NEW YORK, NY, May 20, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire -- ILUS International Inc (OTC: ILUS), ILUS remains focussed on its M&A strategy of acquiring and growing global technology companies. Ilus has released its first quarter of 2021 results which show that the company has achieved significant milestones.
ILUS International (ILUS) reports that every significant Key Performance Indicator was exceeded during the first quarter of 2021. Nicolas Link took over as CEO in late January 2021 with only 8 weeks remaining until the quarter end. The results show that the new ILUS Management Team have rapidly turned the company around and are now well on track both operationally and financially whilst positioning the company for exponential growth.
ILUS acquired two companies during the First quarter of 2021, with the first acquisition being that of FireBug at the end of January, and the second being The Vehicle Converters (TVC), in February. FireBug is a technology company in the Fire & Rescue sector and The Vehicle Converters are a specialist vehicle converter involved primarily in the manufacture and conversion of medical and rescue vehicles. Early in the second quarter of 2021, ILUS acquired BCD-Fire, a Fire and Life Safety Equipment Installation and Maintenance company with a strong reputation in the Middle-East Region. With ILUS making three very strategic acquisitions within three months, the company is continuing to conduct due diligence and negotiations for several further acquisitions. ILUS’ 3-prong acquisition strategy involves the acquisition of companies for one or all of the following reasons: Technology, Manufacturing Capacity and Route to Market.
Considering that FireBug was only acquired at the end of January, then TVC in February and with FireBug being most active in the UK, Europe and India, all countries which were in lockdown for most of the first quarter, the company still managed to top $500k of revenue, $73k net profit from operations, and $11.8m profit from investments. Given the timeframe and circumstances, ILUS is satisfied with this result and expects revenue to increase significantly as travel restrictions decrease and the new strategy begins to deliver the expected results. With the large acquisition pipeline that the ILUS Management Team is getting closer to concluding and with its organic growth and new product rollout plans, ILUS expects to achieve a run rate of between $15 and $20 million by the fourth quarter of 2021.
ILUS was profitable in the first quarter despite numerous “one-off” expenses which are to be expected following acquisitions and these costs do distort the reported figures. ILUS expects a Net Profit of 5-10% over the next few quarters whilst upcoming acquisitions take place and the related costs are incurred. The experienced management team have a very challenging role of delivering rapid growth and profitability whilst still focusing heavily on gross margin and cash management. The management team’s modus operandi is to continually prioritise profitable growth and cash liquidity in order to allow it to execute deals. The company has financing arrangements agreed with Toto Capital Inc off the back of the ILUS Coin launch and has numerous additional funding options that it could pursue in order to facilitate deals should it need to.
ILUS strengthened its balance sheet by closing the 1st quarter of 2021 with an asset value of $19,872,938.67, liabilities amounting to $4,273,436.27. The structure of the Balance sheet remains critical to ensure that the company maintains liquidity with performing assets and is not overly burdened by borrowing commitments. The company previously disclosed that it was in negotiations with the old debt holders to settle or restructure the debt and it is pleased to confirm that it has successfully signed a settlement agreement with the major debt holder, thereby eliminating the balance of the toxic debt and restructuring a small portion into long term non-toxic debt. This settlement involved a repayment and a last conversion which took place on the 12th of May. ILUS expects this to be handled responsibly as it is not in the debt holder’s interest to dilute the share price since they have no further conversions and will want to exit at the highest possible price. Whilst ILUS is not happy about the final conversion of 80 million shares which has taken place, it is thrilled that it was only 80 million shares converted as opposed to the hundreds of millions of shares that the lender could have converted and thankfully reached an amicable agreement. ILUS is very happy to confirm that there are no further conversions to take place and it is the end of a frustrating chapter for the company. The Shareholders and Management can now confidently focus on building company value and strengthening its overall position in line with its strategy. This restructuring does not appear in the first quarter filings as it was executed in the second quarter.
During the first quarter, trading volume increased by 130,209% and the share price had increased by 8,000% by the end of the quarter. Whilst this was still a long way off the high of the first quarter, it is still a significant achievement and ILUS will continue to strengthen its foundations and deliver on its goals which will create the best opportunity for its share price to increase.
Operationally, the company has achieved huge milestones in Q1, having acquired two companies and made rapid progress in the integration of them to deliver cost saving and efficiency benefits. Both businesses moved into a new factory in Dubai, UAE, with this facility becoming operational and production gaining momentum. New machinery is being delivered and the manufacturing processes and procedures are being streamlined which is allowing the scale up of manufacturing capacity.
Behind the scenes, ILUS is in the process of a complete marketing overhaul and planning the rollout of its organic expansion plans. The company is seeking suitable facilities in India and the USA for implementation as soon as possible. Although the company is actively seeking a suitable acquisition in the USA, it will move forward immediately by establishing a facility in the USA to stimulate organic growth in the interim. In conjunction with this, ILUS has committed to a series of online Question and Answer Sessions, TV interviews and Magazines Articles and are also in the final stages of planning USA, Asia and Middle East Roadshows and Exhibitions for Investors. These are anticipated to take place at in the second half of 2021 and into early 2022. The company is intent on growing its engagement with the ILUS Community of current and future investors as well as clients.
Administratively, ILUS achieved a lot during the first quarter yet still has a significant amount to do. The company managed to get its OTC filings up to date and re-registered with the SEC for filing, however this will only become relevant and fully reporting once the company’s audit is completed and the form 10 is submitted - this is underway and will also allow the name change to take effect. Simultaneously, the company has been working with Canadian Authorities to lift a Cease Trade Order that was imposed on the company in 2012/13. Whilst many of the timeframes for delivery of these administrative goals remain in the hands of authorities and not ILUS, the company’s management team are looking forward to these administrative tasks being completed as soon as possible.
ILUS CEO, Nicolas Link, commented with the following: “The team have worked extremely hard over the past few months getting the operational companies and ILUS in shape for its next phase of growth. The work behind the scenes often goes unnoticed and I am very proud of our team and what we have accomplished. This is only the first step towards a long and exciting journey. As I have said before, we are only interested in being the best at what we are doing and I believe we are headed in the right direction to achieve this. I am also extremely thankful to our Shareholders who we think of as our ILUS Family. There have been some challenging times during the past few months and our loyal Shareholder base has stood by us. I just want to assure Shareholders that we have their best interests in mind at all times and we are always dedicated to growing the business and adding value.”
For further information on the companies please see the ILUS communication channels.
Website: https://ilus-group.com
Twitter : OTC_ILUS
Contact:
Email: IR@Ilus-Group.com
Source: ILUS
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