TORONTO, Nov. 20, 2019 (GLOBE NEWSWIRE) -- BlueRush Inc. (“BlueRush” or the “Company”) (TSX-V: BTV), an emerging personalized video Software as a Service (“SaaS”) company, today announced its financial results for the fiscal year ended July 31, 2019 (“Fiscal 2019”).
“Fiscal 2019 was a transformative year for BlueRush as we executed on our IndiVideo strategy articulated at the onset of our fiscal year,” said Steve Taylor, CEO of BlueRush. “Our IndiVideo platform continues to stack predictable and reliable recurring revenue from some of the largest financial institutions around the world, which is reflected in the subscription and support revenue growth. New expectations in customer experience have brought IndiVideo to the forefront of marketing and digital transformation conversations where personalized video is seen as the answer to customer engagement concerns. BlueRush continues to focus on the Customer Communication Management (CCM) industry as we envision a world where bills and statements that are sent to customers are enhanced by our IndiVideo platform. We are targeting CCM opportunities through our robust partner strategy, alongside our direct sales efforts.”
“We are proud to see our work recognized as ‘Best Financial Services Online Video’ in the 2019 Internet Advertising Competition and ‘Best of Show’ at FinovateSpring 2019 in San Francisco. These awards affirm that the advances we are making with IndiVideo benefit our customers and the larger digital experience community. As we continue the journey to transform BlueRush from a one-time services organization to a SaaS company, these accolades drive new and repeat business, which is key to our future success.”
“We will continue to invest in our partnerships, especially in the CCM space, to drive scalable and predictable growth. Investing in IndiVideo is another key strategy for us to improve our sales cycle and drive gross margins which we believe can ultimately lead our organization to profitability. The IndiVideo product focus was further solidified when BlueRush sold the technology and source code for its DigitalReachTM platform and Broadridge’s Smart Advisor® application to Broadridge Financial Solutions, Inc. subsequent to year-end. In addition to receiving $2.3 million in cash for the assets, we’ve heightened our focus on our core IndiVideo platform, where the Company will see the largest impact and value.”
“We are thrilled with the revenue increase of 19% over last as well as the growing list of IndiVideo deployments. This is only the start for BlueRush. We will continue to build upon this growth trend throughout the fiscal 2020 year,” stated Mr. Taylor.
Fiscal 2019 Highlights:
- The Company’s overall revenues increased by 20% to $3,631,052, compared to $3,035,410 for fiscal year 2018;
- BlueRush continues to successfully transition towards the recurring revenue model, increasing its subscription and support revenue by 32% to $1,378,012, compared to $1,043,581 for fiscal year 2018;
- Services remains a key component of the Company’s overall revenue, delivering a year-over-year increase of 13% to $2,227,362, compared to $1,978,408 for fiscal year 2018;
- SaaS gross profit steadily advanced in fiscal year 2019 to $1,017,285, from $633,284, in fiscal year 2018;
- Gross margins in the SaaS business increased to 74%, compared to 61% in fiscal year 2018, a result primarily driven by the technological advantage of the IndiVideo platform;
- Deferred revenue increased from $350,503 in fiscal year 2018 to $1,493,227, with $931,035 due to subscription and support sales;
- The IndiVideo platform surpassed $100,000 in committed monthly recurring revenue (“MRR”);
- BlueRush continued to focus on strategic partnerships, adding Nikia DX as a distributor, while nurturing relationships with Bee Concept and Microsoft, and subsequent to year-end added InfoSlips, the Company’s first CCM partner;
- Paul G. Smith and Michael Beckerman were elected to the Company’s Board of Directors;
- Successfully completed a $2 million, non-brokered private placement of convertible debentures, with support from new and existing investors;
- IndiVideo received multiple recognitions including “Best Financial Services Online Video” in Internet Advertising Competition, and voted “Best of Show” at FinovateSpring 2019 in San Francisco;
- Net loss and comprehensive loss increased from $3,349,931 in fiscal year 2018 to $3,840,926 primarily due to increased sales and marketing expenditures to grow both lines of business.
Subsequent Event:
- On September 4, 2019, BlueRush sold the technology and source code for its DigitalReachTM platform and Broadridge’s Smart Advisor® application to Broadridge Financial Solutions, Inc. for $2.3 million in cash.
Financial Results for 2019
The Audited Consolidated Financial Statements and Management’s Discussion and Analysis of Financial Condition and Results of Operations for the year ended July 31, 2019, have been posted both to the BlueRush website at www.bluerush.com and on the SEDAR website at www.sedar.com. The financial information included in this news release is qualified in its entirety and should be read together with the audited consolidated financial statements for the year ended July 31, 2019, including the notes thereto.
About BlueRush
BlueRush develops and markets IndiVideo™, a disruptive, award-winning interactive personalized video platform that drives return on investment throughout the customer lifecycle, from increased conversions to more engaging statements and customer care. IndiVideo enables BlueRush clients to capture knowledge and data from their customers' video interaction, creating new and compelling data driven customer insights.
Forward-Looking Statements
Certain statements contained in this press release may constitute "forward-looking information" as such term is defined in applicable Canadian securities legislation. The words "may", "would", "could", "should", "potential", "will", "seek", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions as they relate to the Company, are intended to identify forward-looking information. All statements other than statements of historical fact may be forward-looking information. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Material factors or assumptions were applied in providing forward-looking information. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking information to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: changes in law; the ability to implement business strategies and pursue business opportunities; state of the capital markets; the availability of funds and resources to pursue operations; a novel business model; dependence on key suppliers and local partners; competition; the outcome and cost of any litigation; as well as general economic, market and business conditions, as well as those risk factors discussed or referred to in disclosure documents filed by the Company with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking information is expressly qualified in its entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking information. The forward-looking information included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking information, other than as required by applicable law.
For further information please contact:
Steve Taylor, CEO Dave Badun, CFO
Tel: 416-457-9391 Tel: 416-203-0618
steve.taylor@bluerush.com dave.badun@bluerush.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.