Intermap Announces Positive Cash Flow in the First Half and Private Placement

The Company reports positive cash flow of $80,000

Subscription-based revenue represents 62% of total revenue, grew 50%

Funds raised in Private Placement to enable execution of pending awards

DENVER, Aug. 14, 2023 (GLOBE NEWSWIRE) -- Intermap Technologies (TSX: IMP; OTCQB: ITMSF) (“Intermap” or the “Company”), a global leader in 3D geospatial products and intelligence solutions, today announced preliminary second quarter results and a private placement offering.

Preliminary Second Quarter Results

For the period ending June 30, 2023, the Company reported revenue of $1.6 million, compared with $2.0 million for the first quarter of 2023 and $2.4 million for the second quarter of 2022. During the six months ended June 30, 2023, the Company reported positive cash flow from operating activities of $80,000.

The Company’s second quarter results were affected by delays in government contracts. All of the contracts relate to ongoing work that Intermap is confident will continue in the latter half of this year. Some of these contracts are expected to grow substantially this year. The contract delays were generated by repeat customers on critical, funded domestic and foreign government programs.

Intermap’s commercial business is continuing to grow with new software and data subscriptions, especially in the European insurance market. The Company’s software and solutions revenue increased to $1.1 million compared with $0.8 million for the second quarter of 2022. In the first half of 2023, software and solutions revenue totaled $2.3 million compared with $1.7 million for the same period in 2022. The Company’s European revenue increased 75.6% in the second quarter of 2023 compared with the same period in 2022. This increase is driven by the expansion of its European insurance software and solutions through multi-license subscription agreements with countrywide insurance associations.

As the Company enters the second half of the year, momentum remains high with a focus on execution of pending government contracts and commercial opportunities.

The Company’s consolidated financial statements for the quarter ended June 30, 2023, are available on SEDAR+ at www.sedarplus.ca.

Private Placement

Intermap continues to explore strategic ways to expand its shareholder base, allowing for broader investor participation and greater liquidity in the publicly traded stock.

On August 10, 2023, Intermap closed the first tranche of an issuer private placement (the “Private Placement”) of 810,000 units ("Units"). Each Unit consists of one Class A common share of the Company (a “Share”) and one transferable common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one additional Share at an exercise price equal to the United States dollar (“USD”) equivalent of C$0.80 per Share, which is exercisable for two years from the date of issuance. The Units were issued at a price of C$0.55 per Unit for aggregate gross proceeds of C$445,500. The Company intends to close a second tranche of the Private Placement within the next week on the same terms.