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tecsys TM News Release FOR IMMEDIATE RELEASE Ref . # NRE2021-19 Tecsys Reports Financial Results for the First Quarter of Fiscal 2022 Tenth consecutive quarter of record revenue ; SaaS revenue up 47 % year - over - year Montreal , September 9 , 2021— Tecsys Inc. ( TSX : TCS ) , an industry - leading supply chain management SaaS company , today announced its results for the first quarter of fiscal year 2022 , ended July 31 , 2021. All dollar amounts are expressed in Canadian currency and are prepared in accordance with International Financial Reporting Standards ( IFRS ) . First Quarter Highlights : • • • • • • SaaS revenue increased by 47 % to $ 5.7 million in Q1 2022 , up from $ 3.8 million in Q1 2021 . Annual Recurring Revenue ( ARR ) at July 31 , 2021 was up 9 % to $ 53.7 million compared to $ 49.3 million at July 31 , 2020 . During Q1 2022 , SaaS subscription bookings ' ( measured on an ARRİ basis ) were $ 1.1 million , down 54 % compared to $ 2.4 million in the first quarter of 2021 . Professional services revenue was up 17 % to $ 13.1 million in Q1 2022 compared to $ 11.2 million in Q1 2021 . Total revenue was a record $ 33.2 million , 18 % higher than $ 28.1 million reported for Q1 2021 . Gross margin was 43 % compared to 48 % in the prior year quarter , negatively impacted by a weaker US dollar , investment in our key growth initiatives and revenue mix . Total gross profit increased to $ 14.4 million , up 7 % from $ 13.5 million in Q1 2021 . Operating expenses increased to $ 13.3 million , higher by $ 1.8 million or 16 % compared to $ 11.5 million in Q1 fiscal 2021 with continuing investment in sales and marketing as well as research and development . • Profit from operations in Q1 2022 was $ 1.1 million , down from $ 2.0 million in Q1 2021 . • Net profit was $ 0.2 million or $ 0.02 per share on a fully diluted basis in Q1 2022 compared to a net profit of $ 1.2 million or $ 0.08 per share on a fully diluted basis for the same period in fiscal 2021 . Tecsys Inc. ⚫ 1 Place Alexis Nihon Suite 800 Montreal Quebec H3Z 3B8 Canada tecsys.com