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Payfare Announces Record Third Quarter 2022 Financial Results 

 Record growth drives significant Adjusted EBITDA expansion to $1.3 million and highest ever Operating Cash Flow generation of $3.9 million in the third quarter 

Toronto, Ontario – November 9, 2022 – Payfare Inc. (“Payfare” or the “Company”) (TSX: PAY), a leading fintech powering instant payout and digital banking solutions for the gig workforce, today announced the filing of its Financial Statements and Management’s Discussion and Analysis (“MD&A”) for the quarter ending September 30, 2022. 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.sedar.com.

Q3 2022 Financial Highlights:

  • Revenue of $35.9 million in Q3 2022, representing a $23.2 million (+183%) increase over Q3 2021 and a $2.3 million (+7%) increase over Q2 2022.
  • Gross profit of $6.9 million in Q3 2022, up $4.9 million (+246%) compared to Q3 2021 and up $0.5 million (+8%) compared to Q2 2022. 
  • Net loss improved to ($0.8 million) in Q3 2022 compared to a net loss of ($4.0 million) in Q3 2021 and a net loss of ($2.3 million) in Q2 2022. 
  • Record Adjusted EBITDA1 expansion to $1.3 million in Q3 2022, a $3.5 million (+161%) increase over Q3 2021 and a $1.0 million (+357%) increase over Q2 2022. 
  • Record Operating Cash Flow generation of $3.9 million in Q3 2022, up $4.9 million over Q3 2021 and up $7.3 million over Q2 2022. 
  • Total gross dollar value (Total GDV)1 in Q3 2022 was $2.1 billion, an increase of $1.4 billion (+176%) over Q3 2021 and $0.2 billion (+9%) over Q2 2022.  
  • Ended Q3 2022 with 920,682 active users1, an increase of 560,395 (+156%) compared to active users as at September 30, 2021. 
  • Payfare believes the market price of Common Shares may not, from time to time, fully reflect their value and that repurchasing shares under the Normal Course Issuer Bid (NCIB) program can be an attractive use of capital. The Company has repurchased 765,100 Common Shares to date at an average cost of $4.62 per share. 

Executing on strategic objectives:

  • DasherDirect App by Payfare was ranked # 1 in August 2022 amongst all US Finance Apps by UnitQ, a product quality monitoring platform which conducts rankings based on user feedback data from app store reviews and social media. 
  • Launched new, enhanced cash back rewards on gas purchases for U.S. Lyft drivers using a Lyft Direct debit card, powered by Payfare. As of September 28, 2022 Lyft drivers can earn up to 8% cash back on every gas purchase in accordance with their driver tier.

“We are excited to announce record growth in both Adjusted EBITDA and Operating Cash Flow in the third quarter,” said Marco Margiotta, CEO and Founding Partner of Payfare. “Fourth quarter user growth in both rid