Mark Gomes's questions to INTERMAP TECHNOLOGIES (ITMSF) leadership • Q1 2016
Question
Mark Gomes of Pipeline Data LLC inquired about the potential expansion of a newly announced project, the rationale behind a recent $5 million loan, the company's goal to become debt-free, and the progress of the large SDI contract, including updates from the prime contractor and associated political risks. He also asked about the growth outlook for the non-SDI business, particularly the InsitePro software, and the company's competitive positioning in the cloud belt.
Answer
CEO Todd Oseth explained that expansion of the new project is hard to predict as it depends on year-end government funds. CFO Rich Mohr clarified that the $5 million loan was a single, efficient transaction to cover operations until the SDI commences, and confirmed the goal to be debt-free within a year remains, contingent on SDI success and base business performance. Oseth noted that SDI updates have become more operational, a positive sign, and that the contract is backstopped by sovereign debt, mitigating political risk. He also highlighted a significant market opportunity for the InsitePro software and a competitive advantage in the 68 countries within the cloud belt.