Armada Releases Annual Results

Mississauga, Ontario (FSCwire) - Armada Data Corporation (TSV.V:ARD) reports that its annual financial results for the year ended May 31, 2014 have now been filed on Sedar and are available to view on SEDAR at www.sedar.com and the company’s web site www.armadadata.com.

Selected Annual Information

The Company’s total revenue decreased by 13% in 2014 from $2,587,922 to $2,260,200

The Company reported a comprehensive loss of $240,142, due to the following factors:

• The ongoing monthly operating losses incurred by the Mister Beer division.  The losses amounted to an annualized amount of $542,834.  Despite the significant monthly operating losses, the division made positive strides in the production facility by way of developing an all-new brewery team since the resignation of Brewmaster Stefan Riedelsheimer.  Although the Management Salaries in this division were reduced, there were significant training costs to rebuild the production team.
• Management’s decision to discontinue offering outside web development services, in order to concentrate fully on internal development.
• The Company decided to not offer third-party advertising on its web sites for security reasons.

NOTE:  Armada Data Corporation’s core “data” business earned a before tax profit of $404,983, which was allocated to absorb the ongoing operating losses sustained by Mister Beer Inc.

Selected Quarterly Information

The prior periods’ comparative figures have been reclassified, where necessary, to conform to the current year’s presentation.

Armada’s consolidated statement reflects a loss, before corporation income taxes, of $(137,853); this is a decrease compared to the loss of $(424,721) in 2013.  This loss is the result of the Mister Beer operating loss of $542,834.  Corporation income taxes are $102,289 in 2014, compared to $122,504 in 2013.

Total expenses before amortization decreased to $2,222,133 compared to $2,539,630, a 13% decrease over last year.Management engaged in many cost-cutting measures to reduce expenses in 2014, including reductions in advertising, salaries and wages, computer consulting and selling fees.

The bank indebtedness increased slightly from $(200,008) at May 31, 2013 to $(200,946) at May 31, 2014, attributed to subsidizing the monthly operating losses incurred by the Mister Beer division.

Accounts receivable increased to $244,777 as at May 31, 2014 from $398,540 last year.Related party accounts receivable increased from $3,277 to $5,255.

Accounts payable decreased to $191,823 as at May 31, 2014 from $311,291 a year earlier.Related parties accounts payable increased to $45,771 as at May 31, 2014, from $7,983 last year.Corporation income taxes payables are $106,601 as at May 31, 2014 compared to $108,650 as at May 31, 2013.

As a result of the loss reported by the Company in 2014, the Company’s retained earnings decreased to a deficit of $(1,194,382) as at May 31, 2014 compared to a deficit of $(954,240) last year.

No dividends were paid out to shareholders in fiscal 2014 or fiscal 2013.Management does not plan on issuing any dividends until further notice.

Outlook

The Company’s outlook is to continue to increase sales, update and improve our data services products and services, and deliver significantly better results to our shareholders by way of the following:

1. Build on the historical success of the Company’s ongoing sales and marketing efforts focused on increasing sales at Retail Services, Dealer Services and Insurance Services.
2. Exploit market awareness and demand for new vehicle pricing information and dealer referrals that result from the additional competition within that market space; by putting more emphasis on outside partners, data outsourcing and our underutilized online magazine TheCarMagazine.com
3. Continue to improve our relationships with some of the largest insurance companies in Canada and partner with some of these organizations to produce new products and services for their vast client base.
4. Maintain operating expenses and achieve the economies of scales of an Internet based business.
5. Expand third-party fee-based online advertising, by developing improved and more secure advertising methods.

About Armada Data Corp.

Armada Data is a Canadian publicly traded Information & Marketing Services Company providing accurate and real-time data to institutional and retail customers, through developing, owning and operating automotive pricing-related web sites and providing information technology and marketing services to its clients.  Armada’s information and marketing abilities have enabled the company to leverage that experience into the food and beverage industry by its acquisition of 90% of the issued and outstanding shares of The Big & Easy Bottle Brewing Company Inc.  The Big & Easy Bottle Brewing Company Inc. owns 100% of Mister Beer Inc., which invented, produces and markets the unique “microbrewery in a bottle” beer-making kit.

Armada Data shares are listed on the TSX Venture exchange under the trading Symbol ARD. Armada currently has a total of 17,670,265 shares outstanding.

Additional information relating to Armada Data Corporation is filed on SEDAR, and can be viewed at www.sedar.com.

For further information, please contact:

Armada Data Corporation

Mr. R. James Matthews, President & CEO

Email: investors@armadadatacorp.ca

Neither 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.

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