Recurring revenue represented 51% of total revenue and 72% of commercial revenue

First payments have been received for the Indonesian mapping program

Affirming 2024 projections of $16-18 million in revenue with EBITDA margin of approximately 25%

DENVER, May 09, 2024 (GLOBE NEWSWIRE) -- Intermap Technologies (TSX: IMP; OTCQB: ITMSF) (“Intermap” or the “Company”), a global leader in 3D geospatial products and intelligence solutions, today announced 42% revenue growth in the first quarter of 2024. For the period ending March 31, 2024, the Company reported revenue of $1.7 million, compared with $1.2 million for the fourth quarter of 2023. Additionally, deferred revenue increased by $2.6 million, driven primarily by the receipt of initial payments from the Indonesian government. Adjusted for upfront payments, which were invested to upgrade Intermap’s sensor, processing and airborne platforms, revenue and incremental deferred revenue of $2.6 million (totaling $4.3 million) was up 154% compared with the first quarter of 2023. For IFRS reporting, deferred revenue represents cash payments from customers that are recognized in the P&L over time as program costs are incurred.

Intermap will be building world-class geospatial foundation data for Indonesia, built to unprecedented specifications for country-scale mapping, including a 3D elevation model posted at 0.50 meters CE95, orthorectified ground-true imagery collected at up to 10 cm resolution, a seamless mosaic for the Island of Sulawesi, supported by high-resolution, bare-earth foundation data, collected through triple canopy jungle foliage with Intermap’s proprietary, Lear-jet mounted, IFSAR and FOPEN sensors and patented convergence models. Following a successful capital upgrade and certification of its sensor payload and airborne platform to meet stringent geospatial data specifications in Indonesia, total assets increased by $1.7 million to $6.2 million.

Cash and accounts receivable improved to $2.6 million. Intermap’s adjusted net working capital improved to $0.7 million from a deficit of $0.8 million at December 31, 2023, excluding longer-term, restructuring-related, non-operating liabilities. Cash milestone payments for Indonesia are heavily weighted towards finished product deliveries during the second half of 2024. The Company expects to recognize approximately 60% of its Indonesian revenue while its airborne platform is deployed to collect data, during the second and third quarters of 2024. Accordingly, Intermap expects to draw $1.9 million of incremental working capital to fund airborne and field operations and data processing. Liquidity will be provided through a combination of funds from operations, milestone acceleration, partner advances or equity issuance, as needed.

Acquisition Services revenue in the first quarter totaled $0.5 million, compared with NIL last year, as the Company started to perform pre-deployment activities for its program in Indonesia. Last year, Intermap experienced a delay in the award of key government contracts, reducing its revenue from government customers. With this initial Sulawesi contract, representing approximately 10% of Indonesia’s land mass, Intermap is establishing the foundation for a successful execution and seamless transition to mapping the entire country of Indonesia through 2028, building a strategic national digital infrastructure that supports economic growth and commercial applications. In addition to Indonesia, the Company’s government segment is off to a strong start in 2024.   Subsequent to the quarter end, Intermap has secured major new contracts in Malaysia, Malawi, India and Greece. This rapid growth reflects strong demand for precise 3D geospatial elevation data in the region and signals promising opportunities for new government contracts and the expansion of existing contracts. Intermap anticipates further wins during 2024 throughout Southeast Asia to fulfill government strategic data infrastructure requirements.

In the first quarter, software and solutions revenue totaled $0.9 million, an 8% increase over the previous quarter. The recurring revenue in this segment represented 56% of total revenue. In the U.S., InsitePro® software subscription revenue represented 68% of total software and solutions revenue. The Company projects its insurance business to continue growing at a CAGR of more than 20% over the next few years. Other first quarter highlights include:

• Winning a $20 million contract to map the Island of Sulawesi, Indonesia
• Winning a $1 million contract in Malaysia for water resources management
• Winning more than $1 million in U.S. and European insurance business
• Winning two new infrastructure projects leveraging AI/ML capabilities in Greece and Malawi

Intermap affirms its 2024 guidance for revenue in the range of $16-18 million and adjusted EBITDA margin of approximately 25%. The primary risk factor to this guidance is the Indonesian government’s ability to secure necessary permits on schedule and in a timely manner. Permitting remains on track and Intermap has completed its pre-deployment mobilization and sensor upgrades and expects to deploy its airborne platform and commence field operations by the end of May 2024.

“Intermap is focused on leveraging our unique data and infrastructure to win and execute large, multiyear government and commercial contracts, then provide our customers with multiyear subscription opportunities that further extend their own capabilities and increase the value of their strategic geospatial data investments,” said Patrick A. Blott, Intermap Chairman and CEO. “Our commercial software and data subscription revenue continue to demonstrate the value of this business model and grow with renewals and upsells. We have created a solid foundation in key markets for sustainable growth with high margins. Our advanced AI/ML technology and processing infrastructure, which run on top of the world’s largest multi-sensor elevation data archive to train algorithms, enable us to deliver unique insights with unprecedented resolution, scale, quality and speed.”

The Company’s consolidated financial statements for the quarter ended March 31, 2024, along with management’s discussion and analysis for the corresponding period and related management certifications for first quarter financial results will be filed on SEDAR+ at www.sedarplus.ca on May 15, 2024.

Reconciliation of Non-GAAP measures
Adjusted working capital is not a recognized performance measure under IFRS and does not have a standardized meaning prescribed by IFRS. The term working capital is defined as current assets less current liabilities. Adjusted working capital is included as a supplemental disclosure because management believes that such measurement provides a better assessment of the Company’s operations on a continuing basis by eliminating certain non-operating liabilities that are nonrecurring. A reconciliation to Adjusted working capital is provided in the table below.

Intermap Reader Advisory