TORONTO–(BUSINESS WIRE)–STEER Technologies Inc. (“STEER” or “theCompany“) (TSXV: STER) (OTCQX: STEEF), an integrated ESG technology platform, is pleased to provide an update on its fast-growing Restaurant Supply Business (B2B Marketplace).
Started organically in Q2 2021, STEER Restaurant Supply Business has achieved quarterly revenues exceeding $12MM by Q3 2022. This represents a 122% year-over-year increase from Q3 2021. The Company believes that this growth reflects robust customer demand as well as its own technical and operational strength.
Based on market feedback STEER has received to date, the primary appeal of the STEER Restaurant Supply Business is its commitment to providing around-the-clock (24/7) ability to process and deliver orders at competitive and transparent prices, alongside the Company’s assurances of a high degree of quality control. The platform’s technology stack aims to allow for scalability at a relatively manageable marginal cost, which STEER projects will ultimately lead to healthier cash flows. In the Company’s view, an exceptional digital user experience has resulted in a higher percentage of online-only orders. For example, in October 2022 more than 93.15% of orders were placed online.
“We are very proud of the success of the STEER Restaurant Supply Business in such a short amount of time. Strong demand for our restaurant supply deliveries, powered by STEER’s innovative technology platform, has contributed to the impressive 122% growth in revenue between Q3 2021 and Q3 2022. It is gratifying to see the positive impact our platform has had on the North American restaurant supply industry, with over 20% market penetration, serving nearly one in five independently owned restaurants in Ontario,” said Suman Pushparajah, CEO of STEER. “With Single-use Plastics Prohibition Regulations now in effect, we are committed to doing our part in implementing Canada’s comprehensive plan to address pollution, reduce greenhouse gas emissions and meet its target of zero plastic waste by 2030.”
The STEER Restaurant Supply Business is an online platform focusing on the sale and delivery of restaurant industry supply items on a just-in-time (“JIT”) basis. It aims to provide delivery of goods from suppliers to restaurants in a way that not only reduces their inventory and storage costs, but also allows them to choose from the Company’s more environmentally conscious supply options. The STEER Restaurant Supply Business is powered by a proprietary technology platform that integrates restaurant owners’ needs and seamlessly connects user interface with the warehouse and delivery operations. STEER’s management is confident that the performance its Restaurant Supply Business has demonstrated to date provides sound footing for its next stages of expansion and continued growth and market penetration.
At STEER’s Restaurant Supply Business, the focus lies on automation, technological enhancement of its warehouse, inventory and employee management systems, as well as financial management optimization to increase efficiency and reduce operating costs. For instance, STEER’s warehouse management system (“WMS”) software provides real-time data for inventory through barcodes, serial numbers, and RFID* tags. This practice allows STEER to keep inventory levels low and move the products efficiently through the warehouse. The WMS also helps assign tasks to team members based on their skills and schedules, optimizes inventory movement, assists in planning and putaway management, and integrates with accounting applications. Currently, STEER is also considering the potential for introducing Automated Guided Vehicles (AGVs) in its Restaurant Supply Business to achieve further cost savings as well as reduce warehouse product damage.
About the Company
STEER is an integrated ESG technology platform that moves people and delivers things through subscription and on-demand services. The Company’s goal is to build a one-of-a-kind ecosystem that aggregates conscientious users, through a series of connected offerings, and enables them to buy, sell, or invest with the same platform, STEER. The Company’s offerings generally fall into two categories: subscription-based offerings led by its flagship electric vehicle subscription business, STEER EV, and on-demand services incorporating delivery, restaurant supply business, Delivery-as-a-Service (DaaS) and rideshare businesses. The Company’s platform is also powered by EcoCRED, its big data, analytics and machine learning engine which seeks to capture, analyze, parse and report on key data points in ways that measure the Company’s impact on carbon reductions and offsets.
Certain information in this press release contains forward-looking information, including with respect to the Company’s business, operations and condition, management’s objectives, strategies, beliefs and intentions, the anticipated future performance, expansion, growth and market penetration of the STEER Restaurant Supply Business and its future impact on the North American restaurant supply industry, and the potential for introducing Automated Guided Vehicles (AGVs) in the STEER Restaurant Supply Business. This information is based on management’s reasonable assumptions and beliefs in light of the information currently available to us and are made as of the date of this press release. Actual results and the timing of events, such as those pertaining to success of the Company’s Restaurant Supply Business (B2B Marketplace) results and its subsequent ability to sustain its growth, may differ materially from those anticipated in the forward-looking information as a result of various factors. Information regarding our expectations of future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. Statements containing forward-looking information are not facts but instead represent management’s expectations, estimates and projections regarding future events or circumstances. Many factors could cause our actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements.
See “Forward-Looking Information” and “Risk Factors” in the Company’s Annual Management Discussion & Analysis (MD&A) for the year ended December 31, 2021 (filed on SEDAR on May 2, 2022) and its interim MD&A for the period ended March 31, 2022, June 30, 2022, September 30,2022 (filed on SEDAR on May 30, 2022, August 29, 2022 and November 29, 2022 respectively) for a discussion of the uncertainties, risks and assumptions associated with these statements and other risks. Readers are urged to consider the uncertainties, risks and assumptions carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. We have no intention and undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation and regulatory requirements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.