Tego Cyber Inc. Provides 2022 Fiscal Second Quarter Business Update and Reports on Growing Sales Pipeline
LAS VEGAS, NV / ACCESSWIRE / February 15, 2022 / Tego Cyber Inc. (OTCQB:TGCB), an emerging developer of proactive cyber threat intelligence applications and solutions, today provided a corporate update and a summary of the financial results for the fiscal quarter ended December 31, 2021.
Shannon Wilkinson, CEO of Tego Cyber, commented "We continue to execute on our go-to-market strategy, as illustrated by our growing sales pipeline. Major organizations have come to realize the true economic impact of cyber-crime and risk that it presents to companies. Global cyber-crime is expected to reach $10.5 trillion USD annually by 2025, up from $3 trillion USD in 2015, according to Cybersecurity Ventures. Despite these growing threats, current solutions may identify that something is ‘malicious' but do not provide any additional information. In contrast, Tego Guardian provides an end user's cybersecurity team with data enrichment: a detailed ‘who, what, when and where' of a potential threat, fully integrated into their SIEM (Security Information and Event Management) platform
"Based on positive feedback from the industry, we are expanding our inside sales team, including the recent hire of Brent Watkins. Brent brings extensive experience of the cybersecurity industry as well as vast connections within the government and private sectors which will prove to be invaluable as we enter the next phase of our growth and commercialization. Additionally, our recent partnership with Vation Ventures will assist with sales enablement and the acceleration of our channel sales program."
"On the technology front, we continue to invest in enhancements to our threat intelligence platform. During the fiscal second quarter of 2022, we completed development and testing of the first version of our threat intelligence application: Tego Guardian, which now integrates with the widely used Splunk SIEM platform - used by over 15,000 enterprise organizations and by 92 of the Fortune 100. We are also in the process of making the Tego Guardian app available on other SIEM platforms. Over the next few weeks, we expect to enter the beta testing phase of our application for the Elastic SIEM platform, which has over 16,000 paying subscribers, including 34% of the Fortune 2000. We continue to carefully manage our expenses and are well funded to execute on our business model. We are more encouraged than ever by the outlook for the business and look forward to providing additional near-term updates."
Results of Operations for the three months ended December 31, 2021 and December 31, 2020
Revenues -Tego is a development stage company and generated $1,050 in consulting revenue for the three-month period ended December 31, 2021 compared to $900 in consulting revenue for the three month period ended December 31, 2020. Revenue generation from the Tego Guardian is anticipated to commence in the quarter ended March 31, 2022.
Operating Expenses - Tego incurred total operating expenses of $528,153 for the three-month period ended December 31, 2021 compared to $95,891 total operating expenses for the three month period ended December 31, 2020. These expenses relate to the ongoing development and commercialization of the threat intelligence application, administrative expenses, and public market fees.
Net Loss - Tego incurred a net loss of $564,020 for the three-month period ended December 31, 2021 compared to a net loss of $118,986 for the three month period ended December 31, 2020.
Liquidity and Capital Resources - As of December 31, 2021, Tego had a working capital surplus of $1,122,954 with $990,261 cash on hand and a burn rate of approximately $100,000 per month. All long term and convertible debt is settled. Only debt are trade payables which are current. Operations are being funded by funds raised through the sales of common stock. Management believes the current available capital resources are sufficient to sustain operations to until profitability.
Results of Operations for the six months ended December 31, 2021 and December 31, 2020
Revenues - Tego generated $1,050 in consulting revenue for the six-month period ended December 31, 2021 compared to $3,800 consulting revenue for the six month period ended December 31, 2020.
Operating Expenses - Tego incurred total operating expenses of $970,100 for the six-month period ended December 31, 2021 compared to $172,751 total operating expenses for the six month period ended December 31, 2020. These expenses relate to the ongoing development and commercialization of the threat intelligence application, administrative expenses, and public market fees.
Net Loss - Tego incurred a net loss of $1,036,232 for the six-month period ended December 31, 2021 compared to a net loss of $196,746 for the six month period ended December 31, 2020.
Equity Securities - During the six-month period ended December 31, 2021, the Company completed various private placements whereby a total of 5,558,810 common shares were issued for a total value of $1,424,202. The Company also issued 68,673 restricted common shares for services valued at $51,289, issued 937,151 restricted common shares valued at $93,715 in settlement of debt and issued 134,899 restricted common shares valued at $103,961 for prepaid marketing and development costs. As of December 31, 2021, Tego had 24,996,044 issued and outstanding.
About Tego Cyber Inc.
Tego Cyber Inc. (OTCQB:TGCB, "the Company") was created to capitalize on the emerging cyber threat intelligence market. The Company has developed a cyber threat intelligence application that integrates with top end security platforms to gather, analyze, then proactively identify threats to an enterprise network. The Tego Guardian Threat Intelligence Platform takes in vetted and curated threat data and after utilizing a proprietary process, the platform compiles, analyzes, and then delivers that data to an enterprise network in a format that is timely, informative, and relevant. The threat data provides additional context including specific details needed to identify and counteract threats so that security teams can spend less time searching for disparate information. The first version of the application will integrate with the widely accepted Splunk SIEM to provide real-time threat intelligence to macro enterprises using the Splunk architecture. The Company plans on developing future versions of the Tego Guardian app for integration with other established SIEM systems and platforms including: Elastic, Devo, IBM QRadar, AT&T Cybersecurity, Exabeam, and Google Chronical. For more information, please visit www.tegocyber.com.
The statements contained in this press release, those which are not purely historical or which depend upon future events, may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements regarding the Company's expectations, hopes, beliefs, intentions or strategies regarding the future constitute forward-looking statements. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements because of various factors. All forward-looking statements included in this press release are based on information available to the Company on the date hereof and the Company assumes no obligation to update any such forward-looking statement. Prospective investors should also consult the risks factors described from time to time in the Company's Reports on Forms 10-K, 10-Q and 8-K and Annual Reports to Shareholders.
Tego Cyber Inc.
8565 S Eastern Avenue, Suite 150
Las Vegas, Nevada 89123
Tel: 855-939-0100 (North America)
Tel: 725-726-7840 (International)
Tego Investor Relations:
Crescendo Communications, LLC
SOURCE: Tego Cyber Inc.
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Released February 15, 2022