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Press release content from Globe Newswire. The AP news staff was not involved in its creation.

Ackroo announces Q1 2019 financial results

May 23, 2019

OTTAWA, May 23, 2019 (GLOBE NEWSWIRE) -- Ackroo Inc. (TSX-V: AKR; OTC: AKRFF) (“Ackroo” or the “Company”), a gift card and loyalty marketing technology and services provider, has filed its financial results for the three months ended March 31, 2019 and is pleased to report revenues of $1,088,783 including $833,656 of subscription revenue representing a 5.5% increase in subscription revenue over the same period in 2018. The Company also focused on renegotiating certain supplier and contractor agreements during the period to help further reduce the overall operating cost of the business moving forward and succeeded in securing debt capital to help with future growth initiatives.

“We are very happy with several key wins we had in Q1” said Steve Levely, chief executive officer at Ackroo. “For the fifth straight quarter we delivered positive EBITDA which is a trend we fully expect to continue. We renegotiated agreements with specific suppliers and contractors which will lead to lower operating costs in future quarters and higher earnings for the business as a result. We made a number of operational and product enhancements during the period to support our future inorganic and organic growth plans while also securing our first non-traditional bank debt facility with SOFII. Most importantly we delivered organically as we grew our subscription revenue quarter over quarter and year over year. All of these wins led to another successful quarter and have us poised for a great year ahead.”

The complete financial results for Ackroo are available at www.sedar.com. Highlights include:

-- Sales of $1,088,783 for the three-month period ended March 31st, 2019 as compared to $1,168,415 for the three-month period ended March 31st, 2018; -- Subscription revenue of $833,656 for the three-month period ended March 31st, 2019 as compared to $790,983 for the three-month period ended March 31st, 2018 (5.5% growth); -- Gross Margins of $913,422 (84%) for the three-month period ended March 31st, 2019 as compared to $941,476 (81%) for the three-month period ended March 31st, 2018 (3% growth); -- Positive EBITDA from operations excluding stock-based compensation was $71,497 for the three-month period ended March 31st, 2019 as compared to $70,686 for the three-month period ended March 31st, 2018; (1% growth)

About AckrooAckroo provides merchants of all sizes a robust, cloud based multi-currency marketing platform to help attract, engage and grow their customers while increasing their revenues and margins. Through a SaaS based business model Ackroo provides an in-store and online automated solution to help merchants process gift card, loyalty and promotional transactions at the point of sale, provide key administrative and marketing data, and to allow customers to access and manage their gift card and loyalty accounts. Ackroo also provides important marketing services to assist their merchants with utilizing Ackroo’s technology solution. Ackroo is headquartered in Ottawa, Canada. For more information, visit: www.ackroo.com.

For information, please contact:

Steve Levely Chief Executive Officer | Ackroo Tel: 613-599-2396 x730 Email: slevely@ackroo.com

The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking StatementsThis release contains forecasts and forward-looking statements that are not guarantees of future performance and activities and are subject to risks and uncertainties. The company has based these forward-looking statements on assumptions and assessments made by its management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, but are not limited to: the company’s ability to raise enough capital to support the company’s go forward plans; the overall global economic environment; the impact of competition and new technologies; general market, political and economic conditions in the countries in which the company operates; projected capital expenditures and liquidity; changes in the company’s strategy; government regulations and approvals; changes in customers’ budgeting priorities; plus other factors that may arise. Any forward-looking statements in this press release are made as of the date hereof, and the company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

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