CALGARY, Alberta, Canada, Nov. 23 /PRNewswire-FirstCall/ -- Securac Corp. ("Securac") (OTC:SECU) (BULLETIN BOARD: SECU) , an enterprise governance, risk, and compliance software and services vendor and provider of Acertus(TM), the leading integrated software platform for assessing risk and compliance, today announced financial results for the third quarter and nine months ended September 30, 2005. Financial Highlights (Dollar amounts are in Canadian Dollars) Total revenue for the third quarter was $400,932, up 213% from the same period last year. During the quarter, license revenue of $61,979 grew by 180%. Revenue results were based on growth of professional services with new and existing customers, and a software licensing deal with a significant customer. An additional $159,024 from this licensing transaction has been recorded under deferred revenue and will be recognized monthly over the three-year term of the license. Total revenue for the nine months ended September 30, 2005 was $874,336, up 43% from the same period last year. Note: Total revenue of $874,336 for the nine months ended has already surpassed our total revenue for our twelve months ended last year of $725,272. Total expenses for the quarter were $1,694,007, an increase of 40% over the same period last year. The increase was primarily attributable to our continued aggressive sales and marketing endeavours in Canada and the U.S., and stock based compensation, a non-cash outlay, of $753,832 in the third quarter, -- an expense not expected to be incurred to any significance in 2006. This resulted in a net loss of $1,525,071 for the third quarter of 2005 compared to $1,115,883 in the same period last year. Marketing and sales expenditures were $340,175 in the third quarter of 2005 compared to $28,966 in the same period in 2004, and $958,249 for the first nine months of 2005 versus $183,670 in 2004. The marketing and sales expenses incurred in the third quarter resulted in positive sales and professional services results, consistent with 2005 business plan expectations. Terry Allen, Securac's chief executive officer, commented, "We are delighted to have achieved record revenue results in the quarter, driven by strong professional services and license revenue growth. Our business plan is charting the way for Securac to continue on a path of revenue growth to year-end and into 2006. Our Acertus(TM) suite of software products and professional services are starting to build the Securac brand and customer loyalty in a highly competitive marketplace." Stated Allen, "The third quarter will be looked upon as a milestone in our short, yet exciting history; we have achieved revenue generation at a rate which bodes well for the future of Securac. Our customer growth is trending in the right direction and we are being very successful in managing our costs, an area which we can and will control; in particular, general -- administrative and marketing -- sales expenses. In addition, we are starting to see our sales pipeline bear results in terms of realized sales both short and long term." Highlights/Items of Interest * Securac announced the development of Occupational Health & Safety (OH&S) management software and services; a comprehensive OH&S Management System approach, providing a world class architecture that allows organizations to monitor, measure and assess their OH&S compliance requirements with industry and operational standards, in addition to providing a blended world class education and training solution. * Substantial sales growth in Eastern Canada, in the area of Physical Risk Management; a core line of business for Securac in Canada and the U.S. * Channel relationships with IBM, SAP and Bearing Point continue and are expected to bear long term tangible results. Statements in this Press Release that are not statements of historical fact, including statements regarding potential market size, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risk and uncertainties which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such risks and uncertainties include but are not limited to changing market conditions, the successful and timely completion of financing, the establishment of corporate alliances, the impact of competitive products and pricing, new product development and uncertainties related to the regulatory environment. Reference is made to the Company's Annual Report on Form 10-KSB for the year ended December 31, 2004 for a description of these, as well as other, risks and uncertainties. About Securac Securac is a vendor of corporate governance, risk assessment and compliance management software and services to corporate and public enterprises, consultants and regulated organizations. Acertus(TM), our integrated software platform for risk management and decision support, along with our professional services team of risk/governance experts and compliance specialists provide comprehensive governance, risk assessment and compliance programs from the boardroom to the operational level. Securac's principal office is located in Calgary, Alberta and it maintains a sales presence throughout North America. Contact Terry Allen Chief Executive Officer Securac Corp. Tel: (403) 225-0403 Ext 223 Rick Preston Director -- Investor Relations Securac Corp. Tel: (403) 225-0403 Ext 226 DATASOURCE: Securac Corp. CONTACT: Terry Allen, Chief Executive Officer, ext. 223, , or Rick Preston, Director -- Investor Relations, ext. 226, , both of Securac Corp., +1-403-225-0403

Copyright