Givex Corp (TSX:GIVX, OTCQX:GIVXF) said that during the first quarter ended March 31, 2023, its revenue hit $19.2 million, a 17% increase from the corresponding period the previous year.
Givex, which provides merchants with customer engagement, point of sale and payment solutions in a single platform, said total gross transactional value increased around 26% to $1.58 billion in Q1 2023.
At point of sale, gross transactional value rose 71% to $405 million in the first quarter, while the number of customer locations grew 6% to 122,000.
"In Q1 2023, Givex continued our consistent growth, in terms of revenue and customer locations, and further reduced our Q1 net loss from $2.6 million in 2022 to $1.2 million in 2023, even before adjusting for non-cash items," Don Gray, CEO of Givex, said in a statement.
"We will continue working toward a positive EBITDA by increasing gross profit in real terms and keeping a tight rein on payroll costs. Payroll inflation will continue to be a difficult challenge in the year ahead but I am confident our Givex team productivity will help us achieve our payroll to gross profit objective."
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) fell to $1.0 million from $1.3 million in Q1 2022 while net loss decreased 52% to $1.2 million in Q1 2023.
The company highlighted the role of payroll costs in improving earnings, noting that in the 12 months ending March 31, 2023 and 2022, employee compensation as a percentage of gross profit was 53% and 54%, respectively.
“The company believes that its ability to reduce employee compensation as a % of gross profit is an indicator of its success in managing costs and profitability,” it said.
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