Wishpond Technologies Ltd. (TSX-V:WISH, OTCQX:WPNDF) has said it posted a record monthly recurring revenue (MRR) in April 2022, driven by healthy organic growth and a strong performance across all of its businesses.
In particular, its PersistIQ subsidiary exceeded expectations, recording a record MRR in April 2022, said the Vancouver, British Columbia-based provider of online business solutions, noting that the group-wide record MRR was achieved even without the inclusion of its Winback and Viral Loops acquisitions.
"While our business in the earlier part of Q1 2022 was affected by post-holiday seasonality, we were thrilled to see MRR growth return in March and April," said Ali Tajskandar, CEO of Wishpond in a statement.
READ: Wishpond forecasts ‘healthy’ growth for current year after Q4 revenue surges 107%
“We are expecting continuing growth in May and look forward to providing another update when we report on our Q1 financial results at the end of May," he added.
Despite the current turbulent macroeconomic backdrop highlighted by high inflation and increasing interest rates, Wishpond said it remains well-positioned for continued growth with increasing revenue for each quarter of 2022, improving cash flows, and a strong cash balance.
“In line with the company's focus on profitable growth, Wishpond has begun scrutinizing all discretionary expenditures across the organization in February and March 2022 with the intent of optimizing costs and achieving cost-saving synergies and economies of scale,” it added.
Wishpond said its acquisition strategy has complemented the company's organic growth, where the companies have been able to benefit from Wishpond’s sales and marketing expertise, while their products and solutions, in turn, offer great cross-selling opportunities to Wishpond’s customers.
Separately, Wishpond said it will pay an earn-out payment of C$544,387.61 by issuing 460,408 common shares at a deemed price per share of C$1.1824 to the vendors of PersistIQ, Inc. for the third earn-out payment payable in connection with the acquisition. It said all prior earn-out payments were paid from cash on hand.
On its acquisition of certain assets and specific liabilities of AtlasMind Inc. (dba Brax.io), the company said it will pay an earn-out payment of C$189,921.37 by issuing 156,933 common shares at a deemed price per share of C$1.2102 to the vendors for the second earn-out payment. Similarly, all prior payments were paid from cash on hand.
The issuance of the common shares is subject to the approval of the TSX Venture Exchange.
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