VANCOUVER, British Columbia, April 30, 2018 (GLOBE NEWSWIRE) -- Glance Technologies Inc. (CSE:GET.CN) (OTCQB:GLNNF) (FKT:GJT) (“Glance” or the “Company”) today announced financial results for the first quarter ended February 28, 2018.
“In recent months we have made great strides in expanding beyond the initial success we achieved in the Vancouver market with our core mobile payments product,” said Glance CEO Desmond Griffin. “We have a clear technology roadmap that will enable us to deliver further value to our merchants and end users. Our customer base extends across multiple industry verticals, and we now have offices on three continents with plans for further international expansion in 2018. I believe we are very well positioned to capitalize on the continuing shift towards mobile devices as the platform of choice for payments and consumer engagement.”
Q1 2018 Financial Highlights:
(all figures are rounded to the nearest thousand)
- Revenue of $1,174,000, compared to $17,000 in Q1 2017. The current period includes a royalty fee ($1,000,000) and marketing revenue ($44,000), in addition to application and service fees ($130,000). It should be noted that the fourth quarter 2017 and first quarter 2018 revenues may be higher than can be expected in future near-term quarters due to timing of licensing related revenue;
- Operating expenses of $5,447,000 compares to $981,000 in Q1 2017, reflecting the significant ramping of the business over the past year;
- The largest change in expenses this quarter was a $2,353,000 increase in corporate communications and investor media expense, which the Company expects to reduce significantly in future quarters as it evolves to a more focused outreach strategy;
- Another notable increase was a $1,199,000 increase in sales and marketing expense. A significant part of this was related to the increase in the number of employees in sales and marketing, commencing work in the Blockchain sector and preparing the Company’s rebrand. The Company expects this expense category to reduce in future near term quarters;
- Net loss was $4,869,000 or $(0.04) per share, compared to $964,000 or $(0.02) per share in Q1 2017;
- Completed a bought deal public offering during the quarter for net proceeds of $10,180,000 and raised an additional $808,000 through the exercise of outstanding warrants and incentive options;
- As at February 28, 2018, the Company had $13,377,000 of cash ($10,294,000 at November 30, 2017) and no long-term debt ($nil at November 30, 2017).
Q1 2018 Operating Highlights:
- Over 350 signed locations as of the end of the quarter;
- Live in 164 locations, up 173% from 60 locations in Q1 2017;
- Raised approximately $11 million from equity financings;
- Acquired the Block impact blockchain technology platform;
- Expanded our sales presence with new offices in San Jose, CA, Toronto, ON, and subsequent to quarter end, London, UK and Melbourne, Australia; and
- Surpassed a full year of zero fraud across our payment platform.
The Company’s complete financial results for the first quarter of 2018 are available in its Condensed Consolidated Interim Financial Statements and Management’s Discussion and Analysis, each of which have been filed with Canadian securities regulators at www.sedar.com.
Outlook
Management intends to pursue a number of technology, product and marketing initiatives to continue to drive growth in 2018. The Company’s strategic priorities include:
- Grow monthly recurring revenue by continuously adding new merchants and consumers;
- Launch a new downloadable merchant app that enables merchants to quickly set up Glance Pay on their own devices and facilitates our migration towards a higher-volume sales model;
- Establish Glance as a leader in the blockchain space by developing innovative applications and hosting a “Future of Blockchain” conference on May 8, 2018, in Vancouver;
- Further the development of the Glance Coin reward token, which is intended to simplify and enable the adoption of cryptocurrency into everyday life;
- Leverage the Company’s superior anti-fraud technology to expand into online purchases, e-commerce and other markets;
- Expand into new vertical markets through both direct sales and joint efforts with our licensing partners;
- Continue Glance Pay’s international expansion through the launch of our apps in several new markets; and
- Broaden our geographic footprint across more North American cities, building on its existing presence across Canada and its recent launch in California.
IFRS
The operational and financial information in this release is based on the consolidated figures in accordance with International Financial Reporting Standard (IFRS).
About Glance Technologies Inc.
Glance owns and operates Glance Pay, a streamlined payment system that revolutionizes how smartphone users choose where to shop, order goods and services, make payments, access digital receipts, redeem digital deals, earn great rewards & interact with merchants. Glance offers targeted in-app marketing, geo targeted digital coupons, customer feedback, in-merchant messaging and custom rewards programs. The Glance Pay mobile payment system consists of proprietary technology, which includes user apps available for free downloads in IOS (Apple) and Android formats, merchant manager apps, a large-scale technology hosting environment with sophisticated anti-fraud technology and lightning-fast payment processing. Glance has also recently purchased a blockchain solution and is working on a rewards-based cryptocurrency.
For more information about Glance, please go to www.glance.tech.
For more information, contact:
David Jan
Vincic Advisors
1-866-258-1249
investors@glancepay.com
Laura Burke
Chief Financial Officer
604-694-6502
laura@glancepay.com
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This press release contains forward-looking information or forward-looking statements (collectively "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: “may”, "believe", “thinks”, "expect", “exploring”, “expand”, “could”, "anticipate", "intend", "estimate", “plan”, “pursue”, "potentially", “projected”, “should”, “will” and similar expressions, or are those, which, by their nature, refer to future events. These forward-looking statements, which involve risks and uncertainties, relate to, among other things, the discussion of Glance’s business strategies and its expectations concerning future operations (including advancing its technological roadmap), the expectation that Glance will reduce its corporate communications and investor media expenses in future quarters, growing monthly recurring revenue, launching a new downloadable merchant app, establishing Glance as a leader in blockchain space, furthering the development of the Glance Coin rewards token, building a rewards-based cryptocurrency platform using blockchain technology, leveraging Glance’s anti-fraud technology to expand into online purchases, e-commerce and other markets, expanding into new vertical markets, continuing international expansion, and broadening geographic footprint across more North American cities. Although Glance considers these forward-looking statements to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors include, among other things, the risk that Glance is unable to continuously add new merchants as planned, the risks related to the development of Glance Coin and integration into the Glance Pay app, risks related to expansion, both internationally and in North America, and risks related to, the business of Glance’s licensing partners. The forward-looking information in this press release is also based on certain estimates, forecasts and projections, as well as expectations, beliefs and assumptions, including, among other things, that Glance will be able to achieve its business objectives, that Glance will be able to develop proprietary software to implement its plans, Glance will be successful in obtaining and retaining clients and licensees for its software, that the new downloadable merchant app will enable merchants to quickly set up Glance Pay on their own devices, the blockchain platform will continue to develop and grow in utilization and adoption in the world, and that Glance will be able to expand its operations successfully in new geographic markets and new industries. For additional information with respect to these and other factors and assumptions underlying the forward-looking statements in this press release, see the section entitled “Risk Factors” in the most recent Annual Information Form and Prospectus of Glance, which may be accessed through Glance's profile on SEDAR at www.sedar.com. Glance cautions investors that any forward-looking information provided by Glance is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking statements. Undue reliance should not be placed on such forward-looking information, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur.