Sajan : Announces Record Fourth Quarter Revenue and Full Financial Results for Fourth Quarter and Fiscal Year 2016

RIVER FALLS, Wis. - Feb. 10, 2017: Sajan, Inc. (NASDAQ: SAJA), a leading provider of global language services and translation management system technology, today reported its financial results for the fourth quarter and fiscal year ended Dec. 31, 2016.

Revenues were a record $7,657,000 for the quarter ended Dec. 31, 2016, compared to $7,496,000 in the fourth quarter of 2015. The Company reported a net loss for the quarter ended Dec. 31, 2016, of ($165,000) including $259,000 of non-recurring restructuring costs, compared to net income of $263,000 for the quarter ended Dec. 31, 2015. Adjusted EBITDA was $290,000 for the quarter ended Dec. 31, 2016, compared to $515,000 for the quarter ended Dec. 31, 2015. See the section entitled 'Non-GAAP Financial Measures' below for a reconciliation of Adjusted EBITDA to net income (loss).

Revenues for the fiscal year ended Dec. 31, 2016, were $29,219,000 compared to $29,688,000 in the same period of 2015. Net loss for the fiscal year ended Dec. 31, 2016, was ($553,000) including $259,000 of non-recurring restructuring costs, compared to net income of $142,000 for the same period of 2015. Adjusted EBITDA was $561,000 in 2016 compared to $1,386,000 in 2015. See the section entitled 'Non-GAAP Financial Measures' below for a reconciliation of Adjusted EBITDA to net income (loss).

Shannon Zimmerman, CEO of Sajan, commented on the Company's fourth quarter results: 'I am pleased with our record performance and continued revenue growth in the fourth quarter. Our largest clients were the main contributors as we saw our top 20 accounts comprise 74 percent of our fourth quarter revenue. We also took a major step in improving our profitability outlook for 2017 in November by restructuring our business. The actions taken impacted operations, sales and marketing, research and development and administrative areas of the Company. Although painful, we expect our actions to save the Company approximately $1,200,000 of annual compensation costs while not impacting our ability to achieve our long term revenue growth objectives.'