GlobeNewswire Inc | Aug 11, 2020 06:00AM EDT

August 11, 2020

At the height of COVID-19, DLT Resolution delivers impressive growth in both consecutive quarter and year over year Sales and profitability

LAS VEGAS, Nevada, Aug. 11, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- DLT Resolution,Inc. (OTC: DLTI),an information technology, cyber security, telecommunications and Union Services company, today reported financial results for its second quarter ended June 30, 2020.

2020 Second Quarter Highlights:

-- Second quarter revenue of $549,000 was 385% higher than 2019 second quarter revenue -- On a consecutive quarter basis, Second quarter revenue of $549,000 was 28% higher than the 2020 Q1 quarter -- Second quarter net loss of $77,000, was 81% less than 2019 second quarter net loss -- On a consecutive quarter basis, Second quarter net loss of $77,000, was 73% less than first quarter 2020 loss of $329,000.

We are pleased that our January 30, 2020 acquisition of Union Strategies, Inc. is making significant positive contributions to our financial results. Our business generated $86,000 in EBITDA in the second quarter of 2020 and we achieved near breakeven operating cash flow for the first six months of 2020. In the face of a business environment made challenging by the COVID-19 pandemic, we are servicing customers, winning new business and expanding our product offering, said John Wilkes, Chief Executive Officer of DLT Resolution Inc.

Second Quarter 2020 Results

-- The increase in second quarter revenue to $549,000 from 2019s second quarter revenue of $113,000 was primarily related to the revenue generated by Union Strategies, Inc. following the Companys acquisition of its business on January 30, 2020. The Company reported a first quarter net loss of $77,000 that includes $152,000 in depreciation and amortization expense and $11,000 in interest expense, as compared to a $14,000 net loss with $86,000 in depreciation and amortization expense and $2,000 in interest expense in the comparable year-ago period.

John Wilkes concluded, During this second half of 2020, our focus is to cross-pollinate the variety of services offered by our Subsidiaries with our expanded customer base in order to grow our revenues.

About DLT Resolution Inc.

DLT Resolution Inc. currently operates in three high-tech industry segments: Blockchain Applications & Cyber Security; Telecommunications; and Data Services which includes Image Capture, Data Collection, Data Phone Center Services, and Payment Processing. Its clients represent some of the top businesses from a variety of sectors. DLT Resolution helps organizations that have invoices, ledgers, statements, applications, surveys, employee and customer rewards programs and a wide range of other non-core functions benefit from data management. DLT Resolution also operates a Health Information Exchange providing the ability to request and retrieve medical information & records while meeting all of today's Security & Compliance demands for HIPAA, PIPEDA and PHIPA. ThroughRecordsBank.org, the Company offers an easy to use online gateway to its centralized system for patients, lawyers and insurers to retrieve and access medical records. Learn more at:DLTResolution.comandDLTTelecom.com.

About Union Strategies Inc. (USI)

USI has been providing a suite of products and services to Unions for over 10 years. The company designs, builds, and executes programs resulting in greater success for unions. Programs are designed to engage the membership, decrease expenses, and save time for a more productive business. The Companys suite includes Telecommunications, Event Management, Professional Writing, Social Media Management, Web Design, Graphic Services, and Promotional Offerings. The company is a one-stop-shop for all things union. The company has more than 130 clients that are considered mid-market in terms of overall size of the particular local with 450,000 members. USI operates nationally in Canada and looks to expand into the USA in 2020. Learn more at:UnionStrategiesinc.com

Forward-Looking and Cautionary Statements

The use of the word "company" or "Company" refers to DLT Resolution Incorporated and its wholly-owned subsidiaries. This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. In accordance with the safe harbor provisions of this Act, statements contained herein that look forward in time that include everything other than historical information, involve risks and uncertainties that may affect the company's actual results. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. DLT Resolution may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC") on Forms 10-K and 10-Q, Current Reports on Form 8-K, in its annual report to stockholders, in press releases and other written materials, and in oral statements made by its officers, directors or employees to third parties. There can be no assurance that such statements will prove to be accurate and there are a number of important factors that could cause actual results to differ materially from those expressed in any forward-looking statements made by the company, including, but not limited to, plans and objectives of management for future operations or products, the market acceptance or future success of our products, and our future financial performance. The company cautions that these forward-looking statements are further qualified by other factors including, but not limited to, those set forth in the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019 (available at http://www.sec.gov). DLT Resolution undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events, or otherwise. Nothing within this communicationis meant to be a solicitation to buy or sell our securities. Investing in over the counter (OTC) securities often carries a high degree of risk. Please contact your financial advisor before investing in our securities.

Source: DLT Resolution Inc.

Contact:

DLTTelecom.com

1 800-463-5465

DLT RESOLUTION, INC Condensed Consolidated Balance Sheets (Unaudited) June 30, December 31, 2020 2019 ASSETS Current assets Cash andcash $ 37,864 $ 13,140 equivalents Accountsreceivable,net ofallowance fordoubtfulaccounts of 305,047 34,631 $44,730 atJune 30, 2020and $0 atDecember 31,2019Total current 342,911 47,771 assets Property,plant andequipment, net 81,660 - of accumulateddepreciation Operatinglease ? right 10,456 - of use asset Intangibleassets, net of 4,126,427 376,460 accumulatedamortization Goodwill - 165,022 Total assets $ 4,561,454 $ 589,253 LIABILITIES AND STOCKHOLDERS?DEFICIT Current liabilitiesBank $ - $ 16,782 overdraftAccountspayable and 537,514 99,201 accruedliabilitiesRelated party 35,866 35,880 payablesInterestpayable, 37,878 34,190 related partyNote payable, 81,500 81,500 related partyNotes payable,current 5,000 - portionLeaseobligation ? 6,102 - operatingleaseTotal current 703,680 267,553 liabilities Notes payable,net of current 88,146 5,000 portionOther long 2,400,000 685,000 term liabilityLeaseobligation ?operating 3,814 - lease, net ofcurrentportionTotal 3,195,820 957,553 liabilities Stockholders?equity (deficit) Series Aconvertiblepreferredstock, $1.00par value;5,000,000shares - - authorized; 0and 25,000issued andoutstanding atJune 30, 2020and December31, 2019 Series Bconvertiblepreferredstock, $1.00par value;500,000 sharesauthorized; 64,000 64,000 64,000 and64,000 issuedandoutstanding atJune 30, 2020and December31, 2019 Commonstock, $0.001par value;275,000,000sharesauthorized;25,926,287 and24,395,037 25,926 24,395 issued;22,698,787 and21,167,537outstanding atJune 30, 2020and December31, 2019 Commonstock 14,000 - subscribed Additionalpaid-in 6,641,734 4,218,265 capital Othercomprehensive (333,758 ) (34,430 ) income Treasurystock,3,815,000shares as of (5,300 ) (5,300 ) June 30, 2020and December31, 2019, atcost Accumulated (5,040,968 ) (4,653,230 ) deficitTotalstockholders? 1,365,634 (368,300 ) equity(deficit) Totalliabilitiesand $ 4,561,454 $ 589,253 stockholders?equity(deficit) DLT RESOLUTION, INC. Condensed Consolidated Statements of Operations (Unaudited) Three months ended June 30, Six months ended June 30, 2020 2019 2020 2019 Revenue $ 549,453 $ 113,358 $ 977,800 $ 235,367 Cost ofrevenue and operatingexpensesCost of 263,828 38,738 502,514 72,412 revenueGeneral and 172,643 86,213 368,888 120,010 administrativeDepreciationand 151,765 86,213 267,033 51,212 amortizationProfessional 31,850 31,850 64,421 64,421 feesGoodwillimpairment (4,768 ) - 154,419 - lossTotaloperating 614,804 350,976 1,364,629 359,267 expenses Loss from (65,351 ) (43,443 ) (386,829 ) (72,688 ) operations Other income (expense)Gain/(loss) onstock based - 31,133 - (495,438 ) liabilityForeignexchange gain/ (3 ) (17 ) (3 ) 5,349 (loss)Loss on - - - (331,787 ) investmentInterest (11,482 ) (1,823 ) (18,906 ) (3,627 ) expenseTotal otherincome (11,485 ) 29,293 (18,909 ) (825,503 ) (expense) Net income $ (76,836 ) $ (14,150 ) $ (405,738 ) $ (898,191 ) (loss)