Mr. Mike Reinhart reports

QUISITIVE REPORTS FIRST QUARTER 2023 FINANCIAL RESULTS DRIVEN BY STRENGTH IN PAYMENTS

Quisitive Technology Solutions Inc. has released financial results for the first quarter ended March 31, 2023.

Management commentary

"Our first quarter showcased the benefit of our dual-pronged business as sequential and year-over-year top-line revenue growth driven by the strength in our Global Payments Solutions division," said Quisitive chief executive officer Mike Reinhart. "We continue to make progress on the PayiQ front and look forward to providing a platform demo at our investor day, showcasing a live customer transaction. Our team is just months away from commercialization as we will slowly start on-boarding merchants onto our platform. On our Global Cloud Solutions segment, our managed services and licensing and software sales were up both sequentially and year over year following our efforts to build a stronger base of recurring revenues. We continue to partner with Microsoft and make strides in innovation to drive value to customers."

First quarter 2023 financial results

The company's condensed consolidated interim financial statements for the three months ended March 31, 2023, and related management's discussion and analysis can be found on the company's website and the company's issuer profile on SEDAR. All figures are expressed in U.S. dollars unless otherwise stated.

• Revenue increased 8 per cent to $48.3-million compared with $44.9-million for the quarter ended March 31, 2022.
• Gross profit increased 1 per cent to $18.2-million compared with $17.9-million for the quarter ended March 31, 2022.
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) increased 10 per cent to $7.0-million compared with $6.4-million for the quarter ended March 31, 2022.
• Global Cloud Solutions revenue was $31.8-million compared with $33.7-million for the quarter ended March 31, 2022.
• Global Payment Solutions revenue increased to $16.5-million compared with $11.2-million for the quarter ended March 31, 2022.
• The company's total senior debt to adjusted EBITDA ratio was 2.50 to 1.00 at March 31, 2023.

First quarter 2023 recent operational highlights:

• Announced the company will host an investor day on Wednesday, June 14, 2023, at the Microsoft Technology Center in Toronto, Ont.;
• Announced its successes in delivering innovation across platforms and business needs for manufacturing firms;
• Secured several major new contracts for the Spyglass security solution with customers spanning municipalities and enterprise retailers;
• Included on The Globe and Mail's 2023 Report on Business magazine's women lead here list, an editorial benchmark that identifies top-notch Canadian businesses with the highest executive gender diversity;
• Recognized as one of the top performers on the TSX Venture Exchange over the last year, a list of 50 companies from five different sectors, recognizing the strongest performance on the exchange;
• Achieved all six out of six available Microsoft cloud partner program solution designations, earning the recognition of Microsoft cloud solutions partner.

Amendment to credit facility:

• On March 31, 2023, the corporation amended the BMO loan agreement to reduce the minimum fixed-charge coverage ratio covenant, as defined therein, from 1.25 to 1.00 to 1.10 to 1.00 through Dec. 31, 2023. The minimum fixed charge coverage ratio will return to 1.25 to 1.00 for the quarter ending March 31, 2024. As part of the amendment, additional financing costs were capitalized and will be expensed over the life of the loan.

Conference call

Quisitive management will hold a conference call tomorrow (May 16, 2023) at 8:30 a.m. Eastern Time (5:30 a.m. Pacific Time) to discuss these results.

Mr. Reinhart and chief financial officer Scott Meriwether will host the call, followed by a question-and-answer period.

Toll-free dial-in:  1-877-704-4453

International dial-in:  1-201-389-0920

A webcast will be available.

Please call the conference telephone number 10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Investor Relations at 949-574-3860.

A telephonic replay of the conference call will be available after 11:30 a.m. Eastern Time on the same day and will expire after May 30, 2023.

Toll-free replay number:  1-844-512-2921

International replay number:  1-412-317-6671

Replay ID:  13738727

For additional information, please visit the investor relations section of Quisitive's website.

The attached table summarizes results for the first quarter ended March 31, 2023, and 2022.

About Quisitive Technology Solutions Inc.

Quisitive (TSX Venture Exchange: QUIS and OTCQX: QUISF) is a premier, global Microsoft partner that harnesses the Microsoft cloud platform and complementary technologies, including custom solutions and first party offerings, to generate transformational impact for enterprise customers. Its Cloud Solutions business focuses on helping enterprises move, operate and innovate in the three Microsoft clouds. Its Payments Solutions division leverages the PayiQ platform powered by Microsoft Azure to transform the payment processing industry into an entirely new source of customer engagement and consumer value. Quisitive serves clients globally from 17 employee hubs across the world.

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