With 91% recurring revenue and reduced operating expenses of 60% year-over-year, Reklaim is positioned for a profitable 2023.
New York, New York--(Newsfile Corp. - May 8, 2023) - Reklaim, (TSXV: MYID) (OTCQB: MYIDF) ("Reklaim"), the destination for consumers to access and reclaim their data, announces the filing of its Q1 2023 financial results.
Reklaim Highlights for Q1-2023
Q1 2023 revenue grew to $728,304, an 86% increase over Q1 2022.
A second consecutive quarter of record revenue growth
Q1 2023 revenue exceeded Q4 2022 revenue, seasonally the highest quarter of the year, by 1%, marking a new record revenue quarter for the Company.
The Company increased its gross margin by 169% from Q4-2022 to Q1-2023, from 26% to 71% in the past 90 days.
Expanded the sale of Reklaim data internationally.
Recurring revenue at 91% in Q1-2023, up from 70% in Q1-2022
Platform revenue, which represents 74% of total revenue, grew by 115% in Q1-2023 vs. Q1-2022
Reduced operating expenses by 60% in Q1-2023 vs. Q1-2022
Improved EBITDA 96% in Q1-2023 vs. Q1-2022 and 84% from Q4-2022
New revenue product 'Deals,' an end-to-end vertically integrated media buy for brands and agencies, contributed 7% to total revenue in Q1-2023 in its first month, positioning it as a new growth vertical for the Company.
"The 2023 calendar year is picking up where we left off in Q4-2022 with gross margins expanding 169% over the past 90 days and Q1-2023 revenue; usually the slowest quarter of the year, hitting a new record quarter for us," said Reklaim CEO Neil Sweeney. "With recurring revenue now at 91% and operating expenses down 60% year-over-year, we are positioned well for a profitable 2023."
"The global data market continues pivoting to consumer inclusion and privacy. Reklaim is positioned to take advantage of this massive opportunity as Fortune 500 brands look to replace historical data providers with ones that can adhere to new privacy standards," said Sweeney. "We look forward to continuing our growth and profitability trajectory in Q2 and 2023."
Full financial results, reported in CAD dollars, and Management's Discussion and Analysis are posted to SEDAR (www.sedar.com) and on the Company's investor relations website: investors.reklaimyours.com.
The Company also announces that it has extended the expiry date of an aggregate of 89,800 stock options issued on May 9, 2018, and October 4, 2018, with an exercise price of C$0.05 per common share from May 9, 2023, and October 4, 2023, respectively to May 9, 2028 and October 4, 2028, respectively (the "Amendment"). The Amendment remains subject to the approval of the TSXV.
The Company also wishes to announce a non-brokered private placement offering (the "Offering") comprising 1,500,000 units (the "Units") at a purchase price of $0.06 per Unit for aggregate gross proceeds of approximately $90,000. Each Unit consisted of one common share (a "Common Share") and one-full common share purchase warrant (each, a "Warrant"), with each Warrant exercisable to acquire one common share of Reklaim at $0.10 for 36 months from the date of issuance. If the volume-weighted average trading price of the Common Shares on the TSX Venture Exchange (the "TSXV") is more than $0.15 for a period of 20 consecutive trading days, the Company may accelerate the expiry date of the Warrants to 30 days from the date on which the Company provides written notice to the holders of the Warrants. The Company expects to close the offer shortly.
About Reklaim
Consumer data and the evolution of privacy drive Reklaim. Offering compliant, zero-party data to Fortune 500 brands, platforms, and data companies, Reklaim allows consumers to visit the application, confirm their identity, and unveil data collected and sold for years without the consumer's explicit consent. Reklaim enables consumers to take back control of this data by setting up a Reklaim account through which, should they choose to, they can be compensated for their data. To view more information about Reklaim, visit https://investors.reklaimyours.com.
For further information, please contact
Ira Levy, CFO,
1-855-908-DATA
E: investorrelations@reklaimyours.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include statements based on current expectations involving several risks and uncertainties without limitation and are not guarantees of the Company's future performance. Actual results and future events could differ materially from those anticipated in such information. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to; TSXV approval of the Amendment may not be obtained; the Company may not receive conditional or final approval of the TSXV for the Offering; the Offering may not close on or around the intended date; the Offering may not proceed as planned; the Company may not use the proceeds of the Offering as intended; the market for privacy may not continue to grow, recent privacy regulations may not have the anticipated effect; and the uncertainty surrounding the spread of COVID-19 and the impact it will have on the Company's operations and economic activity in general; and the risks and uncertainties discussed in our most recent annual and quarterly reports filed with the Canadian securities regulators and available on the Company's profile on SEDAR at www.sedar.com, which risks and uncertainties are incorporated herein by reference. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by law, the Company does not intend and undertakes no obligation to update any forward-looking statements to reflect, in particular, new information or future events.
The reader is cautioned that assumptions used in preparing any forward-looking information may prove incorrect. Events or circumstances may cause actual results to differ materially from those predicted due to numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. As a result, the Company cannot guarantee that any forward-looking statement will materialize, and the reader is cautioned not to place undue reliance on any forward-looking information. Although considered reasonable by management at the time of preparation, such information may prove incorrect and actual results may differ materially from those anticipated. This cautionary statement expressly qualifies forward-looking statements contained in this news release. The forward-looking statements in this news release are made as of the date of this news release. The Company will only update or revise any included forward-looking statements as expressly required by Canadian securities law.
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Published by: Newsfile Corp .