Points International Reports Preliminary Fourth Quarter and Full Year 2020 Results

Fourth Quarter 2020 Gross Profit Improves Approximately 50% Quarter over Quarter, Demonstrating Continued Business Model Resiliency

TORONTO, Jan. 21, 2021 (GLOBE NEWSWIRE) -- Points International Ltd. (TSX: PTS) (Nasdaq: PCOM) (Points or the Company), the global leader in powering loyalty commerce, is providing a preliminary update on its fourth quarter and full year 2020 financial results.

Fourth quarter 2020 gross profit is expected in the $8.3 and $8.7 million range, with adjusted EBITDA¹ expected to be between $0.2 million and $0.6 million. These expected results compare to $5.7 million of gross profit and $(1.1) million in adjusted EBITDA in the third quarter of 2020.

For the full year, Points expects 2020 gross profit in the $34.8 and $35.2 million range, with adjusted EBITDA expected in the $3.0 and $3.4 million range.

Total funds available² at December 31, 2020 were approximately $79 million, including a $15.0 million drawdown on the Company’s credit facility. This compares to $68.2 million at September 30, 2020, which included a $30.0 million drawdown on the Company’s credit facility, and $86.8 million at December 31, 2019.

“Despite the most challenging market environment in company history, we closed out 2020 on solid footing and delivered positive annual adjusted EBITDA,” said Rob MacLean, CEO of Points. “Fourth quarter gross profit was up approximately 50% from Q3 as a result of stronger promotional activity with our partners, as well as the impact of new partnerships and services launched during 2020. Our business development in 2020 positions us well for travel’s recovery, including new partnerships launched with Qatar, Caribbean, and Ethiopian Airlines, as well as expanded relationships with Air Canada’s Aeroplan and Delta’s Skymiles program. I am extremely proud of our team’s dedication to executing on our strategy and supporting our partners throughout this difficult year for our industry.

“Our ability to not only deploy new partnerships last year but also expand several others continues to highlight the underlying strength and value of the Points platform. As we progress through 2021, we will focus on our long-term growth drivers to sustain our momentum and create even greater value for our partners. While the travel and hospitality industries remain broadly challenged, our robust pipeline and resilient business model are a testament to the vital role that loyalty programs are playing in travel’s recovery.”