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PI Financial Corp Updates Buy Recommendation on Descartes Systems Group (TSX:DSG) (NASDAQ:DSGX) - Video Summary Posted on www.InvestmentPitch.com(Thomson Reuters ONE via COMTEX) -- Vancouver, British Columbia, December 4, 2012 - Investment firm PI Financial Corp, has updated their coverage on Descartes Systems Group (TSXL:DSG) (NASDAQ:DSGX). Analyst Pardeep Sangha reiterated his buy recommendation, increasing his 12-month target price to $10.60, a premium of 28% to the current price of $8.30. InvestmentPitch.com has produced a "video news alert" about Descartes based on this report. If this link is not enabled, please visit www.InvestmentPitch.com and enter "Descartes" in the search box. This update followed the company's report of record revenue of $32.7 million for the third quarter ending October 31, 2012. This was 15% higher than the comparable quarter in the previous year. Descartes' adjusted EBITDA increased 17% to a record high of $9.9 million compared to $8.5 reported for the same quarter in the previous year. Descartes is the global leader in providing on-demand, software-as-a-service solutions focused on improving the productivity, performance and security of logistics-intensive businesses. With a client list including names such as Air Canada, British Airways, Samsung and Canon, the company integrates more than 35,000 trading partners to its cloud-based Logistics Technology Platform. Subsequent to the end of the quarter, Descartes acquired Exentra Transport Solutions for approximately $17 million in cash. Exentra's Smartanalysis platform is used by 6 of the top 10 road transport companies in the UK. Management provided record guidance for the 4th quarter, with baseline revenue at $31.6 million, and baseline EBITDA at $7.6 million. "We continue to deliver ahead of our plans despite a challenging economic environment," said Stephanie Ratza, Descartes' Chief Financial Officer. "As the economy remains uncertain, we're certainly well-positioned to handle the ups and downs with a healthy, well-calibrated business." Management further stated the company is working on several large customer opportunities that should be coming live over the next few quarters. Sangha stated "We believe Descartes is ideally positioned to act as the consolidator in the industry" "We continue to like Descartes because of the company's impressive track record, diversified base of recurring revenues and positive cash flows." Descartes currently trades at $8.30 and with 62.6 million shares outstanding, the company is capitalized at $569 million. For more information please visit the company's website www.descartes.com, or contact the company at 519-746-8110 or email [email protected].. For more information about PI Financial or to obtain a copy of their research report, contact your nearest PI Financial office. Their branches are listed on their website at www.pifinancialcorp.com.. InvestmentPitch.com, a multimedia company that provides a combined solution for creating and hosting financial video content, and distributing it across multiple platforms to investors and financial professionals, specializes in producing three minute videos based on news releases and research reports. CONTACT: InvestmentPitch.com Barry Morgan, CFO 604-684-5524 [email protected] This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein. Source: InvestmentPitch via Thomson Reuters ONE HUG#1662607 |