Gatekeeper Reports $9.7M Revenue, $1.9M Net Income, 212% YoY Growth in Fiscal Q2 2023

Abbotsford, British Columbia–(Newsfile Corp. – April 19, 2023) – Gatekeeper Systems Inc. (TSXV: GSI) (OTC Pink: GKPRF) (‘Gatekeeper’ or the ‘Company’), a video and data solutions provider for public transportation and smart cities, reports its financial results for the three and six months ended February 28, 2023.

Highlights for Second Fiscal Quarter Ended February 28, 2023:

• Revenue for the three and six months ended February 28, 2023 was $9,685,773 and $14,570,831 respectively, the highest in the Company’s history and compares to $3,104,308 and $5,803,897, respectively, for the three and six months ended February 28, 2022, representing an increase of 212% and 151% respectively;
• Gross margin for the three months and six months ended February 28, 2023 was $4,545,579 and $6,091,697, respectively, the highest in the Company’s history, and compares to $981,111 and $2,700,550 for the same prior year comparable periods, representing an increase in gross margin of 363% and 126%, respectively;
• Gross margin as a percentage of revenue for the three and six months ended February 28, 2023 was 47% and 42%, respectively, compared to 32% and 47% for the same prior year comparable periods;
• Total comprehensive income for the three and six months ended February 28, 2023 was $1,865,904 and $1,779,890, the highest in the Company’s history, and compares to total comprehensive loss of $666,208 and $483,115 for the same prior year comparable periods;
• For the trailing twelve months ended February 28, 2023, revenue was $28,798,222, gross margin was $12,699,960, and total comprehensive income was $4,192,185;
• At February 28, 2023, the Company had working capital of $12,233,848 and approximately 91.4 million shares outstanding.

Management Commentary

Doug Dyment, President and CEO, commented, “Our financial performance in the second fiscal quarter of 2023 was record-breaking in all aspects. We are witnessing significant growth in both the transit and school segments of our business. Our Platform as a Service (PAAS) business model is proving to be very successful in increasing our revenues on a per bus/train basis and is solidly contributing to our evolution as a data company. During the quarter we increased the installed base of mobile data collectors to more than 47,000 and we successfully completed a $4 million contract which was one of the largest in our history. During the quarter we launched AI Dash Cam with video analytics for improved safety which is receiving strong customer interest.”

Selected Financial Information

Full details of the financial reports and operating results for the fiscal second quarter ended February 28, 2023, are described in the Company’s unaudited interim consolidated financial statements with accompanying notes and related Management’s Discussion and Analysis, available on SEDAR at www.sedar.com.

About Gatekeeper Systems Inc.

Gatekeeper is a leading provider of intelligent video and data solutions designed to provide a safer transportation environment for children, passengers, and public safety personnel on multiple transportation modes. The Company uses AI, video analytics, thermal cameras, and mobile data collectors to inter-connect public transit assets as part of intelligent transportation systems in a Smart City ecosystem. The Company’s Platform-as-a-Service (PaaS) business model is an enabling transformation to a video and data solutions provider for intelligent transit and Smart Cities. www.gatekeeper-systems.com

Contact Information:

Douglas Dyment
President & CEO
ddyment@gatekeeper-systems.com
(604) 864-6187

Cautionary Note Regarding Forward-Looking Statements: Certain statements made in this press release that are not historical facts are forward-looking statements and are subject to important risks, uncertainties and assumptions, both general and specific, which give rise to the possibility that actual results or events could differ materially from our expectations expressed in or implied by such forward-looking statements. As a result, we cannot guarantee that any forward-looking statement will materialize, and readers are cautioned not to place undue reliance on these forward-looking statements. For more exhaustive information on these risks and uncertainties, the reader should refer to the risk factors described in the management’s discussion and analysis for the period ended February 28, 2023. The forward-looking statements contained in this press release represent our expectations as of the date hereof. We disclaim any intention and assume no obligation to update or revise any forward-looking statements. Forward-looking statements are presented for the purpose of providing information about management’s current expectations and plans and allowing investors and others to obtain a better understanding of our anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes. The Company undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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