Weyland Tech’s Push Interactive Reports Major Turnaround Post-COVID-19 Lockdown; Expects Push Q2 2020 Revenue up 255%+ to ~$3.6 Million
NEW YORK, July 06, 2020 (GLOBE NEWSWIRE) — Weyland Tech, Inc. (OTCQX: WEYL), a leading global provider of eCommerce, mCommerce and Fintech business enablement solutions, reported that its new Push Interactive subsidiary has realized a major turnaround in revenues and new eCommerce engagements over the last few months.
Push’s revenues for the second quarter ended June 30, 2020 are estimated to total about $3.6 million, up 12% sequentially and up 255% over the same year-ago quarter. This was largely driven by a surge in June, Push’s biggest month so far this year, with revenues up 22% over May to more than $1.4 million.
This momentum has put Push on an annualized revenue run-rate of more than $16.8 million. The subsidiary is on track to meet or exceed previous guidance of $13 million to $15 million in 2020, with margins improving to around 20%.
“March marked the beginning of the U.S. pandemic lockdown, which affected our conversion rates across several of our verticals, but then we began to see a strong turnaround in the subsequent months,” said Push CEO and president, Haig Newton. “The growth has been driven primarily by increasing strength in data monetization and traffic management as we adjusted to the changing dynamics in the market.”
Since Weyland acquired Push Interactive in early January, its growth in data monetization reflects the expansion of total active enterprise and brand accounts from 16 to 28. Data monetization activity has increased within verticals that include home improvement, health insurance, job search and news. Push’s larger accounts include Home Advisor, QuinStreet and Sunrun, for which it continues to help drive conversions.
“Our revenue growth is tracking faster than expenses,” continued Newton, “demonstrating the leverage in our model and scalability of our platform. We have been investing in and integrating new automation technology designed to increase customer re-engagement and retention. We expect to launch this within the next few weeks and further enhance our platform’s sales-generating power.”
When combined with the contribution from Push, Weyland sees overall second quarter 2020 revenues of more than $9.2 million, up 29% over the same year-ago period. This outlook factors in the significant impact of COVID-19 lockdowns in Southeast Asia and the effect on the company’s regional user base. Given the economic challenges facing Weyland’s SMB customers on its CreateApp PaaS platform, the company granted its distributors the flexibility to selectively extend CreateApp subscriptions from 30 to 90 days without charge.
Weyland Tech CEO, Brent Suen, commented: “We understand once a customer is lost, it is much more difficult and costly to bring them back. We also believe it is important to support our customers during challenging times. So, we see these extensions as not only good for our customers but also good for Weyland over the long term. Indonesia continues to reopen, as well as our new markets in Taiwan and Italy, so we expect CreateApp revenues to recover and return to growth as the pandemic eventually subsides. We are currently working on a near-to-intermediate-term strategy to improve our gross margins by eliminating certain distribution partnerships.”
“These events underscore the benefits of diversifying our revenue stream, as demonstrated by Push’s strong recovery and momentum going into the second half of the year,” continued Suen. “We are also continuing to explore ways that we can leverage CreateApp to build native mobile apps for Push’s enterprise customers in the U.S., as well as synergic ways we can drive growth across our global operations.”
Weyland’s AtozGo™ food delivery service in Indonesia also continues to recover, particularly with the launch into residential deliveries offsetting the earlier decline in orders from office workers during the coronavirus lockdown. Deliveries to residential Jakarta has now reached 800 per day, up from 500 as reported a few weeks ago, with the orders being generated by now more than 2,300 registered residential users.
Merchants are also increasingly joining AtozGo, now totaling 35,000, up 9,000 over just the last few weeks. They are providing AtozGo customers a greater selection of household products and services, which supports larger and more frequent orders.
About Weyland Tech
Weyland Tech is a developer and global provider of mobile business software applications. The company operates its CreateApp™ platform-as-a-service (PaaS) across three continents and 10 countries, including some of the fastest-growing emerging markets in Southeast Asia. The platform provides a mobile presence for small-and-medium sized businesses (SMBs) that is supported locally by distributor partnerships.
Offered in 14 languages, CreateApp enables SMBs to create and deploy native mobile applications for Apple iOS and Google Android without technical knowledge or background. The technology empowers SMBs to increase sales, reach more customers, manage logistics, and promote their products and services in an easy, affordable, and highly efficient way.
Earlier this year, Weyland completed the acquisition of the Minneapolis-based eCommerce technology company, Push Interactive. Push provides an eCommerce marketing solution for enterprises and major U.S. brands. For more information, visit weyland-tech.com.
About Push Interactive
The e-Commerce platform of Weyland’s Push Interactive subsidiary features comprehensive customer acquisition capabilities, highly productive media and channel strategies, well-tuned product promotion and messaging, and sales funnel development and optimization. The direct-to-consumer platform provides an end-to-end solution for SMBs and major brands, allowing these organizations to dramatically increase online revenue while lowering the cost of customer acquisition and order fulfillment. Post-sale, Push supports fulfillment, customer relationship management, and further monetization through re-engagement and remarketing toolsets that enhance customer lifetime value (LTV). For more information about Push Interactive, visit www.pushint.com.
Important Cautions Regarding Forward Looking Statements
This release contains certain “forward-looking statements” relating to the business of the Company. All statements, other than statements of historical fact included herein are “forward-looking statements” including statements regarding: the ability of the Company to successfully integrate Push, the continued growth of the eCommerce segment and the ability of the Company to continue its expansion into that segment; the ability of the Company to attract customers and partners and generate revenues; the ability of the Company to successfully execute its business plan; the business strategy, plans, and objectives of the Company; and any other statements of non-historical information. These forward-looking statements are often identified by the use of forward-looking terminology such as “believes,” “expects” or similar expressions and involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks, and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this news release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on its website (www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume any duty to update these forward-looking statements.
Brent Suen, CEO
Weyland Tech Inc.
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