GINSMS Inc.: GINSMS Announces Financial Results for the Three and Nine Months Ended September 30, 2024

CALGARY, Alberta, Nov. 12, 2024 (GLOBE NEWSWIRE) -- GINSMS Inc. (TSXV: GOK) (the "Corporation") has announced its financial results for the third quarter ended September 30, 2024.

The complete financial results for GINSMS are available at www.sedar.com. Highlights include:

• Revenue of $520,779 for the three-month period ended September 30, 2024 as compared of $772,312 for the three-month period ended September 30, 2023.
• Gross Profit of $231,056 for the three-month period ended September 30, 2024 as compared to gross profit of $318,278 for the three-month period ended September 30, 2023.
• Operating expenses and finance costs of $184,141 for the three-month period ended September 30, as compared to $330,304 for the three-month period ended September 30, 2023.
• Net profit of $40,948 for three-month period ended September 30, 2024 as compared to a net loss of $22,822 for three-month period ended September 30, 2023.
  
  

1. RESULTS OF OPERATIONS FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024

Selected Profit and Loss Information

Financial Highlights	Three-month period ended September 30, 2024 (Unaudited) $		Three-month period ended September 30, 2023 (Unaudited) $		Nine-month period ended September 30, 2024 (Unaudited) $		Nine-month period ended September 30, 2023 (Unaudited) $
Revenues $
A2P Messaging Service	198,849		221,750		623,057		824,486
Software Products & Services	321,930		550,562		1,423,217		1,608,855
	520,779		772,312		2,046,274		2,433,341
Cost of sales $
A2P Messaging Service	84,536		149,254		285,805		571,143
Software Products & Services	205,187		304,780		799,570		893,045
	289,723		454,034		1,085,375		1,464,188
Gross profit $
A2P Messaging Service	114,313		72,496		337,252		253,343
Software Products & Services	116,743		245,782		623,647		715,810
	231,056		318,278		960,899		969,153
Gross margin %
A2P Messaging Service	57.5%		32.7%		54.1%		30.7%
Software Products & Services	36.3%		44.6%		43.8%		44.5%
	44.4%		41.2%		47.0%		39.8%
Adjusted EBITDA(1)$	70,601		12,115		318,651		225,726
Adjusted EBITDA margin	13.6%		1.6%		15.6%		9.3%
Net profit/(loss) $	40,948		(22,822)		246,026		151,283
Net profit/(loss) margin	7.9%		(3.0)%		12.0%		6.2%
Net earnings/(loss) per share $
Basic and Diluted (in Canadian cents)	0.022		(0.013)		0.131		0.080

(1)

Adjusted EBITDA is a non-IFRS measure which does not have any standardized meaning under IFRS. Adjusted EBITDA is related to cash earnings and is defined for these purposes as earnings before income taxes, depreciation and amortization (in both cost of sales and general and administration expenses), interest expenses, and also excludes certain non-recurring or non-cash expenditure and income. This non-IFRS measure is not recognized under IFRS and accordingly, shareholders are cautioned that this measure should not be construed as an alternative to net income determined in accordance with IFRS. The non-IFRS measure presented is unlikely to be comparable to similar measure presented by other issuers. The Corporation believes that Adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the Corporation can use to fund working capital requirements, service interest and principal debt repayment and fund future growth initiatives.

About GINSMS

Certain information included in this press release may contain forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may", "could", "will", "expect", "intend", "estimate", "anticipate", "believe", or "continue" or the negative thereof or variations thereon or similar terminology. These statements are not historical facts, but reflect management's current beliefs and are based on information currently available to management regarding future results and events. Particularly, these forward-looking statements are based on management's estimate of future events based on technological advances relating to the Corporation's services, current market conditions and past experiences of management in relation to how certain contracts will affect revenues. Forward-looking statements, by their very nature, involve significant risks, uncertainties and assumptions.

A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to dependence on major customers, system failures, delays and other problems, increasing competition, security and privacy breaches, dependence on third-party software and equipment, adequacy of network reliance, network diversity and backup systems, loss of significant information, insurance coverage, capacity limits, rapid technology changes, market acceptance, decline in volume of attractions, retention of key members of the management team, success of expansion into Chinese and other Asian markets, credit risk, consolidation of existing customers, dependence on required licenses, economy and politics in countries where the Corporation operates, conflicts of interest and residency of directors and officers. Although the Corporation has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Although the forward-looking statements contained herein are based upon what management believes to be reasonable assumptions, the Corporation cannot assure the reader that actual results will be consistent with these forward-looking statements.

These forward-looking statements are made as of the date of this press release and the Corporation assumes no obligation to update or revise them to reflect new events or circumstances except as may be required by law. Accordingly, readers should not place undue reliance on the forward-looking statements. All forward-looking statements contained in this press release are qualified by this cautionary statement.

For further information, please contact:

GINSMS Inc.
Joel Chin, CEO
Tel: [phone]
Email: [e-mail]

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.