TORONTO, Jan. 25, 2022 /CNW/ --
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/PRNewswire/ -- Sabio Holdings Inc. (TSXV: SBIO) (the
"Company" or "Sabio"), a leading provider of
CTV/Streaming TV advertising platforms validated by performance, is
pleased to announce record preliminary unaudited consolidated
financial results for Q4-2021 ended December
31, 2021, and for the financial year ended December 31, 2021. These are preliminary
financial results that have not been audited. The Company is
currently in the process of having its full fiscal 2021 financial
results audited. All amounts are expressed in U.S.
dollars.
The Company expects revenues for the full year 2021 to be in the
range of US$23.2 million to
US$24.0 million compared to
US$13.2 million in 2020 led by strong
adoption of its CTV advertisement platform by leading Fortune 500
brands. Revenues for Q4-2021 are expected to be in the range
of US$9.6 million to US$10.4 million compared to US$5.4 million in Q4-2020. This improved
performance stems from strong growth in the CTV/Streaming TV
segment, as CTV revenues, for the financial year ended December 31, 2021, are expected to be in the
range of US$9.5 million to
US$10 million, a 9X increase from the
US$1.1 million in
2020.
For the month of December 2021,
revenues from CTV are expected to have exceeded mobile sales
for the first time in the Company's history. For Q4-2021, revenues
from CTV are expected to make up between 45%-50% of the total
revenues of the Company. Gross margin for the year is
expected to be approximately 60%, consistent with 2020.
Additionally, for the second year in a row, Sabio is expected to
generate positive Adjusted EBITDA, a non-IFRS measure for 2021.
"Fortune 500 U.S. brands are increasingly relying on Sabio's
proprietary streaming TV, and mobile DSP along with its AppScience
analytics platforms to effectively and efficiently reach cable
cutting consumers in the United
States," said Aziz
Rahimtoola, Chief Executive Officer of the Company. "Sabio's
full year results benefited from the unique positioning of our
mobile data powered CTV advertisement platform. We believe
growth in our CTV revenues is only in the early innings, and based
on industry research*, pacing well ahead of the high growth of the
overall CTV market. Our overachievement in the category is a
function of early focus and investments in developing our streaming
and analytics capabilities, along with 5G bandwidth
improvements. In addition, our 2021 increased presence in
New York, by adding personnel
along with the establishment of a new office, has catapulted the NY
region into our fastest growing market. All of the above is
leading to increased revenue visibility for both our Sabio and
AppScience businesses."
The preliminary results set forth above are based on
management's initial review of the Company's operating and
financial results for Q4 2021 and FY2021 and are subject to change
as these results have not been audited or reviewed. Final reported
results could differ from these preliminary results following the
completion of quarter-end and year-end accounting procedures, final
adjustments, and other developments arising between now and the
time that the Company's financial results are finalized, and such
changes could be material. The Company's independent auditor, MNP
LLP, has not audited, reviewed, or performed any procedures with
respect to the accompanying preliminary financial results and other
data and, accordingly, does not express an opinion or any other
form of assurance with respect thereto. The preliminary results
have been prepared by, and are the responsibility of, the Company's
management, and were approved by management on January 24,
2022. The preliminary results have been reviewed by the audit
committee of the Company but have not been approved by the board of
directors of the Company. In addition, these preliminary results
are not a comprehensive statement of the Company's financial
results for Q4 2021 and FY2021. They should not be viewed as a
substitute for audited financial statements prepared in accordance
with International Financial Reporting Standards (IFRS) and are not
necessarily indicative of the Company's results for any future
period.
A more complete description of the Company's financial position
will be provided in the upcoming filing of the Company's financial
statements and MD&A which are anticipated to be filed on SEDAR
and made available on the Company's website on or around
April 29, 2022.
These estimates are subject to a number of cautionary
statements, assumptions, contingencies and risks as set forth in
this news release. The foregoing outlook and expectations
constitute forward-looking statements and financial outlook and are
qualified in their entirety by the "Forward-Looking Statements"
cautionary statement below. The purpose of this financial outlook
is to provide readers with early guidance regarding management's
current reasonable expectations as to the anticipated results for
the calendar year 2021 and Q4-2021. Readers are cautioned that this
financial outlook may not be appropriate for other purposes.
About Sabio
Sabio Holdings Inc. (TSXV: SBIO) is a
leading provider of CTV/Streaming TV advertising platforms
validated by performance. Our media and technology deliver to
brands cross screen solutions built on mobile behavior. The Sabio
Holdings portfolio is comprised of the trusted and transparent
demand-side platform Sabio, and the real-time measurement and
attribution platform AppScience®. Together, the companies provide
brands and agencies with one of the first end to end advertising
suites, powered by its proprietary household graph of more than
300M mobile devices and 55MM CTV
households.
For more information, visit: sabio.inc and/or
AppSci.io.
Use of Non-IFRS Measures
This press release makes
reference to certain non-IFRS (International Financial Reporting
Standards) measures including, but not limited to Adjusted
EBITDA. These measures do not have a standardized meaning
prescribed by IFRS and therefore they may not be comparable to
similarly titled measures presented by other companies and should
not be construed as an alternative to other financial measures
determined in accordance with IFRS. Rather, these non-IFRS
measures are provided as additional information to complement IFRS
measures by providing a further understanding of operations from
management's perspective. Accordingly, non-IFRS measures should not
be considered in isolation nor as a substitute for analysis of
financial information reported under IFRS. Management believes that
these non-IFRS measures provide useful information to investors in
measuring the financial performance of Sabio for the reasons
outlined below.
Management uses Adjusted earnings before interest, income taxes,
depreciation, and amortization ("Adjusted EBITDA") as a key
financial metric to evaluate Sabio's operating performance as a
complement to results provided in accordance with IFRS. The term
"Adjusted EBITDA", as defined by management, refers to net income
(loss) before adjusting earnings for finance costs, income taxes,
stock-based compensation, amortization, non-recurring items, and
severance costs.
We believe that the items excluded from Adjusted EBITDA are not
connected to and do not represent the operating performance of
Sabio. We believe that Adjusted EBITDA is useful supplemental
information as it provides an indication of the results generated
by Sabio's main business activities prior to taking into
consideration how those activities are financed and taxed as well
as expenses related to stock-based compensation, depreciation,
amortization, restructuring costs, other expense (income), and
foreign exchange (gain) loss. Accordingly, we believe that this
measure may also be useful to investors in enhancing their
understanding of Sabio's operating performance. It is a key measure
used by Sabio's management and board of directors to understand and
evaluate Sabio's operating performance, to prepare annual budgets
and to help develop operating plans.
Forward-Looking Statements
This press release may
contain certain forward-looking information and statements
("forward-looking information") within the meaning of
applicable Canadian securities legislation, including but not
limited to the release of Q4 2021 and FY 2021 results, that are not
based on historical fact, including without limitation statements
containing the words "believes", "anticipates", "plans", "intends",
"will", "should", "expects", "continue", "estimate",
"forecasts" and other similar expressions. Readers are
cautioned to not place undue reliance on forward-looking
information. Actual results and developments may differ materially
from those contemplated by these statements. The Company undertakes
no obligation to comment on analyses, expectations or statements
made by third-parties in respect of the Company, its securities, or
financial or operating results (as applicable). Although the
Company believes that the expectations reflected in forward-looking
information in this press release are reasonable, such
forward-looking information has been based on expectations, factors
and assumptions concerning future events that may prove to be
inaccurate and are subject to numerous risks and uncertainties,
certain of which are beyond the Company's control, including the
risk factors disclosed in the Filing Statement which is publicly
available on SEDAR at www.sedar.com. The
forward-looking information contained in this press release is
expressly qualified by this cautionary statement and is 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 information, whether as a result of
new information, future events or otherwise.
This news release shall not constitute an offer to sell or
the solicitation of an offer to buy any securities in any
jurisdiction.
Neither the TSX Venture Exchange nor its Regulation
Service Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
*eMarketer 2021 research
SOURCE Sabio Holdings Inc