Toronto, Ontario--(Newsfile Corp. - October 28, 2024) - Hank Payments Corp. (TSXV: HANK) ("Hank" or the "Company"), an emerging North American leader in the Banking-as-a-Service (BaaS) market with a platform that modernizes budgets and payments for enterprises and consumers is pleased to its fourth quarter and year end financial results for the period ending June 30, 2024. All figures are in CAD.

FINANCIAL HIGHLIGHTS

• Revenue for the fourth quarter ending June 30, 2024, exceeded $1.98 MM, an increase of 41% over the June 2023 quarter;

• Full year revenue of $7.38 MM, an increase of 25% year over year;

• Adjusted loss from operations for Q4 improved by 17% to $239,986 as compared to Q3, 2024, as a result of continued increase in revenues and lower operating expenses;

• Company continues prioritizing positive cash flow and EBITDA from operations and is focused on growth of high margin revenue while investing carefully in technology and marketing.

Over the past year, the Company has been focused on driving organic growth through new Enterprise Partner agreements given the size and value of the overall opportunity and scalable consumer acquisition model. The Company will continue to innovate with new features that help clients and the enterprises that serve consumers to better manage and monitor their respective financial goals and performance. New products and features are expected to increase retention and profitability of consumer and enterprise partner relationships.

Consistent with the previous quarter, Hank continued to experience growing revenues for the quarter ending June 30, 2024. The Company incurred an adjusted loss from operations of $239,986 in Q4, 2024 compared to an adjusted loss from operations of $288,123 in the previous quarter, an improvement of 17%. The decreased adjusted loss for the quarter is due to an increase in revenues providing higher gross profit and lower operating expenses. The Company incurred a loss from operations of $308,103 in Q4, 2024 as compared to a loss from operations of $452,468 in the previous March 2024 quarter an improvement of 32%.

Revenue increased by $1,477,971 or 25% for the year ended June 30, 2024, in comparison to the year ended June 30, 2023. The increase was primarily due to the launch in September 2023 of a new licensing agreement, and the addition of new revenue streams from education. The Company recorded an adjusted loss from operations of $1,182,127 for the year ended June 30, 2024, compared to adjusted loss from operations of $1,814,056 for the year ended June 30, 2023, an improvement of 35%. The Company recorded a loss from operations of $1,723,738 for the year ended June 30, 2024, compared to a loss from operations of $2,567,169 for the year ended June 30, 2023, an improvement of 33%.

Michael Hilmer, CEO and Chairperson commented "We continue to focus on transactions and operational execution as well as technology advancement that accelerates growth and earnings, and we are pleased with the meaningful progress our team has made toward these goals."

A comprehensive discussion of Hank's financial position and results of operations is provided in the financial statements and MD&A for the three and twelve month periods ending June 30, 2024, filed on SEDAR.

About Hank Payments Corp.

Hank Payments Corp (the Company or "Hank") is a North American leader in consumer Fintech Software-as-a-Service (SaaS) and Banking-as-a-Service (BaaS) platforms that manages consumer cash flow and budgets on an automated basis using proprietary algorithms that collect, store and disburse cash as required to discharge obligations in a timely fashion. The Hank stack provides for several vertical market applications of the technology, with features specific to channels and enterprise accounts ("Partners") that allow those partners to operate new lines of business and revenue streams, using Hank. The Partners benefit from new revenue streams and powerful insights that open up additional opportunities for Partners to grow assets using Hank. The Company operates exclusively across the USA, with certain leadership and technology functions in Toronto. Hank houses the complex technology, banking, treasury, customer service, sales and operations teams that acquire and service consumers. Hank currently charges upfront enrolment/setup fees and recurring monthly fees based on the types and quantity of payments that Hank Payments administers for the consumer (the "Users"). The Company acquires Users through various channels including (i) small to medium sized enterprises (the "SME Partners") and (ii) large enterprise businesses (the "Enterprise Partners"). The Company's BaaS model is emerging which is expected to add additional fees including software licensing and usage fees. For more information visit our website at www.hankpayments.com.

Forward-Looking Statements

This news release may contain forward-looking statements (within the meaning of applicable securities laws) which reflect the Company's current expectations regarding future events. Forward-looking statements are identified by words such as "believe", "anticipate", "project", "expect", "intend", "plan", "will", "may", "estimate" and other similar expressions. These statements are based on the Company's expectations, estimates, forecasts, and projections and include, without limitation, statements regarding the future success of the Company's business. Financial performance figures in Canadian Dollars unless otherwise indicated by "U" representing United States Dollars.

The forward-looking statements in this news release are based on certain assumptions, including without limitation the Shares beginning trading on the TSXV. The forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, the Company assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

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To view the source version of this press release, please visit https://www.newsfilecorp.com/release/228128