VANCOUVER, April 30, 2019 /CNW/ - Datable Technology Corp. (TSXV: DAC) (OTCQB: TTMZF) (the "Company" or "DTC"), a technology company whose core product, PLATFORM3, is an integrated suite of digital marketing applications sold as Software-as-a-Service (SaaS), announces that it has signed license agreements with two new customers that own leading consumer brands. These agreements will generate over $92,000 in licensing revenues plus transactions revenues.
The first new customer is a large-scale chocolate manufacturer. The license agreement includes a gift-with-purchase promotion for the purchase of select baked and dairy products. The promotion will begin in September 2019 and will run for 4 months.
The second new customer is a popular and leading manufacturer of infant formula both domestically and globally. This customer signed a license agreement to launch a loyalty program to start at the end of June 2019 and run until the end of December 2019. Consumers are rewarded for purchasing specific formula products and submitting their receipts to receive a reward. The new customer has plans to run this program throughout 2020.
Year-to-date in 2019, DTC has signed 10 license agreements, which together with existing license agreements represent contracted revenues of over $1.3 million with approximately 79% expected to be recognized in 2019 and the balance in future periods. About 66% of the new license agreements are with returning customers.
DTC has several annual agreements where PLATFORM³ hosts an ongoing digital loyalty and rewards program. DTC is generally paid an annual license fee plus transactions fees based on the number of times consumers validate purchases using PLATFORM³. The $1.3 million in contracted revenues noted above only accounts for license and service fees and does not include any transaction fees.
Estimated gross margin as a percentage of revenue of project delivery was approximately 68 per cent. Gross margin as a percentage of revenue depends on the product mix for the reporting period. Revenues comprise a combination of higher-margin sales of PLATFORM3, the company's proprietary SaaS product, combined with some lower-margin third party services.
"Our portfolio of programs for 2019 is rapidly increasing and we are grateful for the opportunity to keep growing," said Robert Craig, Datable's CEO. "Launching and managing programs for first-rate companies is a testament to the success of our platform's AI and Machine Learning capabilities in connecting brands to their consumers."
Additionally, Datable Technology Corp. corrects the announcement of its Investor Relations advisory agreement (the "Agreement"), with 1830012 Ontario Ltd. o/a Circadian Group ("Circadian"), owners of the Wealthy Venture Capitalist and The Cannabis Investor media outlets. Whereas the announcement stated that Circadian was granted 1,000,000 stock options at an exercise price of $0.09, the revision states that they were granted 820,000 stock options at an exercise price of $0.09, which corresponds to the market price of Datable's stock on March 14, 2019, the day the agreement was signed. The options shall vest quarterly over a 12 month period. The agreement is subject to the approval of the TSX Venture Exchange.
About Datable Technology Corp.
DTC has developed a proprietary, mobile-based consumer marketing platform – PLATFORM³ – that is sold to global Consumer Packaged Goods (CPG) companies and consumer brands. PLATFORM³ is delivered as a subscription service (Software as a Service model) and used by CPG companies to engage consumers, reward purchases and collect valuable consumer data. PLATFORM³ incorporates Artificial Intelligence and Machine Learning to monetize the consumer data, including demographics and purchasing behaviour, by sending consumers targeted offers by email and text messages. For more information, visit datablecorp.com.
For additional information about the company please visit www.sedar.com. The TSX Venture Exchange Inc. has in no way passed upon the merits of the transaction and has neither approved nor disapproved the contents of this press release. Neither 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. This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors – including the availability of funds and the results of financing efforts, – that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Datable Technology Corp.
For further information: Datable Technology Corp., Robert Craig, Chief Executive Officer, (604) 639-5441, [email protected]