Accelerating Adoption Driving Exponential Increase in Unit Sales
Management to Host Conference Call at 8:30 a.m. ET on Friday, November 15
VANCOUVER, BC, Nov. 14, 2024 /CNW/ — Siyata Mobile Inc. (Nasdaq: SYTA) (“Siyata” or the “Company”), a global developer and vendor of Push-to-Talk over Cellular (PoC) handsets and accessories, today announced its financial results for the three months ended September 30, 2024.
Marc Seelenfreund, CEO of Siyata, said, “We delivered $5.9 million in revenue for the third quarter, the largest in our company’s history and representing exponential growth of more than 200% year-over-year. This performance underscores the significant momentum we are building, especially in the U.S. market, where sales have increased by 55% year-to-date. More broadly, demand for our SD7 handsets is increasing across a diversity of vertical markets and use cases. Adoption of our disruptive, ruggedized handsets is accelerating to replace more traditional land mobile radio (LMR).”
Seelenfreund continued, “We are optimistic about our outlook going forward with the goal of reaching profitability in the coming quarters. We have a pipeline of exciting new sales opportunities, and we are well positioned with ample inventory to meet demand. Further, we believe that we have a very exciting 5G product portfolio planned to launch in 2025 which will position us as the leading PTT handset provider on a global level. We announced recently that T-Mobile is the first wireless carrier that will be launching part of the portfolio and will be releasing details of the innovative devices over the coming months. We are optimistic that more wireless carriers will follow suit.”
Key financial highlights for the three months ended September 30, 2024:
Revenues were $5.9 million compared to $1.8 million for the three months ended September 30, 2023.Revenue from the U.S. market was $4.8 million, or 81% of total revenue, compared to $1.3 million or 69% percent of total revenue for the three months ended September 30, 2023.Gross margin of $1.7 million, or 29.0% of revenue, compared to $0.5 million, or 26.6% of revenue, in the same period last yearNet loss was $0.6 million as compared to a net loss of $1.9 million in the same period last year.Adjusted EBITDA was ($3.3) million versus ($1.6) million in the same period last year.
Liquidity and Capital Resources
As of September 30, 2024, the Company had a cash balance of $0.2 million compared to $0.9 million as of December 31, 2023.
Conference Call Details
The Company will host a conference call at 8:30 a.m. ET on Friday, November 15, 2024 to discuss its third quarter 2024 financial results.
Date: Friday, November 15, 2024
Time: 8:30 a.m. Eastern Time/5:30 a.m. Pacific Time
North America dial-in number: +1 (888) 506-0062
International toll-free dial-in number: +1 (973) 528-0011
Access Code: 721899
A replay will be available until November 29, 2024. To access the replay, dial +1 (877) 481-4010 or +1 (919) 882-2331. When prompted, enter Passcode 51578.
The call will also be available over the Internet and accessible at: https://www.webcaster4.com/Webcast/Page/2988/51578.
About Siyata Mobile
Siyata Mobile Inc. is a B2B global developer and vendor of next-generation Push-To-Talk over Cellular handsets and accessories. Its portfolio of rugged PTT handsets and accessories enables first responders and enterprise workers to instantly communicate over a nationwide cellular network of choice, to increase situational awareness and save lives. Police, fire, and ambulance organizations as well as schools, utilities, security companies, hospitals, waste management companies, resorts and many other organizations use Siyata PTT handsets and accessories today.
In support of our Push-to-Talk handsets and accessories, Siyata also offers enterprise-grade In-Vehicle solutions and Cellular Booster systems enabling our customers to communicate effectively when they are in their vehicles, and even in areas where the cellular signal is weak.
Siyata sells its portfolio through leading North American cellular carriers, and through international cellular carriers and distributors.
Siyata’s common shares trade on the Nasdaq under the symbol “SYTA”.
Visit www.siyata.net and unidencellular.com to learn more.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Because such statements deal with future events and are based on Siyata’s current expectations, they are subject to various risks and uncertainties and actual results, performance, or achievements of Siyata could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed under the heading “Risk Factors” in Siyata’s filings with the Securities and Exchange Commission (“SEC”), and in any subsequent filings with the SEC. Except as otherwise required by law, Siyata undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites and social media have been provided as a convenience, and the information contained on such websites or social media is not incorporated by reference into this press release.
— Tables Follow —
Siyata Mobile Inc.
Condensed Consolidated Statements of Financial Position
(Expressed in US dollars)
USD
USD
September 30, 2024
December 31, 2023
Assets
Current
Cash
220,243
898,771
Trade And Other Receivables
3,058,921
1,181,257
Prepaid Expenses
1,441,564
29,673
Inventory
3,866,118
3,544,519
Advance To Suppliers
683,442
1,048,227
9,270,288
6,702,447
Long Term Receivable
177,155
147,100
Investment in Securities
1,300,000
–
Right Of Use Assets
431,471
630,793
Equipment
145,750
175,335
Intangible Assets
8,038,601
7,856,730
Total Assets
19,363,265
15,512,405
Liabilities And Shareholders’ Equity
Current
Loans to Financial Institutions
2,546,335
89,298
Sale of future receipts
996,048
1,467,899
Accounts Payable And Accrued Liabilities
4,374,116
3,449,103
Deferred Revenue
31,277
2,025
Short Term Lease Liability
26,427
254,668
Warrants and preferred shares liability
1,051,865
156,433
9,026,068
5,419,426
Long Term Lease Liability
439,027
385,639
439,027
385,639
Total Liabilities
9,465,095
5,805,065
Shareholders’ Equity
Share Capital
101,997,458
85,714,727
Reserves
14,899,768
14,644,200
Accumulated Other Comprehensive Loss
98,870
98,870
Deficit
(107,097,926)
(90,750,457)
9,898,170
9,707,340
Total Liabilities And Shareholders’ Equity
19,363,265
15,512,405
Siyata Mobile Inc.
Condensed Consolidated Statements of Loss and Comprehensive Loss
(Expressed in US dollars)
For the three and nine months ended September 30, 2024 and 2023
Three Months Ended
Nine Months Ended
September 30,
2024
September 30,
2023
September 30,
2024
September 30,
2023
Revenue
$ 5,862,575
$ 1,842,390
$ 10,111,422
$ 6,355,744
Cost Of Sales
(4,159,542)
(1,352,293)
(7,348,158)
(4,564,640)
Gross Profit
1,703,033
490,097
2,763,264
1,791,104
29.0 %
26.6 %
27.3 %
28.2 %
Expenses
Amortization And Depreciation
424,393
453,500
1,262,180
1,308,639
Development Expenses
294,753
87,652
329,753
173,102
Selling And Marketing
1,367,546
743,760
3,469,952
2,734,928
Equity promotion and marketing
2,190,162
540,000
4,340,162
1,131,200
Inventory loss (income) from water
damage
–
(405,364)
–
(405,364)
General And Administrative
1,166,461
1,458,284
3,238,314
4,012,896
Bad Debts (Recovered)
8,132
16,512
26,990
26,660
Insurance proceeds from water
damage
–
(380,077)
–
(380,077)
Share-Based Payments
54,682
202,072
255,568
773,605
Total Operating Expenses
5,506,129
2,716,339
12,922,919
9,375,589
Net Operating Loss
(3,803,096)
(2,226,242)
(10,159,655)
(7,584,485)
–
Other Expenses
–
Finance Expense
527,962
33,684
2,250,001
109,033
Loss on issuance
–
–
6,129,282
–
Loss on extinguishment of financial
liability
–
–
601,163
–
Foreign exchange
(26,592)
(109,895)
(37,243)
(188,494)
Change in preferred share liability
(386,022)
–
(386,022)
Gain on settlement of derivative
(3,723,827)
–
(3,723,827)
Change in fair value of warrant
liability
3,900
(294,858)
(50,670)
1,561,765
Transaction Costs
427,812
–
1,405,130
–
Total Other Expenses
(3,176,767)
(371,069)
6,187,814
1,482,304
Net Loss For The Period
$ (626,329)
$ (1,855,173)
$(16,347,469)
$ (9,066,789)
Comprehensive Loss For The Period
(626,329)
(1,855,173)
(16,347,469)
(9,066,789)
Weighted average shares
1,580,010
14,226
574,313
8,353
Basic and diluted loss per share
(0.40)
(130.41)
(28.46)
(1,085.40)
Reconciliation to Adjusted EBITDA
(Expressed in US dollars)
For the three and nine months ended September 30, 2024 and 2023
Three Months Ended
Nine Months Ended
September 30,
2024
September 30,
2023
September 30,
2024
September 30,
2023
Net Operating Loss
(3,803,096)
(2,226,242)
(10,159,655)
(7,584,485)
Addback
Amortization and
depreciation
424,393
453,500
1,262,180
1,308,639
Share based
compensation
54,682
202,072
255,568
773,605
Adjusted EBITDA
(3,324,021)
(1,570,670)
(8,641,907)
(5,502,241)
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SOURCE Siyata Mobile Inc.
