Tribe Reports Record Revenue for Fourth Quarter and Fiscal 2022

• Revenue increased 19% in Q4-2022 compared to Q4-2021.
• Growth outlook and improving margins expected in 2023 driven by organic growth and acquisitions.

VANCOUVER, BC, May 1, 2023 /CNW/ - Tribe Property Technologies Inc. (TSXV: TRBE) (OTCQB US: TRPTF)  ("Tribe" or the "Company"), a leading provider of technology-enabled property management solutions, today announced its financial results for the fourth quarter and full year ended December 31, 2022. All amounts are stated in Canadian dollars on an as reported basis under IFRS (international financial reporting standards) unless otherwise indicated.

"2022 was another exceptional year for Tribe", said Joseph Nakhla, CEO; "and we capped it off with strong revenue results in Q4, achieving record annual revenue. We continued the integration of acquisitions while growing our pipeline of accretive targets. We completed the development and launch of our curated digital marketplace Tribe Market in the fourth quarter and continued to identify partners to grow the offerings for residents of our Tribe communities."

Mr. Nakhla continued, "Our 2022 growth and national footprint allows us to focus on improving our gross margins and profitability in 2023.  We are expecting healthy growth during 2023 driven by new community building completions and the acquisition of Warrington PCI Management. We see 2023 as a year of accelerating growth from both organic initiatives and acquisitions. In addition to this, our theme for 2023 is the 'Year of Digital Efficiency' as our population of customers continue to utilize our digital tools and transact with our marketplace and platform."

Fourth Quarter Highlights

• Revenue: Fourth quarter 2022 revenue was a record $4.75 million, an increase of 18.8% compared to $3.99 million for the fourth quarter of 2021;
• Gross profit¹: Gross profit for the fourth quarter of 2022 was $1.81 million (38.1%) compared to $1.76 (44.2%) in the fourth quarter of 2021; and
• Adjusted EBITDA²: Adjusted EBITDA for the fourth quarter of 2022 was an outflow of $2.09 million compared with an outflow of $1.53 million in the fourth quarter of 2021.

Year-End  Highlights

• Annual revenue was a record  $17.81 million, an increase of 13% compared to $15.83  million for the year ended December 31, 2021 ;
• Gross profit¹ in 2022 was $6.93 million (38.9%), a decrease from $7.51 million (47.4%) in 2021. The decrease in gross profit¹ was a result of the addition of service delivery personnel in advance of new property management contracts that were delayed due to supply chain issues of our customers and the inefficiencies associated with the transition of acquisitions.
• Adjusted EBITDA¹: Outflow of $8.18 million compared with an outflow of $4.16 million in 2021.

Business Highlights

• On November 8, 2022, we launched our digital marketplace, Tribe Home – Market, for our communities. It is accessible through our proprietary platform Tribe Home. Our digital marketplace leverages group-buying power to provide deals on services and products such as insurance and groceries, curated for geography and building type.
• On November 23, 2022, we partnered with EnerSavings Solutions Inc. to offer custom energy saving solutions such as EV charging stations, HVAC solutions, and LED lighting to our buildings across the country.
• After December 31, 2022, we completed the acquisition of a portfolio of strata property management assets from Warrington PCI Management on January 5, 2023. This acquisition further strengthens Tribe's property management services across the Greater Vancouver region of British Columbia.

Gross Profit²

	Three Months Ended December 31,		Years ended December 31
$000s or %	2022	2021	2022	2021
Revenue	$ 4,748	$ 3,989	$17,813	$ 15,830
Cost of software and services and software license fees	2,937	2,227	10,879	8,322
Gross Profit^2	$ 1,811	$ 1,762	$ 6,932	$ 7,508
Gross Profit^2 %	38.1 %	44.2 %	38.9 %	47.4 %

Adjusted EBITDA¹

	Three Months Ended December 31,		Years ended December 31
$000s	2022	2021	2022	2021
Net loss	$ (2,783)	$ (1,046)	$  (10,544)	$ (7,609)
Depreciation	232	227	894	882
Amortization	248	96	547	371
Listing expenses and professional fees associated with the RTO	-	-	-	1,634
Stock-based compensation	79	142	377	816
Interest expense	171	170	707	796
Interest income	(52)	-	(204)	-
Impairment of goodwill	-	657	-	657
Income tax (recovery) expense	-	(1,764)	-	(1,683)
Other	20	(10)	41	(27)
Adjusted EBITDA 1	$ (2,085)	$ (1,528)	$ (8,182)	$ (4,163)

Financial Statements and Management's Discussion & Analysis

Please see the consolidated financial statements and related Management's Discussion & Analysis ("MD&A") for more details. The audited consolidated financial statements for the year ended December 31, 2022 and related MD&A have been reviewed and approved by Tribe's Audit Committee and Board of Directors. Tribe recognizes that most of its investors are now accessing corporate and financial information either through pushed news services, directly from www.tribetech.com or SEDAR. Thus, Tribe has prepared this truncated news release to alert investors to its results and that a more detailed explanation and analysis is readily available in the MD&A. These reports have been filed on SEDAR at www.sedar.com and posted at www.tribetech.com.

Non-IFRS Measures

The preceding discussion of financial results includes reference to gross profit², gross profit percentage² and adjusted EBITDA¹, which are all non-IFRS financial measures. The measure of gross profit² and gross profit percentage² is provided as management believes this is a good indicator in evaluating the operating performance of the Company. Adjusted EBITDA¹ is provided as a proxy for the cash earnings from the operations of the business as operating income (loss) for the Company includes non-cash amortization and depreciation expense and stock-based compensation.

Financial Webcast

The Company will hold a webcast to discuss its performance with the investment community at 2:00 p.m. PDT (5:00 p.m. EDT) on May 1, 2023.

Webcast Link:  https://www.gowebcasting.com/12504

Participant Audio Only Dial-In Toll Free-North America: [phone]

International Toll: [phone].

About Tribe Property Technologies

Tribe is a property technology company that is digitizing the traditional property management industry. As a rapidly growing tech-forward property management company, Tribe's integrated service-technology delivery model serves the needs of a much wider variety of stakeholders than traditional service providers.

Tribe's three revenue pillars are made up of software and service (recurring licensing and management fees), transactional (rent or condo fees, banking services, lease-ups) and digital services and partnership (smart building products, financial and insurance service) revenue.  

Tribe seeks to acquire highly accretive targets in the fragmented North American property management industry and transform these businesses through streamlining and digitization of operations. Tribe's platform decreases customer acquisition costs, increases retention, and allows for the addition of value-added products and services through the platform. Visit tribetech.com for more information.

¹ Non-IFRS measure that does not have a standardized meaning and may not be comparable to a similar measure disclosed by other issuers. Adjusted EBITDA is also not a measure recognized in accordance with IFRS and does not have a prescribed or standardized meaning by IFRS. The Company defines Adjusted EBITDA as net income or loss excluding depreciation and amortization, stock-based compensation, interest expense, income tax expense, impairment charges and other expenses. It should be noted that Adjusted EBITDA is not defined under IFRS and may not be comparable to similar measures used by other entities. The Company believes Adjusted EBITDA is a useful measure as it provides important and relevant information to management about the operating and financial performance of the Company. Adjusted EBITDA also enables management to assess its ability to generate operating cash flow to fund future working capital needs, and to support future growth. Excluding these items does not imply that they are non-recurring or not useful to investors. Investors should be cautioned that Adjusted EBITDA attributable to shareholders should not be construed as an alternative to net income (loss) or cash flows as determined under IFRS.

² Non-IFRS measure that does not have a standard meaning and may not be comparable to a similar measure disclosed by other issuers. Gross profit and gross profit percentage do not have a standardized meaning under IFRS, and therefore may not be comparable to similar measures presented by other issuers. The Company defines gross profit as revenue less cost of software and services and software licensing fees, and gross profit percentage as gross profit calculated as a percentage of revenue. Gross profit and gross profit percentage should not be construed as an alternative for revenue or net loss in accordance with IFRS. The Company believes that gross profit and gross profit percentage are meaningful metrics in assessing the Company's financial performance and operational efficiency.

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.

Cautionary Statement on Forward-Looking Information

This news release may contain certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws regarding the Company and its business.  When or if used in this news release, the words "anticipate", "believe", "estimate", "expect", "target, "plan", "forecast", "may", "schedule" and similar words or expressions identify forward-looking statements or information. Forward-looking statements or information in this news release may relate to statements with respect to the aims and goals of the Company; financial projections; growth plans including future prospective consolidation in the property management sector; future acquisitions by the Company; beliefs of the Company with respect to the independent owner-investors market; prospective benefits of the Company's platform; and other factors or information. Such statements represent the Company's current views with respect to future events and are necessarily based upon several assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political, and social risks, contingencies, and uncertainties. Many factors, both known and unknown, could cause results, performance, or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward- looking statements. The Company does not intend, and do not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules, and regulations.

SOURCE Tribe Property Technologies Inc.

Jim Defer, CPA, CA, CBV, Chief Financial Officer, Email: [email protected]; Shobana Williams, VP, Investor Relations, Email: [email protected], Telephone: [phone] x725