ENCINO, Calif., Sept. 20, 2016 /PRNewswire/ -- Research Solutions, Inc. (OTCQB: RSSS), a pioneer in providing on-demand access to scientific, technical and medical (STM) information for life science companies, academic institutions, and other research intensive organizations, reported financial results for its fiscal fourth quarter and full year ended June 30, 2016. All quarterly comparisons are to the same year-ago quarter.
As of this reporting period, the company will begin to report its Article Galaxy’s subscriptions and transactions results separately: Article Galaxy SaaS Platforms represent customer deployments that provide premium access to Article Galaxy on a subscription basis, while Article Galaxy Transactions represent all customer transactions conducted via both paid premium and free standard platform access.
Fiscal Fourth Quarter 2016 Highlights
- Total revenue was up 10% to 8.3 million, with adjusted EBITDA up 61% to $162,000.
- Active Article Galaxy Transaction customer accounts increased 12% to 909.
- Article Galaxy transactions increased 17% to a 192,000, increasing related revenue by 12% to $6.0 million and gross profit up 8% to $1.3 million.
Fiscal Full Year 2016 Highlights
- Total revenue was up 8% to a $34.4 million, with adjusted EBITDA lower by 37% to $389,000.
- Number of Article Galaxy SaaS Platform deployments increased 210% to 59, with related revenue increased by 127% to $402,000, and subscription-based annual billing run-rate by 146% to $581,000.
- Article Galaxy transactions increased 23% to 742,000, driving related revenue up 12% to a record $23.7 million and gross profit up 4% to $5.3 million.
- Active Article Galaxy Transaction customer accounts increased 14% to 873, with corporate customers up 9% to 733, and academic customers up 48% to 140.
- Cash and equivalents at June 30, 2016 totaled $6.1 million versus $1.4 million at June 30, 2015.
Fourth Quarter Operational Highlights
- Announced plans to focus on a software-as-a-service (SaaS) offerings in 2017 that will deliver a best-in-class research platform for businesses and business professionals. The company’s legacy transactional research retrieval services will be one of many integrated product features and service offerings within the new platform.
- Completed a private placement financing with gross proceeds of $5.2 million. The company plans to use the proceeds to accelerate the development, sales and marketing of its next generation Article Galaxy research intelligence SaaS platform.
- Beta-launched new information search and alerting service for researchers and scientists designed to collect, track and deliver research retrieval requests. Includes an “Ask an Expert” feature powered by Article Galaxy’s advanced workflow tools and staffed by a panel of subject matter experts with advanced degrees in science, technology, engineering, medicine, mathematics, and information science.
To read full press release, please click here.
