CALGARY, April 22, 2020 /CNW/ - Katipult Technology
Corp. (TSXV: FUND) ("Katipult" or the "Corporation"), provider of
an industry leading and award-winning cloud-based software
infrastructure for powering the exchange of capital in equity and
debt markets, is pleased to announce its financial results for the
three and twelve months ended December 31,
2019.
Highlights for Q4 and the Year Ended December 31, 2019
- Subscription revenue increased 85.8% in 2019 to $1,304K compared to $702K in the prior year.
- Subscription revenue increased 31.1% in the fourth quarter of
2019 to $329 compared to $251K for the same period in 2018.
- Gross profit as a percentage of sales ("Gross Margin") improved
to 80.8% during 2019 compared to 73.7% recorded in 2018. Similarly,
for Q4 2019, the Corporation achieved a Gross Margin of 81.7%
compared to 73.1% achieved during the same period in 2018
- Adjusted EBITDA in 2019 improved to a loss of $923K compared to a loss of $1,611K in 2018.
- Cash balance as at December 31,
2019 was $1.9 million compared
to $2.5 million as at December 31, 2018.
"Katipult demonstrated solid performance across the board in Q4,
ending 2019 very strong," said Katipult President and CEO, Gord
Breese. "In Q4, we saw new deals and expanded adoption of the
Katipult Platform. Katipult is orchestrating what every financial
services organization wants ‐ frictionless and automated workflow.
Digital transformation is driving our momentum as customers embrace
the simplicity Katipult enables in powering the movement and
exchange of capital. We are excited to be an innovator in this
market."
Subsequent to the year end, on January
30, 2020, the World Health Organization declared the
coronavirus outbreak (COVID-19) a "Public Health Emergency of
International Concern" and, on March 11,
2020, declared COVID-19 a pandemic. While COVID-19 has not
had an adverse effect on Katipult's operations to date, the
Corporation is closely monitoring its impact on customers and
stakeholders.
About Katipult Katipult (www.katipult.com) is a
provider of industry leading and award-winning software
infrastructure for powering the exchange of capital in equity and
debt markets. Our cloud-based platform and solutions digitize
investment workflow by eliminating transaction redundancy,
strengthening compliance, delighting investors, and accelerating
deal flow. Katipult provides unparalleled adaptability for
regulatory compliance, asset structure, business model, and
localization requirements.
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.
Forward-Looking Statement:
Cautionary Note Regarding Forward Looking Statements: Certain
disclosure in this release, including statements regarding the
increased or continued industry interest in the Corporation's
product, converting existing sales interest and installations into
revenue, generating new sales opportunities, effectively and
efficiently utilizing the Corporation's resource and the ability to
deal with business disruptions or opportunities as a result of the
Covid-19 pandemic constitute forward- looking statements. In making
the forward-looking statements in this release, the Corporation has
applied certain factors and assumptions that are based on the
Corporation's current beliefs as well as assumptions made by and
information currently available to the Corporation, including, but
not limited to, the Corporation's anticipated cash needs, that the
cash available to the Corporation is as expected, the Corporation's
product will continue to operate as expected, the industry will
continue to see value in the Corporation's product, the Corporation
will be able to recruit talented and experienced sales, support and
other individuals required to execute the Corporation's plans, and
that the Corporation's employees, consultants, customers, suppliers
and other stakeholders will be able to manage successfully
throughout the Covid-19 pandemic. Although the Corporation
considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect, and the
forward-looking statements in this release are subject to numerous
risks, uncertainties and other factors that may cause future
results to differ materially from those expressed or implied in
such forward-looking statements. Such risk factors may include,
among others, the risk that cash available to the Corporation is
not as expected, failure to manage growth successfully, lengthier
than anticipated sales and implementation cycle, cyber risks, risks
related to cloud based solutions, failure to continue to adapt to
technological change and new product development, dependence on key
personnel, competition, intellectual property risks, economic
conditions, the financial and economic fallout due to the Covid-19
pandemic, privacy concerns and legislation, regulatory environment,
risk associated with a change in the Corporation's pricing model,
risk of defects in the Corporation's solution, dependence on market
growth, operational service risk, dependence on partners and delay
or failure to realize anticipated benefits of key account
installations. Readers are cautioned, especially in these
uncertain times, not to place undue reliance on forward-looking
statements. The Corporation does not intend to, and expressly
disclaims any intention or obligation to, update or revise any
forward-looking statements whether as a result of new information,
future events or otherwise, except as required by law.
SOURCE Katipult Technology Corp.
