We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
WM Technology Inc | NASDAQ:MAPS | NASDAQ | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 1.27 | 1.21 | 1.27 | 1.32 | 1.20 | 1.29 | 287,716 | 00:41:42 |
Second Quarter Revenue increased to $58.3 million representing growth of 24% year-over-year
Co-Founder Douglas Francis appointed Executive Chair
WM Technology, Inc. (“WM Technology” or the “Company”) (Nasdaq: MAPS), a leading technology and software infrastructure provider to the cannabis industry, today announced its financial results for the second quarter ended June 30, 2022.
“Our second quarter results demonstrates how our strategy continues to drive growth for WM Technology as we grew our second quarter net revenue by 24% year-over-year to reach $58 million and increased Average Monthly Paying Clients to 5,537, both quarterly records,” said Chris Beals, CEO of WM Technology. “We believe these results again demonstrate how WM Technology is the enduring platform for the cannabis end-markets. And while the current macro environment, including challenges specific to the cannabis end-markets, did impact our results, our pace of innovation and continuing to deliver healthy returns to our clients resulted in us achieving growth that exceeded our end markets by a wide-margin. Clients continue to rely on our marketplace and WM Business solutions to help grow their own businesses. For that reason, we remain focused on executing against our plans to establish the Weedmaps marketplace as the center of commerce for cannabis consumers and WM Business as the software solution of choice for cannabis businesses.”
“We continue to lean into the tremendous opportunity ahead of us and are focused on driving both near and long-term sustainable growth and profitability,” said Arden Lee, CFO of WM Technology. “In this environment, we also understand the need for prudent operational and investment decision making and we have taken steps to ensure these remain the case. We are as confident as ever in our business model and strategy.”
Second Quarter 2022 Financial Highlights
Reconciliations of GAAP to non-GAAP financial measures have been provided in the tables included in this release.
______________________________
(1)See “Definition of Key Operating and Financial Metrics—Monthly Active Users” below for additional information regarding MAUs.
(2)Average monthly revenue per paying client is defined as the average monthly revenue for any particular period divided by the average monthly paying clients in the same respective period.
(3)Average monthly paying clients are defined as the average of the number of paying clients billed in a month across a particular period (and for which services were provided).
(4)For further information about how we calculate EBITDA and Adjusted EBITDA as well as limitations of their use and a reconciliation of EBITDA and Adjusted EBITDA to net income (loss), see “Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA” below.
Second Quarter 2022 Operational Highlights
Second Half and Full Year 2022 Business Outlook
Based on current business trends and conditions, we are planning against an outlook where total revenue is flat-to-down in the mid-single digit percent area on a year-over-year basis for the second half, which implies a low double-digit percent growth rate for the full year 2022. We expect to end the year with positive Adjusted EBITDA for the full year 2022.
The guidance provided above is only an estimate of what we believe is realizable as of the date of this release. This guidance assumes that no business acquisitions, investments, restructurings, or legal settlements are concluded in the quarter. Our results are based on assumptions that we believe to be reasonable as of this date, but may be materially affected by many factors, as discussed below in “Forward-Looking Statements.” Actual results may vary from the guidance and the variations may be material. We undertake no intent or obligation to publicly update or revise any of these projections, whether as a result of new information, future events or otherwise, except as required by law.
Co-Founder Douglas Francis Appointed Executive Chair
WM Technology also announced that the Company’s Board of Directors has appointed WM Technology’s co-founder Douglas Francis as Executive Chair. In this newly created role, Mr. Francis will provide additional oversight and directly engage with management in developing the Company’s strategy and driving its execution.
Mr. Francis said, “As one of the leading technology and software providers to the cannabis industry, Weedmaps is ideally positioned to professionalize the cannabis marketplace, creating value for consumers and compelling returns for our shareholders. I have been a part of the Company for over 14 years and am excited to again be directly involved with management as we deliver on our mission to power a transparent and inclusive global cannabis economy.”
About Douglas Francis
In 2008, Mr. Francis co-founded Legacy WMH, the predecessor company to WM Technology. He served as the Company’s President from 2009 to 2016 and as Chief Executive Officer from 2016 until 2019.
Mr. Francis was appointed Chairman in 2019, serving in that role until 2021 when he became a member of the WM Technology Board of Directors. Mr. Francis has served in management positions in each of Legacy WMH’s current subsidiaries.
Mr. Francis holds a B.S. in Business Administration and Management from Chapman University.
Conference Call Details
The Company will host a conference call and webcast today, Tuesday, August 9, 2022, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time). Participants may register for the call at https://edge.media-server.com/mmc/p/83rej9hw. A live webcast of the call will also be available on the WM Technology investor relations website at ir.weedmaps.com.
Earnings Presentation Details
A presentation with information on our Second Quarter 2022 earnings results can be found at ir.weedmaps.com at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time).
About WM Technology
Founded in 2008, WM Technology operates a leading online marketplace with a comprehensive set of eCommerce and compliance software solutions sold to retailers and brands in the U.S. state-legal and Canadian cannabis markets. The Company’s mission is to power a transparent and inclusive global cannabis economy. We address the challenges facing both consumers seeking to understand cannabis products and businesses who serve cannabis users in a legally compliant fashion with our Weedmaps marketplace and WM Business software solutions. Over the past 13 years, we have grown the Weedmaps marketplace to become a premier destination for cannabis consumers to discover and browse information regarding cannabis and cannabis products, permitting product discovery and order-ahead for pickup or delivery by participating retailers. WM Business is a set of eCommerce-enablement tools designed to help our retailer and brand clients get the best out of their Weedmaps experience, while creating labor efficiency and managing their compliance needs.
WM Technology holds a strong belief in the power of cannabis and the importance of enabling safe, legal access to consumers worldwide. Since inception, WM Technology has worked tirelessly, not only to become the most comprehensive platform for consumers, but to build the software solutions that power businesses compliantly in the space, to advocate for legalization, social equity, and licensing in many jurisdictions, and to facilitate further learning through partnering with subject matter experts on providing detailed, accurate information about the plant.
Headquartered in Irvine, California, WM Technology supports remote work for all eligible employees. Visit us at www.weedmaps.com.
Forward-Looking Statements
This press release includes “forward-looking statements” regarding our future business expectations which involve risks and uncertainties. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding estimates and forecasts of financial and performance metrics and projections of market opportunity and market share. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of the Company’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of the Company. These forward-looking statements are subject to a number of risks and uncertainties, including the Company’s financial and business performance, including key business metrics and any underlying assumptions thereunder; market opportunity and the Company’s ability to acquire new customers and retain existing customers; expectations and timing related to commercial product launches; success of the Company’s go-to-market strategy; ability to scale its business and expand its offerings; the Company’s competitive advantages and growth strategies; the Company’s future capital requirements and sources and uses of cash; the Company’s ability to obtain funding for our future operations; the outcome of any known and unknown litigation and regulatory proceedings; changes in domestic and foreign business, market, financial, political and legal conditions; risks relating to the uncertainty of the projected financial information with respect to the Company; future global, regional or local economic and market conditions affecting the cannabis industry; the development, effects and enforcement of and changes to laws and regulations, including with respect to the cannabis industry; the Company’s ability to successfully capitalize on new and existing cannabis markets, including its ability to successfully monetize its solutions in those markets; the Company’s ability to manage future growth; the Company’s ability to develop new products and solutions, bring them to market in a timely manner, and make enhancements to its platform and the Company’s ability to maintain and grow its two-sided digital network, including its ability to acquire and retain paying customers; the effects of competition on the Company’s future business; the Company’s success in retaining or recruiting, or changes required in, officers, key employees or directors; the possibility that we may be adversely affected by other economic, business or competitive factors; the possibility that the Company may be adversely affected by other economic, business or competitive and those factors discussed in the Company’s 2021 Annual Report on Form 10-K filed with Securities and Exchange Commission (the “SEC”) and subsequent Form 10-Qs or Form 8-Ks filed with the SEC. If any of these risks materialize or these assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that the Company does not presently know or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward looking statements. In addition, forward-looking statements reflect the Company’s expectations, plans or forecasts of future events and views as of the date of this press release. The Company anticipates that subsequent events and developments will cause the Company’s assessments to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so, except as required by law. These forward-looking statements should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.
Use of Non-GAAP Financial Measures
To provide investors with additional information regarding our financial results, we have disclosed EBITDA and Adjusted EBITDA, both of which are non-GAAP financial measures that we calculate as net income (loss) before interest, taxes and depreciation and amortization in the case of EBITDA and further adjusted to exclude stock-based compensation, change in fair value of warrant liability, transaction related bonuses, transaction costs, legal settlements and other non-cash, unusual and/or infrequent costs in the case of Adjusted EBITDA. Below we have provided a reconciliation of net income (loss) (the most directly comparable GAAP financial measure) to EBITDA and from EBITDA to Adjusted EBITDA.
We present EBITDA and Adjusted EBITDA because these metrics are a key measure used by our management to evaluate our operating performance, generate future operating plans and make strategic decisions regarding the allocation of investment capacity. Accordingly, we believe that EBITDA and Adjusted EBITDA provide useful information to investors and others in understanding and evaluating our operating results in the same manner as our management.
EBITDA and Adjusted EBITDA have limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our results as reported under GAAP. Some of these limitations are as follows:
Because of these limitations, you should consider EBITDA and Adjusted EBITDA alongside other financial performance measures, including net income (loss) and our other GAAP results.
Definition of Key Operating and Financial Metrics
WM TECHNOLOGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except for share data)
June 30, 2022
December 31, 2021
Assets
Current assets
Cash
$
47,604
$
67,777
Accounts receivable, net
27,305
17,550
Prepaid expenses and other current assets
15,375
13,607
Total current assets
90,284
98,934
Property and equipment, net
21,211
13,283
Goodwill
67,156
45,295
Intangible assets, net
11,259
8,299
Right-of-use assets
33,805
36,549
Deferred tax assets
183,222
152,097
Other assets
10,774
10,687
Total assets
$
417,711
$
365,144
Liabilities and Equity
Current liabilities
Accounts payable and accrued expenses
$
31,317
$
23,155
Deferred revenue
7,522
8,057
Operating lease liabilities, current
5,885
5,463
Other current liabilities
98
1,125
Total current liabilities
44,822
37,800
Operating lease liabilities, non-current
36,321
39,377
Tax Receivable Agreement liability
142,726
128,567
Warrant liability
13,445
27,460
Other long-term liabilities
2,473
—
Total liabilities
239,787
233,204
Stockholders’ equity
Preferred Stock - $0.0001 par value; 75,000,000 shares authorized; no shares issued and outstanding at June 30, 2022 and December 31, 2021
—
—
Class A Common Stock - $0.0001 par value; 1,500,000,000 shares authorized; 88,836,328 shares issued and outstanding at June 30, 2022 and 65,677,361 shares issued and outstanding at December 31, 2021
9
7
Class V Common Stock - $0.0001 par value; 500,000,000 shares authorized, 56,466,013 shares issued and outstanding at June 30, 2022 and 65,502,347 shares issued and outstanding at December 31, 2021
5
7
Additional paid-in capital
59,135
2,173
Retained earnings
59,168
61,369
Total WM Technology, Inc. stockholders’ equity
118,317
63,556
Noncontrolling interests
59,607
68,384
Total equity
177,924
131,940
Total liabilities and equity
$
417,711
$
365,144
WM TECHNOLOGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except for share data)
Three Months Ended June 30,
Six Months Ended June 30,
2022
2021
2022
2021
Revenues
$
58,294
$
46,931
$
115,746
$
88,085
Operating expenses
Cost of revenues
3,858
1,908
7,598
3,765
Sales and marketing
22,123
15,271
44,005
24,388
Product development
13,263
10,271
26,353
18,139
General and administrative
29,610
33,770
58,665
47,136
Depreciation and amortization
2,458
988
6,403
1,990
Total operating expenses
71,312
62,208
143,024
95,418
Operating loss
(13,018
)
(15,277
)
(27,278
)
(7,333
)
Other income (expenses)
Change in fair value of warrant liability
32,234
37,791
14,015
37,791
Other expense, net
(678
)
(6,069
)
(1,180
)
(6,041
)
Income (loss) before income taxes
18,538
16,445
(14,443
)
24,417
Benefit from income taxes
(1,310
)
(392
)
(3,058
)
(151
)
Net income (loss)
19,848
16,837
(11,385
)
24,568
Net income (loss) attributable to noncontrolling interests
8,156
12,574
(9,184
)
20,305
Net income (loss) attributable to WM Technology, Inc.
$
11,692
$
4,263
$
(2,201
)
$
4,263
Class A Common Stock:
Basic income (loss) per share
$
0.14
$
0.07
$
(0.03
)
$
0.07
Diluted income (loss) per share
$
0.13
$
(0.17
)
$
(0.03
)
$
(0.17
)
Class A Common Stock:
Weighted average basic shares outstanding
86,425,352
63,738,563
79,476,383
63,738,563
Weighted average diluted shares outstanding
87,230,850
71,347,746
79,476,383
71,347,746
WM TECHNOLOGY, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)
Six Months Ended June 30,
2022
2021
Cash flows from operating activities
Net (loss) income
$
(11,385
)
$
24,568
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization
6,403
1,990
Change in fair value of warrant liability
(14,015
)
(37,791
)
Impairment loss on right-of-use asset
551
2,372
Stock-based compensation
15,611
19,433
Deferred income taxes
(3,058
)
(392
)
Provision for doubtful accounts
4,691
660
Changes in operating assets and liabilities:
Accounts receivable
(13,612
)
(2,104
)
Prepaid expenses and other assets
2,867
4,362
Other assets
(87
)
32
Accounts payable and accrued expenses
8,851
1,737
Deferred revenue
(631
)
1,672
Net cash (used in) provided by operating activities
(3,814
)
16,539
Cash flows from investing activities
Purchases of property and equipment
(8,554
)
(836
)
Cash paid for acquisitions, net of cash acquired
(713
)
—
Cash paid for acquisition holdback release
(1,000
)
—
Net cash used in investing activities
(10,267
)
(836
)
Cash flows from financing activities
Taxes paid related to net share settlement of equity awards
(13
)
—
Proceeds from the Business Combination
—
80,284
Repayment of note payable
—
(205
)
Distributions
(1,790
)
(18,110
)
Repurchase of Class B Units
—
(5,565
)
Repayments of insurance premium financing
(4,289
)
(364
)
Net cash (used in) provided by financing activities
(6,092
)
56,040
Net (decrease) increase in cash
(20,173
)
71,743
Cash – beginning of period
67,777
19,919
Cash – end of period
$
47,604
$
91,662
WM TECHNOLOGY, INC. AND SUBSIDIARIES
RECONCILIATION OF NET INCOME (LOSS) TO EBITDA AND ADJUSTED EBITDA
(Unaudited)
(In thousands)
Three Months Ended June 30,
Six Months Ended June 30,
2022
2021
2022
2021
Net income (loss)
$
19,848
$
16,837
$
(11,385
)
$
24,568
Benefit from income taxes
(1,310
)
(392
)
(3,058
)
(151
)
Depreciation and amortization expenses
2,458
988
6,403
1,990
EBITDA
20,996
17,433
(8,040
)
26,407
Stock-based compensation
8,094
19,433
15,611
19,433
Change in fair value of warrant liability
(32,234
)
(37,791
)
(14,015
)
(37,791
)
Transaction related bonuses
1,073
1,550
3,030
1,550
Transaction costs
—
—
251
—
Legal settlements and other legal costs
925
—
1,064
—
Warrant transaction costs
—
5,506
—
5,506
Impairment of right-of-use assets
551
2,372
551
2,372
Adjusted EBITDA
$
(595
)
$
8,503
$
(1,548
)
$
17,477
______________________________
(1)
Stock-based compensation expense is recorded in the following expense categories on the accompanying consolidated statements of operations for the three and six months ended June 30, 2022 and 2021:
Three Months Ended June 30,
Six Months Ended June 30,
2022
2021
2022
2021
Sales and marketing
$
2,072
$
3,826
$
3,883
$
3,826
Product development
1,516
1,994
2,928
1,994
General and administrative
4,506
13,613
8,800
13,613
Total stock-based compensation expense
8,094
19,433
15,611
19,433
Amount capitalized to software development
519
—
929
—
Total stock-based compensation cost
$
8,613
$
19,433
$
16,540
$
19,433
WM TECHNOLOGY, INC. AND SUBSIDIARIES
SELECTED OPERATING KEY METRICS
(Unaudited)
Selected Key Operating and Financial Metrics
Three Months Ended June 30,
Six Months Ended June 30,
2022
2021
2022
2021
Average monthly paying clients
5,537
4,221
5,282
4,068
Average monthly revenue per paying client
$
3,509
$
3,706
$
3,652
$
3,609
Monthly active users
17,402
12,302
17,402
12,302
View source version on businesswire.com: https://www.businesswire.com/news/home/20220809006015/en/
Investor Relations: investors@weedmaps.com
Media Contract: press@weedmaps.com
1 Year WM Technology Chart |
1 Month WM Technology Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions