Ackroo Releases 2021 Audited Financial Results
Ackroo maintains operating efficiency
HAMILTON, Ontario, April 29, 2022 (GLOBE NEWSWIRE) -- (TSX-V: AKR; OTC: AKRFF) (the “Company”), a loyalty marketing, payments and point-of-sale technology and services provider, is pleased to report audited annual revenues of $5,977,541 including $5,001,139 of annual recurring revenue for the period ended December 31st, 2021. This represents similar results from the previous year and a 9-year cumulative average growth rate of 30% per year since the Company’s founding in 2012. Over the year, the Company maintained their high recurring to one time revenue ratios, strong gross margins, and a reduction of customer saturation risks. 2021 saw an increase in the number of customers and the average revenue per location. The Company paid down debt, completed their 11th acquisition and delivered a fourth consecutive positive EBITDA year.
The complete financial results for Ackroo, along with management’s discussion and analysis for the year ended December 31, 2021, are available under the profile for the Company at . Highlights include:
2021 quarterly results:
| Q1 - March 31, 2021 | Q2 - June 30, 2021 | Q3 - September 30, 2021 | Q4 – December 31, 2021 | 2021 TOTALS | ||||||||||
| Total Revenue | $1,284,289 | $1,469,357 | $1,567,121 | $1,656,775 | $5,977,542 | |||||||||
| Subscription Rev | $1,054,468 | $1,250,299 | $1,323,794 | $1,372,578 | $5,001,139 | |||||||||
| Gross Margins | $1,123,694 (88%) | $1,295,369 (88%) | $1,381,224 (88%) | $1,470,047 (89%) | $5,270,334 (88%) | |||||||||
| Adjusted EBITDA | $8,413 | $45,026 | $179,936 | $175,842 | $409,217 | |||||||||
| EBITDA % of Rev | < 1% | 3% | 11% | 11% | 7% | |||||||||
2021 annual results vs. 2020:
| 2020 TOTALS | 2021 TOTALS | |||||
| Total Revenue | $6,047,576 | $5,977,542 | ||||
| Subscription Rev | $5,018,361 | $5,001,139 | ||||
| Gross Margins | $5,417,880 (89%) | $5,270,334 (88%) | ||||
| Adjusted EBITDA | $1,638,587 | $409,217 | ||||
| EBITDA % of Rev | 27% | 7% | ||||
“I am very pleased with what we maintained and what we improved on, despite the challenges we faced in 2021,” said Steve Levely, CEO of Ackroo. “The impact of COVID on Ackroo was delayed as we saw larger attrition then normal, COVID related customer write offs, and less one times sales than we expected. In the beginning of 2021, we reinvested our earnings into sales, marketing and product to help bolster our organic growth. However, by mid-year those investments were not paying off as quickly as we expected, so in an effort to maintain our operating efficiency, we swiftly made adjustments to our plan to reduce costs, which slowed growth, but led to much better earnings in the second half of 2021. We also were able to complete a small strategic acquisition in the US to continue our diversification of offerings. In the end, we still managed to deliver growth in our AckrooPOS business and were able to maintain our AckrooPAY customer base, however, our AckrooMKTG business saw a slight decline due to some large loyalty customer attrition. We continued to make product enhancements and improve product parity from acquired legacy platforms and are pleased with both our increased number of new clients and our strong upsell and cross sell efforts, which led to our increasing average revenue per client.
We have many learnings from 2021 that we have begun incorporating where I am confident with a few more tweaks and changes inside and around our business, we will be set for much bigger success in the years ahead. We are already encouraged by the progress in Q1 and I am pleased to highlight that we delivered approximately $1.53M of revenue while also completing several other strategic initiatives, which are setting us up for a solid 2022.”
Readers are cautioned that revenue figures for the three-month period ended March 31, 2022 are based on internally prepared estimates. Actual results may vary when interim financial statements for the period are compiled.
Disclosure in this news release contains certain non-GAAP financial measures which include: “annual recurring revenue”, “gross margins” and “adjusted EBITDA”. These measures are used by the Company to provide investors with supplemental information to measure operating performance and highlight trends in the business which may not otherwise be apparent. These measures should not be considered in isolation or as a substitute for analysis of the financial information of the Company reported under IFRS. For information on the derivation of these non-GAAP financial measures, readers are encouraged to review managements’ discussion and analysis for the year ended December 31, 2021.
About Ackroo
Through vendor and industry consolidation, Ackroo provides marketing, payment and point-of-sale solutions for 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 payment services provide merchants with low-cost payment processing options through some of the world’s largest payment technology and service providers. Ackroo’s hybrid management and point-of-sale solutions help manage and optimize the general operations for niche industry’s including golf clubs, 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: .
For further information, please contact:
| Steve Levely Chief Executive Officer | Ackroo Tel: 416-360-5619 x730 Email: |
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.
