Key Highlights

• Revenues in 4Q21 are expected to be $18.6M, a year-over-year increase of 181%.

• Adjusted EBITDA in 4Q21 is expected to be $2.7M, versus ($0.1M) loss in 4Q20.

• Revenues for the full year 2021 are expected to be $52.5M, a year-over-year increase of 106%.

• Adjusted EBITDA for the full year 2021 is expected to be $5.7M versus ($2.6M) loss in 2020.

VANCOUVER, British Columbia, March 7, 2022 – Zoomd Technologies Ltd. (TSXV: ZOMD) (OTC: ZMDTF) (https://wordpressmu-935437-3249329.cloudwaysapps.com) and its wholly-owned subsidiary Zoomd Ltd. (collectively, “Zoomd” or the “Company”), the marketing tech (MarTech) user-acquisition and engagement platform, today provided preliminary financial results for the fourth quarter and full year ended December 31, 2021. Record results for 4Q2021 and FY2021 which leads to $8.3M adjusted EBITDA increase YOY, these record results were driven by the continued material increase in marketing budgets allocated to Zoomd, most notably from the fintech, gaming and eCommerce sectors.

Management Commentary

“We are proud to have achieved another record quarterly revenues and adjusted EBITDA in 4Q21, being the fifth consecutive quarter of growth in both revenue and adjusted EBITDA” said Ofer Eitan, Zoomd’s CEO, adding “the continued increase in our revenues is a testament to the strong ROI that our customers are witnessing from our technology and services. We enable greater time saving, results and efficiency with real-time control, which allows our partners to grow greatly and immediately by demand with limited additional resources.”

Mr. Eitan concluded by noting that “Our team’s focus on diversifying our client base by securing new customers, in sectors such as Ecommerce, iGaming, Gaming and Fintech, show fruitful results. Further, our growth initiatives to expand into new geographies, such as Latin America and Asia; as well as attracting large Fortune 500-type company customers, are all contributing to growth.”

About Zoomd:

Zoomd (TSXV: ZOMD, OTC: ZMDTF), founded in 2012 and began trading on the TSX Venture Exchange in September 2019, offers a site search engine to publishers, and a mobile app user-acquisition platform, integrated with a majority of global digital media, to advertisers. The platform unifies more than 600 media sources into one unified dashboard. Offering advertisers, a user acquisition control center for managing all new customer acquisition campaigns using a single platform. By unifying all these media sources onto a single platform, Zoomd saves advertisers significant resources that would otherwise be spent consolidating data sources, thereby maximizing data collection and data insights while minimizing the resources spent on the exercise. Further, Zoomd is a performance-based platform that allows advertisers to advertise to the relevant target audiences using a key performance indicator-algorithm that is focused on achieving the advertisers’ goals and targets.

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

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Information regarding the Company’s future growth prospect and the preliminary unaudited financial results contained in this press release may constitute forward-looking-information within the meaning of securities laws. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The financial estimates provided in this press release is provided to provide early guidance on the fourth quarter and full year financial performance of the Company and readers are cautioned that this information may not be appropriate for any other purpose. In preparing the financial estimates, the Company completed an initial review of operations for the quarter ended December 31, 2021, however actual results may differ materially from the financial estimates provided in this press release as the financial outlook has not been audited or reviewed. When relying on the Company’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company has assumed that the material factors referred to herein will not cause such forward-looking statements and information to differ materially from actual results or events. However, there can be no assurance that such assumptions will reflect the actual outcome of such items or factors. Other than as required under securities laws, we do not undertake to update this information at any particular time. Forward-looking information contained in this press release, including with respect to any future growth, is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this press release is expressly qualified in its entirety by this cautionary statement.

CAUTION REGARDING FINANCIAL ESTIMATES

The financial estimates set forth above are based on an initial review of the Company’s operations for the quarter ended December 31, 2021 and are subject to change. The Company’s independent registered public accounting firm, Brightman Almagor Zohar & Co. (Deloitte Member Firm), has not audited, reviewed or performed any procedures with respect to the accompanying financial estimates and other data, and accordingly does not express an opinion or any other form of assurance with respect thereto. They should not be viewed as a substitute for audited financial statements prepared in accordance with generally accepted accounting principles and are not necessarily indicative of the Company’s results for any future period.

CAUTION REGARDING NON-IFRS FINANCIAL MEASURES

This press release refers to “Adjusted EBITDA” which is a non-IFRS financial measure that does not have a standardized meaning prescribed by IFRS. The Company’s presentation of this preliminary financial measure may not be comparable to similarly titled measures used by other companies. This preliminary financial measure is intended to provide additional information to investors concerning the Company’s estimated results. Adjusted EBITDA is defined as earnings before interest, tax, depreciation and amortization, as adjusted for share-based payments, and is a measure of a company’s operating performance. Essentially, it’s a way to evaluate a company’s performance without having to factor in financing decisions, accounting decisions or tax environments. The following table (all in $US thousands) shows the Company’s Non-IFRS measure (Adjusted EBITDA) reconciled to operating profit for the indicated periods:

Management uses this non-IFRS measure as a key metric in the evaluation of the Company’s performance and the consolidated financial results. The Company believes Adjusted EBITDA is useful to investors in their assessment of the operating performance and the valuation of the Company. However, non-IFRS financial measures are not prepared in accordance with IFRS, and the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with IFRS. The references in this press release to Adjusted EBITDA are forward-looking information about prospective financial performance and readers are cautioned that this information may not be appropriate for other purposes.

For further information please contact:

Company Media Contacts:

Amit Bohensky
Chairman
Zoomd
ir@zoomd.com

+972 722200555

Investor relations:

Lytham Partners, LLC
Ben Shamsian
New York | Phoenix | Los Angeles
ZOMD@lythampartners.com

Key Highlights & Outlook

• Revenues increased 97% YOY, to a quarterly record of $11.1M, driven primarily by the onboarding of new clients in recent months, growth with legacy clients and expansion into growth geographies such as Latin America and Asia.

• Over the past year, the Company has diversified its customer industries to areas such as fintech, gaming, entertainment, and E-commerce.

• Achieved record positive Adjusted EBITDA of $1.3M during the quarter, the highest level since becoming a reporting issuer.[1]

• Maintaining 2021 revenue growth guidance 30% to 40%, reflecting the strong post-pandemic market recovery, the on-boarding of new clients, the launch of new product lines, and strategic M&A activity.

VANCOUVER, British Columbia, August 24, 2021 – Zoomd Technologies Ltd. (TSXV: ZOMD) (OTC: ZMDTF) and its wholly-owned subsidiary Zoomd Ltd. (collectively, “Zoomd” or the “Company”), the marketing tech (MarTech) user-acquisition and engagement platform, today reported its financial results for the three month ended June 30, 2021. The financial statements and MD&A are available on SEDAR under the Company’s profile.

[1] “Adjusted EBITDA” is a NON-IFRS financial measure. See “Caution Regarding Non-IFRS Financial Measures”.

Management Commentary

The Company achieved record revenues in 2Q21 as the hard work of diversifying its client base, both in sectors and geographies, is beginning to bear fruit.  In addition, we are seeing a surge in budgets from our legacy clients, as the post-pandemic economic recovery continues. Furthermore, we continue to focus on profitable clients and continued growth.

“Our strong revenue performance in the second quarter demonstrates our ability to grow across new sectors and geographies” said Ofer Eitan, Zoomd’s CEO, adding “in 2021 we have been successful in acquiring new customers in growing industries such as fintech and E-commerce. In a relatively short amount of time, many of these clients have increased their user acquisition budgets with us as they have witnessed impressive returns on their investment.  In addition, our recent acquisition of Performance Revenues has thus far proven successful, as we are seeing a robust momentum in the MarTech industry as a whole and Zoomd specifically, driven by the post-pandemic recovery and the growth of new and burgeoning industries.”

Self-Serve PRODUCTS update

During Q1 2021, Zoomd announced the official soft launch of its self-serve products including its DSP (Demand Side Platform), Performance model and premium sources (SaaS) product. The SaaS product waslaunched with dedicated design partners and is our main self-serve product that reflects our forward-looking vision to offer advertisers the only user acquisition software solution they will need. During the 2^nd half of 2021, we expect to continue the rollout of these products as planned.

Zoomd’s self-serve products are targeted to provide an advertiser with a platform that uses artificial intelligence (AI), machine learning, prediction and automation technology as the basis for all user acquisition actions the advertiser needs. The Company believes that these products will save its advertising customers money, time and resources in the ad buying and optimization process, by uniting all the user’s advertising campaigns under a single central dashboard, allocate budget and provide data abilities that unit all user acquisition capabilities across various premium digital channels.

Acquisition of Performance Revenues

On February 9, 2021, Zoomd acquired Performance Revenues, a leading international mobile marketing and influencer company, providing a variety of performance-based marketing solutions led by a team of professional marketers. Zoomd has thus far been successful in growing the budgets of the clients acquired through this acquisition, most notable being Sony Entertainment.

SECOND-QUARTER 2021 HIGHLIGHTS (ALL FIGURES ARE IN THOUSANDS USD)

• For the three months ended June 30, 2021, revenues were $11,157, as compared to $5,676 for the three months ended June 30, 2020, an increase of approximately 97% year-over-year. The increase in revenues is primarily a result onboarding of new clients in recent months, growing existing accounts and the Company’s expansion into growth geographies such as Latin America and Asia. In addition, deployment of new services and features, combined with the integration of our latest acquisition, has generated strong revenue growth during the quarter.
• The gross profit margin was 33% for the three months ended June 30, 2021, versus 31% for the same period last year. The improvement in the gross profit margin was primarily attributable to the Company’s decision to disengage from less profitable customers and general client base diversification.
• Research and Development (R&D) expenses for the three months ended June 30, 2021 decreased 37% YOY, primarily reflecting the capitalization of software development costs.
• Selling, General and Administrative (SG&A) expenses for the three months ended June 30, 2021 were $2.03 million, a 28% increase YOY, primarily reflecting the expenses incurred as a result of the Performance Revenues acquisition, as well as increased marketing expenses in line with Company’s growth objectives.
• Adjusted EBITDA for the three months ended June 30, 2021 was $1.32M as compared with negative Adjusted EBITDA loss of ($0.76M) for the three months ended June 30, 2020, an increase of $2.08M. The improvement in the Adjusted EBITDA is primarily attributed to the increase in revenue and the improvement in the gross profit margin.

The following table presents a reconciliation of EBITDA and Adjusted EBITDA to Operating Gain (Loss) for the three months ended June 30, 2021 and 2020:

• As of June 30, 2021, the Company’s cash and cash equivalents amounted to $2 million, and no debt.

2021 Growth Expectations (ALL FIGURES ARE IN USD)

The Company is maintaining its revenue outlook of $33 million to $36 million for the year ending December 31, 2021, representing growth of 30% to 40% YOY. This outlook reflects the following assumptions which management believes are reasonable:

• Organic Growth – Management estimates that at least $4 million or approximately 40% of the revenue growth for the year ending December 31, 2021 to be caused primarily from the existing business model where the key drivers are:
  • New customers acquired primarily during the second half of 2020 through to the beginning of the year 2021, which are expected to increase their marketing budgets as they become more familiar with the platform, the services and the results.
  • New customers acquired also by the newly launched Self-Served products: Performance, Premium channels, and DSP.
  • Post-COVID online advertising demand surge, especially from sectors that were shut down during the height of the pandemic and are beginning to reopen, such as sports.
  • Geographical expansion in India, East Europe, the Philippines, and Japan announced earlier this year.
• Mergers and Acquisitions – Management estimates that up to $6 million or 60% of the revenue growth for the year ending December 31, 2021 to be caused primarily as a result of acquisitions of carefully selected target companies that in line with the Company’s business, strategy, and vision. The Company’s acquisition of “Performance Revenues” that was announced on February 10, 2021 already factors into the above expectation as management believes it will bear a positive impact on its revenue growth in 2021.

The above forward-looking financial information was approved by the Company in connection with the filing of the MD&A for the year ended December 31, 2020.

About Zoomd:

Zoomd (TSXV: ZOMD, OTC: ZMDTF), founded in 2012 and began trading on the TSX Venture Exchange in September 2019, offers a site search engine to publishers, and a mobile app user-acquisition platform, integrated with a majority of global digital media, to advertisers. The platform unifies more than 600 media sources into one unified dashboard. Offering advertisers, a user acquisition control center for managing all new customer acquisition campaigns using a single platform. By unifying all these media sources onto a single platform, Zoomd saves advertisers significant resources that would otherwise be spent consolidating data sources, thereby maximizing data collection and data insights while minimizing the resources spent on the exercise. Further, Zoomd is a performance-based platform that allows advertisers to advertise to the relevant target audiences using a key performance indicator-algorithm that is focused on achieving the advertisers’ goals and targets.

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

Disclaimer IN REGARD TO Forward-looking statements

This news release includes certain “forward-looking statements” and “forward-looking financial outlook” (collectively, “forward-looking statements”) under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to Zoomd’s future financial situation, its expected revenue growth for 2021, its ability to sucessfuly grow revenue organically and via mergers and acquisitions, the impact and length of time of the COVID-19 pandemic on global advertising budgets and Zoomd’s revenue, its ability to meet its strategic targets on the development roadmap, the overall success of the development roadmap, its ability to realize synergies in connection with the acquisition of Peformance Revenues and the overall success of the new SaaS product. Forward-looking statements are necessarily based upon several estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties (including the impacts of the COVID-19 pandemic), the extent and duration of which are uncertain at this time on Zoomd’s business and general economic and business conditions and markets. There can be no assurance that any of the forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether because of new information, future events or otherwise, except as required by law.

The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this press release is expressly qualified in its entirety by this cautionary statement.

CAUTION REGARDING NON-IFRS FINANCIAL MEASURES

This press release refers to “Adjusted EBITDA” which is a non-IFRS financial measure that does not have a standardized meaning prescribed by IFRS. The Company’s presentation of this preliminary financial measure may not be comparable to similarly titled measures used by other companies. This preliminary financial measure is intended to provide additional information to investors concerning the Company’s estimated results. Adjusted EBITDA is defined as earnings before interest, tax, depreciation and amortization, as adjusted for share-based payments, and is a measure of a company’s operating performance. Essentially, it’s a way to evaluate a company’s performance without having to factor in financing decisions, accounting decisions or tax environments.

Management uses this non-IFRS measure as a key metric in the evaluation of the Company’s performance and the consolidated financial results. The Company believes Adjusted EBITDA is useful to investors in their assessment of the operating performance and the valuation of the Company. However, non-IFRS financial measures are not prepared in accordance with IFRS, and the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with IFRS. The references in this press release to Adjusted EBITDA are forward-looking information about prospective financial performance and readers are cautioned that this information may not be appropriate for other purposes.

For further information please contact:

Company Media Contacts:

Amit Bohensky
Chairman
Zoomd
ir@zoomd.com

Investor relations:

Lytham Partners, LLC
Ben Shamsian
New York | Phoenix
ZOMD@lythampartners.com

ZOOMD REPORTS Q1 2021 FINANCIAL RESULTS HIGHLIGHTED BY STRONG GROSS MARGINS. MAINTAINS 2021 REVENUE GROWTH GUIDANCE OF 30% TO 40%

Financial Results Key Highlights & Outlook

• Maintains 2021 revenue growth guidance of 30% to 40%, reflecting the strong post-pandemic market recovery, the onboarding of new clients, the launch of new product lines, and strategic M&A activity.

• Gross profit margin increased roughly 17% from 30% to 35%, primarily due to focusing on more profitable customers.

• Over the past 9 months, the Company has diversified its customer base with the onboarding of customers operating in industries to areas such as fintech, entertainment, and ecommerce. In addition, sectors that were shut down during the pandemic and are reopening, such as sports, are benefiting existing customers.

• Beginning to see the positive impact of “Performance Revenues” acquisition.

VANCOUVER, British Columbia, June 1, 2021 – Zoomd Technologies Ltd. (TSXV: ZOMD) (OTC: ZMDTF) (https://wordpressmu-935437-3249329.cloudwaysapps.com) and its wholly-owned subsidiary Zoomd Ltd. (collectively, “Zoomd” or the “Company”), the marketing tech (MarTech) user-acquisition and engagement platform, today reported its financial results for the three months ended March 31, 2021.
The financial statements and MD&A are available on SEDAR under the Company’s profile.

“We are excited to return to sustainable revenue growth as our clients expand their advertising budgets to pre-COVID levels” said Ofer Eitan, Zoomd’s CEO, adding “Over the last nine months we have been successful in acquiring new customers in growing industries such as fintech and e-commerce. We expect our newly acquired customers to increase their activity with us during 2021. Our organic growth in the upcoming months, combined with our integration of the Performance Revenues acquisition and ongoing M&A discussions, lead us to maintain our 2021 revenue growth guidance. Furthermore, we are proud of the strong gross margins achieved during the first quarter, which are the result of our focus on profitable activities and our efforts to diversify our customer base.”

Platform Update

During Q1-2021, Zoomd released self-serve products such as Performance, Premium channels, and DSP. The self-serve products save Zoomd’s advertising customers money, time and resources in the ad buying, optimization process and general campaign management, by uniting all of the client’s advertising campaigns under a single central dashboard, allocating budget and providing data on the user acquisition capabilities across various digital channels.

Acquisition of Performance Revenues

On February 9, 2021, Zoomd acquired Performance Revenues, a leading international mobile marketing and influencer company, providing a variety of performance-based marketing solutions led by a team of professional marketers, media buyers and account managers. Zoomd believes that it is able to leverage the people, talent, and clients acquired through this acquisition to drive growth in the future by realizing certain synergies between the platforms.

FIRST QUARTER 2021 HIGHLIGHTS (ALL FIGURES ARE IN USD)

• For the three months ended March 31, 2021, revenues amounted to $6,776, as compared to $6,513 for the three months ended March 31, 2020, an increase of approximately 4% year over year. The increase in revenues is primarily a result of the onboarding new customers in the second half of 2020 and an increase of online media and marketing budgets for some of our top 10 customers. In addition, during the period, the Company added numerous clients to its platform, with smaller initial budgets that the Company expect to increase in the coming months.
• Gross profit was 35% for the three months ended March 31, 2021, roughly 17% increase from 30% for the three months ended March 31, 2020. The improvement in the gross profit margin was primarily attributable to the Company’s decision to disengage from less profitable customers and general client base diversification, thereby not connecting the Company’s performance to any specific industry.
• Selling, General and Administrative (SG&A) expenses for the three months ended March 31, 2021 were $1.96 million, roughly flat YOY, as increased advertising expense was offset by a decrease in G&A spending. Research and Development (R&D) expenses for the three months ended March 31, 2021 decreased 31% YOY reflecting the capitalization of software development costs.
• EBITDA for the three months ended March 31, 2021 increased by $90 The YOY increase is attributed to the increase in revenue, capitalization of software and the improvement in the gross profit margin, all of which carried the Company to positive adjusted EBITDA for the first time since it became publicly traded. “EBITDA” is a non-GAAP and non-IFRS financial measure that does not have a standardized meaning prescribed by GAAP or IFRS – please see “Non-IFRS Measures” below.

The following table presents a reconciliation of EBITDA and Adjusted EBITDA to Operating Loss for the three months ended March 31, 2021 and 2020:

• As of March 31, 2021, the Company’s cash and cash equivalents amounted to $4 million, and no debt.

2021 Growth Expectations (ALL FIGURES ARE IN USD)

The Company is maintaining its revenue outlook of $25 million to $36 million for the year ending December 31, 2021, representing growth of 30% to 40% YOY. This outlook reflects the following assumptions which management believes are reasonable:

• Organic Growth – Management estimates that at least $4 million or approximately 40% of the revenue growth for the year ending December 31, 2021 to be caused primarily from the existing business model where the key drivers are:
  • New customers acquired primarily during the second half of 2020 through to the beginning of the year 2021, which are expected to increase their marketing budgets as they become more familiar with the platform, the services and the results.
  • New customers acquired by the newly launched Self-Served products: Performance, Premium channels, and DSP.
  • Post-COVID online advertising demand surge, especially from sectors that were shut down during the height of the pandemic and are beginning to reopen, such as sports.
  • Geographical expansion in India, East Europe, the Philippines, and Japan announced earlier this year.
• Mergers and Acquisitions – Management estimates that up to $6 million or 60% of the revenue growth for the year ending December 31, 2021 to be caused primarily as a result of acquisitions of carefully selected target companies that in line with the Company’s business, strategy, and vision. The Company’s acquisition of “Performance Revenues” that was announced on February 10, 2021 already factors into the above expectation as management believes it will bear a positive impact on its revenue growth in 2021. In addition, the Company has announced that it is engaged in series of discussions for potential acquisitions during 2021.

The above forward-looking financial information was approved by the Company in connection with the filing of the MD&A for the year ended December 31, 2020.

About Zoomd:

Zoomd (TSXV: ZOMD, OTC: ZMDTF), founded in 2012 and began trading on the TSX Venture Exchange in September 2019, offers a site search engine to publishers, and a mobile app user-acquisition platform, integrated with a majority of global digital media, to advertisers. The platform unifies more than 600 media sources into one unified dashboard. Offering advertisers, a user acquisition control center for managing all new customer acquisition campaigns using a single platform. By unifying all these media sources onto a single platform, Zoomd saves advertisers significant resources that would otherwise be spent consolidating data sources, thereby maximizing data collection and data insights while minimizing the resources spent on the exercise. Further, Zoomd is a performance-based platform that allows advertisers to advertise to the relevant target audiences using a key performance indicator-algorithm that is focused on achieving the advertisers’ goals and targets.

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

NON-IFRS Measures

This press release refers to “EBITDA” and “Adjusted EBITDA”  which is a non-GAAP and non-IFRS financial measure that does not have a standardized meaning prescribed by GAAP or IFRS. The Company’s presentation of this financial measure may not be comparable to similarly titled measures used by other companies. This financial measure is intended to provide additional information to investors concerning the  Company’s estimated results.  EBITDA is defined as earnings before interest, tax, depreciation and amortization, and Adjusted EBITDA adjusts EBITDA for share-based compensation. Both measures are used to measure of a company’s operating performance. Essentially, it is a way to evaluate a company’s performance without having to factor in financing decisions,  accounting decisions or tax environments.

Disclaimer IN REGARD TO Forward-looking statements

This news release includes certain “forward-looking statements” and “forward-looking financial outlook” (collectively, “forward-looking statements”) under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to Zoomd’s future financial situation, its expected revenue growth for 2021, its ability to successfully grow revenue organically and via mergers and acquisitions, the impact and length of time of the COVID-19 pandemic on global advertising budgets and Zoomd’s revenue, its ability to meet its strategic targets on the development roadmap, the overall success of the development roadmap, its ability to realize synergies in connection with the acquisition of Performance Revenues and the overall success of the new SaaS product. Forward-looking statements are necessarily based upon several estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties (including the impacts of the COVID-19 pandemic), the extent and duration of which are uncertain at this time on Zoomd’s business and general economic and business conditions and markets. There can be no assurance that any of the forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether because of new information, future events or otherwise, except as required by law.

The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this press release is expressly qualified in its entirety by this cautionary statement.

For further information please contact: 

Company Media Contacts:
Amit Bohensky
Chairman
Zoomd
ir@zoomd.com

+972 722200555

Investor relations:
Lytham Partners, LLC
Ben Shamsian
New York | Phoenix
ZOMD@lythampartners.com

The Company Announces Preliminary Financial Estimates for Q4 2019 and Engages Corporate Communications Consultants

VANCOUVER, British Columbia, Feb. 14, 2020 /PRNewswire/ — Zoomd Technologies Ltd. (TSXV: ZOMD) and its wholly-owned subsidiary Zoomd Ltd. (collectively, “Zoomd” or the “Company“), announced today preliminary unaudited financial estimates for the fourth quarter ended December 31, 2019:

• Total revenue of US$7.5 million, in line with Q4 of last year and an increase of approximately 27.3% compared to Q3 of 2019
• Cost of sales and services of US$5.3 million, representing an increase of approximately 8.4% compared to the same period last year and 33.1% compared to Q3 of 2019
• Gross profit of US$2.2 million, representing a decline of approximately 16.7% compared to the same period last year and growth of approximately 15.3% compared to Q3 of 2019
• Adjusted EBITDA of US$(0.5) million, representing a decline of approximately 26.4% compared to the same period last year and 33.7% compared to Q3 of 2019

Zoomd’s total revenue improved in Q4 19′ relative to Q3 19′ as a result of Zoomd’s efforts during the period to acquire new clients and generate more revenue from existing clients. Total revenue remained in line with Q4 18′ primarily due to the fact that revenue from one of Zoomd’s top 10 clients decreased relative to Q4 19′ which offset some of the new revenue generated from the newly acquired clients in Q4 19′.

Gross profit margins were consistent in Q4 19′ with the first nine months of 2019 and lower than Q4 18′. The decrease in gross profit margins in Q4 19′, as compared with Q4 18′, was primarily due to lower profitability associated with the new clients acquired in 2019.

During 2019, Zoomd continued its plans of global expansion that resulted in increases in its workforce, marketing and public relations related expenses. Compared with Q3 19′, Zoomd’s expenses increased in line with the noted expansion. Compared with Q4 18′, expenses were flat, but when excluding the one-time bonuses that were paid in Q4 18′, expenses increased, in line with the expansion plan.

“We are pleased to see that we were able to implement our strategy over the last quarter,” says Zoomd CEO and co-founder Ofer Eitan. “We continued our plans of global growth, increases in HR and marketing expenses. Looking forward to increase market share through next year, we are building our AI proprietary technology to the level of creating absolute optimal, automated, media buying funnel from all digital media channels, targeting user acquisition first.”

Investor Relations Agreements

Zoomd is also pleased to announce that it has entered into corporate communications / investor relations / online marketing agreements with each of Oak Hill Financial Inc. (“Oak Hill“), bull markets media GmbH (“Bull Markets“) and Maximus Strategic Consulting Inc. (“Maximus“) (each, an “Agreement“, and each entity an “IR Firm“).

Under the terms of each Agreement, each IR Firm will assist Zoomd in working and communicating efficiently with the business community, including potential investors, journalists and newsletter writers as well as current shareholders to keep them informed and up-to-date on Zoomd’s activities.

The length of the Agreement with Oak Hill is three months (ending April 10, 2020, subject to an automatic renewal unless written notice is provided otherwise), the length of the Agreement with Bull Market is twelve months from the date of Zoomd becoming a reporting issuer (ending August 28, 2020), and the length of time of the Agreement with Maximus is six months (ending May 31, 2020).

In consideration for the services of each IR Firm, Zoomd has agreed to pay a fee of CA$10,000 per month to Oak Hill, a one time fee of CA$60,000 to Bull Markets, and a one time fee of CA$100,000 to Maximus.

Zoomd and each IR Firm are not related parties and operate at arm’s length. Except for Maximus and Bull Markets, to the knowledge of Zoomd, the IR Firms do not, directly or indirectly, hold any interest in Zoomd or its securities, or have a right or intent to acquire such interest.

About Zoomd:

Zoomd (TSXV: ZOMD), founded in 2012 and began trading on the TSX Venture Exchange in September 2019, offers a site search engine to publishers, and a mobile app user-acquisition platform, integrated with a majority of global digital media, to advertisers. The platform unifies more than 600 media sources into one unified dashboard. Offering advertisers a user acquisition control center for managing all new customer acquisition campaigns using a single platform. By unifying all these media sources onto a single platform, Zoomd saves advertisers significant resources that would otherwise be spent consolidating data sources, thereby maximizing data collection and data insights while minimizing the resources spent on the exercise. Further, Zoomd is a performance-based platform that allows advertisers to advertise to the relevant target audiences using a key performance indicator-algorithm that is focused on achieving the advertisers’ goals and targets.

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

Cautionary Statement Regarding Forward-Looking Information

Information regarding preliminary unaudited financial results contained in this press release may constitute forward-looking-information within the meaning of securities laws. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The financial estimates provided in this press release is provided to provide early guidance on the fourth quarter financial performance of the Company and readers are cautioned that this information may not be appropriate for any other purpose. In preparing the financial estimates, the Company completed an initial review of operations for the quarter ended December 31, 2019, however actual results may differ materially from the financial estimates provided in this press release as the financial outlook has not been audited or reviewed. When relying on the Company’s forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. The Company has assumed that the material factors referred to herein will not cause such forward-looking statements and information to differ materially from actual results or events. However, there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.

Other than as required under securities laws, we do not undertake to update this information at any particular time.

Forward-looking information contained in this press release is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this press release is expressly qualified in its entirety by this cautionary statement.

CAUTION REGARDING Financial Estimates

The financial estimates set forth above are based on an initial review of the Company’s operations for the quarter ended December 31, 2019 and are subject to change. The Company’s independent registered public accounting firm, Brightman Almagor Zohar & Co. (Deloitte Member Firm), has not audited, reviewed or performed any procedures with respect to the accompanying financial estimates and other data, and accordingly does not express an opinion or any other form of assurance with respect thereto. They should not be viewed as a substitute for audited financial statements prepared in accordance with generally accepted accounting principles and are not necessarily indicative of the Company’s results for any future period.

CAUTION REGARDING NON-GAAP FINANCIAL MEASURES

This press release refers to “Adjusted EBITDA” which is a non-GAAP and non-IFRS financial measure that does not have a standardized meaning prescribed by GAAP or IFRS. The Company’s presentation of this preliminary financial measure may not be comparable to similarly titled measures used by other companies. This preliminary financial measure is intended to provide additional information to investors concerning the Company’s estimated results. Adjusted EBITDA is defined as earnings before interest, tax, depreciation and amortization and is a measure of a company’s operating performance. Essentially, it’s a way to evaluate a company’s performance without having to factor in financing decisions, accounting decisions or tax environments. The following table (all in $US thousands) shows the Company’s Non-IFRS measure (Adjusted EBITDA) reconciled to operating profit for the indicated periods:

Management uses this non-IFRS measure as a key metric in the evaluation of the Company’s performance and the consolidated financial results. The Company believes Adjusted EBITDA is useful to investors in their assessment of the operating performance and the valuation of the Company. However, non-IFRS financial measures are not prepared in accordance with GAAP or IFRS, and the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP or IFRS. The references in this press release to Adjusted EBITDA are forward-looking information about prospective financial performance and readers are cautioned that this information may not be appropriate for other purposes.

Company Media Contacts
Omri Argaman
Chief Marketing Officer
Zoomd 
omri@zoomd.com