Checkin.com Group Quarterly Report Q1 2022

Checkin.com Group (STO:CHECK) reports a growth in revenue of 107% during the first quarter of 2022.

The report in brief:

(Q1 2022 vs Q1 2021):

• Net revenue increased to KSEK 15,794 (7,620) which corresponds to a growth of 107 (65)%
• Gross profit for the period amounted to KSEK 13,604 (6,561) with a margin of 86 (86)%
• EBITDA for the period amounted to KSEK -705 (1,079) with a margin of -4 (14)%
• Cash flow from operating activities amounted to KSEK -835 (4,155)
• Net Revenue Retention LTM amounted to 140 (130)%
• Cash and cash equivalents amounted to KSEK 61,966 (23,299)

The full quarterly report is now published and available on: https://group.checkin.com/investors/reports/

Webcast (Swedish)

Investors, analysts and journalists are invited to a webcast 2022-05-19 08:30 CEST where the company’s CEO and CFO will present the report, followed by a Q&A session. The presentation is available through this link:
https://www.finwire.tv/webcast/checkin-com/2022-q1/

An English version of the webcast will be published on the company’s website later today.

CEO Letter from Quarterly Report

A three figure growth in revenue opens our sixth year as a company. We have previously experienced weaker periods during the beginning of each calendar year which makes the higher growth feel extra positive. In the last Quarterly Report I expressed hopes about the company reaching a new level. With this quarter in the books it is more of a statement. 

The tailwind we have from long-term macro trends puts us in a very fortunate position. Our financial targets for 2025 reflect this and we continue focusing on long-term growth and feel comfortable both with the target and the set path. A good quarter needs to be stacked on the next and our focus is already forward looking. Our ability to offer unique and top class software is what will be decisive both in terms of growth and to enable our high net margin. Hence we continue our efforts within R&D and product development and have a very exciting year ahead.  

We are also starting to see returns on our investments in Sales and Marketing, which were heavily increased during last year. The momentum we experience ensures us that we should continue building the Sales organisation methodically. In this area there is still a lot of potential, both in widening the partner base to new verticals but also geographically. A good example of this is the North American market, which for us is basically undeveloped. Even though we in many ways are a global company with end users from all the world’s continents, we have historically had few North American companies as partners. We believe that a geographical proximity and clear focus can lead to a future where American partners are dominating rather than being exceptions, but here we have barely left the starting blocks. A great exception from the above is that we after the quarter signed Pacaso, which is perhaps America's hottest unicorn right now.

Already last year, we began to collaborate with platforms and distributors to a greater extent, enabling faster technological roll-out and more efficient sales. This effort was intensified during the first quarter and here we regard our newly communicated cooperation agreement with Playtech as strategically very important. Long-term these kinds of cooperations enable more dynamic sales, where agreements can be signed in bulk, which should contribute to continued capital efficient growth. 

Due to our strong financial position and the great opportunities we see for growth, we will dare to invest in the future. Given the opportunities and the return we have seen on the investments we have made so far, our focus remains on expanding the use of our software and to strengthen our technical lead. At the same time as we strengthen our forward looking investments further we have a very scalable core business, if executed right this should mean that we can improve the EBITDA margin step by step during the year.

At the same time as we had a good quarter with a strong tailwind, the period is of course in many ways colored by Russia's war of aggression. Our approximately 80 co-workers are spread across 15 countries, including eastern Ukraine. The fact that Dasha, Tanya, Vova and Kristine managed to stay unharmed is by far the most important thing that happened this quarter. That they voluntarily chose to work from shelters while their hometowns were being bombed is a situation that is impossible to grasp and an inner strength that is just as impossible not to admire. We have as a company tried to support and help as much as we can and I am very proud of the solidarity the team has shown.  

Kristoffer Cassel
CEO and founder, Checkin.com Group

For further information, please contact:

Jonas Köpniwsky, Head of Communications Checkin.com Group, press@checkin.com

This information is information that Checkin.com Group is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication through the agency of the contact person set out above, at 2022-05-19 07:30 CEST.

Certified Adviser

Checkin.com Group’s Certified Adviser on Nasdaq First North Growth Market is Erik Penser Bank AB, +46 8463 83 00, certifiedadviser@penser.se.

About Checkin.com Group

Checkin.com Group creates shareholder value through capital efficient growth achieved by strong organic growth and strategic acquisitions. The Group’s advanced technologies and innovations offers a unique end to end solution that reshapes how end users checkin with products and brands online. The comprehensive framework gathers multiple hyper specialized technologies that covers every aspect of an end user’s checkin experience.

The company has its headquarters in Stockholm, Sweden, but operates and recruits globally to attract world-leading talent across the globe. 

Checkin.com Group’s share is since 2021 listed on Nasdaq First North Growth Market under the trading symbol "CHECK”. Certified Adviser is Erik Penser Bank, available via +46 (0)8 463 83 00 or by e-mail: certifiedadviser@penser.se. 

For more information about the company visit: https://group.checkin.com/investors/