Givex Announces Fiscal Year and Fourth Quarter 2021 Financial Results

Revenue grew 7.1% to $55.2 million, and gross transactional volume increased 19% to $6.5 billion compared to the 12-month period ending Dec. 31, 2021, while customer locations reached 100,000

TORONTO, March 31, 2022 /PRNewswire/ - Givex Information Technology Group Limited ("Givex") (TSX: GIVX) (OTCQX: GIVXF), is pleased to present its financial results for the fiscal year and three-month periods ending Dec. 31, 2021.

Givex reports in Canadian dollars and in accordance with International Financial Reporting Standards ("IFRS").

"Our steady revenue growth and solid earnings reflect Givex's commitment to increasing revenue with consistent EBITDA margins," said Givex CEO Don Gray. "We increased our point of sale gross transaction volume by an incredible 54 per cent, and increased our total number of customer locations to 100,000 despite the pandemic-related challenges faced by our retail, restaurant and hospitality partners in 2021."

Mr. Gray added: "Our recent private placement, in connection with our listing on the Toronto Stock Exchange, strengthened our cash position to $35 million. This cash will be used to enhance our technology, make strategic acquisitions and at the same time keep our balance sheet healthy."

(All comparisons are relative to the 12-month period ending Dec. 31, 2020)

• Revenue grew 7.1% to $55.2 million
• *Gross transaction volume ("GTV") increased 19% to $6.5 billion
• **POS gross transaction volume ("POS GTV") increased 54% to $793 million
• ***Adjusted EBITDA was $8.3 million in 2021 compared to $9 million in 2020 (However, when normalized for the Canadian Government's COVID-19 wage subsidy, which was $1 million in 2021 compared to $3.3 million in 2020, adjusted EBITDA increased 28% in 2021 compared to 2020)
• ****Customer locations reached approximately 100,000, an increase of 5,000
• Completed reverse takeover transaction and listing on the Toronto Stock Exchange and concurrently raised $22 million through a private placement

(All comparisons are relative to the three-month period ending Dec. 31, 2020)

• Revenue decreased 4% to $15.2 million primarily due to increased COVID-19 pandemic restrictions in the fourth quarter of 2021
• POS GTV increased 81% to $269 million
• Adjusted EBITDA was $2.4 million in 2021 compared to $2.9 million in 2020 mainly because of the revenue decrease noted above
• POS locations increased 42% to 1,201

• Givex shares listed on the Toronto Stock Exchange
• Launched GivexPay payment processing solution
• Barburrito installed GivexPOS, online ordering, gift card and loyalty systems in all 170 locations
• Buffalo Bills, Colorado Avalanche and Columbus Blue Jackets installed Uptix for customer payments and analytics
• Implemented end-to-end technology solution in more than a third of Foodtastic's 650 restaurants across 21 brands
• Brazilian companies distributed Givex-powered iFood Card to more than 60 million users and 100,000 points of sale
• Began installing GivexPOS, online ordering, gift card, kitchen display and Pay@Table systems plus online ordering app in 40 Milestones restaurants Canada-wide

Additional financial information, such as the audited annual Consolidated Financial Statements, Management's Discussion and Analysis of Financial Condition and Results of Operations, and Annual Information Form, is available on the company's SEDAR at sedar.com.

More information about Givex, including the Management Presentation and Overview, are posted on the company's investor relations website at investors.givex.com.

Givex (TSX: GIVX; OTCQX: GIVXF) is a global fintech company providing merchants with customer engagement, point of sale and payment solutions, all in a single platform. We are integrated with 1000+ technology partners, creating a fully end-to-end solution that delivers powerful customer insights. Our platform is used by some of the world's largest brands, comprising approximately 113,000 locations across more than 100 countries. Learn more at givex.com.

The information presented includes certain financial measures such as "Adjusted EBITDA" (see below for definition), which are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. These non-IFRS measures are used to provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures. We also believe that securities analysts, investors, and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Our management also uses non-IFRS measures to facilitate operating performance comparisons from period to period, to prepare annual operating budgets and forecasts and to determine components of management compensation.

This press release contains forward-looking information. Forward-looking information is necessarily based on a number of opinions, estimates and assumptions that we considered appropriate and reasonable as of the date such statements are made, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to, the risk factors described under the "Risk Factors" section in the Corporation's Annual Information Form dated March 30, 2022, available on SEDAR at sedar.com and other filings with the Canadian securities regulatory authorities. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, prospective investors should not place undue reliance on forward-looking information, which speaks only as of the date made. See "Cautionary Note Regarding Forward-Looking Information" in the Filing Statement.

*Gross transaction volume ("GTV") means the total dollar value of stored and point-of-sale ("POS") transactions processed through our cloud-based SaaS platforms in the period, net of refunds, inclusive of shipping and handling, duty, and value-added taxes. We believe GTV is an indicator of the success of our customers and the strength of our platforms. GTV does not represent revenue earned by us.

**POS gross transactional volume ("POS GTV") means the total dollar value point-of-sale ("POS") transactions processed through GivexPOS, our cloud-based POS SaaS platform, in the period net of refunds, inclusive of shipping and handling, duty and value-added taxes. We believe POS GTV is an indicator of the success of our customers and the strength of our platforms. POS GTV does not represent revenue earned by us.

***Adjusted EBITDA is defined as net profit (loss) excluding interest, taxes, depreciation and amortization ("EBITDA") as adjusted for share-based compensation and related expenses, foreign exchange gains and losses and transaction-related expenses including those related to going public.

****Customer locations mean a billing customer location for which the term of services has not ended, or with which we are negotiating a renewal contract, and for which the location performed at least one transaction during the period. A single unique customer can have multiple customer locations including physical and ecommerce sites. We believe that our ability to increase the number of customer locations served by our platforms is an indicator of our success in terms of market penetration and growth of our business.

View original content:https://www.prnewswire.com/news-releases/givex-announces-fiscal-year-and-fourth-quarter-2021-financial-results-301514704.html

SOURCE Givex