Annual revenue up 81% to $38.1 million, with ARR growth of 43% to
$43.8 million
Thinkific
Payments represents 6% of GMV for the quarter, having launched in
early November
Thinkific reports in U.S. dollars and in accordance with
IFRS
VANCOUVER, BC, Feb. 23, 2022 /PRNewswire/ - Thinkific Labs Inc.
("Thinkific" or "the Company") (TSX: THNC), a leading cloud-based
software platform that enables entrepreneurs and established
businesses of all sizes to create, market, and sell online learning
products, today announced its financial results for the quarter and
year ended December 31, 2021.
"Thinkific continues to execute against its business strategy,
including product-led growth and innovation," said Greg Smith, Co-Founder and CEO. "In 2021,
we launched the Thinkific App Store, Thinkific Payments, as well as
continued to deliver on our promise to Creators, helping them build
the businesses of their dreams. This, coupled with growth
across all of our key performance indicators, underscores the
engagement and connectivity we have with our Creators throughout
the knowledge economy.
"The opportunity in front of us is large and growing, and we are
well positioned to distinguish ourselves through innovative
solutions for our Creators, to maximize their business success,"
concluded Mr. Smith.
Fourth Quarter Financial Highlights
US $ (unless
otherwise noted)
|
Fourth
Quarter 2021
|
Fourth
Quarter 2020
|
%
Change
|
Paying Customers
(1)
|
32.3
thousand
|
24.6
thousand
|
32%
|
Average Revenue Per
User ("ARPU") (1)
|
$
|
114
|
$
|
105
|
9%
|
Annual Recurring
Revenue ("ARR") (1)
|
$
|
43.8
million
|
$
|
30.7 million
|
43%
|
Gross Merchandise
Volume ("GMV") (1)
|
$
|
104.7
million
|
$
|
85.6 million
|
22%
|
Revenue
|
$
|
10.8 million
|
$
|
7.2
million
|
49%
|
Gross margin
|
74%
|
79%
|
(5)%
|
Net loss
|
$
|
(9.4)
million
|
$
|
(0.4)
million
|
nm
|
Adjusted EBITDA
(2)
|
$
|
(8.7)
million
|
$
|
(0.0)
million
|
nm
|
(1)
|
Key Performance
Indicators. See definition in "Key Performance
Indicators".
|
(2)
|
Non-IFRS measure. See
"Non-IFRS Measures" and the reconciliation to the most directly
comparable IFRS measure.
|
"The launch of Thinkific Payments was an important
milestone in our business," said Corinne
Hua, CFO of Thinkific. "Not only do we continue to support
our Creators by enabling them to spend less time on administration
to focus on teaching, our Thinkific Payments customers can also use
Order Bumps to upsell and cross sell customers within Performance
Checkout, aligning our success with that of our Creators.
"As we look forward, we expect launches of future products will
improve Creator adoption, grow our ARPU, and solidify Thinkific as
the Platform of choice for the Knowledge Economy," concluded Ms.
Hua.
- Total Paying Customers grew 32% to 32.3 thousand in Q4'21.
- ARPU increased 9%, to $114
compared with $105 in Q4'20, driven
by the movement of existing customers to higher paid plans, new
Thinkific Plus customers, and adoption of Thinkific Payments.
- ARR grew 43% to $43.8 million
from $30.7 million in Q4'20, as we
continued to attract new Creators to our Platform, and existing
Creators upgraded to higher tier plans.
- GMV grew by 22% compared to Q4'20, expanding to $105 million, largely driven by the success of
our customers selling learning products on our platform.
- The launch of Thinkific Payments in early November was well
received. Gross Payments Value(1) ("GPV"), which is the
total value of GMV processed using Thinkific Payments, for the
quarter was $6.4 million. This
represented 6% of GMV processed during the quarter.
- Revenue increased 49% to $10.8
million compared with Q4'20, driven by the continued growth
in total Paying Customers, and increasing ARPU.
- Gross Margin of 74% was down from 79% in Q4'20, primarily due
to additional employee-related support costs to enhance the success
of our customers, and to support the Q1'22 expansion of live chat
to all Freemium customers in their first 30 days.
- Net loss for the quarter was $9.4
million, compared to a net loss of $0.4 million in Q4'20. The increase in net loss
reflects an increase in expenditures across the Company to support
our growth strategy.
- Adjusted EBITDA loss of $8.7
million was driven primarily by the competitive hiring
market, and investments in Sales & Marketing (S&M) and
Research & Development (R&D), as we continued to invest in
building our platform, increasing awareness in the market, and
building the team to deliver on our growth objectives.
Fourth Quarter Operational Highlights
- Completed rollout of Thinkific Payments to all Creators across
the U.S. and Canada. Thinkific
Payments, which was built to help our Creators sell more, and spend
less time on administration, saw a strong adoption rate among new
Creators. We saw 6% of GMV being processed through Thinkific
Payments in the fourth quarter and expect this number to reach 10%
in Q1 2021.
- Delivered significant advancements to support Thinkific
Payments customers' efforts to sell more with the launch of
Performance Checkout and Order Bumps.
- Saw strong gains by Creators as they embraced Black Friday and
Cyber Monday to drive unprecedented enrollments. Creators saw the
number of people who enrolled in their courses and learning
products nearly double compared to the same period last year.
Fiscal Year 2021 Financial Highlights
US $ (unless
otherwise noted)
|
Fiscal Year
2021
|
Fiscal Year
2020
|
%
Change
|
Paying Customers
(1)
|
32.3
thousand
|
24.6
thousand
|
32%
|
Average Revenue Per
User ("ARPU") (1)
|
$
|
114
|
$
|
105
|
9%
|
Annual Recurring
Revenue ("ARR") (1)
|
$
|
43.8
million
|
$
|
30.7 million
|
43%
|
Gross Merchandise
Volume ("GMV") (1)
|
$
|
414.8
million
|
$
|
276.4
million
|
50%
|
Revenue
|
$
|
38.1 million
|
$
|
21.1 million
|
81%
|
Gross margin
|
77%
|
79%
|
(2)%
|
Net loss
|
$
|
(26.4)
million
|
$
|
(1.3)
million
|
nm
|
Adjusted EBITDA
(2)
|
$
|
(19.5)
million
|
$
|
(0.4)
million
|
nm
|
(1)
|
Key Performance
Indicators. See definition in "Key Performance
Indicators".
|
(2)
|
Non-IFRS measure. See
"Non-IFRS Measures" and the reconciliation to the most directly
comparable IFRS measure.
|
- Total Paying Customers grew by 32% to 32.3 thousand. Growth was
driven by the strength of the Thinkific Platform and user
experience, growing brand awareness and increasing awareness of the
Knowledge Economy as a way to build and extend existing
businesses.
- ARPU grew by 9% to $114, driven
by movement of existing customers to higher paid plans and new
Thinkific Plus customers.
- ARR grew by 43% to $43.8 million,
driven by growth in Paying Customers and higher ARPU.
- GMV grew 50% year over year, largely driven by the success of
our customers selling learning products on our platform in
2021.
- Revenue increased 81% to $38.1
million, driven by growth in total Paying Customers and an
expansion in ARPU.
- Gross margin of 77% was down from 79%, primarily on increased
employee-related costs to support our growing customer base,
including the roll out of live chat to all Paying Customers, and
the expansion of our support offering to drive customer
success.
- Net loss of $26.4 million
compared to prior year loss of $1.3
million reflects rising expenses as we execute the Company's
growth strategy.
- Adjusted EBITDA loss of $19.5
million compared to prior year loss of $0.4 million was driven primarily by increased
investments in R&D, S&M and headcount increases across the
organization, as we executed the business' growth plan.
Full Year 2021 Operational Highlights
- Executed on our strategy to be the platform of choice for
Creators by broadening our feature set and product offerings,
including:
-
- Completed rollout of Thinkific Payments to all Creators across
the U.S. and Canada. Thinkific
Payments, built to help our Creators sell more and spend less time
on administration, saw a growing adoption rate among new
Creators.
- Delivered significant advancements to help Thinkific Payments
customers sell more with the launch of Performance Checkout and
Order Bumps.
- Launched the Thinkific Plus Portal, which enables Plus
Customers to manage multiple sites in one dashboard; provides a new
site page interface to make it easier for Creators to manage pages
in their Thinkific websites; and upgraded core technologies.
- Strengthened our partner ecosystem through major initiatives
including:
-
- The Thinkific App Store launched in May
2021, and includes apps that solve tangible course creator
needs, particularly in the Learning Experience and Selling &
Conversion categories, as well as apps from well-known brands such
as Zoom, Google Analytics, Mailchimp and ActiveCampaign. The
Thinkific App Store allows Partners, such as agencies and
developers, to create apps that extend our Platform's capabilities,
increasing the value and functionality for our Creators, and
attracting new Creators to Thinkific.
- Continued to grow our brand awareness and attract new customers
through our sales and marketing investments, which included:
-
- 20,000 entrepreneurs registered for Amplify 2021, our free
online conference focused on supporting the success of Thinkific's
Creators.
- Third Annual 'Think in Color' Summit, held in July, attracted
thousands of entrepreneurs and small and medium business
participants. A speaker lineup of 100% people of color delivered
personal insights on all aspects of creating, marketing, and
scaling online courses and digital product-based businesses.
- Saw strong gains by Creators as they embraced Black Friday and
Cyber Monday to drive unprecedented enrollments. Creators saw the
number of people who enrolled in their courses and learning
products nearly double compared to the same period last year.
- Increased the strength and depth of the executive team and were
recognized for our strong culture and commitment to building an
exceptional team at Thinkific:
-
- Strategic appointments of Henk
Campher as Chief Marketing Officer, and Chris McGuire as Chief Technology Officer.
- Ranked #2 on the 2021 List of Best Workplaces™ (100-999
employees) by the Great Place to Work® Institute, recognizing
Thinkific's commitment to its people, who have seen them show
incredible resilience and innovation while demonstrating core
values like 'Succeed Together', 'Learn and Grow', and 'Strive for
Equality'.
- Successfully completed the initial public offering on the
Toronto Stock Exchange in April 2021.
Becoming a public company marked a new level of growth for
Thinkific, expanding brand awareness and access to capital needed
to accelerate product innovation to help businesses build, grow and
thrive in knowledge commerce.
Highlights Subsequent to Year End
- Continue to strengthen the Board with the appointment of
Steve Krenzer to the Board of
Directors.
- Enhancements designed to help our Thinkific Payments customers
sell more were introduced to all Thinkific Payments customers in
the first quarter and include Order Bumps, Subscription and
Installment Options, and a Coupons feature. Following the
successful launch of Thinkific Payments in North America, we introduced a private release
to customers in the UK, Australia
and New Zealand.
- Amplify 2022, Thinkific's annual virtual event that brings
together top creator minds in knowledge commerce, was held in
January. This year's event generated significant buzz across the
knowledge commerce industry, with over 25,000 digital creators
registered. The event drove considerable engagement with the
Thinkific platform, with double the uptake of Amplify 2022's core
promotional offer compared to 2021.
Outlook
Thinkific is at the centre of the knowledge economy, and gives
businesses everything they need to build, market, and sell online
courses and other learning products, and to run their business
seamlessly under their own brand, on their own site.
In 2021, Thinkific achieved growth across all our KPIs, driven
by the continued adoption of its platform, and customers finding
success with their learning products.
Our expectations for the first quarter of 2022 are:
- revenue of $11.6 - $11.8 million, representing year-over-year growth
of 40% - 42%
- adjusted EBITDA loss in the range of $10.2 million to $10.8
million.
In 2022 and beyond, Thinkific believes its growth will also be
fueled by:
- our large and growing TAM,
- broadening and deepening our ecosystem,
- the launch of new products,
- increasing adoption of Thinkific Payments, as well as
- increased effectiveness in sales and marketing.
Actual results may differ materially from Thinkific's financial
outlook as a result of, among other things, the factors described
under "Forward-Looking Statements" below.
Quarterly Conference Call and Webcast Information
A conference call will be held at 2:00 PM
PT (5:00 PM ET) on
February 23, 2022 to discuss
Thinkific's fourth quarter and full fiscal year 2021 financial and
operational results. To participate in the call, please dial
1.888.664.6383 (US/Canada
toll-free) or 1.416.764.8650 (International). For those unable to
participate, a replay will be available commencing at 4:00 PM PT (7:00 PM
ET) on February 23, 2022 by
dialing 1.888.390.0541 (US/Canada
toll-free) or 1.416.764.8677 (International). The passcode is
320714#. The replay will expire at 8:59 pm
PT (11:59 pm ET) on
March 2, 2022. The conference call
will also be available via webcast on the Investor Relations
section of Thinkific's website at
investors.thinkific.com/events-and-presentations.
Thinkific's audited consolidated financial statements and
accompanying notes, and Management's Discussion and Analysis for
the year ended December 31, 2021 are
available on the Company's website at www.thinkific.com and on
SEDAR at www.sedar.com.
About Thinkific
Thinkific (TSX:THNC) makes it simple for entrepreneurs and
established businesses of any size to scale and generate revenue by
teaching what they know. Our platform gives businesses everything
they need to build, market, and sell online courses and other
learning products, and to run their business seamlessly under their
own brand, on their own site. Thinkific's 50,000+ active creators
earned hundreds of millions of dollars in direct course sales while
teaching tens of millions of students. Thinkific is headquartered
in Vancouver, Canada, with a
distributed and growing team.
For more information, please visit www.thinkific.com.
Non-IFRS Measures
The information presented within this press release includes
"Adjusted EBITDA" and certain industry metrics. The "Adjusted
EBITDA" is not a recognized measure under International Financial
Reporting Standards ("IFRS") as issued by the International
Accounting Standards Board, does not have a standardized meaning
prescribed by IFRS, and is therefore unlikely to be comparable to
similar measures presented by other companies. Rather, this measure
is provided as additional information to complement those IFRS
measures by providing further understanding of our results of
operations from management's perspective. Accordingly, it should
not be considered in isolation nor as a substitute for analysis of
our financial information reported under IFRS. We also use certain
industry metrics: "Annual Recurring Revenue", "Paying Customers",
"Average Revenue per User", "Gross Merchandise Volume" and "Gross
Payments Value". These industry metrics are unaudited and are not
directly derived from our financial statements. The non-IFRS
measure and industry metrics are used to provide investors with
supplemental measures of our operating performance and thus
highlight trends in our core business that may not otherwise be
apparent when relying solely on IFRS measures. We also believe that
securities analysts, investors and other interested parties
frequently use non-IFRS measures and industry metrics in the
evaluation of issuers. Our management also uses the non-IFRS
measure and industry metrics in order to facilitate operating
performance comparisons from period to period, to prepare annual
operating budgets and forecasts and to determine components of
management compensation.
"Adjusted EBITDA" is defined as net income (loss) excluding
taxes, interest, depreciation and amortization (or EBITDA), as
adjusted for stock-based compensation, foreign exchange gain
(loss), net finance expense, and transaction-related expenses.
Adjusted EBITDA does not have a standardized meaning under IFRS and
is not a measure of operating income, operating performance or
liquidity presented in accordance with IFRS and is subject to
important limitations.
Please refer to "Reconciliation to IFRS from Non-IFRS measures"
in this press release for more information.
Key Performance Indicators
We monitor the following industry metrics to help us evaluate
our business, measure our performance, identify trends affecting
our business, formulate business plans and make strategic
decisions: "Annual Recurring Revenue" or "ARR", "Average Revenue
per User" or "ARPU", "Gross Merchandise Volume" or "GMV",
"Paying Customers" and "Gross Payments Value" or "GPV". Our key
performance indicators may be calculated in a manner different than
similar key performance indicators used by other companies.
"Paying Customers" is
the count of unique Thinkific subscribers on paid plans as of
period end, excluding all trial and free customers, and including
both monthly and annual subscribers.
"ARPU" is the average
monthly Revenue per Paying Customer in the quarter. ARPU is
calculated by taking the average Revenue for each month in the
quarter and dividing this by the average number of Paying Customers
for the same quarter.
"ARR" is the annual
value of all current Paying Customer subscriptions at the end of
the period, with the number of Paying Customers multiplied by 12
times the average monthly subscription plan fee in effect on the
last day of that period.
"GMV" is the total
dollar value of all transactions of course sales, membership
subscriptions, or other products or services by our Creators,
facilitated through our platform during the period, net of refunds.
GMV does not include transactions for course sales, membership
subscriptions, or other products or services processed by APIs or
certain apps where the Company does not record the transaction
value.
"GPV" is the total dollar
value of GMV processed through Thinkific Payments.
Forward Looking Statements
This press release includes forward-looking statements and
forward–looking information within the meaning of Canadian
securities laws. Often, but not always, forward–looking information
can be identified by the use of words such as "plans", "is
expected", "expects", "scheduled", "intends", "contemplates",
"anticipates", "adoption rates", "believes", "proposes" or
variations (including negative and grammatical variations) of such
words and phrases, or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking statements in this press release include
statements regarding our financial position, business strategy,
budgets, operations, financial results, plans and objective,
industry trends; growth in our industry; our growth and growth
strategies; addressable markets for our solutions; capturing market
share; our competitive advantage; advances in and expansion of our
offered platform service; the development and success of new
products, features, and services; expectations regarding our
revenue and the revenue generation potential of our platform and
other products, including Thinkific Payments and the Thinkific App
Store; the potential impact of new members of our growing team,
including the executive leadership team; revenue; and adjusted
EBITDA.
Such statements and information are based on the current
expectations of Thinkific's management and are based on our
opinions, estimates and assumptions in light of our experience and
perception of historical trends, current conditions and expected
future developments, as well as other factors that we currently
believe are appropriate and reasonable in the circumstances and are
subject to risks and uncertainties. Although Thinkific's management
believes that the assumptions underlying these statements and
information are reasonable, there can be no assurance that the
underlying opinions, estimates and assumptions will prove to be
correct. Such assumptions include assumptions in respect of the
impact of the COVID-19 pandemic; our ability to continue investing
in infrastructure to support our growth and brand recognition; our
ability to continue maintaining and enhancing our technological
infrastructure and functionality of our platform; our ability to
maintain existing relationships with Creators and to continue to
expand our Creators' use of our platform; our ability to acquire
new Creators; our ability to maintain existing material
relationships on similar terms with service providers, suppliers,
Partners and other third parties; our ability to build our market
share and enter new markets and industry verticals; the successful
development, rollout, integration and customer adoption of new
features, services and products, including Thinkific
Payments and the Thinkific App Store; our ability to attract
and retain key personnel; our ability to maintain and expand
geographic scope; our ability to execute on our expansion and
growth plans; currency exchange and interest rates; the impact of
competition; the changes and trends in our industry or the global
economy; and the changes in laws, rules, regulations, and global
standards are material factors made in preparing forward-looking
information and management's expectations.
In addition, forward-looking financial information with respect
to potential outlook and future financial results contained in this
press release are based on assumptions about future events
including economic conditions, the assumptions noted above and
proposed courses of action, based on management's reasonable
assessment of the relevant information available as at the date of
such forward-looking information. Readers are cautioned that any
such forward-looking financial information should be used for
purposes other than for which it is disclosed.
Forward-looking information is necessarily based on a number of
opinions, estimates and assumptions that we considered appropriate
and reasonable as of the date such statements are made, are subject
to known and unknown risks, uncertainties, assumptions and other
factors that may cause the actual results, level of activity,
performance or achievements to be materially different from those
expressed or implied by such forward-looking information, including
but not limited to, the following: the sustainability of our growth
and our ability to attract new customers, retain revenue from
existing customers and increase revenue from existing high-volume
customers; our history of operating losses and negative cash flows;
managing our growth effectively; our limited operating history; our
ability to keep pace with technological and marketplace change and
trends; the accuracy of our estimates of market opportunity and
growth forecasts; the consistency, security and functionality of
our technological infrastructure; our dependence on the ability of
our Creators to achieve commercial success; our strategic
relationships with third parties; our reliance on a single cloud
service provider; our reliance on a single supplier for video
delivery; the impact of worldwide economic conditions; our ability
to increase sales of subscriptions to our platform to Creators; our
ability to promote our brand; our ability to hire, retain and
motivate qualified personnel; competition for top talent; our
reliance on third-party hardware and licensed software; exchange
rates; our ability to set optimal pricing; competition; risks
relating to international sales and use of our platform in various
countries; market adoption of cloud-based online course platform
solutions and internet commerce; maintaining and protecting our
intellectual property and systems; litigation and regulatory
compliance; the activities of customers or Partners; changes to
technologies on which our platform is reliant; the success of our
current research and development efforts; compatibility of our
solutions with third-party applications and systems; our dependence
on the continued services and performance of our senior management
and other key employees; our liquidity and capital resources; our
use of open-source software; changes in tax laws and their
application; our ability to realize benefits from offering free and
trial subscription plans; shifting our operations to
"digital-by-default". The purpose of the forward-looking
information is to provide the reader with a description of
management's expectations regarding our financial performance and
may not be appropriate for other purposes.
These risks are described in additional detail under "Risk
Factors" in our 2021 Annual Information Form, which is available
under our profile on SEDAR at www.sedar.com. If any of these risks
or uncertainties materialize, or if the opinions, estimates or
assumptions underlying the forward-looking information prove
incorrect, actual results or future events might vary materially
from those anticipated in the forward-looking information. Although
we have attempted to identify important risk factors that could
cause actual results to differ materially from those contained in
forward-looking information, there may be other risk factors not
presently known to us or that we presently believe are not material
that could also cause actual results or future events to differ
materially from those expressed in such forward-looking
information. There can be no assurance that such information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such information.
Accordingly, you should not place undue reliance on forward-looking
information, which speaks only as of the date made. The
forward-looking information contained in this press release
represents our expectations as of the date of this press release
(or as the date they are otherwise stated to be made), and are
subject to change after such date. However, we disclaim any
intention or obligation or undertaking to update or revise any
forward-looking information whether as a result of new information,
future events or otherwise, except as required under applicable
securities laws in Canada. All of
the forward-looking information contained in this press release is
expressly qualified by the foregoing cautionary statements.
THINKIFIC LABS INC.
Consolidated Statements of Financial Position
(expressed in U.S. dollars)
|
|
December
31,
2021
|
December
31,
2020
|
|
|
$
|
$
|
Assets
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents
|
|
126,054,833
|
9,066,016
|
Trade and other
receivables
|
|
1,392,391
|
806,687
|
Prepaid expenses and
other assets
|
|
2,769,924
|
572,684
|
Investment tax
credits
|
|
—
|
915,413
|
Contract acquisition
assets
|
|
159,326
|
—
|
Total current
assets
|
|
130,376,474
|
11,360,800
|
|
|
|
|
Property and
equipment
|
|
766,568
|
407,268
|
Lease right-of-use
assets
|
|
754,320
|
1,167,969
|
Contract acquisition
assets
|
|
407,659
|
—
|
Intangible
assets
|
|
98,985
|
—
|
Total
assets
|
|
132,404,006
|
12,936,037
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
Accounts payable and
accrued liabilities
|
|
3,286,321
|
1,498,163
|
Lease
liabilities
|
|
515,348
|
492,611
|
Deferred
revenue
|
|
6,628,749
|
4,767,614
|
Total current
liabilities
|
|
10,430,418
|
6,758,388
|
|
|
|
|
Lease
liabilities
|
|
359,917
|
868,473
|
Total
liabilities
|
|
10,790,335
|
7,626,861
|
|
|
|
|
Shareholders'
equity
|
|
|
|
Share
capital
|
|
145,583,011
|
6,702,059
|
Contributed
surplus
|
|
4,865,646
|
1,067,037
|
Accumulated other
comprehensive loss
|
|
(38,113)
|
(38,113)
|
Accumulated
deficit
|
|
(28,796,873)
|
(2,421,807)
|
Total shareholders'
equity
|
|
121,613,671
|
5,309,176
|
Total liabilities
and shareholders' equity
|
|
132,404,006
|
12,936,037
|
THINKIFIC LABS INC.
Consolidated Statements of Loss and Comprehensive Loss
(expressed in U.S. dollars)
|
|
Three months
ended
December
31,
|
Years
ended
December
31,
|
|
|
2021
|
2020
|
2021
|
2020
|
|
|
$
|
$
|
$
|
$
|
Revenue
|
|
10,769,926
|
7,223,847
|
38,116,836
|
21,069,587
|
Cost of
revenue
|
|
2,752,755
|
1,506,718
|
8,902,802
|
4,452,507
|
Gross
profit
|
|
8,017,171
|
5,717,129
|
29,214,034
|
16,617,080
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
Sales and
marketing
|
|
6,624,732
|
2,281,050
|
20,130,308
|
7,498,233
|
Research and
development
|
|
6,799,596
|
2,115,855
|
19,451,221
|
6,344,691
|
General and
administrative
|
|
4,966,126
|
1,673,587
|
13,939,903
|
4,246,164
|
Total operating
expenses
|
|
18,390,454
|
6,070,492
|
53,521,432
|
18,089,088
|
|
|
|
|
|
|
Operating
loss
|
|
(10,373,283)
|
(353,363)
|
(24,307,398)
|
(1,472,008)
|
|
|
|
|
|
|
Other income
(expenses)
|
|
|
|
|
|
Foreign exchange gain
(loss)
|
|
878,208
|
(12,322)
|
(2,312,563)
|
205,997
|
Finance income
(expense)
|
|
94,115
|
(9,663)
|
244,895
|
(27,076)
|
Total other income
(expenses)
|
|
972,323
|
(21,985)
|
(2,067,668)
|
178,921
|
Net loss and
comprehensive loss
|
|
(9,400,960)
|
(375,348)
|
(26,375,066)
|
(1,293,087)
|
|
|
|
|
|
|
Loss per
share
|
|
|
|
|
|
Basic and
diluted
|
|
$
(0.12)
|
$
(0.01)
|
$
(0.41)
|
$
(0.03)
|
THINKIFIC LABS INC.
Consolidated Statements of Cash Flows
(expressed in U.S. dollars)
|
|
Years
ended
December
31,
|
|
|
2021
|
2020
|
|
|
$
|
$
|
Cash from (used
in):
|
|
|
|
Operating
activities
|
|
|
|
Net loss
|
|
(26,375,066)
|
(1,293,087)
|
Items not affecting
cash and cash equivalents:
|
|
|
|
Depreciation and
amortization
|
|
681,330
|
483,050
|
Stock-based
compensation
|
|
4,123,669
|
601,454
|
Unrealized foreign
exchange loss
|
|
2,308,276
|
103,666
|
Finance
expense
|
|
37,307
|
44,444
|
|
|
|
|
Changes in non-cash
working capital:
|
|
|
|
Trade and other
receivables
|
|
(585,704)
|
(567,060)
|
Prepaid expenses and
other assets
|
|
(2,197,240)
|
(429,762)
|
Investment tax credits,
net
|
|
936,057
|
(298,236)
|
Contract acquisition
assets
|
|
(637,789)
|
—
|
Accounts payable and
accrued liabilities
|
|
1,592,710
|
1,117,433
|
Deferred
revenue
|
|
1,861,135
|
2,871,487
|
Cash from (used in)
operating activities
|
|
(18,255,315)
|
2,633,389
|
|
|
|
|
Investing
activities
|
|
|
|
Investment in property
and equipment
|
|
(550,502)
|
(289,795)
|
Investment in
intangible assets
|
|
(104,660)
|
—
|
Cash used in
investing activities
|
|
(655,162)
|
(289,795)
|
|
|
|
|
Financing
activities
|
|
|
|
Proceeds from issuance
of shares upon IPO
|
|
148,616,696
|
—
|
Proceeds from issuance
of shares
|
|
—
|
3,634,617
|
Share issuance
costs
|
|
(9,891,051)
|
(66,168)
|
Operating lease
payments
|
|
(538,826)
|
(447,630)
|
Exercise of stock
options
|
|
68,503
|
27,081
|
Cash from financing
activities
|
|
138,255,322
|
3,147,900
|
|
|
|
|
Effect of foreign
exchange on cash and cash equivalents
|
|
(2,356,028)
|
(117,353)
|
Increase in cash and
cash equivalents
|
|
116,988,817
|
5,374,141
|
Cash and cash
equivalents, beginning of year
|
|
9,066,016
|
3,691,875
|
Cash and cash
equivalents, end of year
|
|
126,054,833
|
9,066,016
|
THINKIFIC LABS INC.
Consolidated Statements of Cash Flows
(expressed in U.S. dollars)
Reconciliation from IFRS to Non-IFRS Measures
(unaudited)
(expressed in thousands of U.S. dollars)
|
Three months
ended
December
31,
|
Years
ended
December
31,
|
|
2021
$
|
2020
$
|
2021
$
|
2020
$
|
Net loss and
comprehensive loss
|
(9,401)
|
(375)
|
(26,375)
|
(1,293)
|
Stock-based
compensation
|
1,470
|
213
|
4,124
|
601
|
Depreciation
|
180
|
140
|
611
|
483
|
Foreign exchange (gain)
loss
|
(878)
|
12
|
2,313
|
(206)
|
Finance (income)
expense
|
(94)
|
10
|
(245)
|
27
|
Transaction-related
costs (1)
|
—
|
—
|
115
|
—
|
Adjusted
EBITDA
|
(8,723)
|
—
|
(19,458)
|
(388)
|
(1)
|
Represents costs
related to our IPO, and consists of professional, legal,
consulting, and accounting fees that are non-recurring, would
otherwise not have been incurred, and are not indicative of
continuing operations.
|
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SOURCE Thinkific Labs Inc.