PowerBand Solutions Guides To Between $70 Million To $90 Million In 2022 Revenues

PowerBand Solutions (TSXV: PBX) went out on a limb last night and released an outlook for 2022, its first such time releasing guidance a year in advance. The firm also announced that it has reached a key milestone, with more than 1,000 dealers now onboarded to the Drivrz platform.

The company is expecting significant revenue growth in the new year, with PowerBand officially guiding for 2022 revenues to be between $70.0 and $90.0 million, of which DrivrzFinancial will account for 90% on the low side and 80% on the high side. Confidence in the revenue projections come from recent milestones achieved by the company, with over 1,200 dealers now said to be onboarded onto its platform.

Platform growth as of late is said to come from enterprise users, whom the firm expects to be “systematic” in achieving more origination targets per dealer. As a result, the low side of estimates is calling for 7,000 originations in 2022, while the high side is calling for 9,000 originations.

Margins meanwhile are slated to remain between 50% to 60% from DrivrzFinancial, with the two businesses set to come online, DrivrzLane and DrivrzXchange, expected to have even higher gross margins. Both new business units are expected to contribute significantly to financial results in the second half of the year.

Finally, the firm expects adjusted EBITDA margins to be 20% on the low side of guidance, and 25% on the high side. Further, the firm expects to be adjusted EBITDA positive in the first quarter of 2022.

“2022 will be the inflection year for this business as all of the pieces are in place to scale and deliver profitable growth to our shareholders. The three business units are operating in unison under one synergistic business plan. The opportunity in front of us is significant and we look forward to executing on our vision and achieving our objectives,” commented CEO Kelly Jennings on the guidance announcement.

PowerBand Solutions last traded at $0.90 on the TSX Venture.


FULL DISCLOSURE: PowerBand Solutions is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover PowerBand Solutions on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.

Video Articles

Avino Q2 Earnings: Steady As She Goes

MEG Energy: Cenovus Comes In With $7.9 BILLION Offer

Orla Mining Q2 Earnings: Musselwhite Changes Everything

Recommended

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Goliath Resources Hits 18.58 g/t Gold Over 5.00 Metres At Surebet

Related News

PowerBand Solutions Sees Q2 Revenues Climb 63% To $4.7 Million

PowerBand Solutions (TSXV: PBX) this morning reported its second quarter financial results, posting revenues of...

Tuesday, August 17, 2021, 09:17:50 AM

PowerBand Sees National Car Retailer That Purchases 48,000 Vehicles Annually Join Platform

PowerBand Solutions (TSXV: PBX) appears to have acquired a major client for its D2D Auto...

Tuesday, August 25, 2020, 09:32:04 AM

PowerBand Solutions Appoints Jon Lamb CEO Of Musa Holdings

PowerBand Solutions (TSXV: PBX) this morning announced a management change. The firm has seen the...

Tuesday, March 30, 2021, 09:22:39 AM

PowerBand Solutions Reports Gross Sales Of $8.0 Million For February

PowerBand Solutions (TSXV: PBX) this morning released its financial update for that of February 2021....

Monday, March 8, 2021, 09:07:13 AM

PowerBand Successfully Conducts Virtual Auto Auctions

PowerBand Solutions (TSXV: PBX) announced this morning that the company has successfully conducted two auto...

Monday, April 20, 2020, 09:10:00 AM