FOMO CORP. ANNOUNCES FIRST QUARTER RESULTS; BETWEEN EDTECH

CHICAGO, Ill., July 13, 2022 (GLOBE NEWSWIRE) — FOMO CORP. (OTC PINK CURRENT: FOMC) is pleased to announce that the company has filed Form 10-Q with the SEC for the three-month period ended March 31, 2022. This report includes one month of SMARTSolution Technologies LP (“ SST”) P&L, this activity having been acquired on February 28, 2022.

Q1 2022 financial highlights (compared to Q1 2021):

  • * Net sales of $1.23 million, up 615% from $151,000 in the same prior year period, with pro forma revenue assuming the acquisition of SST closed on 1 January 2022, a multiple of this figure,
  • Gross profit of $165,000, or 13.4%, compared to $19,000, or 12.7%, for the same period last year,
  • Adjusted EBITDA loss of ($280,000), an improvement from ($361,000) for the period ending March 31, 2021, which excludes non-cash stock-based compensation, warrants issued for services and depreciation and amortization,
  • Backlog as of March 31, 2022 was approximately $2.5 million, driven by strong demand from K12 customers in western Pennsylvania, eastern Ohio and West Virginia who have access to billions of dollars in federal stimulus funding (ESSER funds – Elementary High Schools Emergency Relief Fund) they must go through this upcoming school year,
  • For more information on the quarter, see our Form 10-Q on EDGAR at https://www.sec.gov/ix?doc=/Archives/edgar/data/867028/000149315222018972/form10-q. html

Operational Highlights:

  • Entered the “EdTech” business with the acquisition of SMARTSolution Technologies LP on February 28, 2022, adding more than a dozen industry professionals focused on selling interactive whiteboards and ancillary products and services to K12 markets , post-secondary education, business and government,
  • In the second quarter, we raised approximately $2 million in non-dilutive financing to improve the liquidity of the business and provide the cash and funding needed for the expected growth in the third and fourth quarters of 2022.
  • **Prepared and subsequently filed all required forms with the SEC to regain “current” filing status based on year-end 2021.
  • **Operations restructured to reflect new business direction and strategic direction.

*Closing of the SST transaction on 02/28/2022; the results only reflect one month of activity for SST.

**Indicates items subsequent to end of quarter items

Vik Grover CFA, CEO of FOMO CORP., said, “We have taken many steps over the past year to transform this company into an exciting opportunity for our shareholders. The SMARTSolution Technologies business is on track to generate estimated revenues of $8-10 million for this year. I believe there are efficiencies we can achieve across the organization to gradually and consistently increase operating margins through reduced costs, increased volumes and potential cross-selling. additional products and services to existing and future SST customers. Improved material availability in our market segments has enabled our recorded sales to increase significantly. Although not fully efficient in their supply chains, our suppliers have acted to capture as much market as possible while other suppliers have struggled to obtain materials. Given the above, our June closed quarterly books show a level of revenue and EBITDA at SST that should lead to a record high report for the public company since the 2014 predecessor FOMO reorganization. Given this level High performance coupled with recent cost reductions, restructuring of non-performing assets and rewrites of minority investments, FOMO is on track to become profitable.

“We continue to streamline our air purification and disinfection business, and while it generated minimal revenue during the quarter, we are optimistic about opportunities to grow the division both through cross-selling on the K12 education market, and potentially by working with other strategic partners to leverage their distribution in synergistic verticals such as cleaning, disinfection and other corporate and government. To this end, we are in preliminary discussions with a Mid-Atlantic provider of such services for partnership, investment and/or acquisition, and we are redoubling our efforts to partner with and/or acquire HVAC/electrical contractors.

“From a business perspective, we have brought in additional resources in the areas of accounting, finance, sales, marketing, legal and other areas that we rely on to build on our foundations and thrive. as an open society. While it has certainly taken time and there have been some twists and turns along the way, we continue to move forward each day, and I look forward to a year of promising growth for our business. Our current business is sufficiently funded for near-term growth and the future looks good as we enter a new chapter,” Grover concluded.

About FOMO CORP.

FOMO CORP. (https://www.fomoworldwide.com/) is a publicly traded company focused on business incubation and acceleration. The Company invests in and advises emerging companies aligned with a growth mandate. FOMO develops direct investments and affiliations – majority and minority owned as well as joint ventures – that provide targets with access to public markets for expansion capital as well as spin-out options to become their own stand-alone public companies .

About ESS

SMARTSolution Technologies LP (https://smarterguys.com/), a wholly owned subsidiary of FOMO CORP., is a Pittsburgh, Pennsylvania-based audio visual systems integration company that designs and builds presentation, teleconferencing and collaboration for businesses and educational institutions. and other non-profit organizations. SMARTSolution is a leader in interactive display technologies for use in all types of programs and has been providing interactive solutions to the EdTech market for over 25 years.

Forward-looking statements

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: This release contains forward-looking statements that express the beliefs and expectations of management, including statements regarding results of operations or liquidity expected from the company; statements regarding projections, predictions, expectations, estimates or forecasts regarding our business, financial and operating results and future economic performance; and statements of management’s goals and objectives and other similar expressions regarding matters that are not historical facts. In some cases, you can identify forward-looking statements by words such as “anticipate”, “estimate”, “plan”, “project”, “continue”, “ongoing”, “expect”, “we believe”, “we intend”, “may”, “will”, “should”, “could” and other similar expressions. These statements are based on current plans, estimates and expectations and involve a number of known and unknown risks, uncertainties and other factors that could cause the future results, performance or achievements of the Company to differ. materially from the results, performance or achievements expressed or implied by such forward-looking statements. These factors and additional information are discussed in the Company’s filings with the Securities and Exchange Commission and the statements contained in this release should be evaluated in light of these important factors. Although we believe these statements are based on reasonable assumptions, we cannot guarantee future results. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.

Contact:

FOMO CORP.
madison ryan
VP Investor Relations
[email protected]
407-325-3090

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