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STEER Reports 2021 Financial Results and Provides Update

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TORONTO, May 2, 2022 /CNW/ - Facedrive Inc. ("STEER " or the " Company") (TSXV: FD) (OTCQX: FDVRF), an integrated ESG technology platform, today announced its 2021 ("Fiscal 2021") operational and financial results for the year ended December 31, 2021. All financial results are reported in Canadian dollars, unless otherwise stated.[1] Highlights include a Company-record revenue of $25,416,461 in Fiscal 2021, up from $3,934,354 in Fiscal 2020, representing a 546% year over year growth. The Company also reported a record Gross Merchandize Value[2] of $76,928,000 in Fiscal 2021, up from $13,941,560 during Fiscal 2020, representing 452% growth. Steer's EV subscription revenue grew to $2,804,700 in Fiscal 2021, up from $738,000 in Fiscal 2020, representing 280% growth, while Steer's Food Delivery revenue grew to $21,694,500, up from $2,472,300 in Fiscal 2020, or 777% growth.

STEER Logo (CNW Group/Facedrive Inc.)
STEER Logo (CNW Group/Facedrive Inc.)

Fiscal 2021 Interim Financial and Operational Highlights

  • Revenue for Fiscal 2021 was $25,416,500, up from $3,934,400 in the fiscal year ended December 31, 2020.

  • Revenue for Q4 2021 was $10,310,300, up from $3,186,400 in the same period a year earlier.

  • Facedrive Foods' revenue was $21,694,500 in Fiscal 2021, up from $2,472,300 in Fiscal 2020, with the Company estimating that 1 in 5 independent restaurants in Ontario have an account on its platform.

  • Steer subscription revenue was $2,804,700 in Fiscal 2021, up from $738,000 in Fiscal 2020.

  • Net loss was $29,310,800 (of which $19,886,714.71 was cash) in Fiscal 2021, as compared to a net loss of $17,319,000 (of which $9,590,664 was cash) in Fiscal 2020, meaning that while net loss has grown 69.2%, revenue has grown 546% for the same period.

  • General and administration expenses were $7,352,384 in Fiscal 2021, up from $3,605,182 in Fiscal 2020.

"Fiscal 2021 has been a year of strong revenue growth while building a strong platform to further scale the Company in revenues and operations. We have built an organization in which we can scale our revenues in 2022 and beyond without having to increase our costs at the same rate. Our results also show the continued growth and adoption of our platform.. Our emphasis on data and analytics will be strategically important to our offerings, as it will be key to expanding and growing our market share. With our recent financings we have a well capitalized Company, and our focus in 2022 will be to leverage our platform and grow revenues year over year," said Chief Executive Officer Suman Pushparajah.

For detailed information please refer to Facedrive's 2021 Annual Consolidated Financial Statements and its Management's Discussion and Analysis of Financial Condition and Results of Operations for the years ended December 31, 2021 and 2020 (the "2021 Annual MD&A"), filed on SEDAR at www.SEDAR.com. The following table provides a summary of the Company's financial results for the years ended December 31, 2021 and 2020:

Selected Financial Highlights

For the years ended December 31,



2021


2020
(Restated –
Note 38)


REVENUE


$

25,416,461

$

3,934,354


COSTS AND OPERATING EXPENSES







Cost of revenue



27,428,288


3,228,263


General and administration



7,352,384


3,605,182


Operational support



11,754,957


3,764,360


Research and development



2,079,063


1,444,153


Sales and marketing



2,999,199


8,933,587


Amortization



2,721,518


1,010,239


Depreciation



413,526


76,130


Total costs and operating expenses


$

54,748,935


22,061,914


OPERATING LOSS


$

(29,332,474)


(18,127,560)









OTHER INCOME (EXPENSES)







Government and other grants



4,104,361


1,127,130


Foreign exchange loss



(17,166)


(217,610)


Interest expenses



(811,256)


(252,680)


Interest income



38,077


41,663


Gain on lease terminations



42,300


23,014


Deemed disposal of investment



(3,489,916)


-


Fair value gain on investment



13,671


-


Impairment of intangible assets



(67,803)


(350,000)


LOSS BEFORE INCOME TAXES


$

(29,520,206)

$

(17,756,043)

Income tax expense


(85,170)


-

Deferred income tax recovery



294,623


437,000

NET LOSS


$

(29,310,753)


(17,319,043)

Cumulative translation adjustment


$

(31,096)


(75,835)

NET LOSS AND COMPREHENSIVE LOSS


$

(29,341,849)

$

(17,394,878)

Loss per share – basic and diluted


$

(0.31)

$

(0.19)

Weighted average shares outstanding – basic and diluted



95,251,514


91,952,197










Name Change

The Company anticipates issuing a notice of meeting in early May 2022 to announce a shareholder meeting date for middle of July 2022, subject to availability and scheduling conflicts. In addition to serving as the Company's annual general meeting, the Company plans to seek approval of its official name change to "STEER Technologies Inc." by way of Articles of Amendment. Until then, the Company will continue its rebranding efforts including launch of its new website and rebranding of all offerings where possible and applicable.

Shares for Debt

The Company intends to settle the outstanding debts owing by the Company to two consultants in the aggregate amount of $69,500 (the "Debt"), pursuant to agreements with effective dates of May 1st, 2022, through the issuance of 89,025 common shares of the Company ("Shares"). The Shares will be issued at the price of $0.78 per share ("Shares for Debt"). In issuing the Shares for Debt, the Company intends to preserve cash to better fund its operations. Closing of the Shares for Debt remains subject to acceptance by the TSX Venture Exchange.

About the Company

STEER is an integrated ESG technology platform offering on-demand and subscription-based mobility and delivery services aimed at bringing people together, through conscientious commerce, and moving the world forward. The Company seeks to execute on its vision by building a one-of-a-kind system that aggregates conscientious users, through a series of connected offerings, and enables them to buy, sell, or invest with the same platform, STEER. The Company's offerings generally fall into two categories: subscription-based offerings led by its flagship electric vehicle subscription business, Steer EV, and on-demand services incorporating delivery, B2B marketplace and rideshare businesses. The Company's platform is also powered by EcoCRED, its big data, analytics and machine learning engine which seeks to capture, analyse, parse and report on key data points in ways that measure the Company's impact on carbon reductions and offsets.

For more about the Company, visit www.facedrive.com.

STEER
100 Consilium Pl, Unit 400
Scarborough, ON
Canada M1H 3E3
www.facedrive.com

Forward-Looking Information

Certain information in this press release contains forward-looking information, including with respect to the Company's business, operations and condition, management's objectives, strategies, beliefs and intentions, and the company's forward plans to rebrand. This information is based on management's reasonable assumptions and beliefs in light of the information currently available to us and are made as of the date of this press release. Actual results and the timing of events, such as those pertaining to the Company's planned expansion of its electric vehicle business, may differ materially from those anticipated in the forward-looking information as a result of various factors. Information regarding our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. Statements containing forward-looking information are not facts but instead represent management's expectations, estimates and projections regarding future events or circumstances. Many factors could cause our actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements.

See "Forward-Looking Information" and "Risk Factors" in the Company's Annual Management Discussion & Analysis (MD&A) for the year ended December 31, 2020 (filed on SEDAR on April 30, 2021) and its interim MD&A for the period ended September 30, 2021 (filed on SEDAR on November 29, 2021) for a discussion of the uncertainties, risks and assumptions associated with these statements and other risks. Readers are urged to consider the uncertainties, risks and assumptions carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. We have no intention and undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation and regulatory requirements.

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

__________________________

1 All figures are accurate to the hundreds.

2 "Gross Merchandise Value" (GMV) means the total value of merchandise sold over a given period of time through a customer-to-customer (C2C) exchange site. It is intended to measure of the growth of the business or use of a platform to sell merchandise owned by others. In the Company's case, it includes the value of the food and merchandise ordered and the gross fees charged by the Company to customers on account of rides a substantial portion of which the Company does not recognize as revenue. The most directly comparably GAAP financial measure in the context of our Company is revenue which, for Fiscal Year 2021 was 25,416,461 and for Fiscal Year 2020 was $3,934,354. Note that this is a non-GAAP financial measure, meaning that it is not a standardized financial measure under the financial reporting framework used to prepare the Company's financial statements and it might not be comparable to similar financial measures disclosed by other issuers.

SOURCE Facedrive Inc.

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