ParcelPal Technology, Inc. Reports Record Second Quarter 2020 Financial Results Highlighted by Quarterly year over year Revenue Growth of 88% Coupled with a 59% Lower Net Loss - Seite 2

Q2 2020 Financial Highlights:

• Revenue growth of nearly 88% to $1,445,587 (up from $770,452 in Q2 2019). Note: this was a record revenue high for Q2 since inception of the company.
   
• Gross profit increased to $173,472 (up from $64,053 in Q2 2019).  Also, Q2 gross margins increased to 12% (up from 8% in 2019).  This was driven by a focus on higher margin corporate customers.
   
• Decreased expenses on non-profitable marketing and promotions to $28,314 (Q2 2019 - $867,722) in an effort to conserve cash and focus on operational growth.
   
• Consulting fees in Q2 decreased to $250,736 (Q1 2019 - $284,287) as the Company reduced such expenses to reduce overhead costs and conserve cash in the current period.  We expect these consulting fees to be significantly reduced further on a going forward basis.
   
• Share-based compensation in Q2 decreased to $115,000 (Q2 2019 - $238,237) due to fewer stock options and other stock based compensation being granted during the current period.
   
• During the three months ended June 30, 2020 the Company had a net loss of $802,034 compared to $1,946,831 (a decrease of 59%) during the three months ended June 30, 2019. 

Outlook

The Company's strategic priorities for the remainder of fiscal 2020 include:

• Continued development of the ParcelPal product through a series of build-measure-learn iterations and moving into new verticals.
   
• Building an exceptional and world-class brand with a focus on high quality content and services.
   
• Increasing the number of customers and users using the ParcelPal platform.
   
• Using data, technology, and inbound selling to ramp up sales and revenue generation.
   
• Continued expansion into large markets in Canada, and also planning the Company’s entry into the United States market.

The Company's complete financial results are available in its unaudited financial statements and Management's Discussion and Analysis for the period ended June 30, 2020, each of which have been filed with Canadian securities regulators at www.sedar.com.

About ParcelPal Technology Inc.

ParcelPal is a leader in the growing technology and logistics industry. ParcelPal seamlessly connects consumers to businesses, where they have access to the goods they love, anytime, anywhere. Customers can shop at partner businesses and through the ParcelPal technology receive their purchased goods within an hour or the same day.  The Company offers on-demand delivery of merchandise from leading retailers, restaurants, medical marijuana dispensaries and liquor stores in Vancouver, Calgary, Toronto and soon in other major cities Canada-wide.