Peak Posts Record Revenue of $7M for Second Quarter of 2020

Montreal, Quebec–(Newsfile Corp. – August 27, 2020) – Peak Positioning Technologies Inc. (CSE: PKK) (OTCQB: PKKFD) (“Peak” or the “Company”), an innovative Fintech service provider to the Chinese commercial lending sector, today announced its financial results and operating highlights for the three-month and six-month periods ended June 30, 2020, highlighted by revenue of more than $7M in the quarter. The revenue number represents the largest revenue posted in a quarter by Peak since the Company launched its Cubeler Lending Hub platform in China in 2018 and began providing its ground-breaking Fintech services. All amounts expressed are in Canadian dollars.

Q2 Financial Highlights:

Total revenue of $7,263,504

Adjusted EBITDA of $176,113

Total assets of $33,611,556

Historical Revenue and adjusted EBITDA Summary

Q2 2020

Q1 2020

Q4 2019

Q3 2019

Q2 2019

Revenue

$7,263,504

$3,949,395

$4,357,467

$4,499,953

$1,901,723

Expenses¹

$7,087,391

$3,777,350

3,858,587

$3,781,226

$1,561,991

Adjusted EBITDA²

$176,113

$172,045

$498,880

$718,727

$339,732

Expenses do not include interest, taxes, depreciation (including impairment of intangible assets) loss on extinction of debt, gain on bargain purchase and amortization

Adjusted EBITDA equals net income (loss) before finance costs, taxes, depreciation, amortization and impairment of intangible assets, loss on extinction of debt, gain on bargain purchase and amortization

Q2 Operating Highlights:

Service expansion to the cities of Changzhou and Suzhou, giving Peak presence in six Chinese cities by the end of the quarter

Addition of several new lenders to the Lending Hub, bringing the number of banks and lending institutions, from which small, medium and micro businesses can obtain loans and credit from, on the platform to more than 50

Integration of the Jinxiaoer loan brokerage platform to the Lending Hub ecosystem

About Second Quarter Financial and Operating Results Summary

“We had a very strong second quarter, not just because of the record revenue we posted, but also because of the seeds we planted to position the Company for future growth,” commented Peak Group CEO, Johnson Joseph. “We incurred significant expenses during the quarter, but that’s to be expected when a company is growing as rapidly as Peak is right now. At some point before the end of 2020, some of the non-recurring expenses linked to our growth and expansion will begin to wane to reveal why we’re so pleased with what’s currently taking place at Peak”.