REKLAIM LTD ANNOUNCES RECORD REVENUE & POSITIVE COMPREHENSIVE INCOME FOR Q2-2023 & YTD
With positive operating cash flow for Q2 and YTD, and four consecutive quarters of record revenue, Reklaim is well-positioned for a profitable 2023
New York, New York, August 10, 2023 – Reklaim Ltd. (TSXV: MYID) (OTC: MYIDF) (the “Company”) the destination for consumers to access and reclaim their data, announces the filing of its Q2 2023 financial results.
Reklaim Highlights for Q2-2023
The Company reported $255,667 in positive comprehensive income for Q2-2023.
The Company experienced its first million-dollar quarter, with Q2-2023 revenue growing to $1,043,427, a 62% increase over the same period last year.
The Company has now achieved four consecutive quarters of record revenue growth.
Achieved positive operating cash flow for Q2 2023 and YTD through improved efficiency and operating margins.
The Company improved its gross margin by 9% from Q1 2023 to Q2 2023, moving from 71% to 80%.
Achieved recurring revenue of 93% in Q2-2023 and 92% for the six months ending June 30, 2023, up from 85% to 87% for the same periods last year.
Platform revenue, which represents 71% of total income, grew by 61% in Q2-2023 and 81% for the six months ending June 30, 2023, compared to the same periods last year.
Reduced operating expenses by 49% in Q2-2023 and 55% for the six months ending June 30, 2023, compared to last year's reporting periods.
The Company’s new revenue vertical, ‘Deals,’ generated $215,718 and $263,673 for the three and six months ended June 30, 2023. Deal revenue grew 350% from Q1 2023 to Q2 2023, or $167,762.
"We have been clear in our signal to the market that our core focus was profitability and are pleased to see this manifest in Q2 on top of our fourth straight quarter of record revenue,” said Reklaim CEO Neil Sweeney. “With positive cash flow this past quarter, continued expense reduction and margin improvement, investors should feel confident in our continued path towards a profitable 2023."
“Since January of 2023, we have seen a palatable uptick in demand for privacy-compliant data due to the state of California beginning its enforcement period of its privacy legislation; CPRA. Additionally, twelve states have either passed or signed new comprehensive privacy laws in 2023, with an additional four states currently in committee. The trend toward privacy-compliant data continues to accelerate, and Reklaim is well-positioned to take advantage of this massive opportunity.
Full financial results, reported in CAD dollars, and Management's Discussion and Analysis are posted to SEDAR (www.sedar.com) and on the Company's investor relations website: investors.reklaimyours.com.
Q2-2023 Earnings Call
Reklaim will hold a conference call on Tuesday, August 15th, 2023, at 4:00 p.m. Eastern time (1:00 p.m. Pacific time) to discuss its financial results for the second quarter of 2023. Neil Sweeney, CEO and Founder, will host the conference call, followed by a question and answer period.
Date: Tuesday, August 15th, 2023
Time: 4:00 p.m. Eastern time (1:00 p.m. Pacific time)
Zoom Registration: https://us02web.zoom.us/meeting/register/tZwvc-CvrzMuGNx6Hp6GDrZWP2mdWHqUYU6e
Please log in to the call 10 minutes before the start time. If you have any difficulty connecting with the conference call, email contact investorrelations@reklaimyours.com
The conference call will be broadcast live and available for replay on investors.reklaimyours.com
Additional information
The Company is also pleased to announce that it has previously closed on a non-brokered private placement financing raising $90,000 through the issuance of 1,500,000 units (“Units”) at $0.06 per Unit. Each Unit consists of one common share and one common share purchase warrant (“Warrant”). Each Warrant entitles the holder thereof to purchase one common share in the Company's capital at an exercise price of $0.10 for 36 months from the date of issuance. In the event that the volume-weighted average trading price of the common shares of the Company on the TSXV is more than $0.15 for a period of 20 consecutive trading days, the Company will have the right to accelerate the expiry date to 30 days following the date of notice thereof.
Under Canadian securities law, all securities issued under this private placement financing are subject to a restricted resale period until September 25, 2021. The Company has paid no cash commissions or finder’s fees concerning this private placement financing. The Company intends to use the net proceeds of the private placement financing for general corporate purposes.
About Reklaim Ltd.
Reklaim allows consumers to visit the platform, confirm their identity, and unveil data collected and sold for years without the consumer’s explicit consent. Reklaim enables consumers to take back control of their data by setting up a Reklaim account through which they can be compensated for their data. To view more information about Reklaim, visit www.reklaimyours.com.
For further information, please contact:
Ira Levy, CFO
1-855-908-DATA
