Wavefront Announces First Quarter 2022 Financial Results

Edmonton, Alberta–(Newsfile Corp. – Jan. 28, 2022) – Wavefront Technology Solutions Inc. (TSXV: WEE) (OTCQB: WFTSF) (Wavefront or the Company), is a provider of technology services to the energy, environment and renewable energy sectors. Wavefront offers these industries revolutionary fluid flow technologies that optimize oil and gas recovery while minimizing the environmental impact of operations, accelerate groundwater remediation and improve both CO2 sequestration rates and geothermal well operations. Wavefront would like to report its financial results for the first quarter ending November 30, 2021.

An overview of financial results for the reporting period includes:

  • Total revenue recorded for the first quarter of 2022 (i.e. the three months ended November 30, 2021) was $427,631, a slight decrease of $18,129 from the comparative quarter (i.e. i.e. the three months ended November 30, 2020) revenues of $445,760.

  • Of the revenue for the reporting quarter, $400,448 relates to Powerwave® stimulations, $305,553 of these revenues coming from the Middle East.

    The drop of Powerwave® revenue in the Middle East is linked to the drop in the number of Powerwave® stimuli occurring due to limited oilfield access and marketing capabilities related to coronavirus (“COVID-19”) and associated variants in various geographic regions, and the change of distributors in the Kingdom of Saudi Arabia.

  • Net loss for the first quarter 2022 ended November 30, 2021 increased by $225,766 to $573,286 (or basic and diluted net loss of $0.006 per share) compared to net loss of $347,520 (or basic and diluted net loss of $0.004 per share) for the comparative quarter ended November 30, 2020.

    Net losses were also impacted by higher general and administrative expenses related to the change of Distributors and the recognition of bad debts in Saudi Arabia and the increase in sales and marketing expenses related to the participation in a trade show. of the oil industry and marketing in the United Arab Emirates.

  • Total assets increased by $380,529 from the end of the previous year to $2,801,019, the changes of which are mainly related to the increase of $266,970 in cash and cash equivalents cash. Cash and cash equivalents increased due to the exercise of 3,437,592 common share purchase warrants. The exercise of the common share purchase warrants generated net proceeds of $684,454, which was offset by $393,698 of cash used by operations, and $23,864 relates to the repayment of principal from the rental obligation.

The above financial highlights should be read in conjunction with Wavefront’s unaudited condensed interim consolidated financial statements and earnings management report for the first quarter ended November 30, 2021, filed on SEDAR on January 28, 2022.

ON BEHALF OF THE BOARD OF DIRECTORS

WAVEFRONT TECHNOLOGY SOLUTIONS INC.

“D. Brad Paterson” (signed)

D. Brad Paterson, Chief Financial Officer and Director

About Wavefront:

Wavefront is an oilfield technology service provider, focused on providing the oil and gas industry with proprietary advanced technology, primarily for oil and gas well stimulation and related applications. IOR/EOR ​​recovery. Wavefront is listed on the TSX Venture Exchange under the symbol WEE and on the OTCQB under the symbol WFTSF. The Company’s website is www.onthewavefront.com.

For more information, please contact:

D. Brad Paterson, CFO at 780-486-2222 or email us at [email protected]

Disclaimer – Forward-Looking Statement

Certain statements contained herein regarding Wavefront and its operations constitute “forward-looking statements” within the meaning of Canadian securities laws and the United States Private Securities Litigation Reform Act of 1995. All statements that are not historical facts, including, without limitation, statements regarding future estimates, plans, goals, assumptions or expectations or future performance, are “forward-looking statements”. In some instances, forward-looking statements may be identified by terms such as “may”, “shall”, “should”, “expect”, “plan”, “anticipate”. , ”believe”, ”estimate”, ”predict”, ”potential”, ”believe”, ”continue”, ”work towards” or the negative of these terms or any other comparable terminology . We caution that such “forward-looking statements” involve known and unknown risks and uncertainties that could cause actual results and future events to differ materially from those anticipated in such statements. These factors include fluctuations in acceptance rates for Wavefront’s Powerwave and Primawave processes, demand for products and services, market fluctuations in oil and gas related products and services, Wavefront’s ability to attract and retain key personnel, changes in technology, global political and economic conditions, and other factors which have been described in greater detail in Wavefront’s continuous disclosure filings, available on SEDAR at www.sedar.com. Wavefront expressly disclaims any obligation to update any “forward-looking statements”, other than as required by law.

©2022 Wavefront Technology Solutions Inc. All rights reserved.

From bit to last drop®WaveAxis®power wave® and Primawave® are registered trademarks of Wavefront Technology Solutions Inc., or its subsidiaries or affiliates.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICE PROVIDER (AS ITS TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE RELEVANCE OR ACCURACY OF THIS RELEASE.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/112008

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