Payfare generated net income of $5.1 million, and Adjusted net income per share¹ of $0.15 in Q1 2024. The Company has also provided an update on its Audited Annual Filings. 

Toronto, Ontario – May 8, 2024 – Payfare Inc. (“Payfare” or the “Company”) (TSX: PAY, OTCQX: PYFRF),a leading international Earned Wage Access (“EWA”) company powering instant access to earnings and digital banking solutions for workforces, today announced the filing of its Financial Statements and Management’s Discussion and Analysis (“MD&A”) for the quarter ending March 31, 2024. A comprehensive discussion of Payfare’s financial position and results of operations are provided in the MD&A, which is filed on SEDAR+ under Payfare’s profile and can be found at www.sedarplus.ca.

Q1 2024 Highlights:

• Increased revenue to a record $51.9 million for the three months ended March 31, 2024, representing a $9.6 million (+23%) increase compared to the same period in 2023. 
• Ended Q1 2024 with 1,423,502 active users¹, up by 296,042 (+26%) compared to active users¹ count as at the end of Q1 2023. 
• Total gross dollar value (Total GDV)¹ in Q1 2024 was $3.5 billion, up by $0.9 billion (+33%) over Q1 2023. 
• Gross Profit of $12.8 million in Q1 2024, up by $3.4 million (+36%) over the prior year period. 
• Net income of $5.1 million, or $0.11 per share, for the three months ended March 31, 2024, up $3.8 million (+296%), compared to the same period in 2023. 
• Adjusted net income¹ of $7.5 million, or $0.15 per share, for the three months ended March 31, 2024, representing growth of $4.0 million (+116%) over the prior year period.
• Adjusted EBITDA¹ of $6.0 million for the three months ended March 31, 2024, reflecting a $3.0 million increase (+98%) compared to the same period in 2023. 
• Free cash flow¹ of $5.8 million for the three months ended March 31, 2024, versus $6.5 million in  the prior year period. The year-over-year change in free cash flow was a function of investing in new growth programs and enhancing existing programs. 
• On March 5, 2024, the Company announced the launch of the Uber Pro Card, a significant new program with Uber providing free instant payouts after every trip or delivery, enhanced loyalty features for drivers and delivery people, and backup balance for qualifying users on the Uber platform in Canada, powered by Payfare’s leading digital banking app.
• Payfare launched a new embedded finance product with an international big box retailer, to provide earnings payouts to the retailer’s delivery gig workforce in Canada. The Company expects to announce additional details of this program as it completes the enrollment phase. 
• In Q1 2024, the Company signed a commercial agreement with Automatic Data Processing Inc. (“ADP”) to offer Earned Wage Access (EWA) to the Canadian market. 

Payfare Provides Update on Annual Filings

Payfare provided an update to its previously disclosed management cease trade order (“MCTO”), in respect of its delayed filing of its audited annual financial statements, management’s discussion and analysis, annual information form, and related certifications, all for the year ended December 31, 2023 (collectively, the “Annual Filings”).

The delay in the Annual Filings is due solely to the delay in receiving the System and Organi