– Company Grows Mobile Advertising Revenue by 40% and Increases Subscribers by 70% –
Toronto, Ont. – April -, 2017 – UpSnap Inc. (CSE: UP) (“UpSnap” or the “Company”), a leading provider of mobile advertising solutions, today announced its fourth quarter (Q4) financial results for the three and twelve-month periods ended December 31, 2016.
“Introducing Facebook advertising into our product mix is allowing our clients another effective mobile advertising solution. As a result, we are seeing growth in our average spend among our SMB clients,” said Bruce Howard, CEO of UpSnap. “As we move our focus into 2017, we have expanded our sales team in the US as well as in Canada in an effort to grow our market presence.”
Annual Financial Highlights
- Total operating revenue remained flat at $5.06 million for FY 2016, compared to $5.07 million in FY 2015.
- Mobile advertising revenue grew by 4% to $4.36 million for FY 2016, compared to $4.18 million in FY 2015.
- Total operating costs decreased 5% to $6.00 million for FY 2016, compared to $6.26 million in FY 2015.
- Net loss and comprehensive loss for the year decreased 29% to $0.92 million for FY 2016, compared to $1.30 million in FY 2015.
Fourth Quarter Financial Highlights
- Total operating revenue for the fourth quarter of 2016 was $1.04 million compared to $1.24 in the fourth quarter of 2015.
- Mobile advertising revenue remained steady at $0.9M in Q4 2016 as compared to $1.0 million in Q4 2015.
- Monthly average revenue per subscriber of US$73.97 for Q4 2016 as compared to US$65.19 in Q4 2015, an increase of 14%.
- Recurring revenue was 34% of total revenue in Q4 2016, compared to 30% in Q4 2015.
- Total operating cost of $1.36 million for Q4 2016, compared to $1.57 million in Q4 2015, a decrease of 13%.
- Loss from operations decreased 3% to $0.32 million for Q4 2016, compared to $0.33 million in Q4 2015.
This news release should be read in conjunction with UpSnap’s audited financial statements and the accompanying notes, as at and for the year ended December 31, 2016, together with the related Management Discussion and Analysis. Those documents have been filed with certain securities regulatory authorities in Canada and are available on SEDAR (www.sedar.com) and on the UpSnap website at www.upsnap.com.
UpSnap provides highly-targeted, data-driven mobile advertising to attract the ideal audience for brands big and small. Combining first-party proprietary data and real-time analytics, UpSnap goes beyond location to deliver site agnostic and results-driven campaigns that produce qualified, engaged customers. UpSnap tailors each campaign to align with unique business goals, delivering the right customers for more meaningful exposure and better business results.
For further information, please contact:
Alex Pekurar, CPA, CA
Chief Financial Officer
email@example.com Babak Pedram
Virtus Advisory Group Inc.
Caution Regarding Forward Looking Information
Certain information set out in this News Release constitutes forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as “seek”, “anticipate”, “hope”, “plan”, “continue”, “estimate”, “expect”, “may”, “will”, “intend”, “could”, “might”, “should”, “scheduled”, “believe” and similar expressions. The forward- looking information set out in this News Release relates to future events or our future performance and includes: (i) the continued growth of recurring subscription revenue; (ii) the continued reduction in operating expenses; (iii) the Company’s ability to succeed in the mobile advertising market by focusing on the underserved small and medium sized business market.
Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions on the date of this news release, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. Forward-looking statements involve substantial known and unknown risks, uncertainties and other factors which cause actual results to vary from those express or implied by such forward looking statements. These statements should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved.
The forward-looking statements contained in this press release are made as of the date hereof and based on what management of the company believes are reasonable assumptions. The Company disclaims any intention or obligation to update or publicly revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities laws. Furthermore, the Company does not assume responsibility for the accuracy and completeness of the forward looking statements set out in this news release. The Company’s forward looking statements are expressly qualified in their entirety by the foregoing cautionary statements.
The CSE has not reviewed, approved or disapproved the content of this press release.