TORONTO, May 15, 2024 /CNW/ - TERAGO Inc. ("TERAGO" or the "Company") (TSX: TGO) (https://terago.ca/), today reported financial and operating results for the first quarter ended March 31, 2024. "I am pleased to report our progress in the third quarter of my tenure as CEO, which commenced on June 12th, 2023. Our  comprehensive strategy aimed at enhancing value for our customers, employees, and shareholders continues to drive results. The improvements during these three quarters compared to prior three quarters have resulted in: Increased cumulative Adjusted EBITDA1 by $547K Improved cumulative positive cashflow from operations1 by $3.8M Decreased use of debt facility by $10M As we revitalize our sales efforts, maintain focus on churn mitigation and further optimize costs we anticipate favourable improvements in Adjusted EBITDA and cash flow from operations", said Daniel Vucinic, CEO of TERAGO. "This progress underscores our commitment to efficient resource allocation, and we aim to maintain this trajectory in the upcoming quarters. I look forward to reacquainting the investor community with TERAGO and the Value Creation Strategy in the second half of 2024." Key Developments and Financial Highlights Total revenue was consistent at $6.5M for the three months ended March 31, 2024 compared to $6.5M in the same quarter in the prior year period. Adjusted EBITDA1 was $930K for the three months ended March 31, 2024 compared to $827K for the same period in 2023. The increase is mainly as of a result of smart profitable growth and driving efficiencies in the business. Net loss for the three months ended March 31, 2024 was $3.5M compared to a net loss of $2.5M in the same period in 2023 due to higher interest costs and restructuring undertaken to further optimize the cost structure. Backlog MRR1 in the connectivity business decreased year over year to $48K as of March 31, 2024, compared to $133K for the same period in 2023. The decrease in backlog MRR was a combination of onboarding new customers with significantly faster installations and the Company's focus on profitable revenue generation. ARPU1 for the connectivity business was $1,158 in Q1 2024 compared to $1,101 for the same period in 2023. The improvement in ARPU1 is a result of smart profitable growth coupled with changes in customer base and product mix. Conference Call Management will host a conference call on Wednesday, May 15, 2024, at 5:00 PM ET to discuss these results. To access the conference call, please dial 888-506-0062 or 973-528-0011 and use conference ID 747856 if applicable. Please call the conference telephone number 15 minutes prior to the start time so that you are in the queue for an operator to assist in registering and patching you through. An archived recording of the conference call will be available through Thursday, May 29, 2024. To listen to the recording, call 877-481-4010 or 919-882-2331 and enter passcode 50488# if applicable. ________________________________ (1)  See " Non-IFRS Measures" RESULTS OF OPERATIONS Comparison of the three months ended March 31, 2024 and 2023 (in thousands of dollars, except with respect to gross profit margin, loss per share, Backlog MRR, and ARPU)  (unaudited) Three months ended March 31 2024 2023 Financial Cloud and Colocation Revenue - - Total Revenue $ 6,472 6,509 Cost of Services1 $ 1,751 1,531 Gross Profit Margin1 72.9 % 76.5 % Salaries and Related Costs1 $ 2,669 2,846 Other Operating Expenses1 $ 1,122 1,305 Adjusted EBITDA1 $ 930