Company Announcements

• Wishpond achieved record Adjusted EBITDA⁽¹⁾ of $1.7 million in fiscal 2024, an increase of 129% compared to fiscal 2023. The Company also achieved positive Adjusted EBITDA for the tenth quarter in a row.
• Wishpond achieved annual revenue of $21.6 million in fiscal 2024 and quarterly revenue of $4.7 million in Q4-2024.
• The Company expects to accelerate its revenue growth in 2025 primarily driven by the growth of its SalesCloser AI platform, a virtual AI sales agent that can conduct sales calls and demos in multiple languages with minimal human intervention.

VANCOUVER, BC , April 24, 2025 /PRNewswire/ - Wishpond Technologies Ltd. (TSXV: WISH) (OTCQX: WPNDF) (the "Company" or "Wishpond"), a provider of marketing-focused online business solutions, announces it has filed its audited annual consolidated financial statements (the "Annual Financial Statements") and management's discussion and analysis (the "MD&A") for fiscal year and fourth quarter ended December 31, 2024. Copies of the Annual Financial Statements and MD&A are available on the Company's profile on SEDAR+ at www.sedarplus.ca.

Ali Tajskandar, Wishpond's Founder and CEO commented, "2024 has been another remarkable year for Wishpond, highlighted by our tenth consecutive quarter of generating positive Adjusted EBITDA⁽¹⁾, as well as a 129% increase in annual Adjusted EBITDA⁽¹⁾ compared to fiscal 2023, reflecting our ability to deliver consistent profitability. We also achieved positive cash flow from operations of $519K, a significant improvement from the prior year, showcasing our commitment and the effectiveness of our cost optimization efforts. Furthermore, our annual revenue of $21.6 million reflects the continued demand for our software solutions and drives our ongoing efforts to build a fully autonomous, AI-enabled marketing and sales platform designed to streamline the entire customer journey."

Ali Tajskandar further adds, "As we enter 2025, we are excited about the prospects of SalesCloser AI ("SalesCloser"), which we believe will be a key driver of growth moving forward. SalesCloser has quickly become Wishpond's fastest-growing product ever, now generating approximately $800K in Annual Recurring Revenue ("ARR")⁽¹⁾, with a significant portion of this growth having occurred in the first few months of 2025. To continue accelerating its adoption, we have been actively exploring new sales outreach initiatives and strategic channel partnerships. For example, we've seen great success with our recently launched SalesCloser white-label reseller program (the "White-Label Reseller Program"), which enables agencies and businesses to brand and resell SalesCloser as their own, driving new revenue streams and expanding our general market reach. Overall, with an expanding sales pipeline and an increasing demand for our AI solutions, we consider that the Company is well-positioned to capitalize on new opportunities and will continue to solidify SalesCloser as a key driver of growth in 2025."

Adrian Lim, Wishpond's CFO, commented, "2024 has been a profitable year for Wishpond with strong growth in annual Adjusted EBITDA⁽¹⁾ and cash flow from operations. While revenue in 2024 was impacted by a decrease in spending from our large legacy customer for email delivery services, the resulting shift in focus allowed the Company to achieve higher gross margins and improved profitability during the year. Moreover, we expect the transition of our sales team, cost optimization efforts, and the internal adoption of SalesCloser to impact our sales capacity in the first half of 2025, with increased sales and profitable growth expected to accelerate in the second half of 2025. Wishpond is a tariff-resistant business as we are a software vendor that has no physical goods crossing the border. Additionally, as the 'Buy Canadian' sentiment grows, we are seeing general trends in the Canadian market such as businesses showing increased interest in choosing Canadian software vendors like us, and a general increase in marketing campaigns launched to target Canadian audiences."

Fiscal 2024 Annual Financial Highlights:

• Wishpond achieved annual revenue of $21,620,106 during fiscal 2024 (2023: $23,088,138).
• Revenue was impacted by a decline in revenue from the Company's legacy customer of email delivery services which reduced its spending from $1,537,380 in 2023 to $501,253 in 2024.
• Wishpond achieved a gross profit of $14,768,767 in fiscal 2024 (2023: $15,190,124).
• Wishpond achieved a gross margin percentage of 68% during fiscal 2024 (2023: 66%).
• During fiscal 2024, Wishpond achieved record Adjusted EBITDA⁽¹⁾ of $1,734,412 (2023: $758,807), an increase of 129% compared to 2023.
• During fiscal 2024, Wishpond achieved record annual Adjusted EBITDA⁽¹⁾ margin of 8% (2023: 3%), an increase of 144% compared to 2023.

Fourth Quarter 2024 Financial Highlights:

• Wishpond achieved quarterly revenue of $4,685,396 during Q4-2024 (Q4-2023: $6,061,057).
• Revenue was impacted by a decline in revenue from the Company's legacy customer of email delivery services which reduced its spending from $254,146 in Q4-2023 to $25,447 in Q4-2024.
• Wishpond achieved a gross profit of $3,206,990 in Q4-2024 (Q4-2023: $3,994,574).
• Wishpond achieved a gross margin percentage of 68% during Q4-2024 (Q4-2023: 66%).
• During Q4-2024, Wishpond achieved positive Adjusted EBITDA⁽¹⁾ of $331,270 (Q4-2023: $14,807), representing an increase of 2,137% from Q4-2023 and an Adjusted EBITDA⁽¹⁾ margin of 7%.
• As at December 31, 2024, Wishpond had $1,126,318 in cash and had drawn down $1,295,990  from its credit facility (December 31, 2023: cash of $1,424,585 and $994,658 credit facility balance outstanding).  The reduction in cash balances was caused in part by investment in R&D, investment in SalesCloser marketing activities, and changes in working capital.

Fourth Quarter 2024 Business Highlights:

• On October 23, 2024, the Company entered into a collaboration agreement with Roomvu, a leading real estate marketing platform used by over 220,000 real estate agents, to utilize SalesCloser to enhance lead follow-up and sales conversion for Roomvu. This collaboration is anticipated to empower real estate agents to significantly improve the efficiency of managing leads, with aims to ultimately drive sales higher at the same time as improving the client experience.
• On November 28, 2024, the Company provided a corporate update on its Viral Loops Platform. The Viral Loops Platform reached a major milestone in 2024, engaging over 3 million participants this year and surpassing 1 million referrals year to date, solidifying its position as a leader in the referral marketing industry. Wishpond also announced that Viral Loops has seen significant growth with over 40% increase in Customer Lifetime Value ("LTV") ⁽¹⁾ and over 25% increase in average revenue per user ("ARPU")⁽¹⁾ year over year.

Business Highlights Subsequent to December 31, 2024:

• On January 9, 2025, the Company announced that it filed a non-provisional utility patent application, entitled "Enhanced State Manager in a Virtual AI Representative", for the enhanced state manager technology within its SalesCloser virtual AI agents. This technology is expected to improve the ability of AI systems to manage complex, real-world conversations, addressing challenges such as interruptions, tangential topics, and premature conversation endings. This is Wishpond's second patent application related to SalesCloser's virtual AI agents.
• On February 6, 2025, the Company announced that it filed a non-provisional utility patent application, entitled "Human Takeover in a Virtual AI Representative", for its human takeover technology which allows human operators to seamlessly assume control of a call from an automated AI call agent when necessary. This innovation bridges the gap between AI-driven interactions and human oversight, ensuring smooth and contextually rich customer experiences.
• On February 6, 2025, the Company announced that the ongoing uncertainty surrounding the U.S.-Canada trade relations are expected to have no material impact on the Company's business.
• On February 25, 2025, the Company announced the launch of its SalesCloser AI White-Label Reseller Program (the "White-Label Reseller Program"), allowing agencies and businesses to brand and resell the Company's AI-powered sales solution as their own. Under the White-Label Reseller Program, companies are expected to be able to enhance their brand identity, expand sales service offerings, and increase customer loyalty using Wishpond's advanced SalesCloser technology. The White-Label Reseller Program is expected to drive new revenue streams for Wishpond by expanding the market reach of SalesCloser and accelerating its adoption.
• On March 27, 2025, the Company announced a collaboration agreement with Venops Inc. ("Venops"), a leader in healthcare regulatory compliance and consulting services, to market and sell Wishpond's AI-powered SalesCloser platform. With a network of over 1,000 medical clinics, Venops brings extensive professional and industry reach, combining its deep expertise in healthcare compliance with Wishpond's innovative AI technology. This collaboration aims to revolutionize how businesses in the medical sector engage with prospects and drive sales.

Outlook:

For 2025, Wishpond's focus is on profitable growth driven by an increase in the growth of its SalesCloser platform, a virtual AI sales agent that can conduct sales calls and demos in multiple languages with minimal human intervention. The Company is also expanding the utilization of its SalesCloser solution in its internal sales processes in order to grow internal sales capacity, drive new sales of Wishpond products and further increase margins and profitability. In addition to using SalesCloser to sell Wispond's own products, the Company also expects revenue generated from external SalesCloser customers to increase in 2025.

Management is pleased to introduce the Company's key goals for 2025:

• Accelerate organic revenue growth and increase Monthly Recurring Revenue ("MRR") ⁽¹⁾.
• Increase utilization of SalesCloser in internal sales processes to drive sales of Wishpond's own products.
• Accelerate revenue growth of SalesCloser to external customers.
• Improve margins, decrease churn and increase long-term customer value.

Webinar Conference Call Details:

As previously announced, Wishpond will be hosting a webinar conference call to discuss its year-end financial results today at 10:00 AM (PT) / 1:00 PM (ET).

To register for the webinar, please visit the following URL: https://bit.ly/wp_financial_results.

Please connect 5 minutes prior to the conference call to ensure time for any software download that may be required.

Selected Financial Highlights: 

The tables below set out selected financial information relating to Wishpond and should be read in conjunction with the Annual Financial Statements and the MD&A.

Reconciliation to Adjusted EBITDA ⁽¹⁾

Footnotes:

On Behalf of the Board of Wishpond
"Ali Tajskandar"
Chairman and Chief Executive Officer

About Wishpond Technologies Ltd.

Wishpond is a Vancouver-based provider of AI-enabled marketing and sales solutions that help businesses grow more efficiently. The Company's vision is to create a fully autonomous AI-enabled platform that streamlines the entire customer acquisition journey, from lead generation and engagement to deal closure, enabling businesses to scale cost-effectively while driving higher conversions. Wishpond offers an all-in-one marketing suite that integrates AI-driven tools such as an AI Website Builder, AI Email Automation, and SalesCloser AI, a conversational AI-based virtual sales agent that leverages generative AI to conduct personalized sales calls and product demos, increasing efficiency, reducing costs, and enhancing customer satisfaction. With a focus on innovation, Wishpond has filed multiple patent applications in conversational AI, reinforcing its leadership in AI-enabled marketing automation. The Company serves small-to-medium-sized businesses across various industries, providing a powerful yet cost-effective alternative to fragmented marketing solutions. Wishpond employs a Software-as-a-Service (SaaS) business model, generating most of its revenue from subscription-based recurring revenue, which ensures strong revenue predictability and cash flow visibility while continuously expanding its AI capabilities. Wishpond is listed on the TSX Venture Exchange under the ticker "WISH", and on the OTCQX Best Market under the ticker "WPNDF". For further information, visit: www.wishpond.com.

Cautionary Statements, Summary Information

Information presented in this press release may be only a summary of all available information and does not purport to be a full representation of all figures, notes and discussions provided for in the Annual Financial Statements and the MD&A. Readers are cautioned to read the entirety of the Annual Financial Statements and the MD&A, and to not rely only on the information presented in this press release. In the event of conflict between the provisions of this press release on the one hand, and the Annual Financial Statements and the MD&A on the other hand, the information in the Annual Financial Statements and the MD&A shall govern.

Non-GAAP Financial Measures

In this press release, Wishpond has used the following terms ("Non-GAAP Financial Measures") that are not defined by IFRS, but are used by management to evaluate the performance of Wishpond and its business, including: Adjusted EBITDA, ARR, Customer Lifetime Value,  ARPU, and LTV. These measures may also be used by investors, financial institutions and credit rating agencies to assess Wishpond's performance and ability to service debt. Non-GAAP Financial Measures do not have standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Securities regulations require that Non-GAAP Financial Measures are clearly defined, qualified and reconciled to their most comparable IFRS financial measures. Except as otherwise indicated, these Non-GAAP Financial Measures are calculated and disclosed on a consistent basis from period to period. Specific items may only be relevant in certain periods. See the disclosure under the heading "Additional GAAP and Non-GAAP Measures" in the MD&A for a discussion of Non-GAAP Financial Measures and certain reconciliations to GAAP financial measures. The intent of Non-GAAP Financial Measures is to provide additional useful information to investors and analysts, and the measures do not have any standardized meaning under IFRS. The measures should not, therefore, be considered in isolation or used as a substitute for measures of performance prepared in accordance with IFRS. Other issuers may calculate Non-GAAP Financial Measures differently. Non-GAAP Financial Measures are identified and defined as follows:

• Adjusted EBITDA: Adjusted EBITDA should not be construed as an alternative to net earnings, cash flow from operating activities or other measures of financial results determined in accordance with Generally Accepted Accounting Principles as an indicator of the Company's performance. The Company defines "Adjusted EBITDA" as Income or Loss before income taxes less interest, depreciation and amortization, remeasurement of contingent consideration liability, filing fees, credit facility setup and renewal fees, earn-out remuneration, foreign currency losses (gains), acquisition related expenses, net other expenditures (income), and stock-based compensation. The Company believes that Adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the Company can use to fund working capital requirements, service future interest and principal debt repayments and fund future growth initiatives.
• Annual Recurring Revenue: The Company uses Annual Recurring Revenue, or ARR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan for a period of 12 months. ARR is calculated by multiplying total MRR by 12.
• Average Order Value: The Company defines Average Order Value, or AOV, as the aggregate dollar amount of all customer orders over a period of time divided by the aggregate number of orders during that same period. Management believes AOV to be a useful financial measure because it helps to track the impact of sales initiatives and product offerings on customer spending patterns
• Average Revenue Per User: The Company defines Average Revenue Per User, or ARPU, as the total MRR divided by the number of subscribers. Management believes ARPU is a valuable financial metric as it provides insight into the effectiveness of the Company's monetization strategy and customer value generation. ARPA also helps track the impact of sales initiatives and product offerings on customer spending patterns.
• Customer Lifetime Value: The Company defines Customer Lifetime Value, or LTV, as the average revenue that a customer generates before they churn. Management believes LTV is useful as a forward-looking estimate of the average revenue that a customer will generate throughout its lifespan as a customer with Wishpond.
• Monthly Recurring Revenue: The Company uses Monthly Recurring Revenue, or MRR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan the following month. MRR is the total of all monthly subscription plan fees paid by customers in effect on the last day of that period. If customers pay for more than one month upfront, the amount is divided by the number of months in the subscription period. Discounts are deducted prior to the calculation and one-time payments and metered based charges are excluded.

Forward-Looking Statements

Statements that are not reported financial results or other historical information are forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). This press release includes forward-looking statements regarding the Company, its subsidiaries and the industries in which they operate, including statements about, among other things, all information contained under the heading "Outlook" herein, references to expected results from future operations, future growth of the Company's products and platforms, the future development and increased use of products incorporating artificial intelligence, including SalesCloser, improvement in the Company's cash position and increased revenue generation, references to the growth of the Company's product portfolio and future profitability, including whether additional products or features may be developed in the future, and the functionality and timing of such products, financial results or operational activities that may be undertaken by the Company, the results of the Company's cost-savings, research and development and other initiatives, any future acquisitions or other activities done to grow the Company both organically or inorganically, expectations, beliefs, plans, future operations, the impact of broader economic factors including inflation and other general economic risks on the Company, business and acquisition strategies, opportunities, objectives, prospects, assumptions, including those related to trends and prospects, and future events and performance. Sentences and phrases containing or modified by words such as "expect", "anticipate", "plan", "continue", "estimate", "intend", "expect", "may", "will", "project", "predict", "potential", "targets", "projects", "is designed to", "strategy", "should", "believe", "contemplate" and similar expressions, and the negative of such expressions, are not historical facts and are intended to identify forward-looking statements. Readers are cautioned to not place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by forward-looking statements. Although the Company believes that the expectations reflected in forward-looking statements in this press release are reasonable and are based on, among other things, the expectations and analysis of current market trends and opportunities of management of the Company, such forward-looking statements have been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond the Company's control, including, but not limited to, risks associated with changes to Propel IQ,  SalesCloser and other product revenue and profitability, changes to customer preferences, competition, use cases for SalesCloser and other products, economic uncertainty and instability as a result of the ongoing inflation and supply chain issues, higher interest rate climate, tightening of credit availability and recessionary risks, pandemic related risks, wars, instability in global commodity and securities markets, shifts in consumer and institutional spending and marketing strategies, risks related to data breaches and privacy, the changing global market and competition for the products and services supplied by the Company, and the additional risk factors discussed in the continuous disclosure materials of the Company which are available under the Company's profile on SEDAR+ at www.sedarplus.ca. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and are made as of the date hereof. The Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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

 

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SOURCE Wishpond Technologies Ltd.