Calgary, AB – NXT Energy Solutions Inc. (TSX:SFD / OTCQB:NSFDF) (“NXT Energy” or the “Company”), advises that its financial and operating results for the fiscal year ended December 31, 2015 have been filed in Canada on SEDAR at www.sedar.com, and will be available shortly in the USA on EDGAR at www.sec.gov/edgar (as exhibits to the Company’s form 20-F Annual Report being filed), as well as on NXT’s website at www.nxtenergy.com. All selected and referenced financial information noted below should be read in conjunction with the Company’s 2015 audited consolidated financial statements and the related management’s discussion and analysis (“MD&A”).
George Liszicasz, President and CEO of NXT Energy, noted “NXT’s 2015 was a record year for both revenues and profitability, and was in line with our previously provided guidance. We are very proud to have delivered our largest aerial survey project to date, significantly expanded our presence and experience base in South America, and to have gained exposure to several large E&P companies operating there. In recent months, NXT has also built momentum in several ongoing, sizeable new business development initiatives in south-east Asia and Africa, which we are currently advancing.”
NXT Energy advises that it will host a brief investor and media conference call on Monday May 2, 2016 at 12:10 pm MST (2:10 pm EST), to discuss the 2015 results, and the status of recent business development initiatives. Interested parties are invited to participate in this call, using one of the applicable numbers as follows:
Conference Code: 3110305
Operator assisted, toll-free, dial-in number:
Canada & USA 1-855-336-7594
The call will be hosted by Greg Leavens, Chief Financial Officer and Andy Steedman, VP Operations, as Mr. Liszicasz is currently on an extended business development trip in south-east Asia. The Company plans on holding an additional update call hosted by Mr. Liszicasz in mid-May following the release of our Q1-2016 results.
NXT Energy also advises that its Annual and Special Meeting of Shareholders of the Corporation (the “AGM”) for the 2015 fiscal year end will be held on Saturday June 4, 2016 at the Fess Parker Santa Barbara Hotel, in Santa Barbara, California, USA.
Highlights of 2015 Financial Results
Summary highlights of NXT’s 2015 year-end financial statements (with comparative figures for the year ended December 31, 2014) are noted below. The following points should be noted for the 2015 results:
- revenues of $17 million were recognized in Q4-15 following final delivery of NXT’s survey project in Bolivia. An additional scope “expansion” project of approximately $1.3 million was delivered to our Bolivia client in January, and will be recognized in revenue in our Q1-16 results.
- a recovery of deferred income taxes of $6.8 million was recorded in 2015. This non-cash item relates to a recovery of a portion of the Company’s previously unrecognized Canadian deferred income tax assets, in connection with the future tax liability effect on the 2015 acquisition of the SFD technology, which is recorded as an intellectual property (“IP”) asset on our balance sheet.
- amortization expense of $0.6 million was recorded in 2015 in connection with the IP assets.
- excluding the effect of the 2015 deferred tax recovery, earnings per common share were $0.08 per common share (basic and diluted).
- NXT exited 2015 with a strong financial position, with cash and short-term investments of approximately $9 million and net working capital of approximately $7.5 million.
NXT Energy is a Calgary based company whose proprietary Stress Field Detection (“SFD®“) survey system utilizes quantum-scale sensors to detect gravity field perturbations in an airborne survey method which can be used both onshore and offshore to remotely identify areas with exploration potential for traps and reservoirs. The SFD®survey system enables our clients to focus their hydrocarbon exploration decisions concerning land commitments, data acquisition expenditures and prospect prioritization on areas with the greatest potential. SFD® is environmentally friendly and unaffected by ground security issues or difficult terrain, and is the registered trademark of NXT Energy Solutions Inc. NXT Energy provides its clients with an effective and reliable method to reduce time, costs, and risks related to exploration.
For further information, please contact:
V-P Finance & CFO
NXT Energy Solutions Inc.
604-684-6730 / 1-866-684-6730
This news release may include forward-looking statements. When used in this document, words such as “intends”, “plans”, “anticipates”, “expects” and “scheduled”, are forward-looking statements. Forward-looking statements are subject to a wide range of risks and uncertainties, and although the Company believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized. Any number of factors can cause actual results to differ materially from those in the forward-looking statements. Risk factors facing NXT Energy are described in its most recent MD&A for the year ended December 31, 2015 which has been filed electronically by means of the System for Electronic Document Analysis and Retrieval (“SEDAR”) located at www.sedar.com. Such forward-looking statements are made as at the date of this news release, and the Company assumes no obligation to update or revise them, either publicly or otherwise, to reflect new events, information or circumstances, except as may be required under applicable securities law.
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