Record Revenue of Over $49M up 296%
Record Adjusted EBITDA* of $15M up 1,838%
Net Earnings of $9M up 282%
Positive Cash Flow from Operations of $11M up 2,025%
Toronto, Ontario--(Newsfile Corp. - May 2, 2022) - Datametrex AI Limited (TSXV: DM) (FSE: D4G) (OTCQB: DTMXF) (the "Company" or "Datametrex'') is pleased to report the record achievement in the history of the Company. Datametrex has filed on SEDAR its financial statements ("FS") and related management discussion and analysis ("MD&A") for the year end results ending December 31, 2021 ("Q4 2021").
2021 Financial Summary
The Company's financial performance vastly improved in the fourth quarter, attributed by growth in its core AI technology business and uptake in its health security business involving COVID-19 testing services.
The Company reported record revenue of $49 million, 296% increase, and net earnings of $9 million, a 282% increase, compared to a $5 million loss in 2020. Adjusted EBITDA also improved significantly, $15 million in 2021 compared to a negative $862,494 in 2020, improving by 1838%. This Adjusted EBITDA* reflects the Company's operations, not including non-cash items. The Company significantly improved its cash balance from $2 million to $15 million, up 681% from December 31, 2020. The Company also added marketable securities of over $2 million to the balance sheet.
"The 2021 financial results reflect another strong period as the Company successfully grows its core AI business and continues to accelerate within the telehealth and health security verticals," said Marshall Gunter, CEO of the Company.
"We have entered 2022 coming off a record 2021 year in revenue and positive cash flow. The momentum will only continue to build as we continue quarter over quarter. The Company is focused on increasing revenue with continued AI government contracts and the launch of our telehealth app, "Medi-Call", in the health security vertical. Future acquisitions will only advance Datametrex as an industry leader and continue to increase revenue," said Andrew Ryu, Chairman of the Company.
The following financial information from the financial results ending December 31, 2021, and Management Discussion & Analysis ("MD&A") are available for review on SEDAR.
Please refer to the Q4 2021 filing in its entirety, which is available under Datametrex' profile at www.sedar.com.
Financial Highlights: Financial results for twelve months ended December 31, 2021:
Revenue was $49 million compared to $12 million for the same period in 2020, an increase of 296%.
The Company's cash position improved significantly; $15 million compared to $2 million at the end of 2020.
The Company added marketable securities of over $2 million.
The Company's net earnings were $9 million compared to the net loss of $5 million.
Gross margin was $21 million compared to $3 million in the previous year, which is an increase of 604%.
The following table summarizes revenue, net loss, and EBITDA* and adjusted EBITDA* for the year ended December 31, 2021, and 2020.
All figures are in Canadian dollars unless otherwise noted.
| December 2021 | December 2020 | % Change | |
| Total revenue | $49,029,040 | $12,378,024 | 296% |
| Net Income/(Loss) | $9,090,124 | $(5,006,276) | 282% |
| Income Tax Expenses | $(2,675,670) | $(602,300) | 344% |
| Net income (loss) per share - basic | $0.028 | $(0.020) | 240% |
| Depreciation and amortization | $1,511,704 | $751,099 | 101% |
| EBITDA* | $13,280,056 | $(3,605,388) | 468% |
| Share based compensation | $1,709,940 | $2,742,894 | 38% |
| Adjusted EBITDA* | $14,989,996 | $(862,494) | 1838% |
| December 2021 | December 2020 | Dollar Change | Percent Change | |
| Total Assets | $42,640,643 | $9,998,329 | $32,642,314 | 326% |
| Total Liabilities | $10,151,618 | $6,751,972 | $3,399,646 | 50% |
Outlook
The Company's financial performance greatly improved in the fourth quarter. The Company continues to focus and expand it's AI business and expects to see significant growth in the electric vehicle vertical as well as continued expansion in telehealth with the launch of Medi-call.
- In March of this year, the Company's wholly owned subsidiary, Nexalogy ("Nexalogy") successfully completed the first phase of its artificial intelligence contract with the Canadian government.
- In November 2021, the Company received a P.O. for up to $1 million from an electric vehicle charging platform company and is looking forward to entering the electric vehicle space this year.
- The Company officially moved into the telehealth vertical with the launch of its Medi-Call health app in April 2022 and has started taking its first orders. Medi-Call will be expanding to in-person visits in the upcoming months. The Company looks forward to expanding Medi-Call's geographic footprint this year.
- The Company has seen an increase in demand for COVID-19 testing. This resulted in tremendous growth in testing within the film and production industry. In March alone, the Company conducted 25,333 COVID-19 tests and continues to build in this area.
About Datametrex
Datametrex AI Limited is a technology-focused company with exposure to Artificial Intelligence and Machine Learning through its wholly owned subsidiary, Nexalogy (http://www.nexalogy.com). Datametrex' 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.
For additional information on Datametrex and other corporate information, please visit the Company's website at www.datametrex.com.
For further information:
Investor Relations & Communications
Kristina Colpitts
Email: investors@datametrex.com
Telephone: 416-901-5611 x 204
Neither the TSX Venture Exchange nor its 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:
All statements included in this press release that address activities, events, or developments that the Company expects, believes, or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections, and other forward-looking statements will prove inaccurate, certain of which are beyond the Company's control. In particular, there is no guarantee that the parties will successfully negotiate and enter into a definitive agreement on mutually acceptable terms or complete the Transaction in the manner contemplated herein, if at all, that the due diligence of any of the parties will be satisfactory, or that the parties will obtain any required board, shareholder, third-party and/or regulatory or other governmental approvals, if any. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not undertake to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.
NON-IFRS FINANCIAL MEASUREMENTS
The Company has included non-IFRS performance measures throughout this press release, including (a) Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA"); (b) Adjusted EBITDA which is EBITDA adjusted for the gain (loss) on change in fair value of the Company's investment properties and the gain (loss) on change in fair value of derivative instruments; and (c) Book Value per Share which is calculated as equity attributable to Datametrex AI Limited shareholders divided by total common shares outstanding at the end of the reporting period. These non-IFRS financial measurements do not have any standardized meaning as prescribed by International Financial Reporting Standards ("IFRS") and are therefore unlikely to be comparable to similar measures presented by other issuers. Accordingly, these performance measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Management uses EBITDA metrics to measure the profit trends of the business units and segments in the consolidated group since it eliminates the effects of financing decisions. Certain investors, analysts and others utilize these non-IFRS financial metrics in assessing the Company's financial performance. These non-IFRS financial measurements have not been presented as an alternative to net income or any other financial measure of performance prescribed by IFRS. Reconciliation of non-IFRS measures has been provided throughout the Company's MD&A, as applicable, filed under the Company's profile on www.SEDAR.COM.
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