Siyata Mobile Inc. (Nasdaq:SYTA, SYTAW) (“Siyata” or the “Company“), a global vendor of Push-to-Talk over Cellular (PoC) devices and cellular signal booster systems, announced its financial results for the three months ended June 30, 2023.

“Growth continued to accelerate in the second quarter with a 180% year-over-year increase in revenue on strengthening sales of our mission-critical PoC (MCPTT) SD7 solution,” said Marc Seelenfreund, Founder and CEO of Siyata. “Adoption of our critical communications devices is expanding. We have received purchase orders for SD7 handset and its accessories of more than $5 million since the start of 2023, and our resellers also anticipate an increase in demand. Just as important, the increase in orders reaches beyond emergency services to include education, healthcare, industrial and enterprise use cases among others. Given our performance in the first half of the year and our expanding sales pipeline, we are increasingly optimistic that 2023 will be a strong growth sales year for Siyata.”

Key financial highlights for the three months ended June 30, 2023:

• Revenues were $2.7 million compared to $970,000 for the three months ended June 30, 2022. This increase of $1.7 million, or 180%, was due mainly to sales of the SD7 in Q2 2023 of $1.9 million.

• Gross profit of $804,000, or 29.7% of revenues, compared to $109,000, or 11.2% of revenues for the three months ended June 30, 2022. The increase in gross profit dollars and margin was mainly due to selling more SD7 Handsets which are at a higher gross margin compared to fewer low gross margin legacy devices last year.

• Net loss was ($2.3) million as compared to a net loss of ($4.3) million in the same period in the prior year.

• Adjusted EBITDA was ($2.0) million compared to ($3.4) million in the same period in the prior year, an improvement of $1.4 million. (See reconciliation with IFRS below).

Liquidity and Capital Resources

As of June 30, 2023, the Company had a cash balance of $2.0 million and working capital of $3.7 million compared to $1.9 million and $1.6 million, respectively, as of December 31, 2022.

In June 2022, the Company issued 50.0 million common shares at a purchase price of $0.045 per share in a public offering for gross proceeds of $2.25 million. Subsequent to June 30, 2023, the Company issued an additional 51.45 million common shares at a purchase price of $0.045 per share in a registered direct offering for gross proceeds of $2.3 million. Also subsequent to the end of the second quarter, the Company effected a 1-for-100 reverse stock split.