Mr. Steve Taylor reports

BLUERUSH INC. RELEASES FISCAL Q1 2024 RESULTS

In its recent financial quarter ending Oct. 31, 2023, Bluerush Inc. had a challenging quarter compared with the same period in the previous year. This press release provides an overview of the company's performance, underlying factors, strategic responses and outlook for the future.

Financial highlights

• SaaS (software-as-a-service) revenues: decreased by 15 per cent to $644,914 in Q1 2024, compared with $756,024 in Q1 2023;
• Gross profit: witnessed a 40-per-cent decrease, amounting to $482,682 in Q1 2024, versus $844,587 in Q1 2023;
• Total operating expenses: decreased by 20 per cent or $284,446, totalling $1,169,983 in Q1 2024, compared with $1,454,384 in Q1 2023.

The recent fiscal quarter saw Bluerush experience a decline in its total revenues (both SaaS revenues and Bluerush's other revenues). This decline was primarily attributed to the loss of a large customer, driven by its need to undertake significant cost-cutting measures, despite its satisfaction with Bluerush's technological solutions.

The past year has presented challenges, largely influenced by external economic conditions and pressures within the financial services sector. However, Bluerush remains committed to its core strength of delivering exceptional value and is taking pro-active steps to adapt and thrive in this evolving market landscape.

In response to these challenges, Bluerush has implemented several key strategies:

• Diversification of client portfolio: goal of broadening its client base across different sectors to mitigate risks associated with client concentration;
• Enhancement of technology: continuing to invest in technology, particularly in the domain of artificial intelligence, to offer more cost-effective and innovative solutions;
• Focus on growth areas within the financial services vertical: certain areas including wealth management and insurance continue to show strength.

Market outlook -- Despite the challenges of the past months, Bluerush remains cautiously optimistic about the recovery and growth opportunities within the financial services and other sectors. Recent new customers provide a springboard for growth and the company is strategically positioning itself to capitalize on emerging opportunities, especially in the wealth management, banking and insurance sectors.

Sector-specific successes:

• Insurance vertical: Bluerush has seen considerable success in the insurance sector, especially with innovative solutions in pet insurance, flood insurance and support for insurance brokers through personalized video technology.
• 401K market: Bluerush solutions in the 401K market have shown promising growth, with new customer acquisitions and effective support in matched funding programs.
• Significant new enterprise customer: Toward the end of Q1 2024, Bluerush secured a large $80,000 (U.S.) subscription deal with a large enterprise customer. This deal, although not reflected in the quarter's financials due to being signed at the end of the quarter, has the potential to generate future revenue streams.

Management remains confident that the strategic decisions and initiatives undertaken are guiding the company toward sustained growth and stability in annual recurring revenue. Bluerush is continuously exploring innovative solutions and market opportunities to ensure long-term success.

About Bluerush Inc.

Bluerush develops and markets IndiVideo, a disruptive, award-winning interactive personalized video platform that drives return on investment throughout the customer life cycle, 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.

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