2015 Q3 Revenue of $1.7 Million Up from $839k in Q2 resulting in a 108% Sequential Quarterly Growth
TORONTO, ON – November 24, 2015 – Technology and data company Engagement Labs Inc. (TSXV:EL), creator of the eValue™ score, is pleased to report that for the quarter ended September 30, 2015, revenue increased to $1.74 million, an increase of 108% compared to the $839,000 recorded in the second quarter ended June 30, 2015. The Company’s business achieved 15.1% sequential quarterly growth due primarily to the signing of an eValue contract and other technology-related services with a large global retailer. The balance of the revenue growth was attributed to the acquisition of Keller Fay Group in July 2015. Gross profit margin was 41% for Q3 2015 compared to 27% for Q2 2015.
The acquisition of the Keller Fay Group has resulted in the companies combining strengths and intellectual property to create the world’s first Total Social™ measurement score, which combines Engagement Labs’ eValue (‘owned’ social media metrics) and Keller Fay’s Word of Mouth (‘earned’ social media metrics).
“Through the acquisition of Keller Fay Group, Engagement Labs will offer an integrated online and offline point of view for social media measurement and become a one-stop- shop for clients. ‘Total Social’ will deliver brands, agencies, and publishers/broadcasters with unique insights into their marketing activities, competitive bench marketing, extended reach, and results,” said Bryan Segal, CEO at Engagement Labs.
Net loss for the quarter ended September 30, 2015 was $1.89 million compared to $2.1 million for Q2 2015. Adjusted EBITDA1 loss from continuing operations for the quarter ended September 30, 2015 was $1.27 million compared to $1.19 million for Q2 2015. Basic and diluted loss per share was $0.04 for the quarter ended September 30, 2015 compared to $0.05 for Q2 2015. Engagement Labs had $4.6 million of cash as of September 30, 2015.
“The Keller Fay Group is excited about the opportunity our company has as we joined an innovative and forward thinking company to provide current and new clients with a ‘Total Social’ understanding of their brand,” said Ed Keller, CEO at Keller Fay Group and President at Engagement Labs. “Our team and client base are excited about the direction our combined company is headed and the innovative data and insights we provide brands, empowering them to derive the maximum efficiency and effectiveness from their marketing investment through social advocacy, both online and offline.”
“As a company we see steady momentum in our business, from the successful launch of an integrated dashboard for a major global retailer, to our continued work with a California-based Fortune 60 client, to a recent contract win with a major automotive company. With the official launch of our ‘Total Social’ tool expected in the first quarter of 2016, we anticipate continual growth in our company, as we help brands across the globe solve their most pressing business and marketing challenges,” noted Segal.
1 The Adjusted EBIDTA definition of the Company includes severance payments of $182,441.
About Engagement Labs
Engagement Labs (TSX VENTURE: EL) offers intelligent ‘Total Social’ data, analytics and insights for marketers and organizations enabling them to track, measure and benchmark the conversations happening around their brand or industry both online and offline. These conversations are proven to drive critical business outcomes, including sales, while Engagement Labs’ tools provide data and actionable insight to help guide business decisions and power marketing effectiveness.
Engagement Labs’ eValue™ Analytics tool is the global benchmark for social media scoring. eValue’s proprietary data technology offers real-time analysis to measure a brand’s social media and digital marketing efforts, distilling it down to a single meaningful number between 0 and 100 — an eValue score. Composed of a series of metrics and Key Performance Indicators (KPIs), an eValue score measures social media Engagement, Impact and Responsiveness which is benchmarked against 100,000+ handpicked and verified brands. The Keller Fay Group, an Engagement Labs company, is the only firm to regularly measure offline conversation, which independent research finds is a significant driver of sales with twice the impact of online conversation.
Additionally, through the Keller Fay Group division of Engagement Labs, brands can also measure the marketing performance of offline ‘earned social media – word of mouth’ conversations.
For media inquiries please contact:
Marketing Director – Engagement Labs
(o) 647-776-4100 ext 214