With positive operating cash flow for Q2 and YTD, and four consecutive quarters of record revenue, Reklaim is well-positioned for a profitable 2023.
New York, New York--(Newsfile Corp. - August 10, 2023) - Reklaim, (TSXV: MYID) (OTC Pink: MYIDF) ("Reklaim"), the destination for consumers to access and reclaim their data, announces the filing of its Q2 2023 financial results.
Reklaim Highlights for Q2-2023
- The Company reported $255,667 in positive comprehensive income for Q2-2023.
- The Company experienced its first million-dollar quarter, with Q2-2023 revenue growing to $1,043,427, a 62% increase over the same period last year.
- The Company has now achieved four consecutive quarters of record revenue growth.
- Achieved positive operating cash flow for Q2 and YTD through improved efficiency and operating margins.
- The Company improved its gross margin by 9% from Q1 2023 to Q2 2023, moving from 71% to 80%.
- Achieved recurring revenue of 93% in Q2-2023 and 92% for the six months ending June 30, 2023, up from 85% to 87% for the same periods last year.
- Platform revenue, which represents 71% of total income, grew by 61% in Q2-2023 and 81% for the six months ending June 30, 2023, compared to the same periods last year.
- Reduced operating expenses by 49% in Q2-2023 and 55% for the six months ending June 30, 2023, compared to last year's reporting periods.
- The Company's new revenue vertical, 'Deals,' generated $215,718 and $263,673 for the three and six months ended June 30, 2023. Deal revenue grew 350% from Q1 2023 to Q2 2023, or $167,762.
"We have been clear in our signal to the market that our core focus was profitability and are pleased to see this manifest in Q2 on top of our fourth straight quarter of record revenue," said Reklaim CEO and Founder Neil Sweeney. "With positive cash flow this past quarter, continued expense reduction and margin improvement, investors should feel confident in our continued path towards a profitable 2023."
"Since January of 2023, we have seen a palatable uptick in demand for privacy-compliant data due to the state of California beginning its enforcement period of its privacy legislation; CPRA. Additionally, twelve states have either passed or signed new comprehensive privacy laws in 2023, with an additional four states currently in committee. The trend toward privacy-compliant data continues to accelerate, and Reklaim is well-positioned to take advantage of this massive opportunity.
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.
Q2-2023 Earnings Call
Reklaim will hold a conference call on Tuesday, August 15th, 2023, at 4:00 p.m. Eastern time (1:00 p.m. Pacific time) to discuss its financial results for the second quarter of 2023. Neil Sweeney, CEO and Founder, will host the conference call, followed by a question and answer period.
Date: Tuesday, August 15th, 2023
Time: 4:00 p.m. Eastern time (1:00 p.m. Pacific time)
Zoom Registration: https://us02web.zoom.us/meeting/register/tZwvc-CvrzMuGNx6Hp6GDrZWP2mdWHqUYU6e
Please log in to the call 10 minutes before the start time. If you have any difficulty connecting with the conference call, email contact investorrelations@reklaimyours.com
The conference call will be broadcast live and available for replay on investors.reklaimyours.com
Additional information
The Company is also pleased to announce that it has previously closed on a non-brokered private placement financing raising $90,000 through the issuance of 1,500,000 units ("Units") at $0.06 per Unit. Each Unit consists of one common share and one common share purchase warrant ("Warrant"). Each Warrant entitles the holder thereof to purchase one common share in the Company's capital at an exercise price of $0.10 for 36 months from the date of issuance. In the event that the volume-weighted average trading price of the common shares of the Company on the TSXV is more than $0.15 for a period of 20 consecutive trading days, the Company will have the right to accelerate the expiry date to 30 days following the date of notice thereof.
Under Canadian securities law, all securities issued under this private placement financing are subject to a restricted resale period until September 25, 2021. The Company has paid no cash commissions or finder's fees concerning this private placement financing. The Company intends to use the net proceeds of the private placement financing for general corporate purposes.
About 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; the market for privacy may not continue to grow, recent privacy regulations may not have the anticipated effect; 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 in preparing 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 during preparation, such information may prove incorrect, and results may differ materially from 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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/176659
