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BBTV Provides Corporate Update, Says It Will Conduct 'Comprehensive Cost Optimization Initiative'
Monday, June 6, 2022Company Profile | Follow Company
Vancouver, BC, June 6, 2022--(T-Net)--BBTV Holdings Inc. (TSX: BBTV) (OTCQX: BBTVF ), a leading creator monetization company, provided a corporate update on its operations including an update on Plus Solutions revenue growth and the launch of a comprehensive cost optimization initiative for more efficient cash flow and to expedite the Company's path to profitability.
BBTV says it began Q2 2022 with strong momentum in its Plus Solutions revenue performance with April reflecting more than 40% growth year over year.
BBTV recently reported record revenue results and its Plus Solutions now represent 30-40% of the Company's overall gross profit in Q1 2022. The Company also raised guidance on its Plus Solutions revenues for the year.
Shahrzad Rafati, Chair and CEO, BBTV
"With record revenue for Plus Solutions in Q1 this year, we are steadily improving our gross margins and increasing Plus Solutions contribution to total revenues and gross profit," said Shahrzad Rafati, Chairperson and CEO of BBTV. "Based on the trajectory in Plus Solutions, we believe that we have sufficient working capital to get to positive cashflow. Our objective is to accelerate towards positive cashflow, so we are embarking on a cost optimization program that will examine and optimize our growth investments in the short-term."
The Company's internal review includes maximizing cross-functional synergies between departments, allocating resources to maximize performance of higher margin revenue streams, and optimizing investments in future markets. Shareholders can expect to see results of these measures from Q3 2022 onwards.
"Given market conditions we believe it's important that the company demonstrates its ability to achieve profitability," said Ben Groot, CFO, BBTV. "BBTV's convertible debt arrangements are termed out for a number of years and the company's cash resources exceed $20 million as of Q1 providing balance sheet strength as we seek to scale towards profitability. We believe that our cost optimization program will improve the company's resilience in the near and long term."
About BBTV
BBTV is a global media and technology company headquartered in Vancouver, Canada. The Company's mission is to help content creators become more successful. With creators ranging from individuals to global media brands, BBTV provides comprehensive, end-to-end Solutions to increase viewership and drive revenue powered by its innovative technology, while allowing creators to focus on their core competency - content creation. In December 2021, BBTV had the fourth most unique monthly viewers among digital platforms with more than 600 million globally, who consumed more than 35 billion minutes of video content1. (www.bbtv.com )
1 Calculations and classifications made by BBTV based on data from Comscore's "Top 12 Countries = December 2021 comScore Video Metrix Media Trend - Multi-Platform - Top 100 Video Properties Report"; Top 12 countries represent ~50% of world's digital population. |
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