Wishpond Reports Q2-2025 Financial Results

• The Company expects revenue growth by the end of 2025, led by the continued expansion of SalesCloser AI (“SalesCloser“), its fastest-growing product. SalesCloser is a virtual AI sales agent capable of conducting sales calls and demos in multiple languages with minimal human intervention.
• The Company expects to return to positive Adjusted EBITDA⁽¹⁾ in the second half of 2025, supported by significant cost optimization initiatives and a focus on sustainable long-term growth.

VANCOUVER, BC, Aug. 26, 2025 /CNW/ – Wishpond Technologies Ltd. (TSXV: WISH) (OTCQX: WPNDF) (the “Company” or “Wishpond“), a provider of AI-enabled marketing-focused online business solutions, announces that it has filed its interim consolidated financial statements (the “Interim Financial Statements“) and management’s discussion and analysis (the “MD&A“) for Q2-2025, representing the three and six months ended June 30, 2025. Copies of the Interim Financial Statements and MD&A are available on the Company’s profile on SEDAR+ at www.sedarplus.ca.

Ali Tajskandar, Wishpond’s Founder and CEO commented, “Wishpond continues to make meaningful progress in its transformation into an AI-driven company. Our SalesCloser AI platform has emerged as our fastest-growing product and is showing tremendous traction. Since surpassing $1 million in Annual Recurring Revenue (“ARR“)⁽¹⁾ in May 2025, SalesCloser has grown to approximately $1.55 million in August 2025 across 225 customers, representing a five-fold increase to its ARR⁽¹⁾ since December 2024. With gross margins of approximately 85%, we believe this rapid growth validates the scalability of our platform and the strong market demand for AI-driven sales automation. SalesCloser has already deployed over 5,600 virtual sales agents, and as adoption accelerates, we see an opportunity to expand its role in reshaping how businesses sell and engage with customers.”

Ali Tajskandar further adds, “Over the past year, Wishpond has repositioned its business to focus on higher-value, AI-enabled products and services. We believe this shift establishes a stronger foundation for long-term growth with higher margins and greater scalability. We are also continuing to integrate SalesCloser into our internal processes to expand sales capacity and drive efficiencies. In parallel, we are enhancing our innovation pipeline, including strengthening our intellectual property portfolio with new patent application filings. With these initiatives underway, we believe Wishpond is enhancing its AI-enabled sales and marketing platform to better capture  new opportunities and drive sustained value for our business and shareholders.”

Adrian Lim, Wishpond’s Chief Financial Officer commented, “In Q2 we continued to execute on our transition to an AI-focused platform while tightening our cost structure. Cash flow from operations was temporarily impacted by a one-time $203,591 timing difference related to the Company’s transition to a new payment processing method for contractor payments, which will not recur and is expected to deliver ongoing savings in processing and foreign exchange fees. More importantly, we are undertaking significant cost optimization initiatives aimed at achieving net positive cash flows and a return to positive Adjusted EBITDA⁽¹⁾ in the second half of 2025. With a leaner operating model, renewed access to our credit facility, disciplined financial management and liquidity initiatives, we believe Wishpond is creating a leaner, more scalable business with a clear path to profitability.”

Second Quarter 2025 Financial Highlights:

• Wishpond achieved quarterly revenue of $3,710,437 during Q2-2025 (Q2-2024: $5,828,709). The decline in revenue can be attributed to the Company’s strategic transition of the business from selling digital marketing solutions for small and medium-sized businesses to an AI enabled marketing and sales platform for all businesses. This resulted in a decline in revenues as the Company moved away from its lower margin legacy email delivery customers, reduced the size of its sales team, shifted its focus to AI enabled products such as SalesCloser AI and converted its internal sales processes towards an AI driven sales model.
• Wishpond achieved Gross Profit of $2,527,282 in Q2-2025 (Q2-2024: $3,942,748). The reduction in Gross Profit is primarily due to lower revenue in the quarter.
• Wishpond achieved a Gross Margin percentage of 68% during Q2-2025 (Q2-2024: 68%).
• During Q2-2025, Wishpond reported negative Adjusted EBITDA⁽¹⁾ of $228,116 (Q2-2024: positive $541,610). The decline was mainly due to lower revenues from the Company’s strategic transition, along with higher annual professional fees and a reduced research and development capitalization as SalesCloser advanced from development to commercialization.

Second Quarter 2025 Business Highlights:

• On May 21, 2025, the Company announced that its SalesCloser platform, an AI-powered sales agent, achieved a key milestone with $1 million in ARR⁽¹⁾. This milestone reflects the growing demand for AI-driven sales automation solutions and the scalability of the Company’s platform. SalesCloser has demonstrated exciting growth, with over 150 customers and over 2,600 AI-powered agents deployed to date. It has quickly become Wishpond’s fastest-growing product, with the majority of its momentum occurring in 2025. This growth underscores the rising demand for AI-driven sales solutions that streamline operations, reduce costs, and enhance efficiency for businesses.

Business Highlights Subsequent to June 30, 2025:

• On August 21, 2025, the Company announced that it filed a non-provisional utility patent application, entitled ‘Self-Testing in a Virtual AI Representative’, which enables a virtual AI agent to undergo rigorous pre-engagement simulations before interacting with real users. This innovation in self-testing technology represents a step forward in AI reliability, ensuring seamless and accurate interactions with users from the outset. This marks the fourth patent Wishpond has filed, underscoring the Company’s commitment to innovation in AI-driven sales and marketing automation.
• On August 26, 2025, the Company successfully renewed its revolving operating line with National Bank of Canada with a maximum limit of $5 million (the “Credit Facility”). The amended Credit Facility includes a revised borrowing base calculation that reduces the Company’s borrowing capacity compared to prior terms and resulted in non-compliance with an existing covenant at the renewal date. The lender has provided a cure period through October 2025, during which management is implementing a liquidity plan that includes disciplined cash flow management and evaluating alternatives to enhance financial flexibility, which may include considering certain strategic asset divestitures or spin-offs. These conditions represent a material uncertainty that may cast significant doubt on the Company’s ability to continue as a going concern. The Company continues to have access to the Credit Facility and believes its liquidity plan will support ongoing operations.

Outlook:

For 2025, Wishpond’s focus is on profitable growth driven by an increase in the growth of its SalesCloser platform, a virtual AI sales agent that can conduct sales calls and demos in multiple languages with minimal human intervention. The Company is also expanding the utilization of its SalesCloser solution in its internal sales processes in order to grow internal sales capacity, drive new sales of Wishpond products and further increase margins and profitability. In addition to using SalesCloser to sell Wispond’s own products, the Company also expects revenue generated from external SalesCloser customers to increase in 2025.

Management is pleased to introduce the Company’s key goals for 2025:

• Accelerate organic revenue growth and increase Monthly Recurring Revenue (“MRR“)⁽¹⁾.
• Increase utilization of SalesCloser in internal sales processes to drive sales of Wishpond’s own products.
• Accelerate revenue growth of SalesCloser to external customers.
• Improve margins, decrease churn and increase long-term customer value.

Selected Financial Highlights:

The tables below set out selected financial information relating to Wishpond and should be read in conjunction with the Interim Financial Statements and MD&A, copies of which can be found under Wishpond’s profile on SEDAR+ at www.sedarplus.ca.

Reconciliation to Adjusted EBITDA⁽¹⁾

Footnotes:

On Behalf of the Board of Wishpond 

“Ali Tajskandar“

Chairman and Chief Executive Officer

About Wishpond Technologies Ltd.       

Wishpond is a Vancouver-based provider of AI-enabled marketing and sales solutions that help businesses grow more efficiently. The Company’s vision is to create a fully autonomous AI-enabled platform that streamlines the entire customer acquisition journey, from lead generation and engagement to deal closure, enabling businesses to scale cost-effectively while driving higher conversions. Wishpond offers an all-in-one marketing suite that integrates AI-driven tools such as an AI Website Builder, AI Email Automation, and SalesCloser AI, a conversational AI-based virtual sales agent that leverages generative AI to conduct personalized sales calls and product demos, increasing efficiency, reducing costs, and enhancing customer satisfaction. With a focus on innovation, Wishpond has filed multiple patent applications in conversational AI, reinforcing its leadership in AI-enabled marketing automation. The Company serves small-to-medium-sized businesses across various industries, providing a powerful yet cost-effective alternative to fragmented marketing solutions. Wishpond employs a Software-as-a-Service (SaaS) business model, generating most of its revenue from subscription-based recurring revenue, which ensures strong revenue predictability and cash flow visibility while continuously expanding its AI capabilities. Wishpond is listed on the TSX Venture Exchange under the ticker “WISH”, and on the OTCQX Best Market under the ticker “WPNDF”. For further information, visit: www.wishpond.com.

Cautionary Statements, Summary Information

Information presented in this press release may be only a summary of all available information and does not purport to be a full representation of all figures, notes and discussions provided for in the Interim Financial Statements and the MD&A. Readers are cautioned to read the entirety of the Interim Financial Statements and the MD&A, and to not rely only on the information presented in this press release. In the event of conflict between the provisions of this press release on the one hand, and the Interim Financial Statements and the MD&A on the other hand, the information in the Interim Financial Statements and the MD&A shall govern.

Non-GAAP Financial Measures

In this press release, Wishpond has used the following terms (“Non-GAAP Financial Measures“) that are not defined by IFRS, but are used by management to evaluate the performance of Wishpond and its business, including: Adjusted EBITDA, ARR, and MRR. These measures may also be used by investors, financial institutions and credit rating agencies to assess Wishpond’s performance and ability to service debt. Non-GAAP Financial Measures do not have standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Securities regulations require that Non-GAAP Financial Measures are clearly defined, qualified and reconciled to their most comparable IFRS financial measures. Except as otherwise indicated, these Non-GAAP Financial Measures are calculated and disclosed on a consistent basis from period to period. Specific items may only be relevant in certain periods. See the disclosure under the heading “Additional GAAP and Non-GAAP Measures” in the MD&A for a discussion of Non-GAAP Financial Measures and certain reconciliations to GAAP financial measures. The intent of Non-GAAP Financial Measures is to provide additional useful information to investors and analysts, and the measures do not have any standardized meaning under IFRS. The measures should not, therefore, be considered in isolation or used as a substitute for measures of performance prepared in accordance with IFRS. Other issuers may calculate Non-GAAP Financial Measures differently. Non-GAAP Financial Measures are identified and defined as follows:

• Adjusted EBITDA: Adjusted EBITDA should not be construed as an alternative to net earnings, cash flow from operating activities or other measures of financial results determined in accordance with Generally Accepted Accounting Principles as an indicator of the Company’s performance. The Company defines “Adjusted EBITDA” as Income or Loss before income taxes less interest, depreciation and amortization, remeasurement of contingent consideration liability, filing fees, credit facility setup and renewal fees, earn-out remuneration, foreign currency losses (gains), acquisition related expenses, net other expenditures (income), and stock-based compensation. The Company believes that Adjusted EBITDA is a meaningful financial metric as it measures cash generated from operations which the Company can use to fund working capital requirements, service future interest and principal debt repayments and fund future growth initiatives.
  
  
  
  
• Annual Recurring Revenue: The Company uses Annual Recurring Revenue, or ARR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan for a period of 12 months. ARR is calculated by multiplying total MRR by 12.
  
  
  
  
• Monthly Recurring Revenue: The Company uses Monthly Recurring Revenue, or MRR, as a directional indicator of subscription revenue going forward assuming customers maintain their subscription plan the following month. MRR is the total of all monthly subscription plan fees paid by customers in effect on the last day of that period. If customers pay for more than one month upfront, the amount is divided by the number of months in the subscription period. Discounts are deducted prior to the calculation and one-time payments and metered based charges are excluded.

Forward-Looking Statements

Statements that are not reported financial results or other historical information are forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, “forward-looking statements“). This press release includes forward-looking statements regarding the Company, its subsidiaries and the industries in which they operate, including statements about, among other things, all information contained under the heading “Outlook” herein, references to expected results from future operations, future growth of the Company’s products and platforms, the future development and increased use of products incorporating artificial intelligence, including SalesCloser, references to the growth of the Company’s product portfolio and future profitability, including whether additional products or features may be developed in the future, and the functionality and timing of such products, financial results or operational activities that may be undertaken by the Company, the adequacy of the Credit Facility to provide the Company with sufficient funding, the ability of the Company to successfully implementing the liquidity plan in connection with the Credit Facility, the results of the Company’s cost-savings, research and development and other initiatives, expectations around the outcome of applications for any of the Company’s patents, any future acquisitions or other activities done to grow the Company both organically or inorganically, expectations, beliefs, plans, future operations, the impact of broader economic factors including inflation and other general economic risks on the Company, business and acquisition strategies, opportunities, objectives, prospects, assumptions, including those related to trends and prospects, and future events and performance. Sentences and phrases containing or modified by words such as “expect”, “anticipate”, “plan”, “continue”, “estimate”, “intend”, “expect”, “may”, “will”, “project”, “predict”, “potential”, “targets”, “projects”, “is designed to”, “strategy”, “should”, “believe”, “contemplate” and similar expressions, and the negative of such expressions, are not historical facts and are intended to identify forward-looking statements. Readers are cautioned to not place undue reliance on forward-looking statements. Actual results and developments may differ materially from those contemplated by forward-looking statements. Although the Company believes that the expectations reflected in forward-looking statements in this press release are reasonable and are based on, among other things, the expectations and analysis of current market trends and opportunities of management of the Company, such forward-looking statements have been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond the Company’s control, including, but not limited to, risks associated with changes to SalesCloser and other product’s revenue and profitability, changes to customer preferences, competition, use cases for SalesCloser and other products, economic uncertainty and instability as a result of the ongoing inflation and supply chain issues, higher interest rate climate, tightening of credit availability and recessionary risks, pandemic related risks, wars, tariffs, instability in global commodity and securities markets, shifts in consumer and institutional spending and marketing strategies, risks related to data breaches and privacy, the changing global market and competition for the products and services supplied by the Company, and the additional risk factors discussed in the continuous disclosure materials of the Company which are available under the Company’s profile on SEDAR+ at www.sedarplus.ca. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement and are made as of the date hereof. The Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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

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SOURCE Wishpond Technologies Ltd.