Certicom Corp. Reports Year-End Results; Revenue Increased 13% for the 12 Months Ended April 30, 1997.

TORONTO--(BUSINESS WIRE)--July 16, 1997--Certicom Corp., a leading provider of cryptographic technologies and information security products, today announced its financial results for the 12 months ended April 30, 1997.

Certicom's fiscal 1997 revenue increased 13% to $1.5 million from $1.3 million for the same period in 1996. For the three months ended April 30, 1997, revenue was $0.3 million, the same as the comparable period in 1996. The corporation began commercially licensing its Certicom Elliptic Curve Engine, (CE)2, technologies during the fourth quarter; however, royalty revenue from this activity will likely not commence until the second quarter of fiscal 1998.

For the 12 months ended April 30, 1997, the loss increased to $7 million from a loss of $2.6 million for the same period in 1996. For the three months ended April 30, 1997, the loss increased to $2.7 million from $2.5 million in the same period of the previous year. Losses per share were $0.36 and $0.97 for the three-month and 12-month periods ended April 30, 1997, respectively.

Certicom's financial results are in line with its management's expectations. During the fiscal year, and particularly in the fourth quarter of fiscal 1997, Certicom significantly expanded its operations in anticipation of the commercial launch of its (CE)2 technologies in March 1997. Personnel headcount more than doubled, including several additions to the management team.

Cryptographic and product development facilities were expanded in Mississauga and a new office, housing the company's Sales and Marketing division, was opened in San Mateo, Calif.

Certicom's cash resources were $16.4 million at April 30, 1997. The corporation completed private placements in November 1996, which raised $17.6 million after deducting expenses related to the transaction. Subsequent to year end, Certicom completed an equity transaction with Motorola Inc., which generated an additional $13.5 million.

Certicom is a leading provider of cryptographic technologies for computing and communications companies. Certicom's core technology is (CE)2 -- a stronger, faster, smaller engine that performs public-key encryption and digital signatures required for advanced data security.

(CE)2 is available for software, firmware and integrated circuit implementations and is particularly well suited for constrained environments such as smart cards, wireless devices and high-transaction servers.

Certicom's cryptographic research and product development is based in Mississauga, Ontario, with sales and marketing operations in San Mateo. Certicom shares are quoted on the Toronto Stock Exchange under the symbol "CIC." -0-

Note to editors: Visit Certicom's web site at www.certicom.com

CONTACT: Certicom Corp.

Bruce MacInnis, 905/507-4220 (CFO)

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Kim Morningstar, 905/507-4220 (corporate communications)

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