Research Solutions(RSSS)
Search documents
Research Solutions(RSSS) - 2020 Q3 - Earnings Call Transcript
2020-05-15 02:30
Financial Data and Key Metrics Changes - Platform subscription revenue increased by 36% to $1 million, driven by a 33% year-over-year increase in total platform deployments from 281 to 374 [14] - Annual recurring revenue reached $4.1 million, up 12% sequentially and 39% year-over-year, reflecting consistent upselling and low churn [15] - Transaction revenue increased by 6% to $7 million, with transaction count rising from approximately 212,000 to 228,000 [16] - Consolidated revenue grew by 9% to $8 million compared to $7.4 million in the same year-ago quarter [16] - Gross margin for the platform business increased by 50 basis points to 82.5%, while consolidated gross margin rose by 210 basis points to 31.6% [17][18] Business Line Data and Key Metrics Changes - The number of corporate customers increased by 1% to 845, while academic customers grew by 11% to 270 [16] - The platform business is expected to continue improving as it becomes a higher percentage of revenue, contributing to overall gross margin enhancement [18] Market Data and Key Metrics Changes - The company has successfully transitioned to a virtual operating model, which has allowed it to maintain operations without interruption during the COVID-19 pandemic [10][11] - The company has not experienced any disruption to its business or lost clients due to the pandemic, with R&D efforts in the life sciences industry expanding [31] Company Strategy and Development Direction - The company is focused on enhancing its platform's value to the scientific and medical community, particularly during the pandemic [12] - A new partnership with Springer Nature was announced, launching Article Galaxy Plus, which provides access to 35% of the world's scientific literature [23] - The company aims to democratize access to scientific literature for small and medium-sized businesses, traditionally only available to larger organizations [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the challenges posed by the COVID-19 pandemic, citing a strong cash position and zero debt [38] - The company remains vigilant and optimistic about demand trends moving forward, with continued momentum into the fourth fiscal quarter [38] Other Important Information - The company received approvals for its up listing to NASDAQ and began trading in late March, which is expected to enhance liquidity and market awareness [6] - A new billing policy for copyright-free COVID-19 articles has been implemented to ensure customers are not charged for articles that should be free [36] Q&A Session Summary Question: Update on partnerships with Springer and Evidence Partners - The partnership with Evidence Partners is progressing well, with technical integration set to launch [41] - The integration will allow customers to use both platforms seamlessly, enhancing upsell opportunities [42] Question: Economics of Article Galaxy Plus - The pricing for Article Galaxy Plus is designed to provide a net boost, with no sacrifice in revenue [44] Question: SG&A capability to support growth - The company believes it has sufficient SG&A capability to support growth, with potential resource shifts to focus on sales and marketing [46] Question: Capital allocation strategy - The company aims to maintain a strong balance sheet while being opportunistic in product improvements and partnerships [51] Question: Industry recognition and brand awareness - The company aspires to be a recognized leader in the life sciences industry, similar to Bloomberg, and is focused on expanding brand awareness [53]
Research Solutions(RSSS) - 2020 Q3 - Quarterly Report
2020-05-14 20:02
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: March 31, 2020 ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commission File No. 000-53501 RESEARCH SOLUTIONS, INC. Indicate by check mark whether the registrant has submitted electronically ...
Research Solutions(RSSS) - 2020 Q2 - Earnings Call Transcript
2020-02-14 16:49
Research Solutions, Inc. (NASDAQ:RSSS) Q2 2020 Earnings Conference Call February 13, 2020 5:00 PM ET Company Participants Peter Derycz - Chief Executive Officer & President Alan Urban - Chief Financial Officer Conference Call Participants George Melas - MKH Management Glenn Arbeitman - GlennAllen Advisors Operator Good afternoon, everyone, and thank you for participating in today's conference call to discuss Research Solutions' Financial and Operating results, for its Fiscal Second Quarter 2020, ended Decem ...
Research Solutions(RSSS) - 2020 Q2 - Quarterly Report
2020-02-13 21:01
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: December 31, 2019 ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commission File No. 000-53501 RESEARCH SOLUTIONS, INC. (Exact name of registrant as specified in its charter) Nevada 11-379764 ...
Research Solutions(RSSS) - 2020 Q1 - Earnings Call Transcript
2019-11-15 02:51
Financial Data and Key Metrics Changes - Platform subscription revenue increased by 45% to $856,000 in Q1 2020, driven by up-selling and a 34% year-over-year increase in total platform deployments from 239 to 320 [8][10] - Annual recurring revenue reached $3.5 million, up 8% sequentially and 43% year-over-year [9] - Consolidated revenue increased by 9% to $7.6 million compared to $7 million in the same year-ago quarter [11] - Gross margin improved to a record 30.5%, up 250 basis points year-over-year, primarily due to a shift towards higher-margin platform business [13] Business Line Data and Key Metrics Changes - Transaction revenue increased by 6% to $6.7 million, with transaction count rising from approximately 202,000 to 216,000 [10][11] - Active customer count grew from 1,084 to 1,134, with corporate customers slightly up to 853 and academic customers up 18% to 281 [10] Market Data and Key Metrics Changes - Approximately 40% to 45% of business comes from the U.S. market, with a similar percentage from Europe, and the remainder from the rest of the world, particularly Japan [75] Company Strategy and Development Direction - The company is focusing on expanding its enterprise customer base through targeted marketing campaigns [5][26] - A rebranding initiative is underway to consolidate three existing brands into one, simplifying the customer experience [28][30] - Partnerships with organizations like Evidence Partners are being pursued to enhance product offerings and market presence [24][25] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding transaction revenue growth, citing stabilization from large existing customers [11] - The company anticipates fiscal 2020 to be a pivotal year, expecting significant increases in new users and revenue growth [31][32] Other Important Information - Operating expenses increased to $2.4 million, primarily due to investments in sales and marketing [14] - The company has no outstanding borrowings and maintains a clean balance sheet with cash and receivables comprising nearly all assets [16] Q&A Session Summary Question: Benefits of the partnership with Evidence Partners - Management highlighted the complementary nature of their products, which can enhance customer offerings and drive joint marketing efforts [34][36] Question: Insights on sales team effectiveness - Management noted a focus on enterprise-level marketing and effective lead nurturing processes, which have improved conversion rates [40][42] Question: Average ticket price increase - Management acknowledged that the upward trend is primarily driven by upselling, indicating potential underpricing of the product [44][46] Question: Plans for NASDAQ up-listing - Management confirmed ongoing efforts to meet NASDAQ requirements, with a focus on improving equity on the balance sheet [48][49] Question: Customer progression through the sales funnel - Management explained the multi-touchpoint approach in customer nurturing, with conversion rates improving as more leads are engaged [56][58] Question: Overview of Evidence Partners' services - Management described Evidence Partners as providing tools for systematic review of scientific literature, complementing the company's literature offerings [64][66]
Research Solutions(RSSS) - 2020 Q1 - Quarterly Report
2019-11-14 21:02
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: September 30, 2019 ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commission File No. 000-53501 RESEARCH SOLUTIONS, INC. (Exact name of registrant as specified in its charter) (310) 477-0354 ...
Research Solutions(RSSS) - 2019 Q4 - Earnings Call Transcript
2019-09-20 00:39
Research Solutions, Inc. (NASDAQ:RSSS) Q4 2019 Earnings Conference Call September 19, 2019 5:00 PM ET Company Participants Peter Derycz - President and Chief Executive Officer Alan Urban - Chief Financial Officer Conference Call Participants Peter Rabover - Artko Capital Operator Good afternoon everyone and thank you for participating in today's conference call to discuss Research Solutions Financial and Operating Results for its Fiscal Fourth Quarter and Full Year Ended June 30, 2019. Earlier today, the co ...
Research Solutions(RSSS) - 2019 Q4 - Annual Report
2019-09-19 20:01
Financial Performance - Total revenue for the year ended June 30, 2019, was $28,793,922, representing a 2.8% increase from $28,018,441 in 2018[136]. - Platforms revenue increased by 54.4% to $2,809,201 in 2019 from $1,819,149 in 2018[136]. - Total gross profit rose by 13.5% to $8,343,461 in 2019 compared to $7,349,325 in 2018[136]. - Total operating expenses increased by 3.2% to $9,598,424 in 2019 from $9,299,461 in 2018[136]. - Loss from operations improved by 35.6%, decreasing to $(1,254,963) in 2019 from $(1,950,136) in 2018[136]. - Net loss for the year was $(959,958), a 42.8% improvement from $(1,678,741) in 2018[136]. - Total revenue increased by $775,481, or 2.8%, for the year ended June 30, 2019, driven by a $990,052 increase in Platforms revenue, while Transactions revenue decreased by $214,571[137]. - Gross profit increased by $994,136, or 13.5%, with Platforms gross profit rising by 59.8% to $2,301,826, and Transactions gross profit increasing by 2.2% to $6,041,635[141]. - Net loss decreased by $718,783, or 42.8%, to $959,958, attributed to increased gross profit despite higher operating expenses[146]. Revenue Recognition and Accounting - The company adopted ASC 606 for revenue recognition on July 1, 2018, with no impact on consolidated financial statements[124]. - Subscription revenue is recognized ratably over the term of the subscription agreement, typically one year[126]. Cash Flow and Working Capital - Cash and cash equivalents increased by $444,910 to $5,353,090 as of June 30, 2019, primarily due to cash provided by operating activities[150]. - Net cash provided by operating activities was $576,446, resulting from an increase in deferred revenue of $644,460[151]. - The company had working capital of $2,867,562 and stockholders' equity of $3,031,715 as of June 30, 2019[149]. - The company had no outstanding borrowings under its line of credit as of June 30, 2019, with approximately $2,215,000 of available credit[156]. Expenses and Costs - Platforms cost of revenue increased by 33.9% to $507,375 in 2019 from $378,904 in 2018[136]. - Technology and product development expenses rose by 19.0% to $2,139,950 in 2019 from $1,798,048 in 2018[136]. - Stock-based compensation expense increased by 4.7% to $827,172 in 2019 compared to $790,236 in 2018[136]. - Operating expenses rose by $298,963, or 3.2%, primarily due to a $341,902 increase in Technology and product development expenses[143]. Adjusted EBITDA - Adjusted EBITDA improved by $651,048, from $(1,015,523) in 2018 to $(364,475) in 2019, reflecting better core operating performance[159]. - Adjusted EBITDA does not account for cash expenditures or future capital requirements[163]. - Adjusted EBITDA does not reflect changes in working capital needs[163]. - Adjusted EBITDA does not include interest expenses or cash requirements for servicing debt[163]. - Depreciation and amortization are non-cash charges, but future replacements will require cash[163]. Platform Features and Services - The company provides access to over 70 million existing STM articles and over one million newly published STM articles each year through its platform[119]. - The platform allows for electronic delivery of single articles, typically completed in under an hour, enhancing customer service efficiency[120]. - The company has added new interactive app-like gadgets to its platform, aimed at improving data extraction and research workflows[117]. - The platform is designed to be a single, multi-tenant system, providing scalability and stability for customers[118]. Currency and Exchange Rates - The average period exchange rate for the Euro to US Dollar was 1.14 for the year ended June 30, 2019, compared to 1.19 in 2018, reflecting a strengthening of the US Dollar[133]. - The company does not engage in currency hedging activities, which may expose it to exchange rate fluctuations[132].
Research Solutions(RSSS) - 2019 Q3 - Earnings Call Transcript
2019-05-15 23:56
Research Solutions, Inc. (NASDAQ:RSSS) Q3 2019 Earnings Conference Call May 15, 2019 5:00 PM ET Company Participants Peter Derycz - President & Chief Executive Officer Alan Urban - Chief Financial Officer Conference Call Participants Greg Silvershein - Grand Equity Corp. Scott Billeadeau - Walrus Partners Operator Good afternoon, everyone, and thank you for participating in today's conference call to discuss Research Solutions' Financial and Operating Results for its Fiscal 2019 Third Quarter ended March 3 ...
Research Solutions(RSSS) - 2019 Q3 - Quarterly Report
2019-05-15 20:02
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended: March 31, 2019 ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____________ to _____________ Commission File No. 000-53501 RESEARCH SOLUTIONS, INC. (Exact name of registrant as specified in its charter) Nevada 11-3797644 ( ...