Full Press Release Details
AMERI Holdings, Inc. Announces
Financial Results for the Third Quarter of 2017
Ameri Holdings continues to build its cloud,
digital and enterprise SAP services capabilities
PRINCETON, N.J., NOVEMBER 13, 2017 /PRNewswire/
-- AMERI Holdings, Inc. ("Ameri100" or the "Company") (OTCQB: AMRH), a specialized
SAP cloud, digital and enterprise services company, reported financial results for the third quarter ended September 30,
Financial Results - Third Quarter 2017 vs. Third Quarter 2016:
Total revenue was $12.5 million
in the third quarter of 2017 ("Q3 2017"), compared to $10.1 million in the third quarter of 2016 ("Q3 2016");
Gross profit was $2.6 million,
or 20% of total revenue, in Q3 2017, compared to $1.7 million, or 17% of total revenue, in Q3 2016;
Net loss attributable to common
stockholders was $4.6 million, or ($0.31) per diluted share, in Q3 2017, compared to a net loss of $1.8 million, or ($0.13) per
diluted share, in Q3 2016;
Adjusted EBITDA (a non-GAAP
financial measure) was $(339,720) or (2.7%) of total revenue, in Q3 2017, compared to Adjusted EBITDA of 735,501 or 7.3% of total
revenue, in Q3 2016.
Financial Results - Nine Months Ended September 30, 2017 vs. Nine Months Ended September 30, 2016:
Total revenue was $37.1 million
for nine months ended September 2017 ("nine months of 2017"), compared to $23.8 million for the nine months ended September
2016 ("nine months of 2016");
Gross profit was $8.2 million,
or 22% of total revenue, in nine months of 2017, compared to $4.9 million, or 20% of total revenue, in nine months of 2016;
Net loss attributable to common
stockholders was $9.6 million, or ($0.66) per diluted share, in nine months of 2017, compared to a net loss of $4.1 million, or
($0.32) per diluted share, in nine months of 2016;
Adjusted EBITDA (a non-GAAP
financial measure) was $(108,327) or (0.3%) of total revenue, in nine months of 2017, compared to Adjusted EBITDA of $89,484 or
0.4% of total revenue, in nine months of 2016.
"We are excited with
new growth opportunities that are emerging in SAP cloud and digital areas. By streamlining our sales and delivery teams, we have
built a platform for revenue growth which was our focus area during the quarter," said Giri Devanur, the Company's
President and Chief Executive Officer. "We have also taken steps to provide a path towards accelerating Adjusted EBITDA profitability
during the first half of 2018," added Giri Devanur.
In the quarter ended September
30, 2017, the Company also filed a registration statement with the Securities and Exchange Commission ("SEC") for a
public offering of its common stock. The registration statement was declared effective by the SEC on November 9, 2017. The offering
will be made only by means of a prospectus. A copy of the preliminary prospectus supplement and accompanying prospectus relating
to the offering, when available, may be obtained by contacting Northland Capital Markets at 45 South Seventh Street, Suite 2000,
Minneapolis, Minnesota 55402, attention: Heidi Fletcher, by calling toll free at (800) 851-2920, or by e-mailing hfletcher@northlandcapitalmarkets.com.
Investors may also obtain these documents at no cost by visiting the SEC's website at http://www.sec.gov. You should read
the prospectus and other documents the Company has filed or will file with the SEC for more complete information about the Company
and the offering. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there
be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such state or jurisdiction.
AMERI Holdings, Inc. is a fast-growing technology
services company which provides cloud, digital and enterprise SAP services to clients worldwide. Headquartered in Princeton, New
Jersey Ameri100 has offices in the U.S. and Canada. The Company also has global delivery centers in India. With its bespoke
engagement model, Ameri100 delivers transformational value to its clients across industry verticals. For
further information, visit www.ameri100.com
Forward-Looking Statements
This press release includes forward-looking
statements that relate to the business and expected future events or future performance of Ameri100 and involve known and unknown
risks, uncertainties and other factors that may cause its actual results, levels of activity, performance or achievements to differ
materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking
statements. Words such as, but not limited to, "believe," "expect," "anticipate," "estimate,"
"intend," "plan," "targets," "likely," "will," "would," "could,"
and similar expressions or phrases identify forward-looking statements. Forward-looking statements include, but are not limited
to, statements about Ameri100's financial and growth projections as well as statements concerning our plans, predictions, estimates,
strategies, intentions, beliefs and other information concerning our business and the markets in which we operate. The future performance
of Ameri100 may be adversely affected by the following risks and uncertainties: the level of market demand for our services, the
highly-competitive market for the types of services that we offer, market conditions that could cause our customers to reduce their
spending for our services, our ability to create, acquire and build new businesses and to grow our existing businesses, our ability
to attract and retain qualified personnel, currency fluctuations and market conditions around the world, and other risks not specifically
mentioned herein but those that are common to industry. For a more detailed discussion of these factors and risks, investors should
review Ameri100's reports on Form 10-K and other reports filed with the SEC, which can be accessed through the SEC's website. Forward-looking
statements in this press release are based on management's beliefs and opinions at the time the statements are made. All forward-
looking statements are qualified in their entirety by this cautionary statement, and Ameri100 undertakes no duty to update this
information to reflect future events, information or circumstances.
Investor and Media Contact:
100 Canal Pointe Blvd, Suite 108
Phone: (732) 243-9250
Use of Non-GAAP Financial Measures
In addition to financial
results calculated in accordance with U.S. generally accepted accounting principles ("GAAP"), information containing
non-GAAP financial measures for the Company are disclosed in this press release announcing results for the fiscal quarter ended
September 30, 2017. The non-GAAP financial measures disclosed by the Company should not be considered a substitute for, or superior
to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations
to those financial statements should be carefully evaluated. The non-GAAP financial measures used by the Company may be calculated
differently from, and therefore may not be comparable to, similarly titled measures used by other companies. The Company has provided
reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures. Management encourages
readers to rely upon the GAAP numbers, but includes the non-GAAP financial measures as supplemental metrics to assist readers.
In this press release,
the Company presents the non-GAAP financial measure "adjusted EBITDA". Company management uses this non-GAAP financial
measures to evaluate the Company's performance. As the Company's core business is providing information technology services and
products, Company management finds it useful to use "adjusted EBITDA", which does not include interest, taxes, depreciation,
amortization, preferred stock dividends, stock-based compensation expenses, acquisition related expenses and restructuring expenses.
While we may have these types of items and charges in the future, Company management believes that they are not reflective of the
day-to-day offering of its products and services and relate more to strategic, multi-year corporate actions, without predictable
trends, and that may obscure the trends and financial performance of the Company's core business. Company management believes the
exclusion of the items described above from "adjusted EBITDA" is a very common measure utilized in the investment community
and it helps Company management benchmark its operations and results with the industry.
The limitation associated
with using these non-GAAP financial measures is that these measures exclude items that impact the Company's current period operating
results. This limitation is best addressed by using these non-GAAP financial measures in combination with "net income (loss)",
and "net income (loss) per diluted share" (the most comparable GAAP measures) because these non-GAAP financial measures
do not reflect items that impact current period operating results and may be higher or lower than the most comparable GAAP measure.
AMERI HOLDINGS, INC.