Mr. Doug Dyment reports

GATEKEEPER REPORTS $9.8M REVENUE, 101% YOY GROWTH, AND $2.3M NET INCOME IN RECORD BREAKING FISCAL Q1 2024

Gatekeeper Systems Inc. has released its financial results for the three months ended Nov. 30, 2023, and engaged a liquidity services provider.

Highlights for first fiscal quarter ended Nov. 30, 2023:

• Revenue was $9,824,743 which compares with $4,885,058 for the same prior-year comparable period, representing an increase of 101 per cent.
• Gross margin was $4,778,045 which compares with $1,546,118 for the same prior-year comparable period, representing an increase of 209 per cent. Gross margin as a percentage of revenue was 49 per cent, compared with 32 per cent for the same prior-year comparable period.
• Total comprehensive income was $2,341,112, or two cents per share, which compares with total comprehensive loss of $86,014, or nil per share, for the same prior-year comparable period.
• At Nov. 30, 2023, the company had working capital of $15,189,418, no borrowed-money debt and approximately 92 million shares outstanding.

Management commentary

Doug Dyment, president and chief executive officer, commented: "These are the strongest first fiscal quarter financial results in our history by a wide margin. Both the school and transit segments of our business are exhibiting solid growth based on our platform-as-a-service (PaaS) business model. The installed base of mobile data collectors (MDCs) has grown to more than 50,000, and we are now actively preparing and selling recurring-revenue solutions to help our customers monitor and optimize the vast amounts of video and data being recorded every day. These new offerings utilize AI, video analytics, hosted software solutions and wireless data connectivity, and they form the data layer in our PaaS business model that enables Gatekeeper's evolution as a data company."

Full details of the financial reports and operating results for the first fiscal quarter ended Nov. 30, 2023, are described in the company's unaudited consolidated financial statements with accompanying notes and related management's discussion and analysis, available on SEDAR+.

The company also announces it has engaged Velocity Trade Capital Ltd. to provide market stabilization and liquidity services to the company in accordance with applicable securities laws and the polices of the TSX Venture Exchange. Velocity Trade will receive $5,000 per month for its services from the company's available cash. There are no additional performance factors, shares or options offered as compensation. The company and Velocity Trade are unrelated and unaffiliated entities and Velocity Trade has no interest, directly or indirectly, in the company or its securities. The services provided by Velocity Trade will commence on Feb. 1, 2024, for an initial term of two months, after which either party may terminate the agreement with 30 days written notice. The engagement with Velocity Trade is subject to approval by the TSX Venture Exchange.

Velocity Trade is a private and independent investment dealer headquartered in Toronto, Ont., and registered for trading in the provinces of Ontario, British Columbia, Alberta and Manitoba. Velocity Trade is a member of the TMX, and of the Canadian Investment Regulatory Organization (CIRO). Additionally, the firm and its affiliate companies are regulated internationally by the United Kingdom's Financial Conduct Authority (FCA), the Authority for Financial Markets (AFM) in the Netherlands, the Australian Securities and Investment Commission (ASIC), South Africa's Financial Sector Conduct Authority (FSCA), and the Monetary Authority of Singapore, among others.

About Gatekeeper Systems Inc.

Gatekeeper is a leading provider of intelligent video and data solutions designed to provide a safer transportation environment for children, passengers and public safety personnel on multiple transportation modes. The company uses artificial intelligence, video analytics and mobile data collectors to interconnect public transportation assets within a smart city ecosystem. The company's platform-as-a-service (PaaS) business model is centred around wirelessly enabled mobile data collectors which forms the foundation of the company's data company evolution.

We seek Safe Harbor.