Pathfinder Announces Fourth Quarter and 2022 Financial Results and Advanced Reservations for the Next 12 Months

VANCOUVER, BC, May 1, 2023 /PRNewswire/ - Pathfinder Ventures Inc. (TSXV: RV) (the "Company," "RV" or "Pathfinder.") reports today its financial and operating results for the three-month period (or "fourth quarter" or "Q4") ended December 31, 2022.  

The audited consolidated financial statements and MD&A can be viewed at www.sedar.com. The financial information provided herein should be read in conjunction with and is qualified by additional information and disclosures contained in the consolidated financial statements, including the notes thereto, and the MD&A.

Financial and Operational Highlights

2023 Advanced Reservations

Booked site nights as of April 19, 2023 for the next 12 months forward was 25,523, up 28% from 19,939 advanced booked same period last year. Pathfinder continues to experience a growing volume of reservations in 2023.

Q4 2022 Summary – for the fourth quarter ended December 31, 2022

• Revenue increased by $126,962 or 27% to $592,537 compared to the same prior year period due to the expansion of winter stay programs in the newer parks. The revenues in winter 2021 were also negatively impacted by a severe winter flooding incident in November, 2021.
• Adjusted loss before interests, taxes, depreciation and amortization increased by $40,586 to $275,296 compared to the same prior year period, largely due to increased salaries and benefits required to support the increased operations and corporate activities, offsetting the revenue growth.
• Net loss and comprehensive loss decreased by $1,205,205 to $1,013,398 compared to the same prior year period mainly due to the $1,663,510 of listing expenses for going public in the prior period. Excluding the listing expenses, net loss and comprehensive loss increased by $458,305 in the current period, due to the increased accretion expense on the corporate debt and salaries and benefits. Accretion expense is non-cash and is therefore excluded from the adjusted EBITDA.
• Cash on December 31, 2022 was $982,482 compared to $2,092,893 on December 31, 2021. The cash balance was utilized for land acquisition ($150,000), increased debt servicing requirement ($596,745) and payment of continuing site improvement and lease obligations during the 12-month period ended December 31, 2022.
• YTD cash provided by operating activities was $227,936 compared to cash used from operating activities of $497,456 in the comparative period which was a result of an improved non-cash working capital position, which included deferred revenues from increased future reservations.
• Occupancy increased by 15% to 51% in Q4 2022 compared to Q4 2021. The growth was driven by the newer parks in Agassiz-Harrison and Parksville, which have successfully expanded the winter stay program in 2022/2023 while continuing to grow the short-term stay occupancy in the month of October.
• 3,018 additional camp resort site nights were occupied, reaching 14,873 occupied site nights in Q4 2022, compared to 11,855 occupied site nights in Q4 2021.

FY 2022 Summary – for the year ended December 31, 2022

• Revenue increased to $ 3,370,878, an increase of $908,451 or 37%, compared to the prior year. Q1 revenues were impacted by severe winter flooding in November 2021, the damage and repair work of which impacted site occupancies. Increased revenues in Q2 were largely due to all three sites being fully operational in the quarter compared to the prior year same period, and revenue growth in Q3 were mostly same period growth over the prior year. Revenue growth in Q4 was driven primarily by the expansion of winter stay programs in the newer sites, with continued increased short-term stay guests in the month of October.
• Adjusted loss before interests, taxes, depreciation and amortization decreased by $419,965 to $154,187 due to increased revenues partially offset by the increased salaries and benefits and other operating costs. The increase in salaries and benefits, net of reduction in management fee based on the conversion of management agreement to salaried employment in the current year, was $433,003.
• Working capital deficiency of $8,102,325 as of December 31, 2022 included $3,599,034 combined balance of Parksville first and second mortgages which were refinanced and consolidated subsequent to the year-end. The new loan has an increased value of $4,200,000 and bears 9.5% annual interest with interest-only payments for the first 12 months and blended payment starting thereafter, based on a 15-year amortization period. Further included in the current liability was $793,389 of promissory note mainly held by insiders of the Company, $2,659,157 of convertible debenture maturing in 2023, and $600,000 of land loan raised during the year in connection with the purchase of a land parcel adjacent to the existing property in Agassiz. The land loan is short-term in nature as it is intended to be refinanced to an amortizing mortgage loan once the property expansion is completed.
• Operating expenses increased by $1,312,599 to $5,467,217 compared to the same prior year period mainly due to increased salaries and benefits required to support the increased operational and corporate activities, as well as the full-year depreciation, interest and accretion expense.

Non-IFRS Financial Measures

The discussion of consolidated financial results in this press release includes references to "Adjusted EBITDA" (earnings before interest, taxes, depreciation, and amortization), which is a non-IFRS performance measure. The Company presents these measures to provide additional information regarding the Company's financial results and performance. Please refer to the Company's MD&A for the 12 months ended December 31, 2022 and 2021 for a reconciliation of these measures to reported IFRS results.

About Pathfinder Ventures

Pathfinder Ventures Inc. is developing a network of premier branded, upscale and family-friendly RV parks and campgrounds under the "Pathfinder Camp Resorts" name.  Pathfinder currently has three camp resorts located in B.C. and is focused on growing its network through both acquisitions and new construction.  The Corporation is taking advantage of the rapidly growing market of Canadians who want to experience the great outdoors in an RV.

To learn more about Pathfinder Camp Resorts, click the link below:
www.PathfinderCampResorts.com

On behalf of the board of directors of the Corporation:

Joe Bleackley
Chief Executive Officer, Founder and Director
Pathfinder Ventures Inc.

Website: PathfinderVentures.ca || PathfinderCampResorts.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward-Looking Information Cautionary Statement

This news release contains forward-looking statements relating to the future operations of the Corporation and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the future plans and objectives of the Corporation, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Corporation's expectations include risks detailed from time to time in the filings made by the Corporation with securities regulations.

The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Corporation. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Corporation does not undertake any obligation to update publicly or to revise any forward-looking statements that are contained or incorporated in this press release.

In the case of RV, this news release includes certain "forward-looking statements" which are particular to RV and are not comprised of historical facts. Forward-looking statements include estimates and statements that describe RV's future plans, objectives or goals, including words to the effect that RV or its management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to RV, RV provides no assurance that actual results will meet management's expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, RV's objectives, goals or future plans, statements, refinancing and funding, and anticipated future growth in new markets. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, the ability of the RV to successfully implement its development strategy and whether this will yield the expected benefits; competitive factors in RV's industry sector; the success or failure of product development programs; currently existing applicable laws and regulations or future applicable laws and regulations that may affect RV' s business; decisions of regulatory authorities and the timing thereof; Covid-19 related risks, availability of properties; the economic circumstances surrounding RV's business, including general economic conditions in Canada, the US and worldwide; changes in exchange rates; changes in the equity market; inflation; uncertainties relating to the availability and costs of financing needed in the future; and those other risks disclosed in the filing statement or other disclosure document prepared and supplied on Sedar.  Although RV believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. RV disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

SOURCE Pathfinder Ventures Inc.