All results are reported under International Financial Reporting Standards ('IFRS') and in US dollars. A copy of the complete unaudited interim financial statements and management's discussion and analysis are available on SEDAR.
Q3 2022 Highlights
Revenue for Q3 2022 increased by 47% compared to Q3 2021. Revenue for Q3 2022 was
In Q3, revenue from the Gambit Rewards platform accounted for 29% of total Q3 revenue.
EBITDA in Q3 2022 was
The Company has generated positive EBITDA for the last eleven consecutive quarters.
Gross margin in Q3 2022 was 34% compared to 39% in Q3 2021.
Margin decline is largely attributable to the re-launch of the Gambit Rewards program. Gross Margins are likely to remain pressured while the Company continues to invest in the roll out of Gambit as it builds a monetizable audience.
Revenue for the nine months ended
EBITDA in the nine months ended
Gross margin for the nine months ended
Bookings Backlog (programs that have been sold, but whose revenues have not yet been recognized) stood at
'2022 continues to be a transformational year for the company with revenue increasing 47% in the quarter and 60% year to date. Additionally, we marked our eleventh consecutive quarter of positive EBITDA. We exited the period with clear visibility for continued strong year-over-year growth, despite a market that is beginning to face headwinds. Historically, economic environments such as the current one mean greater competition facing Fortune 500 clients, and thus a greater need to promote their products and stay top of mind with consumers. We are observing this positive trend in conversations with our customer base who continue to see the value proposition of our platform and explore new ways to elevate their loyalty initiatives.
Growth in the third quarter was driven in part by Gambit revenue, which increased to 29% of our total revenue from 14% in the second quarter. We just completed the first full quarter of our operation with Gambit and are now preparing to move beyond the pilot phase with our single client to date. We understand the dynamics of the business well and are focused on investing in the growth of this platform. We look forward to sharing more information on our pipeline for additional clients in the near term. As previously noted, Gambit is the first of its kind to compete in a market that is estimated to be worth
Non-GAAP Measures
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.
EBITDA
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).
Gross Margin
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.
About Snipp
Snipp is headquartered in
Contact:
Email: investors@snipp.com
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.
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