PTEFF - Pioneering Technology Reports 2021 Q2 Financial Results

(TheNewswire)

Mississauga, ON – TheNewswire - M ay 31 , 202 1 – Pioneering Technology Corp.( TSXV:PTE ) (OTC:PTEFF) (“ Pioneering ” or the “ Company ”), a technology company and NorthAmerica’s leader in cooking fire prevention technology andproducts reports its unaudited financial results for the three and six months ended March 31, 20 21 . Pioneering’s unaudited condensed interim financialstatements and MD&A are available on SEDAR ( www.sedar.com ).

Financial Highlights:

- Revenue in Q2 was $1,037,791 versus $2,514,757 for the same periodlast year.

- Revenue for the first six months of fiscal 2021 was $2,143,870versus $4,715,942 in fiscal 2020.

- Adjusted EBITDA was ($141,697) in Q2 and is ($694,405)year to date.

- Gross margins improved due to the elimination of special incentivesand price increases on the Company’s products.

- Balance sheet remains strong with $1.3M in cash and over $3.6M inaccounts receivables and inventory.

- The Company lost $0.00 per share in Q2 and $0.01year to date.

The COVID-19 pandemic continues to affect the timingof shipments and the Company’s financial results. Similarly, U.S.tariffs have adversely affected gross margins over the past fourquarters.  However, g iven the prospect ofwidespread vaccination s and the easing or removal of COVID-19 related public healthmeasures in 2021 in theUnited States (the Company’s primary market), and an internalstrategic plan focused on addressing these challenges while alsomanaging expenses and creating new opportunities means that Pioneeringbelieves that it is well positioned to overcome thesechallenges. The Company believes that its current plan will help position it for future growth as itscustomers’ activity in the United States resumes .  (Please see Pioneering’sMD&A for more detail).

Selected Financial Results for theSecond Quarter & Six-months Ended March 31, 2021 & 2020:

(1) Adjusted EBITDA and TariffAdjusted EBITDA are non-IFRS measures. Please refer to “Non-IFRSMeasures” at the end of this press release .

Pioneering CEO Kevin Callahan said of the results,“Despite some setbacks over the past fourquarters due to COVID-19, we remain confidant that we will come out of this difficultstretch stronger. We continue to focus on activities that will helpdrive future top line growth, while taking proactive steps to manage expenses, pricing, cost of goods and gross profit. We are currently executing on a plan to address some of the challenges we have recently beenpresented with to regain our upward trajectory.”

##

About Pioneering TechnologyCorp: Pioneering, based in Mississauga, Ontariois an "energy smart" technology company and North America's leader in innovative cooking fire prevention technologies and products. Our mission is simple: To help savelives and property from the number one cause of household fire –cooking fires. We do this by engineering and bringing to market energy-smart solutions that make consumer appliances safer, smarter, and more efficient. Our patented cooking-fireprevention products address the multi-billion-dollar problem ofcooking fires. According to the National Fire Protection Association,stovetop cooking is the number one cause of household fire and fireinjuries in North America. Pioneering’s temperature limiting control(TLC) technology is now installed in over 300,000 multi-residentialhousing units across North America without a single cooking fire beingreported, delivering peace of mind and a solid return on investmentfor its customers. Pioneering’s proprietary cooking fire prevention solutions include Safe-T-element, SmartBurner, RangeMinder & Safe-T-sensor and are suitablefor the majority of the more than 140 million stoves/ranges and over140 million microwave ovens in use throughout North America. For moreinfo, go to www.pioneeringtech.com .

For investor relations pleasecontact:

Michael Quast

VP Marketing & Communications

Phone: 647-945-7521

Email: michaelquast@pioneeringtech.com

Forward Looking Statements

The statements made in this press release includeforward-looking statements that involve a number of risks anduncertainties. These statements relate to future events or futureperformance and reflect management's current expectations andassumptions. A number of factors could cause actual events,performance, or results to differ materially from the events,performance and results discussed in the forward-looking statements,such as the economy, generally, competition in Pioneering’s targetmarkets, the demand for Pioneering’s products, the availability offunding and the efficacy of Pioneering’s technology, governmentalregulation and the impact of the COVID-19 pandemic. These forward-looking statements are made as of the date hereof an, except asrequired by applicable law, Pioneering does not assume any obligationto update or revise them to reflect new events or circumstances.Actual events or results could differ materially from Pioneering’sexpectations and projections.

Non-IFRS Measures

Adjusted EBITDA is a measure not recognized under International FinancialReporting Standards (“IFRS”). However, management of Pioneeringbelieves that most shareholders, creditors, other stakeholders, andinvestment analysts prefer to have these measures included as reportedmeasures of operating performance, a proxy for cash flow, and tofacilitate valuation analysis. Adjusted EBITDA is defined as earningsbefore interest income, taxes, depreciation and amortization,impairment losses, stock-based compensation, restructuring costsincluded in general and administration expense, fair value movement – derivative liability and other non-recurring gains or lossesincluding transaction costs related to acquisition. Managementbelieves Adjusted EBITDA is a useful measure that facilitatesperiod-to-period operating comparisons. Adjusted EBITDA does not haveany standard meanings prescribed by IFRS and therefore may not becomparable to similar measures presented by other issuers. Readers arecautioned that Adjusted EBITDA is not an alternative to measuresdetermined in accordance with IFRS and should not, on its own, beconstrued as indicators of performance, cash flow or profitability.References to the Pioneering’s Adjusted EBITDA should be read inconjunction with the financial statements and management's discussionand analysis of Pioneering posted on SEDAR (www.sedar.com). For a reconciliation ofAdjusted EBITDA as presented by Pioneering to net income, please referto Pioneering’s management’s discussion and analysis.

Tariff Adjusted EBITDA , defined as Adjusted EBITDA adjusted for tariff and tariffrelated costs, is used by management to measure operating performanceof the Company and is a supplement to our unaudited condensed interimfinancial statements presented in accordance with IFRS. TariffAdjusted EBITDA is a helpful measure of operating performance, similarto Adjusted EBITDA, enabling management and investors to gain aclearer understanding of the underlying financial performance of theCompany without the impact of U.S. Section 301 tariffs and relatedcosts. While management considers Tariff Adjusted EBITDA a meaningfulmeasure for assessing the underlying financial performance of theCompany, Tariff Adjusted EBITDA is a non-IFRS measure and does nothave a standardized meaning prescribed by IFRS and therefore may notbe comparable to similar measures presented by other companies. Readers are cautioned that Tariff Adjusted EBITDA is not an alternative to measures determinedin accordance with IFRS and should not, on its own, be construed asindicators of performance, cash flow or profitability. References tothe Pioneering’s Tariff Adjusted EBITDA should be read inconjunction with the financial statements and management's discussionand analysis of Pioneering posted on SEDAR (www.sedar.com). For a reconciliation ofTariff Adjusted EBITDA as presented by Pioneering to net income,please refer to Pioneering’s management’s discussion and analysis.

Neither the TSXV nor its RegulationServices Provider (as that term is defined under the policies of theTSXV) accepts responsibility for the adequacy or accuracy of thisrelease.

Copyright (c) 2021 TheNewswire - All rights reserved.