SalesCloser AI, Wishpond's AI enabled sales agent, achieved $1 million in Annual Recurring Revenue ("ARR")(1), representing the fastest ARR(1) growth among the Company's products to date.
The Company expects revenue growth in the second half of 2025, with such growth primarily driven by the growth of its SalesCloser AI ("SalesCloser") platform, a virtual AI sales agent that can conduct sales calls and demos in multiple languages with minimal human intervention.
VANCOUVER, BC, May 22, 2025 /CNW/ - Wishpond Technologies Ltd. (TSXV: WISH) (OTCQX: WPNDF) (the "Company" or "Wishpond"), a provider of AI-enabled marketing-focused online business solutions, announces it has filed its interim consolidated financial statements (the "Interim Financial Statements") and management's discussion and analysis (the "MD&A") for Q1-2025, representing the three months ended March 31, 2025. Copies of the Interim Financial Statements and MD&A are available on the Company's profile on SEDAR+ at www.sedarplus.ca.
Ali Tajskandar, Wishpond's Founder and CEO commented, "We are encouraged by the increasing traction of our SalesCloser AI product in the first quarter of 2025. SalesCloser AI has achieved $1 million in ARR(1) representing the fastest ARR(1) growth among the Company's products to date. With over 150 customers and more than 2,600 AI-powered agents deployed, SalesCloser has established itself as our fastest-growing product, which we believe meets a critical need for AI-driven sales automation. This milestone is a testament to the value our technology brings, helping businesses streamline their sales processes, reduce costs, and increase conversions. We are excited to continue expanding SalesCloser's capabilities and exploring new opportunities for growth."
Ali Tajskandar further adds, "Over the past year, Wishpond has made significant strides in transforming into an AI-driven company. We've evolved from offering marketing solutions primarily to SMBs, to developing a fully autonomous, AI-enabled marketing and sales platform designed for businesses of all sizes. This shift included the launch of our AI-integrated platform, the successful integration of SalesCloser into our internal sales processes, a strategic move away from lower-margin legacy customers, and a refocused sales strategy centered on our new AI agentic products. As a result, in our view, we have made meaningful investments in AI by dedicating time, capital, and resources to drive innovation. Furthermore, we've redefined our value proposition, optimized our product lineup, and strengthened our go-to-market strategy. As we continue to innovate, our mission remains clear: to help businesses harness the power of AI to optimize customer acquisition, boost conversions, and achieve sustainable growth."
Adrian Lim, Wishpond's Chief Financial Officer commented, "Our Q1-2025 results demonstrate the impact of our strategic shift towards an AI-driven platform. Achieving $1 million in ARR(1) with SalesCloser AI is a clear indication of the demand for our solutions and our ability to deliver value to our clients. While we experienced a year-over-year decline in quarterly revenue due to our strategic shift towards building AI enabled products and our focus on more profitable revenue streams, we are confident in our ability to return to growth in the second half of the year. Our key priorities for 2025 include increasing Monthly Recurring Revenue(1), improving margins, reducing churn, and maximizing long-term customer value. By further investing in AI-driven solutions, optimizing our internal processes, and maintaining disciplined financial management, we are well-positioned to drive sustainable profitability and shareholder value."
First Quarter 2025 Financial Highlights:
Wishpond achieved quarterly revenue of $4,089,641 during Q1-2025 (Q1-2024: $6,050,263). The decline in revenue can be attributed to the Company's strategic transition of the business from selling digital marketing solutions for SMB's to an AI enabled marketing and sales platform for all businesses. This resulted in a decline in revenues as the Company moved away from its lower margin legacy email delivery customers, reduced the size of its sales team, shifted its focus to AI enabled products such as SalesCloser AI and converted its internal sales processes towards an AI driven sales model.
Wishpond achieved Gross Profit of $2,725,725 in Q1-2025 (Q1-2024: $4,128,922). The reduction in Gross Profit is primarily due to lower revenue in the quarter.
Wishpond achieved a Gross Margin percentage of 67% during Q1-2025 (Q1-2024: 68%).
During Q1-2025, Wishpond achieved negative Adjusted EBITDA(1) of $177,372 (Q1-2024: positive $290,304). The decline in Adjusted EBITDA was due to lower revenues and annual professional accounting, audit and tax fees incurred in the first quarter.
First Quarter 2025 Business Highlights:
On January 9, 2025, the Company announced that it filed a non-provisional utility patent application, entitled "Enhanced State Manager in a Virtual AI Representative", for the enhanced state manager technology within its SalesCloser virtual AI agents. This technology is expected to improve the ability of AI systems to manage complex, real-world conversations, addressing challenges such as interruptions, tangential topics, and premature conversation endings. This is Wishpond's second patent application related to SalesCloser's virtual AI agents.
On February 6, 2025, the Company announced that it filed a non-provisional utility patent application, entitled "Human Takeover in a Virtual AI Representative", for its human takeover technology which allows human operators to seamlessly assume control of a call from an automated AI call agent when necessary. This innovation aims to bridge the gap between AI-driven interactions and human oversight, a smooth and contextually rich customer experience.
On February 6, 2025, the Company announced that the ongoing uncertainty surrounding the U.S.-Canada trade relations are expected to have no material impact on the Company's business.
On February 25, 2025, the Company announced the launch of its SalesCloser White-Label Reseller Program (the "White-Label Reseller Program"), allowing agencies and businesses to brand and resell the Company's AI-powered sales solution as their own. Under the White-Label Reseller Program, companies are expected to be able to enhance their brand identity, expand sales service offerings, and increase customer loyalty using Wishpond's SalesCloser technology. The White-Label Reseller Program is expected to drive new revenue streams for Wishpond by expanding the market reach of SalesCloser and accelerating its adoption.
On March 27, 2025, the Company announced a collaboration agreement with Venops Inc. ("Venops"), a leader in healthcare regulatory compliance and consulting services, to market and sell Wishpond's AI-powered SalesCloser platform. With a network of over 1,000 medical clinics, Venops brings extensive professional and industry reach, combining its deep expertise in healthcare compliance with Wishpond's innovative AI technology. This collaboration aims to revolutionize how businesses in the medical sector engage with prospects and drive sales.
Business Highlights Subsequent to March 31, 2025:
On May 21, 2025, the Company announced that its SalesCloser platform, an AI-powered sales agent, achieved a key milestone with $1 million in ARR(1). This milestone reflects the growing demand for AI-driven sales automation solutions and the scalability of the Company's platform. SalesCloser has demonstrated exciting growth, with over 150 customers and over 2,600 AI-powered agents deployed to date. It has quickly become Wishpond's fastest-growing product, with the majority of its momentum occurring in 2025. This growth underscores the rising demand for AI-driven sales solutions that streamline operations, reduce costs, and enhance efficiency for businesses.
Outlook:
For 2025, Wishpond's focus is on profitable growth driven by an increase in the growth of its SalesCloser platform, a virtual AI sales agent that can conduct sales calls and demos in multiple languages with minimal human intervention. The Company is also expanding the utilization of its SalesCloser solution in its internal sales processes in order to grow internal sales capacity, drive new sales of Wishpond products and further increase margins and profitability. In addition to using SalesCloser to sell Wispond's own products, the Company also expects revenue generated from external SalesCloser customers to increase in 2025.
Management is pleased to introduce the Company's key goals for 2025:
Accelerate organic revenue growth and increase Monthly Recurring Revenue ("MRR")(1).
Increase utilization of SalesCloser in internal sales processes to drive sales of Wishpond's own products.
Accelerate revenue growth of SalesCloser to external customers.
Improve margins, decrease churn and increase long-term customer value.
Webinar Conference Call Details:
As previously announced, Wishpond will be hosting a webinar conference call to discuss its year-end financial results today at 10:00 AM (PT) / 1:00 PM (ET).
To register for the webinar, please visit the following URL: https://bit.ly/q1_wp
Please connect 5 minutes prior to the conference call to ensure time for any software download that may be required.
Selected Financial Highlights: The tables below set out selected financial information relating to Wishpond and should be read in conjunction with the Interim Financial Statements and the MD&A, copies of which can be found under Wishpond's profile on SEDAR+ at www.sedarplus.ca.
Three months ended
March 31, 2025 $
Three months ended
March 31, 2024 $
Revenue
4,089,641
6,050,263
Gross profit
2,725,725
4,128,922
Gross margin
67 %
68 %
Adjusted EBITDA(1)
(177,372)
290,304
Credit facility - end of period
1,752,191
1,959,474
Cash - end of the period
928,125
2,086,823
Net decrease in cash during the period net of credit facility
(654,394)
(302,578)
Reconciliation to Adjusted EBITDA(1)
Three months ended
March 31, 2025 $
Three months ended
March 31, 2024 $
Loss before income taxes
(640,450)
(467,563)
Depreciation and amortization
411,650
406,588
Interest expense
34,718
38,533
Other expenses
46,746
103,674
Stock based compensation expense
(30,036)
209,072
Adjusted EBITDA(1)
(177,372)
290,304
Footnotes:
(1)
Adjusted EBITDA, ARR, and MRR are not financial measures recognized by International Financial Reporting Standards ("IFRS"), do not have any standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other entities. See "Cautionary Statements – Non-GAAP Financial Measures" for more information and definitions of each non-GAAP term used in this press release.
On Behalf of the Board of Wishpond
"Ali Tajskandar" Chairman and Chief Executive Officer
About Wishpond Technologies Ltd.
Wishpond is a Vancouver-based provider of AI-enabled marketing and sales solutions that help businesses grow more efficiently. The Company's vision is to create a fully autonomous AI-enabled platform that streamlines the entire customer acquisition journey, from lead generation and engagement to deal closure, enabling businesses to scale cost-effectively while driving higher conversions. Wishpond offers an all-in-one marketing suite that integrates AI-driven tools such as an AI Website Builder, AI Email Automation, and SalesCloser AI, a conversational AI-based virtual sales agent that leverages generative AI to conduct personalized sales calls and product demos, increasing efficiency, reducing costs, and enhancing customer satisfaction. With a focus on innovation, Wishpond has filed multiple patent applications in conversational AI, reinforcing its leadership in AI-enabled marketing automation. The Company serves small-to-medium-sized businesses across various industries, providing a powerful yet cost-effective alternative to fragmented marketing solutions. Wishpond employs a Software-as-a-Service (SaaS) business model, generating most of its revenue from subscription-based recurring revenue, which ensures strong revenue predictability and cash flow visibility while continuously expanding its AI capabilities. Wishpond is listed on the TSX Venture Exchange under the ticker "WISH", and on the OTCQX Best Market under the ticker "WPNDF". For further information, visit: www.wishpond.com.
Cautionary Statements, Summary Information
Information presented in this press release may be only a summary of all available information and does not purport to be a full representation of all figures, notes and discussions provided for in the Interim Financial Statements and the MD&A. Readers are cautioned to read the entirety of the Interim Financial Statements and the MD&A, and to not rely only on the information presented in this press release. In the event of conflict between the provisions of this press release on the one hand, and the Interim Financial Statements and the MD&A on the other hand, the information in the Interim Financial Statements and the MD&A shall govern.
Non-GAAP Financial Measures
In this press release, Wishpond has used the following terms ("Non-GAAP Financial Measures") that are not defined by IFRS, but are used by management to evaluate the performance of Wishpond and its business, including: Adjusted EBITDA, ARR, and MRR. These measures may also be used by investors, financial institutions and credit rating agencies to assess Wishpond's performance and ability to service debt. Non-GAAP Financial Measures do not have standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Securities regulations require that Non-GAAP Financial Measures are clearly defined, qualified and reconciled to their most comparable IFRS financial measures. Except as otherwise indicated, these Non-GAAP Financial Measures are calculated and disclosed on a consistent basis from period to period. Specific items may only be relevant in certain periods. See the disclosure under the heading "Additional GAAP and Non-GAAP Measures" in the MD&A for a discussion of Non-GAAP Financial Measures and certain reconciliations to GAAP financial measures. The intent of Non-GAAP Financial Measures is to provide additional useful information to investors and analysts, and the measures do not have any standardized meaning under IFRS. The measures should not, therefore, be considered in isolation or used as a substitute for measures of performance prepared in accordance with IFRS. Other issuers may calculate Non-GAAP Financial Measures differently. Non-GAAP Financial Measures are identified and defined as follows:
Adjusted EBITDA: Adjusted EBITDA should not be construed as an alternative to net earnings, cash flow from operating activities or other measures of financial results determined in accordance with Generally Accepted Accounting Principles as an indicator of the Company's performance. The Company defines "Adjusted EBITDA" as Income or Loss before income taxes less interest, depreciation and amortization, remeasurement of contingent consideration liability, filing fees, credit facility setup and renewal fees, earn-out remuneration, foreign currency losses (gains), acquisition related expenses, net other expenditures (income), and stock-based compensation. The Company believes that Adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the Company can use to fund working capital requirements, service future interest and principal debt repayments and fund future growth initiatives.
Annual Recurring Revenue: The Company uses Annual Recurring Revenue, or ARR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan for a period of 12 months. ARR is calculated by multiplying total MRR by 12.
Monthly Recurring Revenue: The Company uses Monthly Recurring Revenue, or MRR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan the following month. MRR is the total of all monthly subscription plan fees paid by customers in effect on the last day of that period. If customers pay for more than one month upfront, the amount is divided by the number of months in the subscription period. Discounts are deducted prior to the calculation and one-time payments and metered based charges are excluded.
Forward-Looking Statements
Statements that are not reported financial results or other historical information are forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). This press release includes forward-looking statements regarding the Company, its subsidiaries and the industries in which they operate, including statements about, among other things, all information contained under the heading "Outlook" herein, references to expected results from future operations, future growth of the Company's products and platforms, the future development and increased use of products incorporating artificial intelligence, including SalesCloser, references to the growth of the Company's product portfolio and future profitability, including whether additional products or features may be developed in the future, and the functionality and timing of such products, financial results or operational activities that may be undertaken by the Company, the results of the Company's cost-savings, research and development and other initiatives, any future acquisitions or other activities done to grow the Company both organically or inorganically, expectations, beliefs, plans, future operations, the impact of broader economic factors including inflation and other general economic risks on the Company, business and acquisition strategies, opportunities, objectives, prospects, assumptions, including those related to trends and prospects, and future events and performance. Sentences and phrases containing or modified by words such as "expect", "anticipate", "plan", "continue", "estimate", "intend", "expect", "may", "will", "project", "predict", "potential", "targets", "projects", "is designed to", "strategy", "should", "believe", "contemplate" and similar expressions, and the negative of such expressions, are not historical facts and are intended to identify forward-looking statements. Readers are cautioned to not place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by forward-looking statements. Although the Company believes that the expectations reflected in forward-looking statements in this press release are reasonable and are based on, among other things, the expectations and analysis of current market trends and opportunities of management of the Company, such forward-looking statements have been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond the Company's control, including, but not limited to, risks associated with changes to SalesCloser and other product's revenue and profitability, changes to customer preferences, competition, use cases for SalesCloser and other products, economic uncertainty and instability as a result of the ongoing inflation and supply chain issues, higher interest rate climate, tightening of credit availability and recessionary risks, pandemic related risks, wars, instability in global commodity and securities markets, shifts in consumer and institutional spending and marketing strategies, risks related to data breaches and privacy, the changing global market and competition for the products and services supplied by the Company, and the additional risk factors discussed in the continuous disclosure materials of the Company which are available under the Company's profile on SEDAR+ at www.sedarplus.ca. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and are made as of the date hereof. The Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Neither the 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.
