WANTED Technologies Reports 8% increase in Revenue for the First Quarter of Fiscal 2015

• Revenues of $2,141,872, an increase of 8% or $154,520 compared to revenues of $1,987,352 in the first quarter of fiscal 2014. Note that revenues from the first quarter of prior year included an amount of $275,144 from a reseller partner agreement that terminated in June 2014. Excluding the revenues from this partner from prior year, revenue grew $429,664, or 25%
• Growth of 20% or $1.3 million  in the Company's recurring revenue base in US dollars, from an annualized value of US$6.5 million as of September 30, 2013 (excluding US$1.0 million reported in prior year as recurring revenue from a reseller partnership terminated in June 2014) to US$7.8 million as of September 30, 2014.
• Net income of $82,490 ($0,003 per share) compared to a net income of $458,504 ($0,019 per share) in the first quarter of fiscal 2014, a decrease of $376,014.
• EBITDA of $286,775, compared to an EBITDA of $582,835 in the first quarter of fiscal 2014, a decrease of $296,060.
• In October, 2014, the Company deployed an International version of its product platform which includes data and analytics describing the talent marketplace in 20 additional countries. With the addition of these 20 countries, and including the current coverage of the United States and Canada, the Company now offers human capital analytics for the 22 largest economies in the world.
• WANTED continues to step up investment in both its international product and in expanding its direct sales force in order to best exploit and accelerate the global market penetration for its big data analytics solutions in the Human Capital Management sector.

QUEBEC CITY, Nov. 18, 2014 /CNW Telbec/ - WANTED Technologies (TSXV: WAN), the leading supplier of big data analytics for the human capital marketplace, reported today first quarter revenues of $2,141,872 for the period ending September 30^th, 2014, a gain of 8% over the same period in prior year. Note that revenues from the first quarter of fiscal 2014 included an amount of $275,144 from a reseller partner agreement that terminated in June 2014. Excluding the revenues from this partner from prior year, revenue grew $429,664, or 25%. The Company continues to innovate in the market and expand its customer footprint, including the recent launch of an international version of its services. This followed strategic investments in research and development and marketing and selling expenses, resulting in net income of $82,490, compared to a net income of $458,504 for the same period last year. All amounts are in Canadian dollars, unless otherwise indicated.

"Our first quarter results continue to reflect strong demand for our employment analytics platform and data services across all of our current target segments, namely Staffing agencies, corporate HR and Government," said Meredith Amdur, WANTED's President and CEO. "This validates the market growth potential we are seeing in the market for HR Technology and services. It also supports our decision to invest in both product and direct sales capabilities to exploit and accelerate the emerging global market for our HR analytics solution."

Excluding revenues from the partnership ended in June 2014, quarterly revenues for the Corporate and Staffing segments were up 65% year-over-year and represented 35% of total revenue, compared with 26% one year ago.

The rapid growth in adoption of next generation cloud-based talent management systems from leading ERP players like IBM, SAP, and Oracle as well as newer SaaS players like Workday and Salesforce are expanding WANTED's opportunities to leverage its vast current and historical employment database and analytics directly into recruiters' and HR professionals' workflow. "This continued corporate migration to the cloud is fostering the emergence of a new data ecosystem, of which WANTED is a part. The transition creates opportunities for us to provide data analytics and actionable insights that enable faster and better business decisions by tapping both internal and external information to better plan, recruit and retain workforce in a competitive global economy," said Amdur.

The first iteration of the Company's new International data product, providing job demand data from the 22 top economies, is on course to increase both direct sales and re-seller opportunities. This new offering, which our customers have been asking for, will enhance the value of our existing solution for large multinational customers.

As of September 30, 2014, contracts in hand, in US dollars, had an approximate value of 7.8 million dollars in annualized recurring revenues, an increase of 1.3 million dollars or 20% over an annualized recurring revenue book of 6.5 million dollars as of September 30, 2013 (excluding US$1.0 million reported in prior year as recurring revenue contracts from a reseller partnership terminated in June 2014).

At the end of first quarter of fiscal 2015, 69% of the recurring revenue base was supported by contracts from the Staffing, Corporate and Government sectors. This compares to 65% at the end of the corresponding quarter of the previous fiscal year (excluding revenues from the partnership ended in June 2014).

Operating costs increased from $1,407,650 in the first quarter of fiscal 2014 to $2,000,510 in the first quarter of fiscal 2015, an increase $592,860 or 42% mostly related to additional investments in research and development and marketing and selling expenses to support growth in North American and international markets. A total increase of $240,672 in stock based compensation expenses for the combined research and development, marketing and selling and administrative functions following the issuance of 880,000 stock options during the first quarter of fiscal 2015 also contributed to this increase in operating costs.

		Three-month periods ended
		September 30,
		2014		2013
		(unaudited)		(unaudited)
		$		$
Revenues		2,141,872		1,987,352
Cost of sales		(82,173)		(73,693)
Gross Margin		2,059,699		1,913,659
Expenses
	Research and development	(756,810)		(609,795)
	Marketing and selling	(675,209)		(469,605)
	Administrative	(562,398)		(324,165)
	Other financial expenses	(6,093)		(4,085)
		(2,000,510)		(1,407,650)
Operating income		59,189		506,009
Finance income		122,927		3,003
Finance costs		(380)		(35,526)
Income before tax		181,736		473,486
Current tax expense		(138,491)		(34,551)
Deferred tax income		39,245		19,569
Tax expense		(99,246)		(14,982)
Net income and comprehensive income		82,490		458,504
Basic and diluted net income per share		0.003		0.019

Research and development costs totalled $756,810, compared to $609,795 in the previous corresponding quarter of the prior year, a net increase of $147,015 or 24% mostly resulting from increased staffing levels and computer infrastructure to support the growing database. The stock options issued by the Corporation during the first quarter of fiscal 2015 triggered an increase of $52,234 in research and development expenses over the corresponding quarter of the prior year. Marketing and selling expenses totalled $675,209, compared with $469,605 in the previous year, an increase of $205,604 or 44% resulting from an increase in overall compensation attributable to a more important direct sales force. Stock options contributed $37,663 to this increase in Marketing and selling expenses. Administrative expenses showed an increase of $238,233, or 73%, going from $324,165 in the first quarter of fiscal 2014 to $562,398 in the corresponding quarter of fiscal 2015.  An increase of $150,775 in the stock based compensation expense, combined with an increase in variable compensations and the addition of new resources to support growth mainly contributed to this increase in administrative expenses.

Reconciliation of EBITDA to Net Income
				Q1-2015	Q1-2014	Q1-2013
				09-30-14	09-30-13	09-30-12
(Unaudited)				$	$	$
	Net income for the period			82,490	458,504	116,972
	PLUS (LESS):
		Income tax expense		99,246	14,982	17,366
		Finance costs (income)-net		(122,547)	32,523	46,281
		Other financial expenses		6,093	4,085	3,100
		Depreciation of property, plant and equipment		77,153	66,750	60,822
		Amortization of intangible assets		40,770	40,770	40,770
		Net gains (losses) on foreign exchange		103,570	(34,779)	(46,848)
	EBITDA			286,775	582,835	238,463

EBITDA of $286,775 for the three-month period ended September 30^th, 2014 represented a decrease of $296,060 over the same period last year. EBITDA represents the net income before net finance income excluding gain or loss due to variation in foreign exchange, income taxes on net income, and amortization and impairment of property, plant and equipment and intangible assets. It is used by managers, analysts, investors and other financial stakeholders to assess the Corporation's performance and management from a financial and operational standpoint. As International Financial Reporting Standards do not provide a standardized definition for this measure, it may not be comparable to similar measures used by other companies.

The net income for the first quarter of fiscal 2015 was $82,490, or $0.003 per share. This compares to a net income of $458,504 in the first quarter of fiscal 2014 or $0.019 per share. This decrease in profitability is mostly due to an increase of $592,860 or 42% in operating expenses, partially offset by an increase of $146,040 in gross margin.

Financial position

As at September 30, 2014, WANTED had $7,213,212 in cash and monetary investments, including $3,037,852 in redeemable term deposits, compared with $6,724,870 as at June 30, 2014. This increase of $488,342 in the Company's liquidity mostly results from positive cash flows of $611,024 generated from operating activities.

As at September 30, 2014, total assets stood at $12,317,235 compared with $11,955,516 as at June 30, 2014, an increase of $361,719.

Those interested will be able to access the information on the September 30, 2014 unaudited interim consolidated financial statements, the notes thereto and the management discussion and analysis via the Internet at www.sedar.com and at the Company's website, www.wantedtech.com, as of Tuesday, November 18^th, 2014.

About WANTED Analytics™

WANTED Analytics™ helps recruiting organizations make better decisions faster with real-time business intelligence on jobs, employers, and talent. Analytics brings together, for the first time, years of hiring demand and talent supply data to create a true talent intelligence platform for hard-to-fill positions.

Clients in the staffing, HR, RPO, media, and government sectors use WANTED Analytics™ to find sales leads, analyze employment trends, gather competitive intelligence, forecast economic conditions, and source hard-to-fill positions.

About WANTED Technologies Corporation

WANTED Technologies (TSXV:WAN) provides real-time data analytics for the talent marketplace. Founded in 1999, the company's headquarters are in Quebec City, Canada, and it maintains a US-based subsidiary with primary offices in New York City. WANTED began collecting detailed Hiring Demand data in June 2005, and currently maintains a database of more than one billion unique job listings. For more information or to sample WANTED's services, visit www.wantedanalytics.com.

WANTED is also the exclusive data provider for The Conference Board Help Wanted OnLine Data Series®, the monthly economic indicator of Hiring Demand in the United States.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

SOURCE: WANTED Technologies Corp.

Meredith Amdur, President and CEO, Tel: [phone]; Mr. Martin Auclair, VP Finance and CFO, Tel: [phone], ext. 337