SAN ANTONIO, Sept. 13, 2023 (GLOBE NEWSWIRE) — Digerati Technologies, Inc. (OTCQB: DTGI) (“Digerati” or the “Company”), a provider of cloud services specializing in UCaaS (Unified Communications as a Service) solutions for the small to medium-sized business (“SMB”) market, is pleased to highlight its accomplishments in FY2023 and outline its strategic initiatives through FY2025 with a focus on long-term revenue growth, profitability, and increasing shareholder value.
The Company’s key accomplishments for FY2023 included:
- Successfully integrating its acquisitions of Skynet Telecom and NextLevel Internet that the Company completed in the second fiscal quarter of FY2022.
- Successfully consolidating the Company’s operating subsidiaries -T3 Communications, Inc., Nexogy, Inc., and NextLevel Internet, Inc. – into a single operating company under the new name of Verve Cloud, Inc.(“Verve”).
- Verve was Great Place to Work-Certified™ for 2023.
- The Company launched its Contact Center as a Service (CCaaS) solution that broadened its portfolio of solutions for the SMB market.
- Derek Gietzen, a seasoned executive with a track record of managing successful high-growth companies, is named as the Company’s President.
- Continued P&L improvement through its 3rd fiscal quarter of FY2023.
|Revenue increased by 50% to $23.908 million compared to $15.959 million.|
In May 2023, the Company completed the full integration of multiple operating entities serving approximately 45,000 business users and ended its fiscal year July 31, 2023 with an integrated platform branded as Verve and optimized for scaling via organic and/or acquisition growth. The full operational integration included combining people, processes, and systems that resulted in single billing, ticketing, CRM, and accounting systems.
As the Company looks to the future, its strategic initiatives to successfully meet its corporate goals and objectives includes:
- A continued emphasis on its UCaaS/cloud communication business, which operates in a segment of the telecommunications industry that continues to experience solid growth as businesses migrate to cloud-based communication systems.
- Enhancements to the Company’s UCaaS solutions to include collaboration tools and integration with third-party systems that improves its business customers’ internal communication and engagement with underlying customers.
- Continued enhancements to its broadband product portfolio and the delivery of “digital oxygen” to its business customers.
- Targeting a range of YoY organic revenue growth between 5% and 10% subject to the Company’s balancing of resources between organic growth and integration of acquisitions.
- A disciplined approach to evaluating additional accretive acquisitions as it continues to target local and/or regional UCaaS/cloud telephony providers, which have excelled in their market with that “local” touch when serving business customers. The Company will assimilate best practices from its acquisitions to optimize productivity and performance throughout the organization.
- A continued focus on the U.S. market of SMBs, of which a significant portion has not yet migrated to a UCaaS or cloud communication solution.
- A continued emphasis on the Company’s channel strategy that enables its Agents and Partners to offer cloud and session-based communication services to the business market, primarily the SMB.
- Continued enhancement of its infrastructure and back-office systems to streamline operations and automate processes for efficiency, all which support both its organic and acquisition-based growth model.
- Implementing a total support model (pre and post sales) for building a world-class service delivery and help desk organization.
Digerati continues to participate in a high-growth market driven by demand from the business sector. The global UCaaS market projects to expand from $38.7 billion at a CAGR of 23.5% through 2027, reaching a value of $169.6 billion. Approximately 95% of Digerati’s revenue is contracted monthly recurring revenue.
Arthur L. Smith, CEO of Digerati, stated, “We have stayed the course and our team has continued to deliver on meeting previously stated strategic initiatives while moving well beyond proof of concept with our business model. We have no intention of deviating from the plan we implemented several years ago when we launched our disciplined M&A strategy that resulted in growing from $200K to $32 million in annual revenue. Our leadership team and financial partners are aligned in our strategic vision of combining organic growth with accretive acquisitions in building a formidable UCaaS provider serving the small and medium-sized business market.”
About Digerati Technologies, Inc.
Digerati Technologies, Inc. (OTCQB: DTGI) is a provider of cloud services specializing in UCaaS (Unified Communications as a Service) solutions for the business market. Through its operating subsidiary Verve Cloud, Inc. (f/k/a T3 Communications, Nexogy, and NextLevel Internet), the Company is meeting the global needs of small businesses seeking simple, flexible, reliable, and cost-effective communication and network solutions including, cloud PBX, cloud telephony, cloud WAN, cloud call center, cloud mobile, and the delivery of digital oxygen on its broadband network. The Company has developed a robust integration platform to fuel mergers and acquisitions in a highly fragmented market. as it delivers business solutions on its carrier-grade network and Only in the Cloud™.
The information in this news release includes certain forward-looking statements that are based upon assumptions that in the future may prove not to have been accurate and are subject to significant risks and uncertainties, including statements related to the future financial performance of the Company. Although the Company believes that the expectations reflected in the forward-looking statements such as achieving record levels of new installed revenue and improved sales and service delivery performance are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct. Factors that could cause results to differ include, but are not limited to, our inability to source suitable acquisition targets, failure to execute growth strategies, lack of product development and related market acceptance, the impact of competitive services and pricing, general economic conditions, and other risks and uncertainties described in the Company’s periodic filings with the Securities and Exchange Commission.
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Source Globe Newswire