Inside Information
Company Announcement No. 7 - 2023
2023 Expectations
In company announcement 1-2023 MapsPeople announced expectations of cARR in the range of DKK 105-115M and ARR in the range of DKK 77-87M in 2023.
Further to this announcement, MapsPeople expects revenue in the range of DKK 52-62M and EBITDA in the range of negative DKK 45-55M in 2023.
As mentioned in Company Announcement 20-2022, MapsPeople has noticed longer decision making processes from both new Channel Partners and large Enterprise customers due to the general slowdown in the global economy.
In Company Announcement 11-2022 MapsPeople announced that some of the large new channel partners we have contracted in 2022, takes somewhat longer (6-9 months) to implement the MapsPeople platform in their product offering (Apps etc) compared to our original expectations . This also impacts the velocity of converting these contractual commitments into Revenue and ARR for 2023.
These impacts have been taken into account for the cARR guidance of DKK 105 - 115M (50-64% growth) in 2023. It is a core focus for the company in 2023 to improve the time from contract signature to Revenue and ARR from new and existing partners, which results in the expected growth of ARR to the range of DKK 77 - 87M (129-159% growth) in 2023.
While these factors impact the timing of our revenue growth and hence the EBITDA in 2023, MapsPeople has initiated a set of initiatives to convert the contractual commitment from existing and new partners into revenue faster, and combined with a focus on costs, the company is projecting to reach the point of positive cash generation from the operation towards the end of 2023, as mentioned in Company Announcement 2 of 2023.
February 17, 2023 MapsPeople announced a capital injection of DKK 10M as a private placement and a loan of DKK 10M to enable the continued growth in 2023.
The above changed conditions are the main reasons for the adjusted outlook compared to expectations in the prospectus.
In Management's view, the long term perspective for MapsPeople has not changed. The success with signing multiple strategic partners supports the expected growth of the business and justifies the expectations for further growth.
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For additional information, please contact
MapsPeople A/S
Morten Brøgger, CEO
Mobile (+45) 31 23 48 72
Email mobr@mapspeople.com
Stigsborgvej 60, 9400 Nørresundby
Denmark
Certified Advisor
Grant Thornton
Stockholmsgade 45 2100 Copenhagen Ø
Denmark
IMPORTANT INFORMATION
This announcement is not an offer to sell or a solicitation of any offer to buy any securities issued by MapsPeople in any jurisdiction where such offer or sale would be unlawful and the announcement and the information contained herein are not for distribution or release, directly or indirectly, in or into such jurisdictions, including but not limited to, the United States, Australia, Canada or Japan.
This announcement does not constitute an offering circular, company description or other offer document and nothing herein contains an offering of securities. No one should purchase or subscribe for any securities in MapsPeople except as described in this company announcement.
Neither the existing shares of MapsPeople (the "Existing Shares") nor the New Shares have been, or will be, registered under the United States Securities Act of 1933, as amended ("Securities Act"). Neither the Existing Shares nor the New Shares may be offered or sold, directly or indirectly, in or into the United States or to persons residing there. Moreover, the Private Placement is not made to persons resident in Australia, Hong Kong, Japan, Canada, New Zealand, South Africa, Switzerland, or Singapore or to persons whose participation would require the publication up of a prospectus, registration or other measures.
Certain statements in this announcement constitute forward-looking statements. Forward-looking statements are statements (other than statements of historical fact) relating to future events and the Company's anticipated or planned financial and operational performance. The words "targets", "believes", "expects", "aims", "intends", "plans", "seeks", "will", "may", "might", "anticipates", "would", "could", "should", "continues", "estimates" or similar expressions or the negative forms thereof, identify certain of these forward-looking statements. Other forward-looking statements can be identified in the context in which the statements are made. MapsPeople has based these forward-looking statements on its current views with respect to future events and financial performance. By their nature, forward-looking statements are based on certain assumptions and projections on future events and financial performance, which involve a number of risks and uncertainties that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial consequences of the plans and events described herein. Actual results are likely to differ from those set forth in the forward-looking statements. Any forward-looking statements speak only as at the date of this document and neither the Company nor any of its respective affiliates, directors, officers, employees, advisors, or any other person is under any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You should not and may not rely on these forward-looking statements.
March 14, 2023
