Asian subsidiary cash-flow positive to meet ongoing obligations
Vancouver, British Columbia: Hello Pal International Inc. (“Hello Pal” or the “Company”) (CSE:HP Frankfurt:27H OTC:HLLPF), a provider of rapidly growing international live-streaming, social messaging and language learning mobile apps, is pleased to announce that it achieved record receipts in May and June 2020 as set forth below:
Hello Pal’s livestreaming service achieved record receipts of approximately $1,200,000* in May 2020 and $1,064,250* in June 2020 for a two-month total of $2,264,250*.
Monthly receipts of over $1,000,000* is a significant milestone as it results in Hello Pal’s Asian subsidiaries to be profitable.
“We’re very pleased to have achieved yet another significant milestone in our Company’s growth,” said KL Wong, Founder and Chairman of the Company. “Being able to sustain ourselves without external funding has been crucial for us especially during the current economic downturn, and it also shows our resilience during abnormal times like these.”
User Base Performance
As of the date of the news release, Hello Pal’s registered user base is over 5 million users from over 200 countries and regions. The positive increase in registered users continues to be driven by our livestream service.
The livestreaming service continues to be active with over 10,000 daily active users, but even more notably, the daily number of users making top-up payments to the Company has more than doubled from the beginning of the year, from around 150 in January to over 300 by the end of June.
“We are also seeing a significant improvement in user engagement with our services, and we expect this to continue to improve as we roll-out new features and address new markets going forward,” said Adega Zhou, President of the Company.
The Company is also pleased to announce that it has entered into a marketing agreement with Think Ink Marketing to drive users to the Hello Pal app and for investor awareness of Hello Pal. Under the terms of the agreement, Hello Pal has agreed to pay Think Ink Marketing a fee of US $50,000.
To download Hello Pal, Language Pal, Travel Pal or the proprietary Phrasebooks please visit the IOS or Android store. For information with respect to the Company or the contents of this news release, please contact the Company at (604) 683-0911 or visit the website at hellopal.com. Email inquiries can be directed to: [email protected].
About the Hello Pal Platform
The Hello Pal Platform is a proprietary suite of mobile applications built on a user-friendly messaging interface that focus on social interaction, language learning and travel. Hello Pal, has been designed from the ground up to be easy to use and enables users’ the freedom to speak in their own language regardless of the other person’s language they are speaking to. Hello Pal’s overriding mission is to bring the world closer together through social interaction, language learning and travel. By creating a platform where it is easy to instantly interact with others around the world and giving them the tools to communicate with each other in a joyful and fun way, we hope to do our part (however small) in fostering understanding and tolerance between all citizens of the world.
The Hello Pal platform also includes a proprietary digital wallet allowing users to store and transfer popular digital assets and tokens, including Bitcoin and Ether, based on blockchain technology.
Hello Pal, was the first app released to the public and experienced rapid growth building a diverse and active global user base. Travel Pal and Language Pal are the first and second companion apps to launch. Both apps benefit immensely from the existing and ever expanding globally based group of users. Each new app will launch with this established rapidly growing user base accelerating their adoption.
Information set forth in this news release contains forward-looking statements. These statements reflect management’s current estimates, beliefs, intentions, and expectations; they are not guarantees of future performance. Hello Pal cautions that all forward-looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Hello Pal’s control. Such risks and uncertainties are described in Hello Pal’s annual and interim financial statements available on www.sedar.com. Although Hello Pal is currently generating revenues, Hello Pal remains in the growth stage and such revenues are yet to be profitable. Accordingly, actual, and future events, conditions and results may differ materially from the estimates, beliefs, intentions, and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, Hello Pal undertakes no obligation to publicly update or revise forward-looking information.
*Non-IFRS Financial Measure
Readers are cautioned that “receipts” and “cash-flow positive” are a measure not recognized under IFRS. Total receipts includes the amount of cash received by the Company and its agents from the use of the Hello Pal app. Also, “cash-flow positive” means that the monthly cash flow generated by Hello Pal’s Asian subsidiary is sufficient to meet all ongoing obligations of Hello Pal’s Asian subsidiary. Under IFRS, total receipts may be higher than revenue as a portion of the revenue is received by agents of Hello Pal. However, the Company’s management believes that “receipts” and “cash-flow positive” provides investors with insight into management’s decision-making process because management uses this measure to run the business and make financial, strategic and operating decisions. Further, “receipts” and “cash-flow positive” also provides useful insight into the operating performance of the Hello Pal app. “Receipts” and “cash-flow positive” does not have standardized meanings prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. Readers are cautioned that “receipts” and are not an alternative to measures determined in accordance with IFRS and should not, on their own, be construed as indicators of performance, cash flow or profitability.
THE CSE HAS NEITHER APPROVED NOR DISAPPROVED THE INFORMATION CONTAINED HEREIN AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE