Mr. Mike Reinhart reports

QUISITIVE REPORTS SECOND QUARTER 2023 FINANCIAL RESULTS

Quisitive Technology Solutions Inc. today released its financial results for the second quarter ended June 30, 2023. All dollar amounts are in United States dollars unless otherwise stated.

Management commentary

Quisitive continues to refine its unique value proposition by advancing its proprietary IP solutions, closely aligning with Microsoft's objectives and delivering significant ROI (return on investment) for clients.

"The second quarter was pivotal as we not only achieved key milestones on important initiatives, but also undertook necessary actions, including cost reductions at the end of July to mitigate the impact of macroeconomic challenges while propelling critical business objectives," said Quisitive chief executive officer Mike Reinhart. "Highlighted by the seamless transition of AgeChecker.Net to PayiQ's processing platform, our payment solutions segment continues to show promise as we attain key milestones in PayiQ's commercialization and affirm the effectiveness of our long-term market penetration strategy. Recent economic signals are supporting increased investments in digital transformation initiatives, and our global cloud solutions business has stayed resilient, strategically positioning us advantageously. Our symbiotic relationship with Microsoft will provide our teams with a competitive advantage in the AI, managed services, security and health care market sectors. This relationship also facilitates harmonized sales and marketing activities that expedite customer acquisition and propel future revenue. We are committed to maintaining our status as a premier solution provider in the digital transformation and related services ecosystem while pursuing further growth and innovation in the payments arena."

Second quarter 2023 financial results

The company's condensed consolidated interim financial statements for the three months ended June 30, 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 United States dollars unless otherwise stated.

• Revenue decreased 5 per cent to $45.3-million compared with $47.6-million for the quarter ended June 30, 2022.
• Gross profit decreased 13 per cent to $16.7-million compared with $19.3-million for the quarter ended June 30, 2022.
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) decreased 37 per cent to $4.4-million compared with $6.9-million for the quarter ended June 30, 2022.
• Global cloud solutions revenue was $30.2-million compared with $35.3-million for the quarter ended June 30, 2022.
• Global payment solutions revenue increased to $15.1-million compared with $12.4-million for the quarter ended June 30, 2022.
• The company's total senior debt to adjusted EBITDA ratio was 2.65:1.00 at June 30, 2023.

Second quarter 2023 recent operational highlights

• Announced the launch of MazikCare Care Planner, a new care treatment pathing application designed to streamline patient care coordination and improve communication between health care providers and patients.
• Collaborated with Heart-Tech Health to implement MazikCare as an integrated care delivery tool to prevent women's heart disease.
• Announced the successful migration of its patented AgeChecker.Net to PayiQ's payments processing, a significant milestone in its continued evolution of the PayiQ cloud-enabled payments platform.
• Recognized as the winner of two 2023 Microsoft U.S. Partner of the Year awards for solution assessments and health care and life sciences.
• Partnered with Board International to directly connect its financial planning and analysis solutions to Quisitive's Microsoft Dynamics offering.
• Announced the addition of 24x7x365 Managed Detection and Response capabilities to its services portfolio, as an integrated service within its Spyglass Security solution and Azure Management Services solution.
• Generated substantial positive impact for Canadian health care innovator Arthur Health through its modern health care solutions.
• Partnered with Microsoft solution teams to develop and implement generative artificial intelligence tools using Azure OpenAI and Microsoft Copilot into Quisitive's suite of industry technology solutions for health care, public sector and manufacturing.
• Announced successes in delivering innovation across platforms and business needs for manufacturing firms.

Conference call

Quisitive management will hold a conference call tomorrow (Aug. 29, 2023) at 8:30 a.m. Eastern Time (5:30 a.m. Pacific Time) to discuss these results.

Company chief executive officer Mike 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

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 Sept. 12, 2023.

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

International replay number:  1-412-317-6671

Replay ID:  13740191

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

The attached table summarizes results for the second quarter ended June 30, 2023, and 2022.

About Quisitive Technology Solutions Inc.

Quisitive 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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