Route1 Announces Q3 and Year to Date 2022 Financial Results

TORONTO, ON / ACCESSWIRE / November 18, 2022 / Route1 Inc. (TSXV:ROI) (the "Company" or "Route1"), an advanced North American provider of turn-key engineering and professional services, today reported its financial results for the three and nine-month period ended September 30, 2022.

The Company's operating results for Q3 2022 with comparatives are as follows:

^{1 Before stock-based compensation
2 Includes gain on litigation, gain or loss on asset disposal, stock-based compensation expense, interest expense, income tax recovery, foreign exchange loss or gain, other expenses and acquisition expense.}

3 Adjusted EBITDA is defined as earnings before interest, income taxes, depreciation and amortization, stock-based compensation, patent litigation, restructuring and other costs. Adjusted EBITDA does not have any standardized meaning prescribed under IFRS and is therefore unlikely to be comparable to similar measures presented by other companies. Adjusted EBITDA allows Route1 to compare its operating performance over time on a consistent basis.

As of November 18, 2022, there are a total of 2,925,000 options currently outstanding under the stock option plan.

Business and Operations Metrics

• Route1 continued to see improved levels of recurring revenue derived from its LPR clients through improved support contracts - technology life-cycle maintenance and support revenue. Route1 started the year at a base of US $595,000 per annum.

• The Company has seen, and expects further growth, in the number of ALPR accounts it has, as active clients. Route1 started the year at 143 unique end users, has an 87% retention rate in FY 2022 and has gross organic growth of 17% as at Nov 18-22.
• Since the closing of the Spyrus Solutions acquisition, the Company has monetized the inventory acquired and realized good short-term success in selling the PocketVault P-3X technology. The Company spent approximately US $580,000 to acquire Spyrus Solutions.

Business Update Conference Call and Webcast

The Company will hold a conference call and web cast to provide a business update on Friday, November 18, 2022 at 9 a.m. Eastern Time.

Participants should dial Toll-Free 888-506-0062 or Toll/International 973-528-0011 at least 10 minutes prior to the conference call and web cast. The participant access code is 318548. For those unable to attend the call, a replay will be available at Toll-Free 877-481-4010 or Toll/International 919-882-2331, passcode 47107until 4:30 pm on November 25, 2022.

The webcast will be presented live at https://www.webcaster4.com/Webcast/Page/2167/47107.

About Route1 Inc.
Route1 Inc. is an advanced North American engineering and professional services company using data capture technologies. We bring security and operations together with real-time actionable intelligence to enhance safety and security, drive greater profitability and improve operational efficiencies. With a deep-rooted background in software development, network operations, and cybersecurity, Route1 brings a unique and valuable approach to the turn-key engineering and professional services arena. Route1's services follow a complete life-cycle model, ensuring the evolution of your technology to meet your desired outcomes. Route1 is listed in Canada on the TSX Venture Exchange under the symbol ROI. For more information, visit: www.route1.com.

For More Information, Contact:
Tony Busseri
President and Chief Executive Officer
+1 480 500-7030
tony.busseri@route1.com

This news release, required by applicable Canadian laws, does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

© 2022 Route1 Inc. All rights reserved. No part of this document may be reproduced, transmitted or otherwise used in whole or in part or by any means without prior written consent of Route1 Inc. See https://www.route1.com/terms-of-use/ for notice of Route1's intellectual property.

This news release may contain statements that are not current or historical factual statements that may constitute forward-looking statements or future oriented financial information. These statements are based on certain factors and assumptions, including, expectations regarding the expected growth in the value of support contracts for the LPR business, price and liquidity of the common shares, competition for skilled personnel, expected financial performance and subscription-based revenue, business prospects, technological developments, development activities and like matters. While Route1 considers these factors and assumptions to be reasonable, based on information currently available, they may prove to be incorrect. These statements involve risks and uncertainties, including but not limited to the market demand for the Company's products and services and risk factors described in reporting documents filed by the Company. Actual results could differ materially from those projected as a result of these and other risks and should not be relied upon as a prediction of future events. The Company undertakes no obligation to update any forward-looking statement or future oriented financial information to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, except as required by law. Estimates used in this presentation are from Company sources. Past or forecasted performance is not a guarantee of future performance and readers should not rely on historical results or forward-looking statements or future oriented financial information as an assurance of future results.

SOURCE: Route1 Inc.