Wishpond Achieves 90% Revenue Growth and Record Revenue in Third Quarter 2021
VANCOUVER, BC, Nov. 25, 2021 /PRNewswire/ - Wishpond Technologies Ltd. (TSXV: WISH) (OTCQX: WPNDF) (the "Company" or "Wishpond"), a provider of marketing-focused online business solutions, announces it has filed its interim consolidated financial statements (the "Interim Financial Statements") and management's discussion and analysis ("MD&A") for Q3-2021, representing the three and nine months ended September 30, 2021. Copies of the Interim Financial Statements and MD&A are available on the Company's profile on SEDAR at www.sedar.com.
"Third quarter 2021 was an outstanding quarter for Wishpond which demonstrated that our organic and inorganic growth strategy is working," commented Ali Tajskandar, Wishpond's Chairman and CEO. "Wishpond's revenue in Q3 increased by 90% YoY driven by the success of our expanded sales team, new product introductions and the acquisitions of Invigo, PersistIQ and Brax. We are also very pleased to return to positive Adjusted EBITDA in the third quarter of 2021. In the first half of the year, we made investments in our product development and sales teams, which are now paying off for the Company, as we are now exceeding $16M in annualized revenue run-rate."
Ali Tajskandar adds, "The Invigo, PersistIQ and Brax acquisitions have broadened our product portfolio and proven to be accretive to Wishpond's financial profile. We are beginning to witness the synergistic benefits of our acquisitions through cross selling the Company's products and services across the different parts of the growing organization. We continue to have a robust pipeline of potential acquisition opportunities and a strong balance sheet with an undrawn credit facility providing the Company with ample cash to continue to execute on our inorganic growth strategy."
Third Quarter 2021 Financial Highlights:
Third Quarter 2021 Business Highlights:
Events Subsequent to September 30, 2021:
Normal Course Issuer Bid:
Wishpond is on track to achieve strong revenue growth in Q4-2021 driven by increased capacity in the Company's sales team, positive contribution from its acquisitions and new product related revenues. The investments made in the first half of the year in expanding Wishpond's sales and product development teams are already beginning to have a beneficial effect on the Company's financial performance. As such the Company expects to achieve positive Adjusted EBITDA in the second half of the year. In addition, Wishpond has developed a robust pipeline of potential acquisition opportunities that are expected to add revenue and EBITDA growth as well as expand the Company's product and market capabilities.
Selected Financial Highlights:
The tables below set out selected financial information relating to Wishpond and should be read in conjunction with Wishpond's annual consolidated financial statements, including the notes thereto, and MD&A for the three and nine months ended September 30, 2021 and September 30, 2020, copies of which can be found under Wishpond's profile on SEDAR at www.sedar.com.
Reconciliation to Adjusted EBITDA
On Behalf of the Board of Wishpond
About Wishpond Technologies Ltd.
Based out of Vancouver, British Columbia, Wishpond is a provider of marketing-focused online business solutions. Wishpond's vision is to become the leading provider of digital marketing solutions that empower entrepreneurs to achieve success online. The Company offers an "all-in-one" marketing suite that provides companies with marketing, promotion, lead generation, and sales conversion capabilities from one integrated platform. Wishpond replaces entire marketing functions in an easy-to-use product, for a fraction of the cost. Wishpond serves over 3,000 customers who are primarily small-to-medium size businesses (SMBs) in a wide variety of industries. The Company has developed cutting-edge marketing technology solutions and continues to add new features and applications with great velocity. The Company employs a Software-as-a-Service (SaaS) business model where substantially all the Company's revenue is subscription-based recurring revenue which provides excellent revenue predictability and cash flow visibility. Wishpond is listed on the TSX Venture Exchange under the ticker "WISH". For further information, visit: www.wishpond.com.
Cautionary Statements - Non-GAAP Financial Measures
In this press release, Wishpond has used the following terms ("Non-GAAP Financial Measures") that are not defined by International Financial Reporting Standards ("IFRS"), but are used by management to evaluate the performance of Wishpond and its business: earnings before interest, taxes, depreciation and amortization ("EBITDA"), adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"), gross profit and gross margin. These measures may also be used by investors, financial institutions and credit rating agencies to assess Wishpond's performance and ability to service debt. Non-GAAP Financial Measures do not have standardized meanings prescribed by GAAP and are therefore unlikely to be comparable to similar measures presented by other companies. Securities regulations require that Non-GAAP Financial Measures are clearly defined, qualified and reconciled to their most comparable GAAP financial measures. Except as otherwise indicated, these Non-GAAP Financial Measures are calculated and disclosed on a consistent basis from period to period. Specific items may only be relevant in certain periods. See the disclosure under the heading "Non-GAAP Financial Measures" in Wishpond's most recent Management's Discussion and Analysis ("MD&A") for a discussion of Non-GAAP Financial Measures and certain reconciliations to GAAP financial measures. The intent of Non-GAAP Financial Measures is to provide additional useful information to investors and analysts, and the measures do not have any standardized meaning under IFRS. The measures should not, therefore, be considered in isolation or used in substitute for measures of performance prepared in accordance with IFRS. Other issuers may calculate Non-GAAP Financial Measures differently. Non-GAAP Financial Measures are identified and defined as follows:
Statements that are not reported financial results or other historical information are forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). This press release includes forward-looking statements regarding the Company, its subsidiaries and the industries in which they operate, including statements about, among other things, expectations, beliefs, plans, future operations, origination of additional targets in which the Company may hold an interest and acquisition opportunities for the Company, business and acquisition strategies, opportunities, objectives, prospects, assumptions, including those related to trends and prospects, and future events and performance. Sentences and phrases containing or modified by words such as "anticipate", "plan", "continue", "estimate", "intend", "expect", "may", "will", "project", "predict", "potential", "targets", "projects", "is designed to", "strategy", "should", "believe", "contemplate" and similar expressions, and the negative of such expressions, are not historical facts and are intended to identify forward-looking statements. Readers are cautioned to not place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by forward-looking statements. Although the Company believes that the expectations reflected in forward-looking statements in this press release are reasonable, such forward-looking statements have been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond the Company's control, including, but not limited to, the risk factors discussed in the continuous disclosure materials of the Company which are available under the Company's profile on SEDAR at www.sedar.com. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and are made as of the date hereof. The Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Neither the 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.
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SOURCE Wishpond Technologies Ltd.
Company Codes: OTC-QX:WPNDF, TorontoVE:WISH
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