Mr. Zachariah Mathews reports

WI2WI CORPORATION REPORTS FIRST QUARTER RESULTS

Wi2Wi Corp. has released its unaudited condensed consolidated interim financial results for the three-month period ending March 31, 2015.

Revenue

Revenues for the quarters ended March 31, 2015, and 2014 were $4.6-million and $1.1-million, respectively. Revenue increased primarily due to contribution from acquisition of Precision Devices Inc. The company had shippable backlog of approximately $5.9-million for the first quarter of 2015, demonstrating a growing demand for its product.

Gross profit

Gross profits for the quarter ended March 31, 2015, and March 31, 2014, were $1.3-million and $586,000, respectively. Gross profits increased by 18 per cent for the quarter ended March 31, 2015, compared with the same period in 2014. Gross margins for the quarters ended March 31, 2015, and 2014 were 28 per cent and 49.8 per cent, respectively. The decrease in margin is due primarily to the precision devices historically yielding a lower margin. The company is in the process of improving manufacturing yield, increasing efficiencies, optimizing manufacturing batch sizes, successful efforts in manufacturing cost reductions and retaining the ASP of the products. The process will take some time to implement, and initial results are very favourable.

                                      STATEMENT OF RESULTS
                                 (in thousands of U.S. dollars)

                                                         Three months to  Three months to
                                                          March 31, 2015   March 31, 2014

Revenue                                                           $4,632           $1,175
Gross profit                                                       1,337              586
Operating expenses
Research and development                                             221              253
Selling, general and administrative                                  581              732
Net income (loss) before interest, income taxes                      535             (399)
Interest                                                              76               17
Income taxes                                                          20                -
Net income (loss) and total comprehensive income (loss)             $439            $(416)
Net income (loss) per share, basic and diluted                    $0.005          $(0.005)

We seek Safe Harbor.