BARTLETT, Tenn., Jan. 12, 2023 (GLOBE NEWSWIRE) -- SurgePays, Inc. (Nasdaq: SURG) ("SurgePays" or the "Company"), a technology and telecommunications company focused on the underbanked and underserved provides this shareholder update.
"It’s extremely exciting to finish 2022, a difficult market year, as a top 10 performing stock out of almost 3,700 companies on the Nasdaq stock exchange. I am proud of our accomplishments with no dilutive capital raises. Our top goals for 2022 was to maximize growth opportunities while also improving our balance sheet and cap table. I believe we achieved these goals by focusing on scaling our business within our financial resources and leveraging our expertise in underbanked markets in preparation for what we believe can be a transformational 2023," stated Brian Cox, Chief Executive Officer of SurgePays, Inc.
"At the beginning of the year, I made a commitment to our shareholders to maximize telecom subscriber growth through reinvesting cash flow without accessing diluting capital. While this commitment resulted in throttling sales to significantly less than our abilities and potential due to running out of devices several times, I believe the results speak for themselves. Our team continues to focus on scaling our business with the goal of growing both revenue and shareholder value by holding firm with a measured approach. We will continue to focus on refining operations and improving unit margins without increasing operational cash burn. I think this past year is indicative of viability of our plan as we were able to execute in difficult market conditions.”
Mr. Cox continued: “We see opportunity for expansion in our market, and I am pleased to report that we are just hitting stride. I have previously stated that our next milestone is 500,000 subscribers, and after that 1 million. Once we hit 500,000 subscribers, we anticipate being able to offer our subscribers additional products, including the launch of our prepaid wireless brand and other financial services for the underbanked. It is important to remember that each subscriber represents a household with significant upsell revenue opportunities for the Company.
“In November, we announced a $25 million installment credit facility that gave us the ability to increase sales operations and improve our supply chain. Working through facility and procurement partners, SurgePays and its partners currently has orders for over 300,000 devices (tablets and smartphones), with currently expected delivery in the first quarter of 2023. These expanded resources enable us to launch in-store Affordable Connectivity Program (ACP) enrollments as well as increase internet and field enrollment programs. SurgePays also offers these services on smartphones, potentially broadening overall market penetration.”
“We also made some great additions to our Board of Directors in the fourth quarter of 2022, which, in part, led to our decision to delay our annual meeting of shareholders, which is expected to be held in March 2023 in Memphis.
“One of the most significant additions to our team in 2022 was adding Jeremy Gies as President of SurgePays Fintech,” Added Mr. Cox. “Jeremy is a 25 year veteran of telecom, fintech and prepaid channels who is laser focused on expanding our network and increasing revenue. My directive to Jeremy was simple: more stores, more sales per store and higher margins per sale. I want to call special attention to this as his experience and skill set expands our capacity to grow and execute on long term growth initiatives using ACP as a unique catalyst to get our foot in the door with 10,000s of stores nationwide. Almost every convenient store in the country accepts SNAP/EBT which is a qualifier for subsidized internet access. In 20 years of business, I have never had a more enticing offering to independent and chain store owners. SurgePays Fintech is positioned to be one of our most impressive growth metrics of 2023.
“I am looking forward to continuing our same growth trajectory using disciplined decision making focused on what we feel positions us for maximum shareholder value 3-5 years from today. Thank you for your support and loyalty, this sets up to be an extremely exciting year for SurgePays.”
Sincerely,
Brian Cox, CEO and Chairman
About SurgePays, Inc.
SurgePays, Inc. is a technology and telecommunications company focused on the underbanked and underserved communities. SurgePhone Wireless provides mobile broadband to low-income consumers nationwide. SurgePays blockchain fintech platform utilizes a suite of financial and prepaid products to convert corner stores and bodegas into tech hubs for underbanked neighborhoods. Please visit SurgePays.com for more information.
Cautionary Note Regarding Forward-Looking Statements
This press release includes express or implied statements that are not historical facts and are considered forward-looking within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. Forward-looking statements involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future financial or operating performance and may contain projections of our future results of operations or of our financial information or state other forward-looking information. In some cases, you can identify forward-looking statements by the following words: “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing,” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words.
Although we believe that the expectations reflected in these forward-looking statements are reasonable, these statements relate to future events or our future operational or financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control, including, without limitation, statements about our future financial performance, including our revenue, cash flows, costs of revenue and operating expenses; our anticipated growth; our predictions about our industry; the impact of the COVID-19 pandemic on our business and our ability to attract, retain and cross-sell to clients. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and Exchange Commission (“SEC”), including in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021. The forward-looking statements in this press release speak only as of the date on which the statements are made. We undertake no obligation to update, and expressly disclaim the obligation to update, any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.
Investor Relations
Brian M. Prenoveau, CFA
MZ Group – MZ North America
SURG@mzgroup.us
561 489 5315
