Mr. Neil Sweeney reports

REKLAIM LTD. DELIVERS STRONG Q2-2024 FINANCIAL PERFORMANCE WITH POSITIVE EBITDA AND SIGNIFICANT CASH FLOW GROWTH

Reklaim Ltd. has released its second quarter (Q2) results, including positive EBITDA (earnings before interest, taxes, depreciation and amortization), for the period ending June 30, 2024.

Key highlights from Reklaim's Q2 2024 performance:

• Positive EBITDA (earnings before interest, taxes, depreciation and amortization): Reklaim achieved a positive EBITDA of $154,290 in Q2 2024, marking a continued profitability trajectory.
• Record revenue for Q2: Reklaim reported its highest Q2 revenue ever, posting revenue of $1,099,696, a 5-per-cent increase over Q2 2023, reflecting strong market demand.
• Significant cash flow improvement: Year-to-date (YTD) positive cash flow from operations reached $258,350, a remarkable improvement compared with $612 for the same period last year.
• Sustained gross margins: Reklaim maintained robust gross margins at 80 per cent, underscoring operational efficiency and disciplined cost management.
• Deals revenue surge: The company's Deals revenue stream increased by 6 per cent in Q2 and 31 per cent YTD, highlighting Reklaim's ability to diversify and scale its revenue base.

Strategic achievements and financial strength

Reklaim's Q2 2024 results underscore the company's ability to deliver strong financial performance while consistently driving strategic growth. The continued success in the Deals revenue stream, a combination of Reklaim data and publisher inventory in a vertically integrated deal, reflects Reklaim's proactive approach to diversifying its business model, enabling sustained revenue growth and enhanced financial resilience.

The company's ability to maintain high gross margins, alongside a significant increase in cash flow, illustrates Reklaim's commitment to operational excellence and prudent financial stewardship. These results highlight Reklaim's adaptability in navigating a rapidly evolving market landscape, positioning the company for future success.

Leadership perspective

Neil Sweeney, founder and chief executive officer of Reklaim, is excited about the company's achievements in Q2 2024. He states: "Our performance this quarter is a testament to Reklaim's strategic vision and our team's focus on execution. We have diversified our revenue streams and strengthened our financial foundation, ensuring we are well positioned for sustained growth. As we move forward, our commitment to empowering consumers and driving innovation remains stronger than ever."

Looking ahead

Reklaim continues empowering consumers to take control of their data while expanding its AI (artificial intelligence) privacy initiatives. Investors are encouraged to read Reklaim's MD&A (management's discussion and analysis) for more detail on market trends and their impact on Reklaim.

Full financial results, reported in Canadian dollars, and the MD&A are posted to SEDAR+ and on the company's investor relations website. The company encourages you to review these results to gain a comprehensive understanding of Reklaim's financial performance and strategic direction.

About Reklaim Ltd.

Reklaim is committed to navigating the evolving landscape of consumer data privacy. It provides compliant, zero-party data solutions to Fortune 500 brands, platforms and data companies. The company's platform empowers consumers to reclaim control over their data, enabling them to view and manage information collected with direct authorization. Moreover, users can be compensated for their data through a Reklaim account.

We seek Safe Harbor.