VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/31/13 -- Snipp Interactive Inc. ("Snipp"), 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 quarter ended March 31, 2013. A copy of the complete unaudited financial statements and management's discussion and analysis are available on SEDAR at www.sedar.com.
The total sales revenues for the 1st quarter of 2013 grew 85% from the prior year.
Revenue for the quarter was approximately $174,331 compared to $94,235 from the prior years quarter. The increase in revenue is attributable to a multitude of factors including the creation of new sales channels, additional sales contracts from existing customers, the acquisition of new customers and the launch of innovative new products such as SnippCheck, Snipp's mobile receipt processing solution (www.snippcheck.com).
Net income for the period was $135,163 compared to a net loss of $697,959 for the same period last year.
The positive net income for the 1st quarter of 2013 was mainly due to the decrease in fair value of our derivative liabilities resulting in a non-cash gain. The net loss before other non-operating items was $398,235 in Q1 compared with $229,719 the year prior. The increase in net loss (before other non-operating items) is mainly due to additional resources being dedicated to sales and marketing and added investment in the Snipp Mobilize Me platform, with a view towards productizing several of the mobile solutions within Snipp's portfolio (e.g. SnippCheck, SnippWine, soon to be released SnippShip and other similar products).
At the end of the period, current assets were $660,947 and current liabilities $228,940.
"We are very pleased that our go-to-market strategy continues to be validated as our sales revenues continue to grow rapidly and propels us ever closer to being operationally cash flow positive," said Atul Sabharwal, Chief Executive Officer of Snipp. "Our focus continues to be on growing new and recurring revenue with the aim of achieving cash flow profitability. The fact is that we are at the beginning of a mobile revolution that presents an unprecedented opportunity for companies like ours. As a greater number of people spend larger amounts of time carrying out traditional web based activities such as shopping, comparison-shopping, information retrieval, search and discovery, social interaction, etc. on their mobile device, every company will need to start implementing a mobile optimized layer for their business to support these customer interactions, similar to what companies had to invest in when the internet first made an appearance two decades back. Snipp's Mobilize Me platform enables businesses to easily build that mobile layer and as we continue to add unique tools and technology to the platform, companies will be able to interact with their customers with an unmatched level of personalization, interactivity and monetization potential."
Q1 2013 Highlights include:
-- Launched innovative new products and campaigns expected to drive growth. However in many cases 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.-- Product teams have finalized two new product offerings that will launch in Q2. These products will be consumer-focused, self-service tools, thereby enabling the company to drive revenues from new market segments, while still continuing to provide its complete suite of marketing solutions to high-value clients on a full-service basis.