140.5% Year over Year Increase in Subscription Revenue at Record Gross Margins

VANCOUVER, May 24, 2019 /CNW/ - Katipult Technology Corp. ("Katipult" or the "Company), an industry leading and award winning fintech company, is pleased to announce its first quarter (Q1) financial results for the three-month period ended March 31, 2019.

Q1 2019 was Katipult's fifth consecutive quarter of higher subscription revenues and marks the Company's highest recorded subscription revenue and total revenue in a quarter as well as its highest gross margin of 81.4%.

Financial Highlights – First Quarter 2019

• Total revenue for the quarter ended March 31, 2019 increased by 48.4% to $463 thousand, compared to $312 thousand for the quarter ended March 31, 2018.
• Subscription revenue for the quarter ended March 31, 2019 increased by 140.5% to $303 thousand, compared to $126 thousand for the quarter ended March 31, 2018.
• Gross margin percentage for Q1 2019 was 81.4% compared to 73.7% in Q1 2018.
• Total comprehensive loss for the quarter ended March 31, 2019 was $319 thousand compared to $250 thousand for the same period in 2018.
• As at March 31, 2019, the Company's cash balance was $2.35 million compared $404 thousand at March 31, 2018 and $2.54 million at December 31, 2018.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statement:
Cautionary Note Regarding Forward Looking Statements: Certain disclosure in this release, including statements regarding the increased or continued industry interest in the Company's product, converting existing sales interest and pipeline growth into revenue, generating new sales opportunities, converting prospects and securing larger clients, and effectively and efficiently utilizing proceeds from financings constitute forward-looking statements. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that are based on the Company's current beliefs as well as assumptions made by and information currently available to the Company, including, but not limited to, the Company's anticipated cash needs, that the cash available to the Company is as expected, the Company's product will continue to operate as expected, the industry will continue to see value in the Company's product, the Company will be able to recruit talented and experienced sales, support and other individuals required to execute the Company's plans. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors may include, among others, the risk that cash available to the Company is not as expected, the Company's pricing and product offering is no longer relevant, the Company isn't able to recruit the personnel it requires on terms acceptable to the Company, regulatory changes that may require significant rework of the Company's product. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

SOURCE Katipult Technology Corp.

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