Xtract One Releases Second Quarter Fiscal 2023 Results
March 09 2023 - 4:50PM
Xtract One Technologies Inc., formerly Patriot One Technologies
Inc., (TSX: XTRA) (OTCQX: XTRAF) (FRANKFURT: 0PL) (“Xtract One” or
the “Company”) a leading technology-driven threat detection and
patron screening solutions company, is pleased to announce its
second quarter results for the three and six month periods ended
January 31, 2023. All information is in Canadian dollars unless
otherwise indicated.
The following press release should be read in
conjunction with the Company’s Unaudited Condensed Consolidated
Interim Financial Statements, prepared in accordance with
International Financial Reporting Standards (“IFRS”) and our
Management’s Discussion and Analysis for the periods ended January
31, 2023 and 2022, which can be found under the Company’s profile
on SEDAR at www.sedar.com.
“We continue to see accelerating growth in the
business on multiple fronts and I am pleased to share our second
quarter results with investors for fiscal 2023. The Platform
segment continues to be our main driver of growth with an 80%
increase in deployments compared to last quarter,” stated Peter
Evans, Chief Executive Officer of Xtract One. “Throughout the year,
our focus has been on expanding our presence in the marketplace and
scaling the business to meet strong demand. We are also very
excited to continue our collaboration with our newest strategic
partner, and recent investor, Madison Square Garden Sports Corp.
With their support and the recently announced $13.4 million
investment, along with the current trajectory we are heading, we
are well capitalized to execute on our business strategy.”
Company Highlights for the three months
ended January 31, 2023
The following is a summary of the key business
highlights for the three months ended January 31, 2023:
- Accelerated topline growth for our Platform business unit with
approximately $0.7 million in revenue for the three months ended
January 31, 2023, representing a 212% over the same period in 2022
and a 69% increase over the previous quarter;
- Contractual backlog rose to $3.9
million, with an additional $3.0 million pending installation that
will be recognized as revenues in future periods;
- Secured a contract with Oak View
Group to protect all entrances at Total Mortgage Arena in
Bridgeport, Connecticut, which is the home of the New York
Islanders’ AHL team, the Bridgeport Islanders;
- Secured a contract with Oak View
Group to protect all entrances at Acrisure Arena in Palm Desert,
California. This $300 million world-class venue is the future home
of the Seattle Kraken’s AHL team, the Coachella Valley
Firebirds;
- Signed a contract with Lakewood
School District in Lakewood, New Jersey to help ensure weapons are
not brought into schools throughout the Lakewood Township
district;
- Signed a contract to secure
entrances at Hyundai Transys in West Point, Georgia to protect
workers and staff from weapons entering the manufacturing
plant;
- The Company completed its corporate
rebranding including changing the Company’s name to Xtract One
Technologies;
- Expanded deployment with Tachi
Palace Casino Resorts in Lemoore, California to protect their
300,000 square feet expansion which encompasses a casino, hotel,
resort, entertainment center, and more; and
- Received two gold awards from
American Security Today’s ASTORS 2022 Homeland Security Awards in
the categories of “Best Pedestrian Entrance Control” and “Best
Metal/Weapons Detection”.
Company Highlights subsequent to the
fiscal quarter ended January 31, 2023
The following is a summary of the key business
highlights subsequent to the fiscal quarter ended January 31,
2023:
- Completed an investment of $8.4
million from Madison Square Garden Sports Corp. (“MSG Sports”),
with a subsequent investment of $5 million being conditional on the
approval of the Company’s shareholders and all applicable
regulatory approvals; and
- Entered into a commercial agreement
with Madison Square Garden Entertainment Corp. (“MSG
Entertainment”) which allows MSG Entertainment to deploy our
SmartGateway solutions across MSG Entertainment’s portfolio of
iconic venues, including New York’s Madison Square Garden, The
Theater at Madison Square Garden, Radio City Music Hall and Beacon
Theatre, The Chicago Theatre, and MSG Sphere in Las Vegas, which is
expected to open in September 2023.
Fiscal 2023 Second Quarter Financial
Highlights
- Total revenue was $0.8 million and
$1.5 million for the three and six month periods ended January 31,
2023 as compared to $1.2 million and $1.9 million for the same
periods in 2022.
- Platform revenue was $0.7 million
and $1.1 million for the three and six month periods ended January
31, 2023 as compared to $0.2 million and $0.4 million for the same
periods in fiscal 2022, representing an increase of 212% and 173%
respectively.
- Platform backlog of $3.4 million as
of January 31, 2023, as compared with $1.2 million as of January
31, 2022, representing an increase of $2.1 million or 172%. The
Platform backlog as of January 31, 2023, excludes an additional
$3.0 million in signed agreements that are pending
installation.
- Loss and comprehensive loss was
$4.3 million and $9.2 million for the three and six months ended
January 31, 2023, compared to $3.1 million and $4.2 million for the
same periods in 2022. The increase in net loss pertains primarily
to $3.3 million in non-dilutive funding received in the prior
fiscal year, a decrease in revenue from the Xtract operating
segment, as well as increases in certain non-cash expenses.
- Basic and diluted loss per share
was $0.03 and $0.06 for the three and six month periods ended
January 31, 2023, compared to $0.02 and $0.03 for the same periods
ended in 2022.
Conference Call Details
Xtract One will host a conference call to
discuss its annual results on Thursday, March 9, 2023, at 5:30 pm
EST. Peter Evans, Xtract One CEO and Director, and Karen Hersh, CFO
and Corporate Secretary, will provide an overview of the financial
results along with management’s outlook for the business, followed
by a question-and-answer period.
Investors may register for the live conference
call by clicking this link. Participants should dial in at least 10
minutes prior to the start of the call. A recording of the call
will be available on the Company’s website after the conference
call concludes.
About Xtract One
Technologies
Xtract One Technologies is a leading
technology-driven threat detection and security solution leveraging
AI to provide seamless and secure patron access control
experiences. The Company makes unobtrusive threat detection systems
that enable venue building operators to prioritize and deliver
improved patron experiences while providing unprecedented safety.
Xtract One’s innovative multi-sensor Gateway product enables
companies to covertly screen for weapons at points of entry without
disrupting the flow of traffic. Its AI-based Xtract Vision allows
venue and building operators to identify weapons and other threats
inside and outside of facilities, and Xtract One Insights provides
valuable intelligence for optimizing operations. For more
information, visit www.xtractone.com or connect on Facebook,
Twitter, and LinkedIn.
For further information, please contact:
Xtract One Inquiries
info@xtractone.comhttp://www.xtractone.com/
Media ContactKristen Aikey, JMG Public
Relationskristen@jmgpr.com - 347-394-8807
Investor Relationsxtract1@rbmilestone.com
CAUTIONARY DISCLAIMER STATEMENT:
This news release contains forward-looking
statements within the meaning of applicable securities laws
relating to system sales, product development, licensing,
commercialization and regulatory compliance issues and other
statements that are not historical facts. Forward-looking
statements are often identified by terms such as “will”, “may”,
“should”, “anticipates”, “expects”, “believes”, and similar
expressions or the negative of these words or other comparable
terminology. All statements other than statements of historical
fact, included in this release are forward-looking statements that
involve risks and uncertainties. There can be no assurance that
such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results
to differ materially from the Company’s expectations include but
are not limited to: results of operational activities, completion
of contracts; the Company’s limited profitability; dependence on
management; the Company’s need for additional financing and the
effects of financial market conditions and other factors on the
availability of capital; competition, including that of better
funded competitors; the impact of the Russia-Ukraine conflict on
the global economy; the continued impact of the COVID-19 pandemic;
the need to build alliances and partnerships, including with
customers and suppliers; and other risks detailed from time to time
in the filings made by the Company with securities regulations. The
reader is cautioned that assumptions used in the preparation of any
forward-looking information may prove to be incorrect. Events or
circumstances may cause actual results to differ materially from
those predicted, as a result of numerous known and unknown risks,
uncertainties, and other factors, many of which are beyond the
control of the Company. The reader is cautioned not to place undue
reliance on any forward-looking information. Such information,
although considered reasonable by management at the time of
preparation, may prove to be incorrect and actual results may
differ materially from those anticipated. Forward-looking
statements contained in this news release are expressly qualified
by this cautionary statement. The forward-looking statements
contained in this news release are made as of the date of this news
release and the Company will update or revise publicly any of the
included forward-looking statements only as expressly required by
applicable law.
No securities exchange or commission has
reviewed or accepts responsibility for the adequacy or accuracy of
this release.
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/100425ce-ff64-4905-96fb-40ee2e64523c
Xtract One Technologies (TSX:XTRA)
Historical Stock Chart
From Jun 2024 to Jul 2024
Xtract One Technologies (TSX:XTRA)
Historical Stock Chart
From Jul 2023 to Jul 2024