WINNIPEG, MB - Farmers Edge Inc. ('Farmers Edge' or the 'Company') (TSX: FDGE), a pure-play digital agriculture company reports its financial results for the three months and six months ended June 30, 2022. All amounts are expressed in Canadian dollars. Certain metrics are non-GAAP and other financial measures or key performance indicators. See 'Key Performance Indicators and Non-GAAP and Other Financial Measures' below.
New Digital Agronomy acres added for the three months and the six months ended June 30, 2022 were 1.3 million and 2.9 million acres, respectively, including 0.6 million new Progressive Grower Program ('PGP') acres in Q2 2022 (YTD - 1.5 million PGP acres).
Subscribed acres were 15.3 million which was lower than at March 31, 2022 due to the release of PGP acres not converted and paid acres churn. Additionally, we reduced the carbon offset revenue in ARR by $4.0 million due to pricing uncertainty. This resulted in ARR of $49.0 million at June 30, 2022.
A decision was taken to pause the Progressive Grower Program ('PGP'), effective July 8th 2022 which will reduce cash burn rate. We are no longer signing up customers on free acres and the PGP 2021 conversion rate to paid acres is expected to be approximately 30%.
Business Highlights
'Our technology is our core strength and we strive to lead the industry by offering best-in-class digital solutions to our customers and our partners, 'said Vibhore Arora, Chief Executive Officer of Farmers Edge. 'Our current focus is to improve our execution and implement cost-saving initiatives to lower our operating costs and reduce our cash burn.'
About Farmers Edge
Farmers Edge is leading the next agricultural revolution with the industry's broadest portfolio of proprietary technological innovations, spanning hardware, software, and services. Powered by a unique combination of connected field sensors, artificial intelligence, big data analytics, and agronomic expertise, the Company's digital platform turns data into actions and intelligent insights, delivering value to all stakeholders of the agricultural ecosystem. Farmers Edge disruptive technologies accelerate digital transformation on the farm and beyond, protecting our global resources and ensuring sustainable food production for a rapidly growing population.
For more information, please visit www.farmersedge.ca and SEDAR (www.sedar.com).
Forward-Looking Information
This press release may contain forward-looking information within the meaning of applicable securities legislation. Such information includes, but is not limited to, statements related to the Company's anticipated results and future cost savings and its future business prospects, partnerships and opportunities, including the planned further expansion into the carbon credit market, and the anticipated benefits therefrom. Words such as 'expect,', 'anticipate', 'intend,', 'may,', 'will', 'estimate' and variations of such words and similar expressions are intended to identify such forward-looking information. This information is based on the Company's reasonable assumptions and beliefs in light of the information currently available to it and the statements are made as of the date of this press release. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company's control, that could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such assumptions, risks and uncertainties include, but are not limited to, the factors discussed under 'Forward-Looking Information' and 'Risk Factors' in the Company's most recent Annual Information Form and under the 'Risk Factors' section in the Company's management discussion and analysis filed today, August 11, 2022, each of which are available on the Company's website (www.farmersedge.ca/investor-relations/) and on SEDAR (www.sedar.com). The Company cautions that the list of risk factors and uncertainties is not exhaustive and other factors could also adversely affect the Company's results. Readers are urged to consider the risks, uncertainties and assumptions associated with these statements carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. The Company does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
Contact:
Farmers Edge Investor
E: InvestorRelations@FarmersEdge.ca
T: (204) 992-7019
Farmers Edge Media
Richard Berman
E: Richard@VerbFactory.com
T: (647) 294-8372
FARMERS EDGE INC. 