EQ Inc. (TSXV: EQ) ('EQ Works' or the 'Company'), a leader in geospatial data and intelligence, announced its financial results today for the third quarter ended September 30, 2020.
Revenue for the third quarter was approximately $2.9 million, which increased over 65% from the previous quarter and increased by 15% when compared to the third quarter of 2019. This revenue growth was the result of new data engagements entered into during the quarter and the overall continued growth in the business. Gross margin for the quarter was 50%, significantly stronger than the previous quarter and up substantially from the same period a year ago. Adjusted EBITDA loss for the quarter was approximately $0.1 million, a significant improvement from the loss of $0.6 million experienced in the previous quarter. The Company continued to show growth from both its data and advertising divisions. A continued focus on driving business results from data and analytics, artificial intelligence, predictive modelling and machine learning has continued to generate interest and demand for the Company's products. Data revenue for the quarter increased by 81% compared to the same period a year ago and 64% sequentially, as demand continued to increase for the proprietary data solutions.
About EQ Works
EQ Works (www.eqworks.com) enables businesses to understand, predict, and influence customer behaviour. Using unique data sets, advanced analytics, machine learning and artificial intelligence, EQ Works creates actionable intelligence for businesses to attract, retain, and grow the customers that matter most. The Company's proprietary SaaS platform mines insights from movement and geospatial data, enabling businesses to close the loop between digital and real-world consumer actions.
Forward-Looking Statements
Certain statements contained in this press release constitute 'forward-looking statements'. All statements other than statements of historical fact contained in this press Adjusted EBITDA for three and nine months ended September 30, 2020 and 2019 (In thousands of Canadian dollars) 2020 2019 2020 2019 Total comprehensive loss (627) (327) (2,228) (1,154) Add: Finance costs, net 133 123 382 314 Transaction costs of acquisition - - 23 - Depreciation of property and equipment 18 13 53 40 Amortization of intangible assets 71 11 153 33 Share-based payments 277 45 411 87 Depreciation of right-of-use asset 17 42 52 127 Adjusted EBITDA (111) (93) (1,154) (553) Three months ended September 30, Nine months ended September 30, release, including, without limitation, those regarding the Company's ability to adjust to customer needs in light of COVID-19, the delivery of acceleration notices to the holders of Warrants and the exercise of the Warrants by holders, future financial position and results of operations, strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words 'believe', 'expect', 'aim', 'intend', 'plan', 'continue', 'will', 'may', 'would', 'anticipate', 'estimate', 'forecast', 'predict', 'project', 'seek', 'should' or similar expressions, or the negative thereof, are forwardlooking statements. These statements are not historical facts but instead represent only the Company's expectations, estimates, and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks, and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied, or forecasted in such forward-looking statements. Additional factors that could cause actual results, performance, or achievements to differ materially include, but are not limited to, the risk factors discussed in the Company's MD&A for the three and nine months ended September 30, 2020. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives but cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and any other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release, and the Company assumes no obligation to update or revise them to reflect subsequent information, events, or circumstances or otherwise, except as required by law.
Contact:
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EQ INC. 
