VANCOUVER, BC, CANADA - Snipp Interactive Inc. ("Snipp" or the “Company”) (TSX-V: SPN; OTCPK: SNIPF), a global provider of digital marketing promotions, rebates, and loyalty solutions, announced its financial results for Q4 2021 and for the year ended December 31, 2021 (“Fiscal 2021”). All results are reported under International Financial Reporting Standards ("IFRS") and in US dollars. A copy of the complete audited financial statements and management's discussion and analysis are available on SEDAR (www.sedar.com).
Q4 2021 and Fiscal 2021 Highlights in US dollars
(Refer to Non-GAAP Measures, Gross Margin, EBITDA and Bookings Backlog discussion below)
Q4 2021 results as compared to Q4 2020
- Revenue totaled $4.3 million, which represents an increase of 96%.
- Gross margin was 63%, as compared to 75% in Q4 2020.
- EBITDA totaled $0.7 million, which represents an increase of 350%.
- Net Income totaled $1.8 million, as compared to a Net Loss in Q4 2020 of ($240,601). The Company recognized Other Income of $1,328,345 during Q4 2021.
Fiscal year ended December 31, 2021 results as compared to Fiscal year ended December 31, 2020
- Revenue totaled $15.3 million, which represents an increase of 76%.
- Gross margin was 57%, as compared to 72% in Fiscal 2020.
- EBITDA totaled $1.8 million, which represents an increase of 424%.
- Net Income was $2.1 million, as compared to Net Loss in Fiscal 2020 of ($1,322,931). The Company recognized Other Income of $1,646,354 in Fiscal 2021.
- Bookings Backlog (programs that have been sold, but whose revenues have not yet been recognized) stood at $10.9 million at December 31, 2021, an increase of 63% compared to December 31, 2020 of $6.7 million.
- Cash at the end of year stood at $1,744,618 and the company continues to be debt free. The $5,000,000 investment from Bally’s ($0.20 per share) will be recognized with our Q2 2022 financials.
Snipp is also pleased to announce the promotion of Dr. Niamh O Riordan as its Chief Operating Officer. Dr. O Riordan has expertise in operations management, business and data analytics, software design and development, project and portfolio management. She is also a published Information Systems scholar with years of experience at some of the world's top business schools. She holds a PhD in Management Information Systems, an MBS, MA and BA. She joined Snipp in 2019 and was promoted to Global Head of Operations in 2021. Dr. O Riordan will lead operational strategic and tactical initiatives and manage Snipp’s operations function.
Commenting on her new role, Dr. O Riordan said, “I am very excited to take on this new role at Snipp. I will continue to oversee key operations including project and product management, client and customer services delivery, and processing operations. My primary focus will be on simplifying, streamlining, standardizing and effectively evaluating core business processes. The company is currently in a very strong position with ambitious goals. I welcome the opportunity to be part of its growth and look forward to helping the company deliver comprehensive, timely solutions as well as meet larger strategic goals.”
Commenting on the appointment, Atul Sabharwal, Founder and CEO, said, “as we scale our business, our people are also stepping up and I am excited by the appointment of Dr. Niamh O Riordan as our Chief Operating Officer. Dr. O Riordan will help us scale our systems so we can continue to provide flawless execution for our Fortune 500 clients globally”.
According to Mr. Sabharwal, “2021 was a banner year for Snipp. Given all the macroeconomic challenges posed by the pandemic, I am grateful to our employees who stayed focused on executing our strategy. Our success is truly a testament to our dedicated team who not only achieved, but exceeded the goals we had set for ourselves. It is clear that as legacy MarTech solutions are facing challenges given ongoing privacy regulations, that our unique zero-party and first-party platforms are gaining momentum in the industry.
“Looking forward, we continue to see strong bookings for our core Snipp solutions—both in historical verticals as well as some new ones we have recently expanded into. In addition, the recent $5 million investment by the Bally’s corporation positions us to make the investments we need in our strategy to be the leading customer, acquisition, retention, and engagement data platform for our clients. A component of this strategy is based on scaling Gambit Rewards, our first foray into building a direct consumer-facing application. Since closing the Gambit acquisition in February of 2022, we have already made great strides on multiple fronts and look forward to demonstrating the tremendous value this will bring to our clients and shareholders over the course of the coming years. We will soon roll out a co-branded Gambit loyalty gaming platform that leverages Bally’s marquee brand and world class digital gaming expertise.”
Towards our goals of helping to drive shareholder value, we are pleased to highlight that Paradigm Capital has recently initiated research coverage on Snipp, which we believe will help to broaden the Company’s exposure in the public marketplace. Additional research coverage, continued PR, exploring the roll-back of our stock and uplist to the Nasdaq are all steps the company continues to pursue.
Snipp uses certain performance measures throughout this document that are not recognizable under Canadian generally accepted accounting principles or IFRS ("GAAP"). These performance measures include Gross Margin and EBITDA. Management believes that these measures provide supplemental financial information that is useful in the evaluation of the Company's operations.
Investors should be cautioned, however, that these measures should not be construed as alternatives to measures determined in accordance with GAAP and IFRS as an indicator of Snipp's performance. The Company's method of calculating these measures may differ from that of other organizations, and accordingly, these may not be comparable.
Snipp defines earnings before interest, taxes, depreciation and amortization (“EBITDA”) as revenue minus operating expenses excluding non-cash operating expenses of share-based payments, depreciation and amortization (interest and taxes are not included in the Company’s operating expenses).
Snipp defines Gross Margin as revenue less campaign infrastructure. The Company's calculation of Gross Margin is not a financial measure that is recognized under GAAP. Investors should be cautioned that the Company's defined Gross Margin should not be construed as an alternative measure to other measures determined in accordance with GAAP.
Snipp defines Bookings Backlog as future revenue from existing customer contracts to be recognized in future quarters. Bookings get translated into revenues based on IFRS principles and the Bookings Backlog reflects how revenues in future quarters are steadily being booked today.
The Following are calculations of EBITDA:
The Following are calculations of Gross Margin:
Snipp Interactive Inc (TSX-V: SPN; OTCPK: SNIPF) is a Platform-as-a-Service (PaaS) company in the global loyalty and promotions sector. Snipp’s proprietary and modular SnippCARE (Customer Acquisition, Retention & Engagement) Platform allows its marquee list of Fortune 1000 Clients and world-class agencies and partners to use various modules of the Platform to run long-term and short-term programs and promotions, while continually generating and capturing unique zero party data that is invaluable in providing insights to drive sales. SnippCHECK, the Platform’s Receipt Processing Module has established itself as the clear industry leader and standard by powering a large majority of all receipt-based promotions in North America. SnippLOYALTY, the Platform’s full scale modular loyalty engine allows clients the flexibility of deploying any/all aspects of a standard loyalty program on a case-by-case basis. SnippREWARDS, the Platform’s modular catalogue of digital and physical rewards provides Clients with global and easily deployable access to an extensive catalogue of digital and physical rewards. SnippWIN, the Platform’s gaming module solves for the implementation and compliance difficulties of offering games of chance and skill on a global basis and allows for the global deployment and administration of legally compliant games of chance and skill. For more information, visit the Company’s website at www.snipp.com
Snipp is headquartered in Vancouver, Canada with a presence across the United States, Canada, Ireland, Europe, and India. The company is publicly listed on the Toronto Stock Venture Exchange (TSX-V) in Canada and is also quoted on the OTC Pink marketplace under the symbol SNIPF.
FOR FURTHER INFORMATION PLEASE CONTACT:
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward-looking statements.
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.
Copyright Snipp Interactive Inc. All rights reserved. All other trademarks and trade names are the property of their respective owners.