After recording its lowest quarterly operating costs ever, Ackroo says it’s in a strong position to scale following its third consecutive quarter of rising revenues.
This week, the Ottawa-based loyalty and rewards services provider announced revenues of $622,867 for the quarter ending Sept. 30, an increase of 11 per cent from the same period a year ago.
Contributing to the growth was a 26-per-cent increase in subscription and services revenue. Recurring revenues now stand at more than $400,000 per quarter.
The firm cut its net loss to $167,756, an improvement from $488,645 a year ago. Operating losses were reduced by 87 per cent this quarter, and monthly burn is now less than $5,000 per month.
According to the firm’s MD&A report, cuts came in the form of job losses and reduced costs of goods and services such as license fees.
“The company now has a solid operational model and revenue run rate to maintain its operations and begin scaling in a material way. An exciting time for the company and for shareholders,” the report reads.
It was also a milestone quarter for Ackroo as the firm surpassed its 500th restaurant location. The company develops cloud-based rewards programs for retail and hospitality merchants.