Blackline Safety (TSE:BLN) Releases Earnings Results

Blackline Safety (TSE:BLN) released its quarterly earnings results on Thursday. The company reported C($0.03) EPS for the quarter, FiscalAI reports. The business had revenue of C$38.85 million during the quarter. Blackline Safety had a negative net margin of 5.76% and a negative return on equity of 10.75%.

Here are the key takeaways from Blackline Safety’s conference call:

• Company-reported ARR rose 28% YoY to CAD 90.5M and service revenue grew 25% to CAD 24.9M, with net dollar retention at 126% for the 11th consecutive quarter.
• Blackline launched the G8 platform and began shipments, reporting outstanding early customer feedback and forecasting the G8 will drive higher ARR per device and ongoing service monetization over the device lifecycle.
• Product revenue fell 22% YoY to CAD 14M as some customers deferred hardware purchases ahead of the G8 launch and last year’s elevated Q1 product sales created a tough comparator, producing a near-term headwind to hardware revenue.
• Adjusted EBITDA was positive at CAD 1.7M (up 12% YoY) with gross margin improving to 65%, and the company exited the quarter with roughly CAD 41.4M cash plus CAD 29.9M available on its credit facility (~CAD 71.3M total liquidity).
• Geopolitical tensions in the Middle East created operational disruptions (including AWS interruptions) and uncertainty; while the ADNOC deployment is scaling, management cautioned the situation could affect order flow or customer priorities.

Blackline Safety Stock Performance

Shares of BLN opened at C$7.10 on Friday. Blackline Safety has a 12 month low of C$5.90 and a 12 month high of C$7.97. The company has a current ratio of 2.24, a quick ratio of 3.09 and a debt-to-equity ratio of 16.53. The stock has a fifty day moving average price of C$6.53 and a 200-day moving average price of C$6.86. The firm has a market cap of C$617.74 million, a PE ratio of -71.00 and a beta of 1.05.

Analysts Set New Price Targets

Separately, Royal Bank Of Canada set a C$9.00 price target on Blackline Safety and gave the company an “outperform” rating in a report on Thursday, December 18th. Two research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. According to MarketBeat.com, Blackline Safety has an average rating of “Moderate Buy” and a consensus price target of C$9.33.

About Blackline Safety

Blackline Safety Corp is a connected safety monitoring technology company. It provides wearable safety technology, personal and area gas monitoring, cloud-connected software and data analytics to meet demanding safety challenges and increase productivity of organizations with coverage in more than 100 countries. Blackline Safety wearables provide a lifeline to tens of thousands of people, having reported over 161 billion data-points and initiated over five million emergency responses. Armed with cellular and satellite connectivity, the company ensure that help is never too far away.