Edge Total Intelligence Inc. Reports Second Quarter 2023 and Consolidated 2023 Results

ARLINGTON, Va., Aug. 29, 2023 (GLOBE NEWSWIRE) -- Edge Total Intelligence Inc. (TSXV: CTRL, OTC: UNFYF, FSE: Q5i)(“edgeTI”, “we”, “our” or the “Company”), a leader in real-time digital operations, announces operating and consolidated results for the second quarter 2023 (“Q2-2023”). Financial information is expressed in United States (US) dollars unless otherwise indicated. The Company’s related financials and management discussion and analysis for the second quarter 2023 are posted on its profile on SEDAR+ (www.sedar.com) and OTC Markets.

Selected Financial Details for Q2-2023 and Six Month Ended Results

• Subscription revenue grew 10% to $894,732 for Q2-2023 from $814,749 the quarter ending June 30, 2022 (“Q2-2022”) as six months ended subscription revenue reached $1,808,864.
• Total revenue decreased 6% to $894,732 for Q2-2023 from $951,219 in Q2-2022 and total revenue decreased 5% for the six months ended as the Company shifts professional consulting services to partners and system integrators.
• Operating costs were reduced 21% to $1,161,781 for Q2-2023 versus $1,472,503 in Q2-2022 and operating costs decreased 23% six months ended as the Company continues to march towards cash flow positive operations.
  

“We earned key renewals in Q2 as our pipeline for Digital Twins, Data Mesh, and Intelligent Automation capabilities continues to gain traction with government, service providers, and AI entrepreneurs,” said Jim Barrett, Chief Executive Officer. “Our adoption programs and target use cases announced this first half are increasing growth potential as we landed our largest contract to date with the Veteran’s Administration.”

Operational Highlights for Q2-2023        

• On April 25, 2023 the Company announced the general availability of its edgeCore platform 4.5 to empower its customers to rapidly compose and deploy secure, action-embedded apps that deliver the right information to the right people on the right device at the speed of relevance.
• On May 9, 2023 the Company formed a strategic partnership with Grokstream, LLC ("Grokstream"), a leader in artificial intelligence for IT operations (AIOps). The strategic partnership leverages edgeTI’s edgeCore platform to: a) expand integrations with enterprise IT management applications, b) orchestrate automation and workflow engines, and c) drive greater user acceptance through intuitive user experiences. The partnership is expected to increase edgeCore use throughout the Grokstream customer base.
• On June 7, 2023, the Company announced that its shares trading on the OTCQB Venture Market under the symbol "UNFYF" became eligible to be electronically cleared and settled in the United States through the Depository Trust Company ("DTC") — making the Company's stock more accessible to U.S. retail and institutional investors.
• On June 12, 2023, the Company welcomed a new Chief Financial Officer, Geremy Connor, with broad experience in raising funds and capital markets.
• On June 13, 2023, the Company announced its fast path to safe artificial intelligence ("AI") and four adoption programs to assist companies, governments, service providers and AI providers to deploy AI quickly and safely.
• On June 15, 2023, Jacques Jarman, EdgeTI's Chief Revenue Officer, delivered a presentation entitled “Digital Twin Solution Driving Increased AI/ML Accuracy and Time to Value” at TechConnect World Innovation 2023 at the request of the show sponsor.
• On June 30, 2023, the Company announced its intention to convert the principal amount plus interest accrued owed under its credit facility (the "Credit Facility") with Lotus Domaine III LP ("Lotus"), a private equity fund and controlling shareholder of the Company, to subordinate voting shares of the Company (the "Debt Settlement"). The Debt Settlement, which remains subject to approval by the TSX Venture Exchange ("TSXV"), is anticipated to consist of the issuance of an aggregate of 9,109,541 subordinate voting shares of the Company at a deemed price of CA$0.90 per subordinate voting share for the settlement of US$6,185,278.79, being the principal amount plus interest accrued as of June 30, 2023, owed under the Credit Facility. As of the date hereof, the Credit Facility and Debt Settlement remain subject to TSXV review and acceptance, and no shares have been issued to Lotus.