Apivio Announces First Quarter Financial Results

ANCOUVER, BRITISH COLUMBIA–(Marketwired – Jun 2, 2014) – Apivio Systems Inc. (formerly Moimstone Corporation) (“Apivio” or the “Company”) (TSX VENTURE:APV) reports its results of operations for the three months ended March 31, 2014.

For the full condensed consolidated interim financial statements and management discussion & analysis for the first quarter ended March 31, 2014, please see SEDAR at www.sedar.com.

In the first quarter of 2014, sales revenues increased by 20.5% to $9.3 million CAD compared to the same quarter in 2013. Gross margin for Q1 2014 was 16.8% compared to 15.6% for the same quarter a year ago. Net loss for the first quarter in 2014 and 2013 was $0.6 million CAD. In the first quarter of 2014, sales were mostly in South Korea just as in 2013, but currently the company is preparing for an international distribution of its voice-over-internet telephones.

“While I’m encouraged by our continued progress in sales and gross margin growth of our core business in Korea, it is important to remember that we are in expansion mode, both in terms of geography and product offerings and therefore these results are only part of the story”, said Rob Bakshi CEO. “These consistent core business results are allowing us to invest in long term growth and profitability outside of the Korean market. Investments in market expansion (like our recently announced deals with NEC, Global Integrated Solutions and Dot Communications) as well as investments in the strengthening of our senior management, internal controls, research and development and product certifications for global markets, are some of our long-term growth initiatives which are starting to pay off”.