U-Vend Inc Announces 2014 Financial Results 268800 Total Revenues

PRESS RELEASE

"Our first year of operations demonstrates that our business model has the potential for tremendous success. We added 28 new kiosks and selling locations in the southern California region during the fourth quarter that reflect relationships with well-known consumer product partners. We believe that the seasonality effects we experienced in our Chicago region will be balanced through this geographic expansion into Southern California. Our fourth quarter revenue was consistent with the third quarter at $86,700," stated U-Vend Inc. chief executive Raymond Meyers.

"In early 2015, we introduced our own consumer product, 'Pucks Premium Ice Cream' and shortly thereafter, executed an exclusive licensing agreement with the National Hockey League to become the official ice cream of the NHL. For a company that began operations just over 12 months ago I believe we have made significant progress in positioning U-Vend for considerable and sustained growth. I am very excited about the future of this company," added Meyers.

Paul Neelin, U-Vend's chief operating officer, stated, "The intelligent self-serve kiosk and merchandising industry is expanding rapidly. The growing acceptance and preferred method of frictionless shopping continues to modify the consumer buying experience, allowing for the escalation of these smart, interactive machines into the mainstream retail environment. It continues to be our focus and passion to become the leader in this market, from a significant brand presence in the retail space, to providing advanced technology and digital advertising solutions to both our product partners and the consumer."

Select Q4 Financial Data And Year Ended Dec. 31, 2014

Total revenues for 2014 were $268,800, reflecting the company's commencement of operations in the first quarter of 2014. There was no revenue in the comparable 2013 period.

Total revenue for the fourth quarter 2014 was $86,700, which was consistent with third quarter 2014 revenue. Revenue production in the 2014 fourth quarter was negatively affected by seasonality and a particular cold winter season in the company's Chicago market.

Gross profit for the yearend Dec. 31, 2014, was 34%, compared wit 42% as of the nine months ended Sept. 30, 2014. The decline in margin during the fourth quarter reflects the results of a full quarter impact of depreciation expense included in cost of goods sold and a seasonal shortfall in Chicago-based sales. The company expects to see variations in the gross profit percentage as the business expands geographically and with product diversity in future periods.

The company reported a net loss for the 12 months ended Dec. 31, 2014, of $2,003,000, reflecting a loss of ($0.23) per share. Included in this net loss is approximately $1.1 million of non-cash expenses for acquisition activities, depreciation, amortization and stock based compensation.

The company will continue to invest in revenue producing assets and expansion of geographic and product development in 2015.

ABOUT: U-Vend Inc. is headquartered in Santa Monica, CA, with additional locations in: Stoney Creek, ON, Canada, Chicago, Los Angeles and Las Vegas. U-Vend develops, distributes and markets various "next-generation" self-serve electronic kiosks in a variety of retail locations in North America. The company owns and operates kiosks and has partnered with numerous national consumer product companies to deliver new and unique customer retail experiences in an automated setting.