TORONTO, April 19, 2018 (GLOBE NEWSWIRE) -- BlueRush Media Group Corp. (“BlueRush” or the “Company”) (TSXV:BTV), a digital experience and technology leader creating solutions for leading financial institutions via rich and engaging digital content and Interactive Personalized Videos, announces financial results for the three month period ending January 31, 2018.
BlueRush CEO Steve Taylor is quoted as saying, “We’re proud to announce almost 20% quarter over quarter growth. We’ve made investments in our sales, marketing and R&D. We have been able to hit important product milestones as well as achieve some important project wins as we continue our progression to a SaaS company.”
Second Quarter Financial Highlights
- Overall revenues for the three months ended January 31, 2018 grew 19% compared to the three months ended October 31, 2017.
- The SaaS portion of revenues increased $27,079 or 5% for the six months ended January 31, 2018 as compared to the six months ended January 31, 2017. Subscriptions and support revenues were $527,105 or 34% of total revenues of $1,546,597 for the six months ended January 31, 2018.
- Management accredits this increase to our continued investment in our core technologies, excellent service delivery and new investments in sales and marketing.
- We continued our transformation from a Digital Marketing Services company into a SaaS-based business. The Company began to make investments in R&D, Sales and Marketing and we have started to realize the benefits of these investments in an aggressive timeframe.
- Within the multi-billion-dollar Financial Technology (Fintech) space, BlueRush’s SaaS-based technologies have demonstrated the ability to drive significant business results in the areas of mortgage origination, loan origination, personalized statements and in enhancing the customer journey for insurance-related products.
Additional Q2 Business Developments
- BlueRush secured a number of new contracts that validate the product roadmap for IndiVideo and DigitalReach. Both products are gaining increasing traction in the marketplace including a number of notable projects:
- Three new customers were secured for DigitalReach including a multi-year SaaS contract with a major Canadian multinational insurance company and financial services provider to distribute content to Advisors and Brokers.
- A contract was signed in Chile whereby IndiVideo will be used to provide Interactive and Personalized Video explanations of pension fund statements to over two million pensioners. This deal was sold through a new channel partner in the South American region and so represents both a powerful new use case for IndiVideo as well as a foray into a new market.
- IndiVideo was used as part of a program delivered for an existing Financial Services client to drive increased deposits and loans. This program delivered to the client the largest spike in deposits in the shortest period of time in its history.
- IndiVideo will be deployed by one of the Big Five banks in Canada to drive mortgage origination off of their main website.
- Individeo was adopted for use by one of the world's largest fund managers to deliver personalized summaries of investment performance for businesses with assets under management. This use case is revolutionary for wealth managers that have been seeking to find ways to leverage digital technology to be of higher value, tailored to each and every client.
- BlueRush is actively discussing and creating opportunities with a number of other strategic channel partners that give us access to new market opportunities and allow us to quickly expand our technical footprint.
- BlueRush continues to deliver world class Digital Marketing Services that are highly complementary to our SaaS strategy. Projects centered on the creation of product-specific campaigns designed to drive increased business in no fee chequing accounts, deposit products, loans and mortgages. These initiatives surpassed client expectations and delivered best-case results. Two new services clients were added during the quarter.
- There was zero churn in our SaaS business. This is evidence of the quality and stickiness of our software and the solutions we deliver. While our subscription revenue dropped slightly from the previous quarter, this was a reflection of the termination of certain website hosting contracts that are classified within our Subscription and Support revenues. Hosting websites represents a small percentage of our recurring revenue and is not a focus going forward and so we see this change as a reflection and validation of our SaaS focus and it is not a concern for Management.
- The sales funnel grew by 400% in the quarter. Our sales team has grown under the leadership of Ted Mercer - from a single Sales Executive (SE) in Q1 to a team of five including two Sales Executives, a Channel Partner Manager, a VP sales who will carry a sales quota and two Sales Development Representatives. The quality and resourcing level of the sales team, along with investments in marketing, is expected to allow us to support an aggressive growth agenda in the coming quarters.
BlueRush’s financial statements for the three and six months ended January 31, 2018 and accompanying Management's Discussion & Analysis (MD&A) have been filed on SEDAR and are available at www.sedar.com.
The information on our refreshed website www.BlueRush.com reflects the new changes in the Company’s direction.
More information on the BlueRush SaaS products can be viewed for DigitalReach, www.digitalreach.ca and Individeo, www.individeo.com.
About BlueRush Media Group Corp.
The Company, through its wholly owned subsidiary, BlueRush Digital Media Corp., offers a SaaS-based content engagement platform, called DigitalReach, which bridges marketing, sales and compliance. Used by financial advisors, DigitalReach allows for the centralization, personalization, distribution and tracking of content to ensure complete control over what is sent and to whom. BlueRush has also launched IndiVideo, the interactive personalized video platform for financial services. IndiVideo is a highly scalable personalized video platform built to provide AI-driven video content in an easy to understand, entertaining, and compelling manner. The Company's products improve marketing and sales performance and generate greater client satisfaction and loyalty.
The Company is publicly listed on the TSXV trading under the symbol 'BTV'.
For further information please contact:
Ted Mercer, VP Sales
Tel: 416-203-0618 ex. 182
Steve Taylor, CEO
Tel: 416-203-0618 ex. 264
Certain statements contained in this press release constitute 'forward-looking information' as such term is defined in applicable Canadian securities legislation. The words 'may', 'would', 'could', 'should', 'potential', 'will', 'seek', 'intend', 'plan', 'anticipate', 'believe', 'estimate', 'expect' and similar expressions as they relate to the Company, including: the primary driver of shareholder value going forward being the growth of the Company’s Software as a Service (SaaS) business; the Company announcing details of an 18-month financing package in Q4; a future financing including additional investment from certain members of the Board and Management; and additional investments allowing the Company to accelerate growth, drive more SaaS billings as a percentage of total revenue and ensuring that the substantial opportunity for the BlueRush investors is fully realized; are intended to identify forward-looking information. All statements other than statements of historical fact may be forward-looking information. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to the Company, and are subject to certain risks, uncertainties and assumptions. Material factors or assumptions were applied in providing forward-looking information, including, without limitation: Software as a Service (SaaS) business’ generally having a higher market valuation; continued strength in capital markets; personal financial situations of certain members of the Board and Management do not change resulting in a change in their ability to participate in a financing; and additional investments permitting the Company to invest in sales assets and markets. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking information to vary from those described herein should one or more of these risks or uncertainties materialize. These factors include, without limitation: changes in law; the ability to implement business strategies and pursue business opportunities; state of the capital markets; the availability of funds and resources to pursue operations; a novel business model; dependence on key suppliers and local partners; competition; the outcome and cost of any litigation; as well as general economic, market and business conditions, as well as those risk factors discussed or referred to in disclosure documents filed by the Company with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward-looking information is expressly qualified in its entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking information. The forward -looking information included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking information, other than as required by applicable law. The Company’s results and forward-looking information and calculations may be affected by fluctuations in exchange rates.
Neither 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.