0.004) (0.011)  62% (0.021) (0.026)  19%
1. Memex only began collecting bookings data July 1, 2015, comparable information is not available.
2. Before changes in non-cash working capital balances.
As at
(Canadian dollars – in thousands except WC ratio)
Jun 30,
2016
Sep 30, 2015
Cash on hand 1,516 3,316
Current assets 2,740 4,219
Total assets 3,235 4,745
Current liabilities 985 990
Working capital* 1,755 3,229
Working capital ratio** 2.78 to 1 4.26 to 1
Backlog1 782 409

* Working Capital = current assets – current liabilities
** Working Capital ratio = current assets / current liabilities

About Memex Inc.

Memex Inc., the developer of MERLIN, an award winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real-Time, is the global leader in machine to machine connectivity solutions. Committed to its mission of “Successfully transforming factories of today into factories of the future” and encouraged by the accelerating adoption and success of MERLIN, Memex is relentlessly pursuing the development of increasingly innovative solutions suitable in the IIoT era. Memex envisions converting every machine into a node on the corporate network, thereby, creating visibility from shop-floor-to-top-floor. Memex, with its deep commitment towards machine connectivity, offers solutions that are focused on finding hidden capacity by measuring and managing Real-Time data. This empowers Memex’s customers to effectively quantify and manage OEE, reduce costs and incorporate strategies for continuous lean improvement. For more information, please visit: www.MemexOEE.com

Neither the 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.

1 This non-IFRS financial measure is identified, defined and reconciled to the closest IFRS measure, revenue, within our Management’s Discussion and Analysis for the three and nine month periods ended June 30, 2016 and 2015, in the section “Other Financial Measures.” That MD&A is available at www.sedar.com under our company profile.

For investor inquiries please contact:

 

Ed Crymble, Chief Financial Officer

905-331-4343

ed.crymble@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

 

Sean Peasgood, Investor Relations

416-565-2801

sean@sophiccapital.com

Memex Inc. Releases Q2 – 2016 : Results Investment in Sales Infrastructure Paying Off

Burlington, ON, Canada – May 16, 2016 – Memex Inc. (“Memex” or the “Company”) (TSX-V: OEE) a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, today released its financial results and operational highlights for its second quarter of fiscal 2016 which ended March 31, 2016. All results are reported in Canadian dollars.

Financial Highlights for the Second Quarter Ended March 31, 2016:

·         Memex generated quarterly revenue of $571 thousand, 42% or $169 thousand, higher than the same period in the prior year, and 7% lower than Q1-2016.

·         Memex 53.4% gross margin for the quarter ($305 thousand in gross profit), was down 3.3% from the same quarter a year ago and 7.7% from Q1-2016. A higher hardware to software sales mix in the current quarter accounts for the decline.

·         Unearned revenue of $536 thousand closed the quarter up $54 thousand from December 31, 2016’s close and was $46 thousand off its highest level of $582 thousand at September 30, 2015.

·         Bookings[i] for the quarter were $833 thousand, down 5% from the prior quarter, but up 50% or $276 thousand from Q4-2015.

·         The Company showed a $991 thousand net and comprehensive loss for the quarter equating to a $0.01 loss per share.  This compares with a $512 thousand net and comprehensive loss in the same quarter last year, and a $0.007 loss per share.

·         At the end of the Q2 the Company had more than $3.0 million in current assets including more than $2.2 million in cash and $2.1 million in working capital.

 

Q2 Fiscal 2016 and Subsequent Operational Highlights:

  • In February, Memex received a substantial follow-on order from Kuss Filtration Inc. for 43 MERLIN licences as part of a multi-plant roll-out in the US, China, and Brazil. Memex also generated 5 new customer orders, and more than ten follow on orders from existing customers in the quarter.
  • Memex’s CEO and CTO were recognized by Smart Manufacturing Magazine as two of the top 30 advanced manufacturing visionaries.
  • In April, Memex launched MERLIN OPTime, a free downloadable real-time dashboard for manufacturing analytics.
  • In April, Sun Hydraulics Corp. placed an 89 machine follow-on order for MERLIN MES Enterprise Edition Software, after an 11 machine initial phase.

 

Management Commentary:

Memex’s President & CEO David McPhail said, “We continue to see strong interest in MERLIN with both follow-on orders from existing customers and new customers buying our solutions. Our investment into sales and marketing is paying off with substantial revenue gains over prior periods, and no reason not to expect the trend to continue.”

 

About Memex Inc.

Memex is a leading Industrial Internet of Things (IIoT) technology platform provider that delivers real-time manufacturing productivity analytics. Industrial strength MERLIN software provides Overall Equipment Effectiveness (OEE) efficiency metrics in real time, from shop-floor-to-top-floor. Specifically, MERLIN delivers a 10%-50% average productivity increase, and earns 20%-plus profit improvement based on just a 10% increase in OEE. It consistently achieves payback in less than four months with an Internal Rate of Return (IRR) greater than 300%, and connects to any machine, old or new, utilizing native MTConnect, other protocols or MERLIN hardware adapters for older machines. For more information, please visit: www.MemexOEE.com

 

For investor inquiries please contact:

 

Ed Crymble, Chief Financial Officer

905-635-1540 ext. 110

ed.crymble@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

Sean Peasgood, Investor Relations

416-565-2801

sean@sophiccapital.com

 

Neither the 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.

[i] This non-IFRS financial measure is identified, defined and reconciled to the closest IFRS measure, revenue, within our Management’s Discussion and Analysis for the three and six month periods ended March 31, 2016 and 2015, in the section “Other Financial Measures.”  That MD&A is available at www.sedar.com under our company profile.

Memex Inc. Grants Share Options

Burlington, ON, Canada – February 29, 2016 – Memex Inc. (“Memex” or the “Company”) (TSX-V: OEE) a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, announces that, effective Friday, February 26, 2016, it has granted an aggregate of 480,000 share options to four directors of the Company. The share options are exercisable at a price of $0.14 per share and vest over the next three years. One-third vested immediately upon grant, another third vest on February 26, 2017 and the remaining third vest on February 26, 2018. The share options expire on February 26, 2021.

About Memex Inc.

Memex is a leading Industrial Internet of Things (IIoT) technology platform provider that delivers real-time manufacturing productivity analytics. Industrial strength MERLIN software provides Overall Equipment Effectiveness (OEE) efficiency metrics in real time, from shop-floor-to-top-floor. Specifically, MERLIN delivers a 10%-50% average productivity increase, and earns 20%-plus profit improvement based on just a 10% increase in OEE. It consistently achieves payback in less than four months with an Internal Rate of Return (IRR) greater than 300%, and connects to any machine, old or new, utilizing native MTConnect, other protocols or MERLIN hardware adapters for older machines. For more information, please visit: www.MemexOEE.com

For investor inquiries please contact:

David McPhail, President & CEO, Memex Inc.

519-993-1114

david.mcphail@MemexOEE.com

Ed Crymble, Chief Financial Officer, Memex Inc.

905-635-1540 ext. 110

ed.crymble@MemexOEE.com

Sean Peasgood, Investor Relations, Sophic Capital

416-565-2801

sean@sophiccapital.com

Neither the 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.