Ackroo CEO predicts profit to come in 2016

Ottawa-based Ackroo will turn a profit in 2016, CEO Steve Levely said Wednesday.

“The company has delivered substantial year-over-year revenue and customer growth in 2015 and is now only a quarter or two away from profitability,” Mr. Levely said in a statement as the loyalty solution provider released its business outlook and strategic plan for 2016.

Mr. Levely said he was pleased with the company’s performance in 2015, citing product enhancements, strengthened partnerships, new business channels and two acquisitions Ackroo made in the last 12 months.

Looking ahead to 2016, the company hopes to raise year-over-year revenues by 50 per cent while keeping operating costs at 2015 levels, other than a maximum 10 per cent increase to support “organic growth.”

Ackroo (TSXV: AKR) said it will look to continue strengthening existing partnerships while adding new ones to support its go-to-market strategy.

By delivering improved products and services to its customers, the company is hoping to continue increasing monthly recurring revenue. It also wants to boost the number of customer locations by 75 per cent.

“Additional” mergers or acquisitions could also be on the horizon in 2016, it said.

“We believe we have the right team, focus and plan to execute on our goals and deliver the company’s most successful year yet,” Mr. Levely said.

That team will not include Dan Liu, who has resigned as the firm’s chief financial officer. Ms. Liu’s resignation comes as Ackroo moves its financial department from Ottawa to Hamilton to be closer to Mr. Levely’s office there.

Ms. Liu’s replacement will be named in early 2016, the company said, while thanking Ms. Liu for her “commitment and contribution.”