Mr. Jim Barrett reports

EDGE TOTAL INTELLIGENCE REPORTS FULL YEAR AND Q4 2022 RESULTS

Edge Total Intelligence Inc. has released its audited financial results for the three months and year ended Dec. 31, 2022, and reinforced its position and future opportunity in the growing adoption of artificial intelligence, automation and digital twin solutions.

"Two thousand twenty-two was a tough and uncertain year for the enterprise software sector as many buyers adjusted their consumption in response to global uncertainty," said Jim Barrett, chief executive officer of Edge Total. "We took efforts in 2022 to restructure certain debts to reduce cash interest costs, which bring improved cash flow in 2023, as we prepped for increased demand and interest in [artificial intelligence], automation and digital twins."

All financial amounts in this release are posted in U.S. dollars as are the consolidated financial statements and management's discussion and analysis on SEDAR.

Fourth quarter 2022 highlights:

• Achieved monthly recurring revenue (MRR) for the fourth quarter of $264,282 largely consistent with the third quarter of $278,489;
• Established a strategic partnership with Silico, an artificial-intelligence-powered business process simulation solution based in London, England; the partnership will expand edgeCore use in the rapidly growing artificial-intelligence-driven business simulation market;
• Negotiated restructuring of the company's debts (executed Jan. 23, 2023) that significantly reduced cash interest expense, eliminated continuing principal repayments and extended maturity terms of the company's debts;
• Recorded an impairment charge of $3,075,130 against certain intangible assets established in prior periods.

Year-end 2022 highlights:

• Increased gross margin from 65 per cent in 2021 to 68 per cent in 2022;
• Recruited system integrators and technology partners to expand into the new and growing artificial intelligence (AI) market;
• Awarded an indefinite delivery/indefinite-quantity (IDIQ) contract by the U.S. Air Force with a ceiling of $950-million through May, 2025, to enable joint all-domain command and control (JADC2) for U.S. Armed Forces and Allies; securing task orders against this contract is a key initiative in future efforts;
• Awarded a basic ordering agreement from NATO Communications and Information Agency (NCIA), which allows member nations to procure and deploy Edge Total's products in a variety of environments and use cases;
• Won a security innovation challenge prize sponsored by Homeland Security Technology Consortium; the price recognizes collaborative research and development of industry and government meeting rapid prototyping/piloting needs for the U.S. Department of Homeland Security and its components;
• Completed its OTCQB listing under the symbol UNFYF and its Frankfurt listing under the symbol Q5i to improve stock liquidity and allow greater exposure to international investors;
• Listed in industry analyst reviews by 451 Research and Gartner in regard to digital transformation and digital twins.

Outlook

The company plans to continue its focus on the growing adoption of AI, automation and digital twin solutions, which industry and market analysts anticipate growing at an impressive near 40-per-cent compound annual growth rate through 2030.

"Our edgeCore platform securely empowers swifter, better action by delivering the right information to the right people at the right time at the speed of relevance. Our software's unique human-centric approach comes at a time when AI, automation and digital twins are expanding and converging. We feel edgeCore is uniquely positioned to accelerate progress and become the platform of choice for [artificial-intelligence]-powered business operations," said Mr. Barrett. "By restructuring our debts and embracing strategic partners, we have created the financial footing and capacity necessary to begin to capitalize on the unique opportunity in front of us."

The complete audited financial statements and associated management's discussion and analysis are available under the company's profile on SEDAR and on the company's website.

About Edge Total Intelligence Inc.

Edge Total helps customers sustain situational awareness and accelerate action with its real-time digital operations software, edgeCore, that unites multiple software applicates and data sources into one immersive experience. Global enterprises, service providers and governments are more profitable when insight and action are united to deliver fluid journeys through the platform's low-code development capability and composable operations. With edgeCore, customers improve their margins and agility by rapidly transforming siloed systems and data across continuously evolving situations in business, technology and cross-domain operations -- helping them achieve the impossible.

We seek Safe Harbor.