Snipp Interactive Reports Financial Results for Fiscal 2023 and Announces Conference Call on May 1, 2024
Snipp Interactive Inc. reported record-breaking revenue of $30.55 million for Fiscal 2023, a 24% increase from the previous year, with Q4 2023 revenue reaching $7.96 million. EBITDA saw a positive trend in the second half of 2023, with a bookings backlog of $13.6 million. The company remains debt-free, with strategic expansions and increased profitability in key business lines.
Record-breaking revenue of $30.55 million in Fiscal 2023, a 24% increase from the previous year.
Positive EBITDA trend in the second half of 2023, with EBITDA totaling $64,974 compared to a negative figure in the same period of 2022.
Bookings backlog stood at $13.6 million at the end of 2023, showcasing future revenue potential.
Strategic expansions into new markets and increased profitability in key business lines contributing to sustained growth.
Gross margin decreased in Fiscal 2023 to 31% from 38% in the previous year.
EBITDA for Fiscal 2023 was negative at ($1,908,355), compared to a positive figure in Fiscal 2022.
VANCOUVER, BC / ACCESSWIRE / April 30, 2024 / Snipp Interactive Inc. ("Snipp" or the "Company") (TSX-V:SPN)(OTC PINK:SNIPF), a global provider of digital marketing promotions, rebates, and loyalty solutions, announced its financial results for the year ended December 31, 2023 ("Fiscal 2023"). All results are reported under International Financial Reporting Standards ("IFRS") and in US dollars. A copy of the complete audited financial statements and management's discussion and analysis are available on SEDAR (www.sedarplus.ca).
The Company also announces conference call details for investors taking place on Wednesday, May 1, 2024 at 10:00am Eastern Time (US) to discuss the Company's recent financial results and plans for the year.
The conference call will be available via the following weblink or dial-in options.
Weblink: https://v.ringcentral.com/join/546078785 for meeting ID 546078785
Dial-in: for parties in the United States dial +1-650-419-1505 and parties in Canada dial +1-437-800-0918, and then enter Meeting ID: 546078785. Parties joining from other locations can refer to additional dial-in numbers based on your location listed at the following website and use the same Meeting ID referenced above: https://v.ringcentral.com/teleconference
Highlights
- (Refer to Non-GAAP Measures, EBITDA and Bookings Backlog discussion below)
- Revenue for Fiscal 2023 totaled
$30.55 million , the highest in the Company's history, which represents an increase of24% from Fiscal 2022. - Revenue for Q4 2023 totaled
$7.96 million , which represents an increase of13% from Q4 2022. - Gross margin in Fiscal 2023 was
31% , as compared to38% in Fiscal 2022. Gross margin in Q4 2023 was39% , as compared to31% in Q4 2022. - EBITDA in Fiscal 2023 totaled (
$1,908,355) , compared to$22,465 in Fiscal 2022. - EBITDA in Q4 2023 totaled
$31,566 , compared to ($693,725) in Q4 2022. - EBITDA for the second half of 2023 [Q3-Q4] was positive
$64,974 compared to negative ($413,185) in the second half of 2022 [Q3-Q4]. - Bookings Backlog (programs that have been sold, but whose revenues have not yet been recognized) stood at
$13.6 million at December 31, 2023, compared to$11.9 million at December 31, 2022. - Cash at the end of 2023 stood at
$2.9 million , with accounts receivable at$2.1 million . The company continues to be debt free.
We are thrilled with Snipp's achievements throughout 2023," stated Atul Sabharwal, Founder of Snipp. "Our strategic expansion into new markets, the introduction of new business lines, and most importantly, our investments in our team, are all yielding results. This success is reflected in some of the new client solutions we launched last year, positive EBITDA results in the third and fourth quarters, and a growing bookings backlog comprised of new logo wins as well as existing customers."
"In the next month, we will release our first-quarter earnings, which we anticipate will demonstrate further improvements in our gross margins as we move away from legacy contracts and proof of concept partnerships. Gambit Rewards remains uniquely positioned in the world of loyalty sports betting and our team continues to explore ways to improve its profitability and expand its use cases. We are also excited to update you on SnippMEDIA, which launched in March with a top financial institution and has shown promising early results. With an audience now exceeding fifty million loyalty users, we are well positioned to expand relationships with many of our Fortune 500 clients with yet another product that is an industry first. Our innovative platform can seamlessly integrate a cash back offer from a banking app directly with a retailer. It also modernizes the couponing process, moving us beyond traditional, print-at-home solutions."
"Snipp remains dedicated to ongoing innovation in the loyalty, couponing and first party data market and is strategically expanding our reach both across new geographies and within our current customer base. We are excited to share additional updates on our progress in the coming weeks. Our commitment to driving sustainable profitability is stronger than ever as we look to return our gross margins towards historical levels and generate expense leverage from the investments we have made over the past two years."
Non-GAAP Measures
Snipp uses certain performance measures throughout this document that are not recognizable under Canadian generally accepted accounting principles or IFRS ("GAAP"). These performance measures include Gross Margin and EBITDA. Management believes that these measures provide supplemental financial information that is useful in the evaluation of the Company's operations.
Investors should be cautioned, however, that these measures should not be construed as alternatives to measures determined in accordance with GAAP and IFRS as an indicator of Snipp's performance. The Company's method of calculating these measures may differ from that of other organizations, and accordingly, these may not be comparable.
EBITDA
Snipp defines earnings before interest, taxes, depreciation and amortization ("EBITDA") as revenue minus operating expenses excluding non-cash operating expenses of share-based payments, depreciation and amortization (interest and taxes are not included in the Company's operating expenses).
Gross Margin
Snipp defines Gross Margin as revenue less campaign infrastructure. The Company's calculation of Gross Margin is not a financial measure that is recognized under GAAP. Investors should be cautioned that the Company's defined Gross Margin should not be construed as an alternative measure to other measures determined in accordance with GAAP.
Bookings Backlog
Snipp defines Bookings Backlog as future revenue from existing customer contracts to be recognized in future quarters. Bookings get translated into revenues based on IFRS principles and the Bookings Backlog reflects how revenues in future quarters are steadily being booked today.
The Following are calculations of EBITDA:
| Three | Three | Year | Year | |||||||||||||
| Months Ended | Months Ended | Ended | Ended | |||||||||||||
| December 31, | December 31, | December 31, | December 31, | |||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| USD | USD | USD | USD | |||||||||||||
Net loss before interest, foreign exchange, other income and taxes | (262,521 | ) | (1,128,291 | ) | (3,363,177 | ) | (1,744,105 | ) | ||||||||
Amortization of intangible assets | 252,654 | 273,267 | 1,068,710 | 1,086,832 | ||||||||||||
Depreciation of equipment | 3,161 | 2,397 | 11,455 | 9,185 | ||||||||||||
Share-based payments | 38,272 | 158,902 | 374,657 | 670,553 | ||||||||||||
EBITDA | 31,566 | (693,725 | ) | (1,908,355 | ) | 22,465 | ||||||||||
The Following are calculations of Gross Margin:
| Three | Three | Year | Year | |||||||||||||
| Months Ended | Months Ended | Ended | Ended | |||||||||||||
| December 31, | December 31, | December 31, | December 31, | |||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| USD | USD | USD | USD | |||||||||||||
Revenue | 7,960,924 | 7,047,509 | 30,546,513 | 24,663,943 | ||||||||||||
Less: | ||||||||||||||||
Campaign infrastructure | 4,849,344 | 4,873,844 | 21,072,294 | 15,246,604 | ||||||||||||
Gross Margin | 3,111,580 | 2,173,665 | 9,474,219 | 9,417,339 | ||||||||||||
About Snipp:
Snipp Interactive Inc. (TSX-V: SPN; OTCPK: SNIPF) is a leading Platform-as-a-Service (PaaS) company in the global loyalty and promotions sector. Snipp's proprietary and modular SnippCARE (Customer Acquisition, Retention & Engagement) Platform allows its marquee list of Fortune 500 clients and world-class agencies and partners to use various modules of the Platform to run long-term and short-term programs and promotions, while continually generating and capturing unique zero party data that is invaluable in providing insights to drive sales. SnippCHECK, the Platform's Receipt Processing Module has established itself as an industry leader and standard by powering a large majority of all receipt-based promotions in North America. SnippLOYALTY, the Platform's full scale modular loyalty engine allows clients the flexibility of deploying any/all aspects of a standard loyalty program on a case-by-case basis. SnippREWARDS, the Platform's modular catalogue of digital and physical rewards provides clients with global and easily deployable access to an extensive catalogue of digital and physical rewards. SnippWIN, the Platform's gaming module solves for the implementation and compliance difficulties of offering games of chance and skill on a global basis and allows for the global deployment and administration of legally compliant games of chance and skill. For more information, visit Snipp's website at www.snipp.com and its profile on SEDAR+ at www.sedarplus.ca.
Snipp is headquartered in Vancouver, Canada with a presence across the United States, Canada, Ireland, Europe, and India. Snipp is publicly listed on the TSX Venture Exchange in Canada and is also quoted on the OTC Pink marketplace under the symbol SNIPF.
FOR FURTHER INFORMATION PLEASE CONTACT:
Snipp Interactive Inc.
Jaisun Garcha
Chief Financial Officer
investors@snipp.com
1-888-99-SNIPP
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Copyright Snipp Interactive Inc. All rights reserved. All other trademarks and trade names are the property of their respective owners.
SOURCE: Snipp Interactive Inc.
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