-Announced strategic partnerships with Nielsen and Enlighten and the addition of Adobe demand-side-platform to enhance the Company’s data-as-a-service Cohesion product-
-Revenue increased by 41%, loss from operations decreased by 17% for the nine-month period-
TORONTO, Feb. 04, 2020 (GLOBE NEWSWIRE) — Lift & Co. Corp. (“Lift & Co.” or the “Company”) (TSXV:LIFT) (OTCQB:LFCOF) is pleased to announce results for its third quarter ended December 31, 2019. All amounts are in Canadian dollars unless otherwise specified. Additional details may be found in the Company’s financial statements and MD&A filed on SEDAR.
The Company is pleased to report strong financial results for the period. Total revenue increased by 41% to $4.6 million for the nine-month period, compared to the same period last year, and loss from operations decreased by 17% to $4.8 million. These improvements were driven by revenue growth across all segments and a focus on improved operational efficiency. During the quarter, the Company announced important partnerships in the development of its Cohesion platform:
- an exclusive strategic partnership with Nielsen, a leading global measurement and data analytics company, in developing Cohesion Segmentation – powered by Nielsen, a new cannabis consumer profiling and segmentation data product;
- a strategic partnership with Enlighten, which will provide Lift & Co. with access to over 1,000 US retailers as well as product data, and marks the beginning of the Company’s expansion into the United States; and
- the addition of Adobe Advertising Cloud demand-side-platform, which will enable Cohesion clients to seamlessly deliver compliant programmatic advertising to their target consumer segment and brings much-needed industry-standard advertising solutions to the cannabis industry.
“We are proud to announce strong results from our third quarter fiscal 2020 and year-to-date, with growth across all Lift & Co. business lines,” said Matei Olaru, CEO, Lift & Co. “We are at the beginning of a pivotal calendar year for brands in the cannabis industry, within which Lift & Co. is establishing a leadership position, particularly with its Cohesion and CannSell platforms.”
The introduction of new product formats known as “Cannabis 2.0” — edibles, topicals and extracts — and retail expansion across the country, most notably in Ontario, are market factors which have contributed to growth across Lift & Co.’s CannSell retail training platform and its Trade Marketing capabilities, as well as the Event Marketing channel during the third quarter of fiscal 2020.
“In 2020, cannabis brands must focus on building legacy and resonance with cannabis consumers. Lift & Co. is empowering brands to identify and seamlessly target their key demographics with Cohesion, deliver important product education directly to budtenders across the country through CannSell, talk to consumers directly at Lift & Co. events, and further differentiate their brand with a Canadian Cannabis Award win. The Lift & Co. platform is designed to meet the needs of the industry and deliver results to drive growth in Canadian cannabis. We are excited to scale this proven model in Canada and the United States over the next year.”
THIRD QUARTER 2020 FINANCIAL HIGHLIGHTS
- Total revenues increased 11% to $926,429 for the three-month period ended December 31, 2019 and increased 41% to $4.6 million for the nine-month period, compared to the same periods in the prior year
- Trade Marketing revenue increased 145% to $139,094 for the three-month period and increased 77% to $363,685 for the nine-month period
- Data Insights revenue increased 30% to $360,131 for the three-month period and increased 73% to $748,281 for the nine-month period
- Event Marketing revenue decreased 15% to $427,204 million for the three-month period and increased 33% to $3.5 million for the nine-month period
- Loss from operations decreased 7% to $2 million for the three-month period and decreased 17% to $4.8 million for the nine-month period
THIRD QUARTER 2020 OPERATIONAL HIGHLIGHTS
- The Company launched its flagship data‐as‐a‐service platform, Cohesion, last quarter and has recently announced invaluable strategic partnerships with Nielsen and Enlighten alongside the addition of Adobe DSP. Together, these further develop the capabilities of this platform by providing an additional consumer profiling and segmentation data product, enabling clients to deliver programmatic advertising to their target consumer segment, and expanding the product offering and data collection into the United States
- This quarter was the first for profitability for the Trade Marketing segment, where the Company sold almost 900 CannSell licenses and launched two branded modules for PAX Labs and TerrAscend’s Haven St. Premium Cannabis brand
- Ontario regulators plan to license approximately 20 new stores per month beginning April 2020, which are guaranteed to adopt CannSell per the multi-year exclusive mandate from the Alcohol and Gaming Commission of Ontario
- Lift & Co. held another successful Canadian Cannabis Awards gala this quarter, where 32 awards were announced, the gold-standard for excellence in the industry, and revenue increased by 29%; subsequent to the quarter, the Company held its Vancouver Expo and recognized revenue of $2,574,832, a 14% increase over the previous year
- Also at the Vancouver Expo, Lift & Co. launched an early version of the Lift & Co. App, which allows consumers to capture a photo of product labels in‐store to immediately access thousands of reviews on Lift.co, then upload their purchase receipts at the point‐of‐sale to earn Lift points, while enabling essential consumer and retail data insights that will become available to the industry through Cohesion
Conference Call Details:
The Company will also hold a conference call on Wednesday, February 5, 2020 at 9:00 a.m. Eastern Time, hosted by Matei Olaru, Chief Executive Officer, and Kasia Malz, Chief Financial Officer. A question and answer session will follow.
Participant Dial-in Numbers:
Local – (+1) 866-211-3050
International – (+1) 647-689-6572
Conference ID: 3789264
Recording Playback Numbers:
Local – (+1) 416-621-4642
Toll Free – (+1) 800-585-8367
Expiry Date: March 5, 2020 11:59 PM
About Lift & Co.
Lift & Co. is a publicly traded technology company modernizing the cannabis industry.
This news release and each of the documents referred to herein contains “forward-looking information” within the meaning of applicable Canadian and United States securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative and grammatical variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such statements are based on the current expectations of management and are based on assumptions and subject to risks and uncertainties. Although management believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this press release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the Company.
Although Lift & Co. has attempted to identify important factors that could cause actual results, performance or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance or achievements not to be as anticipated, estimated or intended.
There can be no assurance that such forward-looking statements will prove to be accurate or that management’s expectations or estimates of future developments, circumstances or results will materialize. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this release, and subject to change after such date. The Company disclaims any intention or obligation to update or revise such information, except as required by applicable law, and the Company does not assume any liability for disclosure relating to any other company mentioned herein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
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