PCS Annual Shareholders Meeting 9/26
PCSV Shareholder Update
Annual Shareholders Meeting Friday 9/26
Dear Friends and Shareholders,
We are only three days from our annual shareholders meeting that takes place Friday, September 26th, at 10:00 a.m. at our corporate headquarters. During our meeting we will recap the remarkable progress that has been made since our last annual meeting. I would like to draw your attention to a few significant events over the past year leading up to this meeting.
Revenue Trends in FY2014
We saw some very healthy grown in increased channel partner sales such as STEMfinity, up to $150K from FY2013; an annual corporate educational account purchase seen every Q4 was up $150K from FY2013; and increased domestic STEM product sales as a result of our expanding sales force and reseller agreements were up 11.9% in Q3 and 53.7% in Q4 and preliminary Q1 2015 shows an increase of 49.3% over 2014. Finally, we saw increased revenues from our EdventuresLab group, up from $60K in FY2013 to $116K in FY2014 as they exit the pilot phase and enter the scale up phase. Our focus is on revenue growth to continue these growth trends and we are doing that through improved products, R&D, and a rapidly growing sales force.
Revenue Trends Continued in Q1 FY2015
Our Q1 financials were $1,002,565, a revenue number that beats Q1 numbers going back for four years by double or more except for 2012 when we did $515K – $30K short of double. What this indicates is that the changes we are implementing on a daily basis are gaining ground. If we look back to the prior quarter, Q4 or FY2014, the revenues were 707K beating all four years prior as well – last year was $425K. What these numbers indicate is continued growth in our revenue streams.
Expanded Sales Reach
Through internal expansion and the addition of reseller partners, we have effectively grown our UR sales force even more quickly. We have also seen increasing sales from existing channel partners and are in discussions with additional prospective partners. Our new product launches and advances in R&D are providing this growing sales network with some very appealing solutions for educators.
R&D and Product Advances
The following gains have been accomplished through partnerships and the use of grant funds that helped subsidize their development. I am pleased with the progress we’ve made and the opportunities these accomplishments represent for our shareholders.
1) The release of our 3D Interactive Curriculum for an all new and upgraded Discover Engineering Product. This product has widespread appeal with the implementation of tablets throughout the school systems.
2) The major upgrade to our robotics hardware platform created in partnership with QSmart Robotics. Our new system is now Arduino compatible with multiple potential target markets.
3) The major upgrade to our robotics software platform created in partnership with Curious Media. This new software platform is multiplatform, works on tablet devices, and has a rich, gamelike feel that students love to interact with as they learn to code.
4) A comprehensive computer science curriculum developed by Jon Bender, our new curriculum director. This CS curriculum was created around our new robotics platform that is easy to use, multi-platform for use on tablets and computers, and very affordable for classrooms looking for engaging approaches to introducing coding. This new curriculum is bundled with the upgarded hardware and software to form our new and improved Discover Robotics kit.
5) The launch of our online learning management system for supporting our EdventuresLab program, now with two locations in Boise and Eagle Idaho serving over 150 students weekly. This infrastructure is part of our long range plan to build a virtual learning network dedicated to experiential learning. If you haven’t checked out our EdventuresLab program recently visit the lab blog and see what is going on in the lab.
6) Bricklab has seen an update this year also as our manufacturing partner has retooled and upgraded their production capabilities. Our new bricks are better than ever. We are also working on a new curriculum series that will be announced in Q3 that we are very excited about. Watch for our announcements of its release very soon.
7) The launch of RiQ, our exciting first entry into the retail market now available for pre-order and delivery for Christmas sales. RiQ is the first in a series of engineering and robotics related products that are being developed in the EdventuresLab for sale direct to consumer. Our B2C initiatives will include EdventuresLab classes, direct retail product sales, and an online, virtual learning subscription. Visit our product launch page, review the product info, and tell all your friends to pre-order for Christmas.
Successful Projects in the Middle East
STEM education is a global challenge, with many nations recognizing the need to transform their educational systems to drive innovation, creativity, and technological literacy. A primary emphasis in Saudi Arabia is on experiential, active STEM programs. PCS provided approximately $100K in STEM consulting and planning services in FY2013 Q1 to the Saudi Arabian Ministry of Education in support of a Science Center program. As a result, PCS has developed strong relationships in Saudi that hold promise for sustainable long term growth. PCS received a $665,000 contract in August of 2013 to construct and deliver a STEAM outreach model into the Kingdom. In February of 2014 we delivered a $133,000 contract for Science Center training conducted in Dammam, and in July we announced new contracts for content development of $1MM and additional outreach purchasing of $198K. PCS continues to look forward to additional growth in Saudi Arabia and around the globe.
Debt Conversion and Improved Balance Sheet
On the heels of our announcements of $1.2MM in new orders from Saudi Arabia, we were delighted to announce further progress on our company as we reduced debt on the PCS balance sheet by nearly $700,000 dollars last week in what we consider to be a tremendous vote of confidence in our business plan and progress. The holders of eight (8) convertible notes of the Company elected to convert those notes into shares of common stock of the Company. With interest, the conversions removed a total of $696,374 in long term debt from the PCS balance sheet.
Expanded and Strengthened Board of Directors
As you know, to operate effectively and to achieve the rapid growth goals that we have set for PCSV, it is important that we rely on the expertise and guidance of our Board of Directors. Having experienced, passionate professionals that are available away from the day-to-day operations to guide the company in strategic matters is crucial to our focus, growth and future success. To this end, were delighted to announce two new members to our Board of Directors, Andrew J. Scoggin and Britt E. Ide this year.
On behalf of everyone here at PCS Edventures, we look forward to our shareholder meeting on Friday and hope you will join us. If you are not local to the Boise area, you can join us virtually – go to this link and follow the instructions:
Robert Grover, CEO
PCS Edventures, Inc.
About PCS Edventures!
PCS Edventures!.com, Inc. (PCS) designs and delivers educational products and services to the K-16 market that develop 21st century skills. PCS programs emphasize hands-on experiences in Science, Technology, Engineering and Math (STEM) and have been deployed at over 7,000 sites in all 50 United States and 17 foreign countries. Additional information on our STEM products is available at http://www.edventures.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Actual results could differ materially from such statements.
Investor Contact: Robert Grover, CEO 1-800-429-3110
Investor Relations Website: http://pcsv.global