ARLINGTON, Va., Aug. 29, 2023 (GLOBE NEWSWIRE) -- Edge Total Intelligence Inc. (TSXV: CTRL, OTC: UNFYF, FSE: Q5i)(“edgeTI”, “we”, “our” or the “Company”), a leader in real-time digital operations, announces operating and consolidated results for the second quarter 2023 (“Q2-2023”). Financial information is expressed in United States (US) dollars unless otherwise indicated. The Company’s related financials and management discussion and analysis for the second quarter 2023 are posted on its profile on SEDAR+ (www.sedar.com) and OTC Markets.
Selected Financial Details for Q2-2023 and Six Month Ended Results
- Subscription revenue grew 10% to $894,732 for Q2-2023 from $814,749 the quarter ending June 30, 2022 (“Q2-2022”) as six months ended subscription revenue reached $1,808,864.
- Total revenue decreased 6% to $894,732 for Q2-2023 from $951,219 in Q2-2022 and total revenue decreased 5% for the six months ended as the Company shifts professional consulting services to partners and system integrators.
- Operating costs were reduced 21% to $1,161,781 for Q2-2023 versus $1,472,503 in Q2-2022 and operating costs decreased 23% six months ended as the Company continues to march towards cash flow positive operations.
“We earned key renewals in Q2 as our pipeline for Digital Twins, Data Mesh, and Intelligent Automation capabilities continues to gain traction with government, service providers, and AI entrepreneurs,” said Jim Barrett, Chief Executive Officer. “Our adoption programs and target use cases announced this first half are increasing growth potential as we landed our largest contract to date with the Veteran’s Administration.”
Operational Highlights for Q2-2023
- On April 25, 2023 the Company announced the general availability of its edgeCore™ platform 4.5 to empower its customers to rapidly compose and deploy secure, action-embedded apps that deliver the right information to the right people on the right device at the speed of relevance.
- On May 9, 2023 the Company formed a strategic partnership with Grokstream, LLC ("Grokstream"), a leader in artificial intelligence for IT operations (AIOps). The strategic partnership leverages edgeTI’s edgeCore™ platform to: a) expand integrations with enterprise IT management applications, b) orchestrate automation and workflow engines, and c) drive greater user acceptance through intuitive user experiences. The partnership is expected to increase edgeCore use throughout the Grokstream customer base.
- On June 7, 2023, the Company announced that its shares trading on the OTCQB Venture Market under the symbol "UNFYF" became eligible to be electronically cleared and settled in the United States through the Depository Trust Company ("DTC") — making the Company's stock more accessible to U.S. retail and institutional investors.
- On June 12, 2023, the Company welcomed a new Chief Financial Officer, Geremy Connor, with broad experience in raising funds and capital markets.
- On June 13, 2023, the Company announced its fast path to safe artificial intelligence ("AI") and four adoption programs to assist companies, governments, service providers and AI providers to deploy AI quickly and safely.
- On June 15, 2023, Jacques Jarman, EdgeTI's Chief Revenue Officer, delivered a presentation entitled “Digital Twin Solution Driving Increased AI/ML Accuracy and Time to Value” at TechConnect World Innovation 2023 at the request of the show sponsor.
- On June 30, 2023, the Company announced its intention to convert the principal amount plus interest accrued owed under its credit facility (the "Credit Facility") with Lotus Domaine III LP ("Lotus"), a private equity fund and controlling shareholder of the Company, to subordinate voting shares of the Company (the "Debt Settlement"). The Debt Settlement, which remains subject to approval by the TSX Venture Exchange ("TSXV"), is anticipated to consist of the issuance of an aggregate of 9,109,541 subordinate voting shares of the Company at a deemed price of CA$0.90 per subordinate voting share for the settlement of US$6,185,278.79, being the principal amount plus interest accrued as of June 30, 2023, owed under the Credit Facility. As of the date hereof, the Credit Facility and Debt Settlement remain subject to TSXV review and acceptance, and no shares have been issued to Lotus.
Subsequent Events to the Second Quarter
- On July 11, 2023, the United States Department of Veterans Affairs selected the Company for a five-year contract extension to visualize and empower pharmacy monitoring automation valued at near $4.7 Million.
- On August 16, 2023, edgeTI CRO Jacques Jarman delivered a presentation entitled, “Digital Twins - Driven by a Secure COTS Cross Departmental Data Mesh“ at the Armed Forces Communications & Electronics Association International's (AFCEA) TechNet Augusta 2023 Conference.
- On August 23, 2023, edgeTI CRO Jacques Jarman delivered a presentation entitled “Energy and Logistics Situational Awareness Powered by a Proven Data Mesh Platform” at the Operational Energy and Logistics Summit in Honolulu, Hi. at the request of the show sponsor.
On August 23, 2023, the shareholders elected three new independent board members at the Company’s annual general and special meeting of the shareholders.
About edgeTI
edgeTI™ helps customers achieve the impossible with its real-time digital operations software, edgeCore™. Global enterprises, service providers, and governments are more profitable when insight and action are united to deliver fluid experiences via the platform’s low-code development capability. With edgeTI, customers improve their margins and agility by rapidly transforming siloed systems and data across evolving situations in business, technology, and cross-domain operations. Traded on: TSXV: CTRL, OTC: UNFYF and FSE: Q5i.
For further information contact:
Nick Brigman
Edge Total Intelligence
Phone: 888-771-3343
Email: ir@edgeti.com
Neither the TSXVnor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information and Statements
Certain statements in this news release are forward-looking statements or information for the purposes of applicable Canadian and US securities law, including statements regarding market projections, customer impacts of product deployment, the execution of the Company's growth and marketing strategies, the Company's expectations for its 2022 and 2023 monthly recurring revenue (MRR) and revenues, the Company's ability to enter into strategic partnerships and continue to develop easy to use products, and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, including but not limited to, business, economic and capital market conditions.
Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the demand for its products, anticipated costs, and the ability to achieve goals. Factors that could cause the actual results to differ materially from those in forward-looking statements include, the continued availability of capital and financing, the impact of viruses and diseases on the Company's ability to operate, competition and general economic, market or business conditions, the successful integration of edgeCore™ platform 4.5, acceptance by the exchange of the Credit Facility and Debt Settlement, the success of current strategic partnerships and the ability to enter into additional relationships going forward. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The reader is cautioned not to place undue reliance on any forward-looking information. The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
