VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 04/30/13 -- Snipp Interactive Inc., an international provider of mobile marketing solutions listed on the TSX Venture Exchange (TSX VENTURE: SPN), is pleased to announce its financial results for the fiscal year, ending December 31, 2012. A copy of the complete annual audited financial statements, management's discussion and analysis are available on SEDAR (www.sedar.com).
The total sales revenues for the 4th quarter of 2012 grew 53% from prior year to approximately $169,839 and total annual sales revenues for 2012 grew 35% from the prior year to $511,854. Revenue for the comparable reporting period was $379,222. The increase in revenue is the result of a growing sales channel associated with new contracts from recurring customers such as Meredith Corporation, new programs for brands such as Arm & Hammer and the launch of innovative new products such as SnippCheck (www.snippcheck.com) and SnippWine (www.snippwine.com).
The net loss in fiscal 2012 before other non-operating items was $1,603,155 compared with $15,738 in the year prior. The increase in net loss is mainly related to one-time listing charges associated with the company's listing in March of 2012, added investment in the Snipp Mobilize Me platform to handle larger volumes and one-time employee costs.
At the end of fiscal 2012, current assets were $968,786 and current liabilities were $252,521.
2012 Highlights include:
-- Completed transaction to list company on TSX.V-- Built high performing team with subject matter experts-- Achieved consecutive quarters of revenue growth since listing-- Launched innovative new products and campaigns expected to drive growth -- SnippCheck: A mobile receipt processing solution -- SnippBuild: A mobile site builder for brands -- SnippWine: A mobile solution for the wine industry-- Launched innovative new campaigns for leading brands -- Campaigns with Taco Bell & ESPN, Meredith Corporation, Arm & Hammer, James Hardie and other leading brands -- Largest ever mobile campaign in Mexico for Seccion Amarilla-- Signed a cross marketing agreement with eWinery (www.ewinerysolutions.com), the leading solution provider in the wine industry with over 600 customers, to integrate components of Snipp's Mobilize Me platform into eWinery's solution.-- Launched Snipp in Mexico and the Middle East -- Executed successful campaigns in both markets for leading brands
(i)Due to strict client non-disclosures and the innovative nature of campaigns executed, Snipp is unable to disclose a full list of customers and campaigns to protect itself legally and its clients strategically.
The company has set the foundation to grow the company to profitability in the coming quarters. Preliminary Q1 results will be announced next week.
Four key initiatives are expected to bear fruit for the company, any one of which can drive significant revenue gains and profitability for the company. More details can be found in the Management Discussion and Analysis section of the annual filings on SEDAR (www.sedar.com).
1. Completion of the eWinery integration on May 22, 2013 and launch to over 600 customers that currently use the eWinery solution. eWinery currently controls over 70% of the $600MM direct-to-consumer wine business in the USA and is the leading provider of point of sale solutions to the industry. Five pricing packages ranging from $250 a month to $5,000 a month are available to wineries to take advantage of the Snipp Mobilize Me platform.2. The upside afforded by SnippCheck's "Pay Per Snipp" pricing model as well as the product's ability to attract distribution partners to resell the product to their existing clients. SnippCheck has submitted proposals directly and through potential partners for a pipeline opportunity of over ten million potential transactions at a price per transaction between $0.30 and $0.60 for the coming year. The solution has attracted the attention of several marketing services providers - some of whom are exploring a formal strategic relationship with Snipp.3. Launch of new products on a hybrid self-service platform. Snipp Management expects that the launch of new products such as a Mobile Site Builder and other offerings over the course of the next two quarters will give the company access to a whole slew of new potential customers looking for tools to build specific mobile functionality at scale. The company is in the process of productizing elements of its Mobilize Me platform currently only available to large brands requiring a full service solution.4. Ramp of International Sales. Snipp has also made in-roads into the Middle East market and recently has won campaigns with leading banks and restaurant chains in the region. The company plans to launch a number of market-specific products and campaigns for the Middle East region in the coming months. In addition, Snipp has been approached by its exclusive partner in Mexico to grant an exclusive sub-license to Anuncios en Directorios, S.A. de C.V, the largest yellow pages publisher in Mexico owned by Grupo Carso. In 2012, Snipp executed multiple campaigns and prototypes for Anuncios en Directorios, S.A. de C.V. Management believes that if this exclusive sub- license is awarded, it will result in multiple revenue opportunities for the company.
"The positive trend we see in the mobile space is unquestionable and we will continue our march towards profitability in 2013. The new solutions we have launched in 2012, are truly unique in the marketplace and are getting excellent traction in the market. Put together, we have a holistic mobile solution incorporating Mobile Response, Infrastructure and Validation, and are best positioned to help our clients engage and interact with their customers on a turnkey basis in the mobile arena," said Atul Sabharwal, Chief Executive Officer of Snipp. "The quality of brands that we work with and types of campaigns we have launched (and are scheduled to launch), is a testament to mobile's capability to disrupt industries such as couponing and rebate redemption while reinventing publishing and consumer product marketing."
About Snipp Interactive Inc.
Snipp Interactive Inc. (www.snipp.com) builds mobile solutions for brands to engage and interact with their customers. Snipp provides print publishers, advertising agencies and corporate/consumer brands, including Fortune 500 companies, with three main solution sets:
-- Response: Mobile activations that make offline campaigns more interactive.-- Infrastructure: Tools to create scalable mobile destinations and experiences.-- Validation: Mobile workflows to validate purchases and other customer actions.
Snipp generates revenue by designing, constructing, implementing and managing these mobile solutions for its customers. Snipp is headquartered in Washington, D.C. with international operations in Canada, Mexico and India.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward- looking statements.
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Snipp Interactive Inc.
Snipp Interactive Inc.