SpotLite360 IOT Solutions (CSE:LITE) posted third-quarter results that saw its revenue jump 74,469% year-over-year on the back of new customer projects and further expansion within existing customers.
For the period ending September 30, 2022, the Denver and Vancouver-based logistics technologies solutions provider reported revenue of $4,198,988, compared to $5,631 in the third quarter of 2021.
During the quarter, the company recognized adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of $862,991, compared to a loss of 585,091 in the comparable quarter a year earlier. This signifies SpotLite360’s second quarter in a row with positive adjusted EBITDA.
READ: SpotLite360 IOT Solutions expands contract with KORcannabis
SpotLite360 said it has continued to “invest in infrastructure” to support its ability to scale operations and deliver enterprise scalable solutions. As a result, the company recognized a loss of $1,285,789 or $0.00 per share. The firm said the loss was primarily due to salaries, amortization, operating expenses, and share-based compensation.
Meanwhile, revenue for the first nine months of the fiscal year 2022 totaled $13,898,974, compared to $5,631 for the first nine months of fiscal 2021.
Significantly, for the first nine months of 2022 adjusted EBITDA was a positive $1,064,643, compared to a loss of $1,425,950 for the first nine months a year earlier.
In a statement accompanying the numbers, SpotLite360 CEO James Greenwell said: “SpotLite360 continues to drive record year-to-date results with almost $14 million in topline revenue for our first nine months 2022 … We are very excited to share these results and prove our strategy of driving supply chain visibility, efficiency, and proof of environmental, social and governance (ESG) claims to consumers across our target industries.”
“Our company is investing in the infrastructure necessary to support current opportunities and deliver an automated, smart, connected supply chain ecosystem. We are grateful to our customers for their trust in us and our employees for continued results and execution,” he added.
Expanding customer projects
In November this year, an existing customer expanded its business to a new total contract value of over C$26.5 million (US$21 million) in revenue.
“The company anticipates that its pipeline of revenue opportunities for 2023 will continue to grow with new customer projects and further expansion within existing customers,” said Greenwell. “Positive year-to-date adjusted EBITDA, multi-state expansions, new product innovations, expansion of product offerings, additional acquisitions, and a significant proposal pipeline will position SpotLite360’s future growth.”
The company has significantly expanded its product portfolio with digital asset production, distribution, and big data structuring with the acquisition of Back to the Digital, and the popular website Imfromdenver.com.
SpotLite360 has also leveraged the design-build and construction management expertise of its E3 Service Group to obtain an open backlog value of executed contracts in 2022 of over $16.3 million with project implementations underway.
“Several new project announcements are expected in the coming months,” said the company.
Several merger and acquisition targets have been added to the pipeline, noted the company while pointing out that while negotiations are “complex and ongoing,” additional customers and the opportunity to cross-sell products and services would add to the bottom line.
“A vision of building an enterprise scalable SaaS-based technology company targeting the supply chain remains a high priority,” said the company.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
Follow her on Twitter: @UttaraProactive