Xybion Digital Reports Second Quarter Fiscal 2022 Financial Results

Total turnover increased by more than 43%

SaaS revenue increased 63%

ARR exceeded US $ 9.2M exit of the quarter

EBITDA margin was 13.8%

VANCOUVER, BC and PRINCETON, New Jersey, 22 November 2021 / CNW / – Xybion Digital Inc. (XYBN: TSXV) (“Xybion” or the “Company”), a low-code global SaaS company that enables digital transformation in highly regulated industries like life sciences, has today announced financial results for the second quarter of fiscal 2022. results for its second quarter ended September 30, 2021. Financial references are expressed in U.S. dollars Unless otherwise stated. Please refer to the MD&A and financial statements posted on SEDAR (www.sedar.com) for information on non-IFRS risk factors and measures.

“After COVID, life science companies are eager to digitally transform their critical processes. Our low-code SaaS software platform helps our customers do this quickly, cost-effectively and efficiently for their labs, data, and employee health and safety workflows, ”said Dr. Pradip K. Banerjee, Chairman and CEO of Xybion. “The strong second quarter performance across all of our KPIs reflects growing market demand for our solutions. ”

Summary of consolidated Q2 and YTD results for 2022


Q2 2022

% Switch

Q2 2021

Year-to-date 2022

% Switch

Year-to-date 2021

Total income







Gross margin












Total expenses

3 884 196


2 921 603




Operating result




963 015


428 239

Net revenue













Depreciation and amortization











19 962



Interest expense (income)

5 365









45 146

221 231




615 960


288 313




EBITDA margin%





Quarterly Financial Highlights:

  • Total revenue increased by 43.8% to reach $ 4.5 million at T2 F2022 compared to $ 3.1 million reported in the second quarter of fiscal 2021. The increase in total revenue was positively impacted by the growth in recurring revenue, and in particular by the growth in revenue from SaaS subscriptions.
  • Recurring software revenues (software as a service (SaaS), software subscriptions and maintenance) increased by 23.4% or $ 428,217 To $ 2.3 million, compared to $ 1.8 million in the second quarter of fiscal 2021.
    • Q2 F2022 SaaS and software subscription revenues increased 62.9% or $ 390,350 To $ 1.0 million, compared to $ 0.6 million in the second quarter of fiscal 2021.
  • Recurring annual software revenue achieved $ 9.2 million to September 30, 2021, an increase of 21.8% compared to $ 7.6 million reported to September 30, 2020.
  • Gross margin for T2 F2022 totaled $ 3.1 million, an increase of 60.6% or $ 1.2 million compared to $ 1.9 million in the second quarter of fiscal 2021. The gross margin was 68.5% of sales in Q2 F2022, compared to 61.3% in Q2 F2021. The higher gross margin is directly related to the increase in higher margin subscription licenses during the quarter.
  • Net result of $ 345,871 in Q2 F2022, compared to a net result of $ 120,692 in the second quarter of fiscal 2021. Net income increased as revenue grew faster than all costs and expenses compared to the prior quarter.

Financial highlights since the start of the year:

  • Total revenue for the six-month period ended September 30, 2021 reached $ 8.2 million, an augmentation of $ 1.9 million or 30.2% over the six-month period ended September 30, 2020.
  • Recurring software revenue for the six-month period ended September 30, 2021 increased by 29.3% or $ 1.0 million To $ 4.5 million, compared to $ 3.5 million during the six-month period ended September 30, 2020.
    • Sales of SaaS and software subscriptions for the six-month period ended September 30, 2021 increased by 81% for $ 2.0 million compared to the same period a year ago.
  • Gross margin for the six-month period ended September 30, 2021 was 67.1%, which represents an increase of $ 1.7 million over the first six months of the previous fiscal year.
  • Net profit for the six-month periods ended September 30, 2021 and 2020 was $ 606,185 and $ 297,999, respectively.

Operational highlights for the quarter

The Company announced that it has added $ 2.2 million additional bookings under contract during the quarter by licensing various SaaS modules to five customers. When deployed, these contracts should add approximately $ 1.0 million incremental ARR.

In August, the company launched COVAPP, a software solution designed for the high-volume needs of COVID-19 testing labs inundated by the global spread of COVID-19 variants. From patient registration to reporting, the solution has been designed to maximize throughput, test capacity, compliance and scalability. Xybion registered contracts for the solution during the quarter.

After the end of the quarter, the November 15, 2021, Xybion Corporation has completed its merger with Gravitas One Capital Corporation (“Gravitas One”) in connection with the closing of a qualifying transaction of Gravitas One. In addition, on November 15, 2021, the Company closed its financing by subscription receipt representing gross proceeds of approximately $ 1.66 million. At November 18, 2021, shares of Xybion Digital Inc. (formerly Gravitas One) began trading on the TSX Venture Exchange under the symbol XYBN.

Conference call

The Company will hold a conference call to discuss these results. The details are as follows:

Conference call
Dated: 23 November 2021
Time: 8:30 a.m. Eastern Time
Canada/United States TF: 1-800-319-4610
International number: + 1-604-638-5340

A transcript of the call will be posted on the Company’s website at www.xybion.com within 72 hours of the call.

About Xybion Digital Inc.

Xybion is a global SaaS company that helps life science companies accelerate the development of new drugs into approved drugs that can save lives and keep employees safe. We digitize drug research and development, laboratory testing, regulatory approvals, and pharmaceutical manufacturing into a single, unified cloud platform that is cost effective, ready to deploy, and easy to use. Xybion has more than 160 customers using its low-code software to accelerate turnaround times, improve compliance, expand capacity, minimize operational risk and reduce expenses while keeping employees safe.

Non-IFRS financial measures

EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin

EBITDA, Adjusted EBITDA and Adjusted EBITDA margin are non-IFRS financial measures. EBITDA is defined as net income before net financial charges, depreciation, amortization and tax charges. Adjusted EBITDA is defined as net profit or loss before income taxes, net finance costs, depreciation and amortization, paycheck protection payment (PPP) loan cancellation, Unique reverse takeover (RTO) expense and stock-based compensation, and Adjusted EBITDA margin is defined as the percentage of Adjusted EBITDA to revenue. As the Company capitalizes its operating leases as right-of-use assets, the amount of depreciation related to these right-of-use assets (ROU) has not been added back to results in determining adjusted EBITDA. We believe that Adjusted EBITDA and Adjusted EBITDA Margin are useful measures of financial performance, as they provide an indication of the Company’s ability to profitably seize growth opportunities and finance its day-to-day operations. Each of these non-IFRS financial measures are not recognized measures under IFRS and do not have standardized meanings prescribed by IFRS. These metrics are unlikely to be comparable to similar metrics presented by other companies. Rather, non-IFRS measures are provided as additional information to supplement the financial statements by providing a better understanding of our results of operations from management’s perspective. Therefore, these measures should not be viewed in isolation or as a substitute for analyzing our financial information presented under IFRS.

Forward-looking statements

This press release may contain forward-looking statements (within the meaning of applicable securities laws) that reflect the Company’s current expectations regarding future events. Forward-looking statements are identified by words such as “believe”, “anticipate”, “plan”, “expect”, “intend”, “plan”, “will”, “may”, ” estimate ”and other similar expressions. These statements are based on the Company’s expectations, estimates, forecasts and projections and include, without limitation, statements regarding the future success of the Company’s business. The forward-looking statements contained in this press release are based on certain assumptions. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Therefore, readers should not place undue reliance on these forward-looking statements. Please refer to the risk factors set out in the company’s filing statement dated November 10, 2021 and the Company’s continuous disclosure documents which can be viewed on SEDAR at www.sedar.com. Forward-looking statements are made as of the date of this press release and, except as expressly required by applicable law, the Company assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or other.

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

Media contact: Joseph kalina, [email protected], (609) 512-5790

SOURCE Xybion Digital Inc.

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