PowerBand's Month-Over-Month Growth Continues into February 2021

Rhea-AI Summary

PowerBand Solutions announced strong financial results for February 2021, with gross sales reaching $8.0 million (CAN), a 19.4% increase from January's $6.7 million. Year-to-date sales stand at $14.7 million, approaching $21.7 million for the same period in 2020. The company attributes growth to its DRIVRZ™ virtual marketplace, which eliminates middlemen, reducing costs for users. The gross margin remains stable between 60% and 65%, indicating a solid business model as they aim for profitability.

Positive

• February 2021 gross sales increased to $8.0 million (CAN), up from $6.7 million in January, marking a 19.4% month-over-month growth.
• Year-to-date gross sales of $14.7 million are close to the previous year's figure of $21.7 million, indicating strong sales performance.
• Gross margin remains consistent at 60% to 65%, supportive of financial health and profitability aspirations.

Negative

• None.

The DRIVRZ™ virtual marketplace is resonating and capturing more market share because it eliminates costly middlemen

VANCOUVER, BC / ACCESSWIRE / March 8, 2021 / PowerBand Solutions Inc. (TSXV:PBX) (OTCQB:PWWBF) (Frankfurt:1ZVA) ("PowerBand", "PBX" or the "Company"), a comprehensive e-commerce solution allowing drivers and automotive dealers to buy, sell, trade, lease and finance vehicles from any digital device, is pleased to announce the Company's February 2021 financial results demonstrate the continuation of strong month-over-month growth heading into 2021.

February's gross sales totalled $8.0mm (CAN). This exceeds the $6.7mm in January 2021, an increase of $1.3mm (CAN).

This is a strong beginning for 2021, particularly in a short month that saw a major cold-weather incident that negatively impacted the economy in our key U.S market of Texas. Month-over-month growth rate was 19.4%. The year-to-date 2021 gross sales of $14.7mm is getting closer to the Company's 2020 year-to-date gross sales of $21.7mm. Also, of note, the gross margin for the period remained consistent in the range of 60% to 65%.

"We are continuing to grow our market share and move toward profitability because the DRIVRZ™ virtual marketplace is eliminating the need for drivers and Dealers to engage unnecessary middlemen when they buy, sell, lease, trade, finance and insure vehicles," said PowerBand CEO Kelly Jennings "The DRIVRZ™ virtual marketplace is truly disruptive because we do not acquire and hold costly inventory. Instead, we offer access to more than 4.5 million vehicles through our data bases and facilitate the ability of drivers and dealers to connect to those vehicles. We do not pass on substantial inventory-holding costs to the user and eliminate the bottom-line risk to the Company of debt costs and depreciating inventory."

About PowerBand Solutions, Inc.

PowerBand Solutions Inc., listed on the TSX Venture Exchange and the OTCQB markets, is a fintech provider disrupting the automotive industry. PowerBand's integrated, cloud-based transaction platform facilitates transactions amongst consumers, dealers, funders, and manufacturers (OEMs). It enables them to buy, sell, trade, finance, and lease new and used, electric and non-electric vehicles, on any phone, tablet or PC connected to the internet. PowerBand's transaction platform - being trademarked under DRIVRZ™ - is being made available across North American and global markets.

For further information, please contact:

Kelly Jennings
Chief Executive Officer
E: info@powerbandexchange.com
P: 1-866-768-7653

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

Non-IFRS Measures:

This news release contains non-IFRS financial measures; the Company believes that these measures provide investors with useful supplemental information about the financial performance of its business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating its business. Although management believes these financial measures are important in evaluating the Company's performance, they are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with IFRS. These non-IFRS financial measures do not have any standardized meaning and may not be comparable with similar measures used by other companies. For certain non-IFRS financial measures, there are no directly comparable amounts under IFRS. These non-IFRS financial measures should not be viewed as alternatives to measures of financial performance determined in accordance with IFRS. Moreover, presentation of certain of these measures is provided for year-over-year comparison purposes, and investors should be cautioned that the effect of the adjustments thereto provided herein have an actual effect on the Company's operating results.

SOURCE: PowerBand Solutions Inc.

View source version on accesswire.com:
https://www.accesswire.com/634031/PowerBands-Month-Over-Month-Growth-Continues-into-February-2021

FAQ

What were PowerBand Solutions' February 2021 financial results?

PowerBand Solutions reported February 2021 gross sales of $8.0 million (CAN), a 19.4% increase from January.

What is the projected outlook for PowerBand Solutions in 2021?

The company is experiencing strong month-over-month growth and aims for profitability with the DRIVRZ™ virtual marketplace.

What is the gross margin percentage for PowerBand Solutions?

PowerBand Solutions reported a gross margin consistent in the range of 60% to 65%.

How much were the year-to-date gross sales for PowerBand Solutions in 2021?

As of February 2021, the year-to-date gross sales for PowerBand Solutions were $14.7 million.

How does the <i>DRIVRZ</i>&#8482; marketplace benefit users?

The DRIVRZ™ marketplace eliminates middlemen, reducing costs for drivers and dealers when buying or selling vehicles.