Quorum Releases Q1 Fiscal Year 2013 Results

Quorum Information Technologies Inc. ("Quorum" or the "Company") (TSX
VENTURE:QIS) today released its First Quarter (Q1) Fiscal Year (FY) 2013
results. Quorum delivers its dealership management system (DMS),
XSellerator(TM), and related services to automotive dealerships throughout North
America. The Company is both an Integrated Dealership Management System (IDMS)
strategic partner with General Motors Corporation (GM) and a strategic partner
with Microsoft. Quorum's XSellerator product is broadly promoted to its target
dealerships throughout North America by these prominent industry partners.
Quorum also supplies its product to Isuzu, Chrysler, Hyundai, Kia, Nissan,
Subaru, NAPA and Bumper to Bumper franchised dealership customers.


Maury Marks, Quorum's President and CEO made the following remarks about the
Company's Q1 FY2013 results:


Some of our most significant measurable sales and operational results in Q1
FY2013 are as follows:




--  Customer Base - Quorum reached 271 active dealership rooftops at the end
    of Q1 FY2013. 
--  Customers Satisfaction Index (CSI) - our monthly Support Center CSI
    survey reported an average of over 95% "very satisfied" with the service
    received from our support team. 
--  Product - during Q1 FY2013 we continued work on V4.7.6 which is the
    largest release that the company has ever developed. This release has
    approximately 250 different changes and enhancements designed to help
    dealership productivity and profitability. We plan to release this
    version in Q2 FY2013. 
--  Employees - during the quarter, the Company launched Q-School which is
    an internal training portal that provides web based courses focused on
    improving staff efficiency and awareness on Quorum initiatives. 



Financial Results highlights for Q1 FY2013 are as follows:



--  Sales increased by 6% to $1,959K in Q1 FY2013 from $1,842K in Q1 FY2012.
    The increase in sales is due to: 
    --  An increase of $98K in recurring support revenue as a result from
        having 271 active dealership rooftops at the end of Q1 FY2013 versus
        259 at the end of Q1 FY2012. 
    --  A decrease of $38K in net new revenue which was a result of
        completing three installations in Q1 FY2013 as compared to six
        dealership installations in Q1 FY2012.  
    --  An increase of $57K in transitions revenue. 
--  Earnings before interest, taxes, depreciation and amortization (EBITDA)
    increased to $158K in Q1 FY2013 from $126K in Q1 FY2012. The increase in
    EBITDA is largely due to: 
    --  A $19K increase in margin after direct costs in Q1 FY2013 compared
        to Q1 FY2012. 
    --  A $22K decrease in sales and marketing expense in Q1 FY2013 compared
        to Q1 FY2012. The decrease is due to the cost incurred of hosting a
        booth at the "by invitation only" BMW conference during Q1 FY2012. 
--  Quorum had a Comprehensive loss of $12K in Q1 FY2013 compared to a
    Comprehensive loss of $93K in Q1 FY2012. The improvement is due to: 
    --  An increase in EBIDTA of $32K from Q1 FY2013 compared to Q1 FY2012.
        This increase is largely offset by increase in amortization expense
        of $26K from Q1 FY2013 compared to Q1 FY2012. 
    --  A foreign exchange gain of $36K in Q1 FY2013 compared to a foreign
        exchange loss of $40K in Q1 FY2012. 
--  Quorum posted its fifteenth consecutive quarter of cash flow positive
    results. These results are due to a well-managed cost structure and from
    attaining a critical mass of dealerships that generate significant
    higher margin recurring support revenues.



The Company had a strong Q1 FY2013 compared to Q1 FY2012. The highlights were a
6% increase in revenue, a $32K increase in EBITDA and a Comprehensive loss of
$12K (which was a significant reduction from the $93K loss in Q1 FY2012). It is
important to note that the first quarter of every year is a high cost quarter
largely because of the added expenses associated with Quorum's booth at the
North America Auto Dealership Association (NADA) trade show, which is the
largest trade show in North America, and annual manufacturer's costs that are
paid in Q1 for part files, warranty information or integration fees.


Quorum has filed its Q1 2013 consolidated financial statements and notes thereto
as at and for the period ended March 31, 2013 and accompanying Management's
Discussion and Analysis in accordance with National Instrument 51-102 -
Continuous Disclosure Obligations adopted by the Canadian securities regulatory
authorities. Additional information about Quorum will be available on Quorum's
SEDAR profile at www.sedar.com and Quorum's website at www.QuorumDMS.com.


Financial Highlights



                                            Three Months       Three Months 
                                         Ended March 31,    Ended March 31, 
                                                    2013               2012 
----------------------------------------------------------------------------
                                                                            
Gross revenue                          $       1,959,291  $       1,842,186 
                                                                            
Direct costs                                     927,198            828,990 
                                                                            
Margin after direct costs                      1,032,093          1,013,196 
                                                                            
Earnings before interest, taxes,                                            
 depreciation and amortization                                              
 (EBITDA)                                        157,558            126,456 
                                                                            
Loss before deferred income tax                                             
 expense                                         (37,663)           (37,436)
                                                                            
Net loss                                         (48,166)           (52,254)
                                                                            
Comprehensive loss                               (12,415)           (92,604)
                                                                            
Basic loss per share                             (0.0012)           (0.0013)
Fully diluted loss per share           $         (0.0012) $         (0.0013)
                                                                            
Weighted average number of common                                           
 shares                                                                     
 Basic                                        39,298,438         39,298,438 
 Diluted                                      39,298,438         39,298,438 
                                                                            
XSellerator installations - in the                                          
 period                                                3                  6 
XSellerator active dealership rooftops               271                259 
----------------------------------------------------------------------------



About Quorum 

Quorum is a North American company focused on developing, marketing,
implementing and supporting its XSellerator product for GM, Isuzu, Chrysler,
Hyundai, KIA, Nissan, Subaru, NAPA and Bumper to Bumper dealerships. XSellerator
is a dealership and customer management software product that automates,
integrates and streamlines every process across departments in a dealership. One
of the select North American suppliers under General Motors' IDMS program,
Quorum is the second largest DMS provider for GM's Canadian dealerships with 25%
of the market. Quorum is a Microsoft Partner in both Canada and the United
States. Quorum Information Technologies Inc. is traded on the Toronto Venture
Exchange (TSX-V) under the symbol QIS. For additional information please go to
www.QuorumDMS.com.


Forward-Looking Information 

This press release contains certain forward-looking statements and
forward-looking information ("forward-looking information") within the meaning
of applicable Canadian securities laws. Forward-looking information is often,
but not always, identified by the use of words such as "anticipate", "believe",
"plan", "intend", "objective", "continuous", "ongoing", "estimate", "expect",
"may", "will", "project", "should" or similar words suggesting future outcomes.
In particular, this press release includes forward-looking information relating
to results of operations, plans and objectives, projected costs and business
strategy. Quorum believes the expectations reflected in such forward-looking
information are reasonable but no assurance can be given that these expectations
will prove to be correct and such forward-looking information should not be
unduly relied upon.


Forward-looking information is not a guarantee of future performance and
involves a number of risks and uncertainties some of which are described herein.
Such forward-looking information necessarily involves known and unknown risks
and uncertainties, which may cause Quorum's actual performance and financial
results in future periods to differ materially from any projections of future
performance or results expressed or implied by such forward-looking information.
These risks and uncertainties include but are not limited to the risks
identified in Quorum's Management's Discussion and Analysis for the period ended
March 31, 2013. Any forward-looking information is made as of the date hereof
and, except as required by law, Quorum assumes no obligation to publicly update
or revise such information to reflect new information, subsequent or otherwise.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Quorum Information Technologies Inc.
Maury Marks
403-777-0036 ext 104
MarksM@QuorumDMS.com
Quorum Information Techn... (TSXV:QIS)
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