Datametrex AI Ltd V.DM

DM News Release -ramp up of Covid-19 testing

[Mario79]

Datametrex AI Ramps up COVID-19 Testing for Film & Television Sectors

Toronto, Ontario--(Newsfile Corp. - December 17, 2020) - Datametrex AI Limited  (TSXV: DM) (FSE: D4G) (OTC: DTMXF) (the "Company" or "Datametrex") wishes to provide an update on film and television industry testing and lab facilities projects which it is undertaking in Canada.

As of this coming January 2021, the Company has received order for an additional 3 film & TV productions in Toronto and an additional 6 l film & TV productions in Vancouver. The Company is currently providing services to 6 production companies in Toronto and 11 production companies in Vancouver, administering approximately 6,000 tests per week. The Company expects this will increase significantly with the additional projects which is seeing in its project pipeline.

Datametrex has ramped up testing lab facilities in Vancouver. The lab now has a capacity of processing up to 10,000 COVID-19 tests per week with the ability to expand this capacity even further (if required).

Vancouver is the third-largest production centre in North America, worth CDN $3.2 billion during 2018/19, according to Creative BC. British Columbia is home to several world-class Film and TV studios, including Bridge Studios, Mammoth Studios, Vancouver Film Studios, North Shore Studios, Ironwood Studios, Canadian Motion Picture Park, and The Crossing Studios. (Source: CreativeBC Film Commission)

Entire film and TV production in Canada represent $8.92 billion in production volume, and full-time equivalent jobs represent 179,000 workers. In March 2020, the industry stopped worldwide and in Vancouver which represents 37% of Canadian productions, and the surrounding areas had 46 productions filming which does not include the TV commercial market. Each of the shows would have a minimum of a 100-person film crew. (Source: CreativeBC Film Commission)

The next largest film and television market is Ontario which represents 34% of Canadian productions and in 2019, Toronto's film and television industry directly employed more than 28,000 people representing $3.17 billion in production volume. (Source: CreativeBC Film Commission)

"With Vancouver and Toronto feature-length movies and episodic series productions filming quickly ramping up, we feel that this will only expand the COVID-19 screening business for the film and TV industries," said Marshall Gunter CEO of the Company.

About Datametrex

Datametrex AI Limited is a technology-focused with exposure to Artificial Intelligence and Machine Learning through its wholly-owned subsidiary, Nexalogy (www.nexalogy.com). Datametrex's mission is to provide tools that support companies in fulfilling their operational goals, including Health and Safety, with predictive and preventive technologies. By working with companies to set a new standard of protocols through Artificial Intelligence and health diagnostics, Company provides progressive solutions to support the supply chain. Additional information on Datametrex is available at www.datametrex.com.

For further information, please contact:
Marshall Gunter - CEO
Phone: [phone]
Email: [e-mail]

Neither the TSX Venture Exchange nor it's Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Certain statements including in this news release contain "forward-looking information" or constitute "forward-looking statements" within the meaning of applicable securities laws. Such forward-looking statements or information are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy, including the dollar amount of revenue anticipated under the Agreement.

Forward-looking statements or information are based on current expectations, estimates and projections that involve several risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Company and described in the forward-looking statements or information. These risks and uncertainties may cause actual results to differ materially from the forward-looking statements or information.

Readers are cautioned that the foregoing list is not exhaustive of all possible risks and uncertainties. Readers are also cautioned to consider these and other factors, uncertainties, and potential events carefully and not to put undue reliance on forward-looking information. The forward-looking information contained herein is made as of the date of this press release and is based on the beliefs, estimates, expectations, and opinions of management on the time such forward-looking information is made. Company undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

[TorlifTostorson]

Thank you for sharing @Mario. Looks good. This means we starting with some nice COVID testing orders into January 2021. Tax loss selling could be a failure. JMHO Torlif

[McStepsen]

Any educated guess, what 6000 administered tests per week translate into revenue?

[swyint123888]

Not sure if it's the same test but for travel with AC they will be getting 150 to 199, at least that's what it shows on the shoppers web site and other dd I have done, should get that news tomorrow I would expect, we don't know how many tests yet, DM said details would be coming in a NR So at 150 per it's 900,000 per week Canadian for the film industry now, couple months back saw

[TorlifTostorson]

Would be great to get $150. But this is the price for the customer, who gets tested. it includes everything for the testing. DM only sells the test and don't earn anything with the testing! This means the revenue and also the profit is much, much lower then $150 per test. I would say they sell their tests between $10 and $30 for each. Assuming a profit margin of %20 to %30 this would make

[swyint123888]

yes you are right....the 1.6 million dollar deal they did with a Canadian mining company was for 50,000 units which is 32 bucks a pop......shoppers has a hefty mark up on the test but flyers will pay

[Mario79]

DM does much more than sell test kits. As like Marshall said in the Agoracom interview they cater to the production companies. Here is my quick math on projection revenue. Please comment if it's correct or not. The 5000 kit per week deal was worth 20,000,000 over 9 months / 28 weeks = $714,285 per week. $714,285/5000 = $143 per test. Let's call it $140. 17 current productions is 6000

[swyint123888]

OK I think I have it now. For AC we are only supplying the kits and other labs are processing the results so 30 bucks a pop TV / Film industry we do the whole thing so 140ish per test processed.  If I have that right the importance of upsizing the lab in Vancouver to 10,000 per week is huge

[Resilience19]

Having said this, an AC or other type of airline/airport deal would indeed provide significantly less per test BUT there would likely require significantly more tests (i.e. I could easily see 10, 20, 30 flights per day, with 200 pax each - meaning 2000 - 6000 tests per day or say 4000x30= 120,000 tests/month @ 3$ profit = $360,000/mo or roughly $1M/quarter).