Weyland Tech Reports 2019 Preliminary Results

Revenue up 53% to Record $34.6 Million, Driving First Quarter of Positive Adj. EBITDA

NEW YORK, Jan. 27, 2020 (GLOBE NEWSWIRE) -- Weyland Tech, Inc. (OTCQX: WEYL), a leading global provider of mCommerce platform-as-a-service (PaaS), eCommerce managed services and mobile fintech solutions, reported preliminary unaudited results for the fourth quarter and full year ended December 31, 2019.

The company’s results for 2019 do not include its acquisition of the eCommerce technology company, Push Interactive, which was closed on January 8, 2020. However, pro forma results for the combined companies were provided.

For the fourth quarter of 2019, the company expects to report record revenue of approximately $10 million, representing an increase of 85% from the same year-ago quarter and up 11% sequentially. The company also expects to report its first positive quarterly adjusted EBITDA after previously reporting it had turned adjusted EBITDA positive in the final month of Q3 (see below for definition and further discussion of this non-GAAP metric).

For the full year 2019, Weyland expects to report record revenue of approximately $34.6 million, increasing 53% over 2018. The company ended the year at an estimated $48.6 million annualized run-rate.

The increase in revenue for the fourth quarter and year was primarily driven by the growth in monthly and annual subscriptions to the company’s CreateApp platform-as-a-service, which provides an easy-to-deploy mobile presence for small-and-medium sized businesses (SMBs). The CreateApp user base, which has been comprised primarily of businesses in Southeast Asia, grew more than 47% during the year to more than 360,000 total users by year end.

Also contributing to the increase in recurring revenue was the adoption by existing customers of new features and modules added to the platform, which helped drive increased average CreateApp subscription fees per customer.

Earlier this month, the company completed its acquisition of the eCommerce technology company, Push Interactive, a direct-to-consumer eCommerce platform that provides an end-to-end solution for SMBs and major U.S. brands, like HomeAdvisor, QuinStreet and Sunrun.

Push Interactive sustained a significant return to growth in the second half of 2019, and anticipates reporting revenue of $1.9 million for the fourth quarter of 2019 and $7.7 million for the full year, primarily derived from managed services. Given new business transacted in the later part of the fourth quarter, Push estimates its annualized run-rate at year-end totaled more than $12 million, with an outlook for continued strong growth in 2020.