HAMILTON, Ontario, Oct. 23, 2024 (GLOBE NEWSWIRE) -- Ackroo Inc. (TSX-V: AKR; OTC: AKRFF) (the “Company”), a gift card, loyalty marketing, payments and point-of-sale technology consolidator and services provider, has filed its financial results for the period ended September 30, 2024. The results for the period ended September 30th,2024 reflect a 1% increase in recurring revenues and a 4% decrease in total revenues over the same period in 2023. The Company delivered a 35% increase in EBITDA over the same period in 2023 representing 34% of total revenues which now has year to date adjusted EBITDA at $1,552,275, a 43% increase over the same period in 2023. Ackroo used $175,000 of their earnings towards share buy-backs and to pay down debt and continued to optimize their product and operations. The Company plans to continue their focus on earnings generation in order to continue to improve their balance sheet, pay down debt, buy back shares and to help fund future acquisitions.
The complete financial results for Ackroo, along with management’s discussion and analysis for the quarter ended September 30, 2024, are available under the profile for the Company at www.sedar.com. Highlights include:
Q3 2024 vs. Q3 2023:
| Q3 2023 TOTALS | Q3 2023 TOTALS | +/- % Change | ||
| Total Revenue | $1,551,696 | $1,624,001 | (-4%) | |
| Subscription Rev | $1,411,166 | $1,396,732 | + 1% | |
| Gross Margins | $1,357,831 (88%) | $1,477,437 (91%) | (-3%) | |
| Adjusted EBITDA | $530,937 | $394,155 | + 35% | |
| EBITDA % of Rev | 34% | 24% | + 10% | |
Nine Months Ended Sept 30, 2024 vs. Nine Months Ended Sept 30, 2023:
| YTD 2024 TOTALS | YTD 2023 TOTALS | +/- % Change | ||
| Total Revenue | $4,732,352 | $5,060,328 | (-6%) | |
| Subscription Rev | $4,297,734 | $4,418,596 | (-3%) | |
| Gross Margins | $4,155,526 (88%) | $4,636,809 (92%) | (-4%) | |
| Adjusted EBITDA | $1,552,275 | $1,087,419 | + 43% | |
| EBITDA % of Rev | 33% | 21% | + 12% | |
“As we continue to explore strategic options for the Company we have continued our tight focus on operational efficiency and earnings generation to maximize cash generation,” said Steve Levely, CEO of Ackroo. “We see cash generation as a key focal point for the business so that we can pay down debt, buy back shares and overall increase the business value of Ackroo. We once again saw a decrease in one-time revenues from less card orders and new setup fees however we maintained our recurring revenues and increased our earnings substantially year over year delivering one of our best ever EBITDA quarters. At a time when inflation and interest rates are high we see our ability to continue to generate more cash while optimizing our product and operations becomes an important differentiator for Ackroo. On a year to date standpoint we are generating a great 33% of EBITDA as a percentage of revenue where as we head into our busiest quarter of the year we expect that trend to continue.”
About Ackroo
As an industry consolidator, Ackroo acquires, integrates and manages gift card, loyalty marketing, payment and point-of-sale solutions used by merchants of all sizes. Ackroo’s self-serve, data driven, cloud-based marketing platform helps merchants in-store and online process and manage loyalty, gift card and promotional transactions at the point of sale. Ackroo’s acquisition of payment ISO’s affords Ackroo the ability to resell payment processing solutions to their growing merchant base through some of the world’s largest payment technology and service providers. As a third revenue stream Ackroo has acquired certain custom software products including hybrid management and point-of-sale solutions that help manage and optimize the general operations for niche industry’s including automotive dealers and more. All solutions are focused on helping to consolidate, simplify and improve the merchant marketing, payments and point-of sale ecosystem for their clients. Ackroo is headquartered in Hamilton, Ontario, Canada. For more information, visit: www.ackroo.com.
For further information, please contact:
Steve Levely
Chief Executive Officer | Ackroo
Tel: 416-360-5619 x730
Email: slevely@ackroo.com
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release. 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.
Forward Looking Statements
This release contains forecasts and forward-looking statements that are not guarantees of future performance and activities and are subject to risks and uncertainties. The Company has based these forward-looking statements on assumptions and assessments made by its management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, but are not limited to: the Company’s ability to raise enough capital to support the Company’s go forward plans; the overall global economic environment; the impact of competition and new technologies; general market, political and economic conditions in the countries in which the Company operates; projected capital expenditures and liquidity; changes in the Company’s strategy; government regulations and approvals; changes in customers’ budgeting priorities; plus other factors that may arise. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
*“Adjusted EBITDA” is a non-International Financial Reporting Standard (IFRS) measure, and does not have a standardized meaning prescribed by IFRS. Adjusted EBITDA is calculated as net income (loss) excluding interest, taxes, depreciation and amortization, or EBITDA, as adjusted for share-based compensation and related expenses and foreign exchange gains and losses. A complete reconciliation of this amount to net income (loss) for the corresponding period is available in managements’ discussion and analysis.
