Perk Labs (PERK) has announced financial results for the second quarter ended May 31, 2022.
Q2 2022 financial highlights
- Net loss of $1.9M in Q2 2022 compared to net income of $241k in Q2 2021
- Working capital of $989K in Q2 2022 compared to $3.0M in Q2 2021 and $2.0M in Q4 2021
- General and administrative expenses increased 14 per cent from $568K in Q2 2021 to $645k in Q2 2022
- Research and development expenses increased nine per cent from $372K in Q2 2021 to $406K in Q2 2022
- Sales and marketing expenses decreased 35 per cent from $346K in Q2 2021 to $225K in Q2 2022
2022 Q2 operational highlights
- Private Placement raise: Perk raised gross proceeds of $322,230.72 through a non-brokered private placement and issued 7,672,138 units at a price of $0.042
- Launch New Market Awareness Campaign: In March 2022, the company announced that it entered into agreements with several leading marketing firms such as MarketOne Media, Stockhouse Publishing, Proactive Investors, and Conversionly to assist with investor communication, online marketing, and content creation
- New Merchant App: Perk Hero announced the launch of its new downloadable merchant app on the Google Play Store. Previously Perk Hero’s merchant app was part of its consumer app
- Order Now, Pay Later: With this new feature, restaurants have the option of setting up Order-from-Table™ as either requiring their customer to pay upon placing an order or the customer can pay (and tip) at the end of the meal
- Website embedding ordering feature: Perk developed an online ordering feature for pickup and delivery that merchants can embed directly into their own websites
- POS Integrations: Perk commenced research and development on building integrations with some of the most popular restaurant point-of-sale systems through one of the leading POS integration companies
- ATM raise: For the quarter ended May 31, 2022, the company continued its at-the-market offering which was renewed on February 17, 2021 and issued 3,028,000 common shares at an average price of $0.035 for gross proceeds of $107,300.
Jonathan Hoyles, Chief Executive Officer, of Perk Labs commented on the results.
“In the second quarter of 2022, we laid the technical foundation and made significant strides towards transforming our business from a B2C transaction-based marketplace to a B2B software-as-a-subscription and digital franchise business model,” “As we look ahead, I am confident that we can grow our revenue as we continue to build innovative technology and help more entrepreneurs digitize their businesses. We believe that even after all the change we witnessed during COVID, we are still at the very beginning of the digitization of bricks-and-mortar businesses and ordering, payment and especially digital loyalty will become more in demand. We are tremendously encouraged by the rate of adoption we are seeing at our early order from table and online ordering customers and the reception to our custom branded app product.”
Vanessa Altamirano, Interim Chief Financial Officer, added,
“In this fiscal quarter, the Company achieved numerous milestones including the launch of its new downloadable Merchant App, new mobile feature ‘Order and Pay later’, and web-based features for online ordering, pick-up and delivery; as well as worked towards Point of Sales integration. We invested in our technology through these initiatives to create value for restaurants and end-users, and we expect to see a continuing increase in customer adoption.”
Perk Labs’ (PERK) share price remained unchanged in morning trading at C$0.02 as of 11:21 am EDT.