Preliminary 2022 Revenues up 34% to Approximately $4.4 million
ATLANTA, GA, Feb. 28, 2023 (GLOBE NEWSWIRE) -- RDE, Inc. (OTCQB: RSTN) (the “Company”), the owner and operator of Restaurant.com, the nation’s largest restaurant-focused digital deals brand, today announced preliminary unaudited fourth quarter and full year 2022 financial results.
Ketan Thakker, Chief Executive Officer of RDE, Inc., commented, “We are thrilled with our finish to 2022, which has carried through so far in 2023. All of our data points are trending positively, highlighted by growth in our restaurant partners and customers, both leading to an increase in transactions and revenue.”
Thakker, continued, “While the industry exits a slowdown from the pandemic, we are witnessing increased demand from consumers. We continue to focus on increased user engagement through retention and monetization, which is driving growth in revenue. As our preliminary numbers indicate, RDE’s Restaurant.com is trending in the right direction, and we will maintain our focus on accelerating revenue growth with an eye on reducing our operating loss and targeting profitability.”
Preliminary FY 2022 Financial Highlights (vs. FY 2021)
Revenue is projected to increase 34% to approximately $4.4 million, compared to $3.3 million.
Direct cost of revenues is expected to increase 109% to approximately $0.8 million, compared to $0.4 million.
Operating expenses decreased by 24% to $6.7 million, compared to $8.8 million.
Operating loss is expected to improve by 58% to approximately ($2.3) million compared to ($5.5) million.
Net loss is expected to improve by 74% to approximately ($1.3) million compared to ($5.0) million.
Preliminary Q4 2022 Financial Highlights (vs. Q4 2021)
Revenue is projected to increase 20% to approximately $1.0 million, compared to $0.9million.
Direct cost of revenues is expected to increase 98% to approximately $0.2 million, compared to $0.1 million.
Operating expenses increased by 5% to $1.8 million, compared to $1.7 million.
Operating loss is expected to improve by 11% to approximately ($0.7) million compared to ($0.8) million.
Net loss is expected to improve by 9% to approximately ($0.8) million compared to ($0.8) million.
About RDE, Inc.
RDE, Inc. (OTCQB: RSTN) (Restaurant, Dining and Entertainment) is a pioneer in the restaurant deal space and the nation’s largest restaurant-focused digital deals brand. Founded in 1999, Restaurant.com, Specials by Restaurant.com and our Corporate Incentives division connect digital consumers, businesses and communities offering thousands of dining, retail and entertainment deal options nationwide at over 182,500 restaurants and retailers to over 7.8 million customers. Our 12,500 core restaurants and 170,000 Dining Discount Pass restaurants and retailers extend nationwide. Our top three B2C markets are New York, Chicago and Los Angeles. Restaurant.com prides itself on offering the best deal, every meal. Our restaurant certificates and gift cards allow customers to save at thousands of restaurants across the country with just a few clicks.
Cautionary Note Regarding Preliminary Financial Information
This release should be read in conjunction with the financial statements and management’s discussion and analysis (“MD&A”) included in the Company’s filings with the Securities and Exchange Commission (“SEC”), as well as the matters discussed under "Risk Factors" in the Company's Form 10 for the fiscal year ended December 31, 2021 as updated by the Company’s filings with the SEC. The audited annual consolidated financial statements of the Company for the year ended December 31, 2022, and related MD&A are expected to be released on or before March 31, 2023.
Preliminary financial information disclosure has been prepared by management based on information available to it as of the date hereof and should not be viewed as a substitute for full financial statements prepared in accordance with GAAP. Estimated preliminary results are subject to completion of our customary quarterly and annual financial closing and audit and review procedures and are not comprehensive statements of our financial results for the three months and fiscal year ended December 31, 2022 and are subject to adjustments as a result of such procedures. In addition, preliminary financial information disclosure is not necessarily indicative of the results to be achieved in any future period. As a result, actual results may differ materially from the preliminary results shown above and will not be publicly available until the Company reports its fourth quarter and full year fiscal 2022 results in March 2023. In addition, this preliminary financial information is not necessarily indicative of the results to be achieved in any future period. Our financial statements and related notes as of and for the fiscal year ended December 31, 2022 are expected to be filed with the SEC during March of 2023.
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are typically identified by terms such as "estimate," "expect,” “project”, “anticipate”, "guidance," "intend," "financial outlook," "plan, "will," “approximately”, and similar expressions. These forward-looking statements are based on current expectations and include our expectations with respect to preliminary financial results for the three months and full year ended December 31, 2022 disclosure. The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties, and assumptions, many of which involve factors or circumstances that are beyond our control.
Financial guidance should not be viewed as a substitute for full financial statements prepared in accordance with GAAP.
If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, RDE’s actual results could differ materially from the results expressed or implied by the forward-looking statements we make. The risks and uncertainties referred to above include, but are not limited to: risks associated with current economic uncertainties tied to the COVID-19 pandemic, including but not limited to its effect on customer demand for the our products and services and the impact of potential delays in supply of product inputs and customer payments; risks associated with new product releases; the impacts of further inflation; risks that customer demand may fluctuate or decrease; risks that we are unable to collect unbilled contractual commitments, particularly in the current economic environment; our ability to compete successfully and manage growth; our need for significant capital; our ability to develop and expand strategic and third party distribution channels; our dependence on third party suppliers, brewers and distributors risks related to our international operations; our ability to continue to innovate; our strategy of making investments in sales to drive growth; increasing costs of fuel and freight, protection of intellectual property; competition; general political or destabilizing events, including war, conflict or acts of terrorism; the effect of evolving domestic and foreign government regulations, including those addressing data privacy and cross-border data transfers; and other risks detailed from time to time in RDE’s public filings, including RDE’s annual report on Form 10 filed on April 18, 2022 and subsequent reports filed with the Securities and Exchange Commission, which are available on the Securities and Exchange Commission’s web site at www.sec.gov. These forward-looking statements are based on current expectations and speak only as of the date hereof. RDE assumes no obligation and does not intend to update these forward-looking statements, except as required by law.