TORONTO, Nov. 29,
2022 /CNW/ - STEER Technologies Inc. ("STEER"
or "the Company") (TSXV: STER) (OTCQX: STEEF), an
integrated ESG technology platform, today announced and filed
its interim financial statements for the quarter ended September 30, 2022 ("Q3 2022"). All
financial results are reported in Canadian dollars, unless
otherwise stated.
STEER reported quarterly revenue of $14,291,749 in Q3 2022, up from $7,811,810 in Q3 2021, representing 82.95%
year-over-year growth. Revenue for the nine months ended
September 30, 2022 ("YTD
2022") of $40,075,204 also
represents 165.29% growth compared to revenue for the nine months
ended September 30, 2021 of
$15,106,192. All revenue growth
during YTD 2022 was organic. The Company also reported a Gross
Merchandize Value[i] of $18,625,192
in Q3 2022, up from $15,346,555 during Q3 2021,
representing 21.36% year-over-year growth.
Net loss was $7,360,938 compared
to $9,930,183 in Q3 2021,
representing 25.87% year-over-year decrease.
Given the above results, the Company's Management is confident
that the streamlining measures undertaken in 2022 including: (i)
operational realignment with a view to consolidating resources and
focusing on Subscription and On-demand offerings; and (ii)
improvements in expense management, will continue to result in
increased operational efficiency and lead to profitability. As
such, STEER is experiencing revenue growth while decreasing its
operating expenses. The Company is confident this trend will
further strengthen in Q4 Fiscal 2022 and continue into 2023.
Q3 2022 Interim Financial and Operational Highlights
|
Revenue
|
|
For the three
months ended
September 30, 2022
|
|
For the three
months ended
September 30,
2021
|
|
For the nine
months ended
September 30,
2022
|
|
For the nine
months ended
September 30,
2021
|
|
Revenue recognized at a
point of time
|
|
|
|
|
|
|
|
|
|
|
B2B
Marketplace
|
$
|
12,252,750
|
$
|
5,512,238
|
$
|
33,313,159
|
$
|
7,898,974
|
|
|
Other (Foods
Delivery, Rideshare, DaaS, Health)
|
|
1,151,491
|
|
1,406,142
|
|
4,321,398
|
|
5,024,271
|
|
|
Subtotal On-Demand
Offerings
Revenue recognized over
the point of time
|
|
13,404,241
|
|
6,918,380
|
|
37,634,557
|
|
12,923,245
|
|
|
Vehicle
subscription
|
$
|
788,904
|
$
|
798,930
|
$
|
2,150,962
|
$
|
2,057,741
|
|
|
Other
|
|
98,604
|
|
94,500
|
|
289,685
|
|
125,205
|
|
|
Subtotal
Subscription-Based Offerings
|
$
|
887,508
|
$
|
893,430
|
$
|
2,440,647
|
$
|
2,182,946
|
|
|
Total
Revenue
|
$
|
14,291,749
|
$
|
7,811,810
|
$
|
40,075,204
|
$
|
15,106,192
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
"In Q3 2022, STEER continued a strong trajectory set in the first
two quarters of 2022. This past quarter, we nearly doubled revenues
while significantly reducing our net loss on a year-over-year
basis. We've done this by continuing to increase our operational
efficiency while remaining committed to disciplined growth and
expansion. Q3 2022 has been a quarter of significant growth for
STEER's B2B Marketplace division focused on the sale and delivery
of various restaurant industry supply items as well as its flagship
electric vehicle subscription platform, STEER EV," said
Suman Pushparajah, Chief Executive
Officer of the Company.
Selected Financial Highlights
The following provides a summary of the Financial Results of the
Company. For detailed information please refer to STEER's Q3 2022
Interim Financial Statements and its Management's Discussion and
Analysis of Financial Condition and Results of Operations for the
quarter-ended September 30, 2022 (the
"Q3 2022 MD&A"), filed on SEDAR at
www.SEDAR.com.
|
|
For the three
months
ended
September
30, 2022
|
|
For the three
months
ended
September
30, 2021
|
|
For the nine
months
ended
September
30, 2022
|
|
For the nine
months
ended
September
30, 2021
|
|
REVENUE
|
$
|
14,291,749
|
$
|
7,811,810
|
$
|
40,075,204
|
$
|
15,106,192
|
|
Cost of
revenue
|
|
14,694,325
|
|
7,951,732
|
|
41,752,989
|
|
16,668,168
|
|
General and
administration
|
|
1,378,028
|
|
1,703,803
|
|
5,232,418
|
|
5,442,643
|
|
Operational
support
|
|
3,371,088
|
|
3,255,502
|
|
11,262,215
|
|
8,905,387
|
|
Research and
development
|
|
670,790
|
|
668,221
|
|
2,093,694
|
|
1,477,769
|
|
Sales and
marketing
|
|
577,055
|
|
790,265
|
|
1,693,519
|
|
2,586,856
|
|
Amortization
|
|
225,757
|
|
698,330
|
|
1,176,854
|
|
2,057,084
|
|
Depreciation
|
|
516,974
|
|
96,092
|
|
1,257,180
|
|
218,270
|
|
Total operating
expenses
|
|
21,434,017
|
|
15,163,945
|
|
64,468,869
|
|
37,356,177
|
|
OPERATING
LOSS
|
|
(7,142,268)
|
|
(7,352,135)
|
|
(24,393,665)
|
|
(22,249,985)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government
grants
|
|
-
|
|
1,059,351
|
|
1,654,467
|
|
3,053,606
|
|
Foreign exchange gain
(loss)
|
|
(23,838)
|
|
132,491
|
|
(44,531)
|
|
(27,144)
|
|
Interest
expenses
|
|
(379,871)
|
|
(209,232)
|
|
(904,220)
|
|
(590,299)
|
|
Interest
income
|
|
758
|
|
9,596
|
|
876
|
|
28,488
|
|
Gain from sale of
equipment
|
|
10,189
|
|
(12,535)
|
|
42,387
|
|
-
|
|
Gain or Loss on
Termination
|
|
170,237
|
|
-
|
|
304,694
|
|
(25,385)
|
|
Derecognition of
long-term investment
|
|
-
|
|
(3,489,916)
|
|
-
|
|
(3,489,916)
|
|
Fair value loss on
investment
|
|
(29,623)
|
|
-
|
|
(29,491)
|
|
-
|
|
Impairment of
intangible assets
|
|
|
|
(67,803)
|
|
|
|
(67,803)
|
|
NET LOSS BEFORE
INCOME TAXES
|
$
|
(7,394,416)
|
$
|
(9,930,183)
|
$
|
(23,369,483)
|
$
|
(23,368,438)
|
|
Deferred income tax
recovery
|
|
33,478
|
|
-
|
|
49,895
|
|
248,000
|
|
NET
LOSS
|
|
(7,360,938)
|
|
(9,930,183)
|
|
(23,319,588)
|
|
(23,120,438)
|
|
Cumulative translation
adjustment
|
|
53,627
|
|
54,862
|
|
75,503
|
|
(18,368)
|
|
NET LOSS AND
COMPREHENSIVE LOSS
|
|
(7,307,311)
|
|
(9,875,321)
|
|
(23,244,085)
|
|
(23,138,806)
|
|
Loss per
share
– Basic and
diluted
|
$
|
(0.06)
|
$
|
(0.10)
|
$
|
(0.19)
|
$
|
(0.24)
|
|
Basic and
diluted
|
|
131,942,719
|
|
95,318,111
|
|
120,855,218
|
|
94,790,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
About the Company
STEER is an integrated ESG technology platform that moves people
and delivers things through subscription and on-demand services.
The Company's goal is to build a one-of-a-kind ecosystem that
aggregates conscientious users, through a series of connected
offerings, and enables them to buy, sell, or invest with the same
platform, STEER. The Company's offerings generally fall into two
categories: subscription-based offerings led by its flagship
electric vehicle subscription business, STEER EV, and on-demand
services incorporating delivery, B2B marketplace,
Delivery-as-a-Service (DaaS) and rideshare businesses. The
Company's platform is also powered by EcoCRED, its big data,
analytics and machine learning engine which seeks to capture,
analyze, parse and report on key data points in ways that measure
the Company's impact on carbon reductions and offsets.
For more about the Company,
visit www.steeresg.com.
Suman Pushparajah, CEO
suman@steeresg.com
STEER
100 Consilium Pl, Unit 400
Scarborough, ON
Canada M1H 3E3
www.steeresg.com
Forward-Looking Information
Certain information in this press release contains
forward-looking information, including with respect to the
Company's business, operations and condition, management's
objectives, strategies, beliefs and intentions, and the company's
forward plans to rebrand. This information is based on management's
reasonable assumptions and beliefs in light of the information
currently available to us and are made as of the date of this press
release. Actual results and the timing of events, such as those
pertaining to success of the Company's financing partnerships with
fleet management companies and its subsequent ability to continue
increasing its market share, may differ materially from those
anticipated in the forward-looking information as a result of
various factors. Information regarding our expectations of future
results, performance, achievements, prospects or opportunities or
the markets in which we operate is forward-looking information.
Statements containing forward-looking information are not facts but
instead represent management's expectations, estimates and
projections regarding future events or circumstances. Many factors
could cause our actual results, level of activity, performance or
achievements or future events or developments to differ materially
from those expressed or implied by the forward-looking
statements.
See "Forward-Looking Information" and "Risk Factors" in the
Company's Annual Management Discussion & Analysis (MD&A)
for the year ended December 31, 2021
(filed on SEDAR on May 2, 2022) and
its interim MD&A for the period ended March 31, 2022, June 30,
2022, September 30,2022 (filed
on SEDAR on May 30, 2022,
August 29, 2022 and November 29, 2022 respectively) for a discussion
of the uncertainties, risks and assumptions associated with these
statements and other risks. Readers are urged to consider the
uncertainties, risks and assumptions carefully in evaluating the
forward-looking information and are cautioned not to place undue
reliance on such information. We have no intention and undertake no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by applicable securities legislation and
regulatory requirements.
Neither 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.
|
_______________________________________
|
|
i "Gross Merchandise Value"
(GMV) means the total value of all merchandise and services sold
over a given period of time through the
Company's ESG platform of product and services
offerings. Gross Merchandise Value is a metric most commonly
used by e-commerce companies. It is intended to measure the
growth of the business or use of a platform in selling merchandise
and services, some or all of which may be owned by others and is
therefore not all revenue to the platform owner or provider (such
as the Company). In the Company's case, GMV includes the
value of the food and merchandise ordered and the gross fees
charged by the Company to customers on account of rides and
deliveries, a substantial portion of which the Company does not
recognize as revenue. The most directly comparable or correlated
GAAP financial measure in the context of our Company is revenue
which, for Q3 2022 was $14,291,749 and $7,811,810 in Q3 2021. Note
that GMV is a non-GAAP financial measure, meaning that it
is not a standardized financial measure under the financial
reporting framework used to prepare the Company's financial
statements and it might not be comparable to similar financial
measures disclosed by other issuers.
|
SOURCE STEER Technologies Inc.
