GOPHER PROTOCOL, INC. Summary

GOPHER PROTOCOL, INC. Summary

GOPHER PROTOCOL, INC. Summary

Gopher Protocol Inc. is a development stage company that is creating innovative mobile microchip (ICs) and software technologies based on GopherInsight™, a technology that the Company has an exclusive license to market in perpetuity. GopherInsight™ is a patented real-time heuristic based (self-learning/artificial intelligence) mobile technology. The GopherInsight™ chip technology, if successfully fully developed, will be able to be installed in mobile devices (smartphones, tablets, laptops, etc.) as well as stand-alone products. It is intended that GopherInsight™ software applications will work in conjunction with GopherInsight™ microchips across mobile operating systems, providing computing power, advanced database management/sharing functionalities and more. The technology under development consists of a smart microchip, mobile application software and supporting software. The system contemplates the creation of a global network. Upon development, the Company believes that its microchip technologies may be installed within mobile devices or on SIM cards.

UGO HUB Summary

UGOPHERSERVICES, a wholly owned subsidiary of GOPHER PROTOCOL, has established UGO HUB a network of 15,000+/- locations that provide top prepaid and traditional financial services as well as products and accessories to consumers. With average weekly foot traffic estimated at 2,000 per week ( the company believes the UGO and GOPHER brandsmay be exposed to an estimated 30 million consumers per week. UGO HUB products include: prepaid financial services (credit card, phone card, gift card, etc.), financial services (bill pay, ATM, payday loans, check cashing, Bitcoin, etc.), products and accessories (SIM Card, cellphone chargers, cases, headphones, etc.)

Company Network and Products

Atomic World Media | 2600 E. Southlake Blvd 120-366, Southlake, TX 76092 | | OTC: ATOC

Contact: Clay Bennett| Phone: (678) 905– 6024| Email:

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NETWORK

Approximately 15,000 locations in the U. S.

PRODUCTS

UGO HUB

  • Prepaid Financial Services
  • Financial Services
  • Products
  • Accessories

GOPHER PROTOCOL

  • Guardian Sphere (pet tracker)
  • Guardian Patch (sticky patch)
  • Guardian Pack (group tracking)
  • Epsilon

Atomic World Media | 2600 E. Southlake Blvd 120-366, Southlake, TX 76092 | | OTC: ATOC

Contact: Clay Bennett| Phone: (678) 905– 6024| Email:

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Atomic World Media | 2600 E. Southlake Blvd 120-366, Southlake, TX 76092 | | OTC: ATOC

Contact: Clay Bennett| Phone: (678) 905– 6024| Email:

1

GOPHER PROTOCOL, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended / Nine Months Ended
September 30, / September 30, / September 30, / September 30,
2017 / 2016 / 2017 / 2016
(Unaudited) / (Unaudited) / (Unaudited) / (Unaudited)
Sales / $ / 4,471,626 / $ / 45,000 / $ / 4,561,626 / $ / 120,000
Cost of goods sold / 4,174,374 / — / 4,174,374 / —
Gross profit / 297,252 / 45,000 / 387,252 / 120,000
Operating expenses:
General and administrative expenses / 1,850,055 / 727,172 / 2,323,713 / 1,214,145
Marketing expenses / 36,302 / — / 154,216 / 182,017
Acquisition costs / 4,050,819 / — / 4,050,819 / —
Total operating expenses / 5,937,176 / 727,172 / 6,528,748 / 1,396,162
Loss from operations / (5,639,924 / ) / (682,172 / ) / (6,141,496 / ) / (1,276,162 / )
Other income (expense):
Amortization of debt discount / (171,110 / ) / 17,651 / (221,323 / ) / —
Change in fair value of derivative liability / 51,151 / — / 547,188 / —
Interest expense and financing costs / (180,844 / ) / (22,451 / ) / (1,700,663 / ) / (24,178 / )
Total other income (expense) / (300,803 / ) / (4,800 / ) / (1,374,798 / ) / (24,178 / )
Loss before income taxes / (5,940,727 / ) / (686,972 / ) / (7,516,294 / ) / (1,300,340 / )
Income tax expense / — / — / — / —
Net loss / $ / (5,940,727 / ) / $ / (686,972 / ) / $ / (7,516,294 / ) / $ / (1,300,340 / )
Weighted average common shares outstanding:
Basic and diluted / 47,382,329 / 25,695,452 / 43,901,965 / 16,284,454
Net loss per share:
Basic and diluted / $ / (0.13 / ) / $ / (0.03 / ) / $ / (0.17 / ) / $ / (0.08 / )

The revenue from the acquisition of the RWJ assets included in the results of operations from the date of acquisition on to September 30, 2017 was $4,426,626.

GOPHER PROTOCOL, INC.
PRO FORMA 9 MONTHS ENDING SEPTEMBER 30,

The unaudited pro forma information below present statement of operations data as if the acquisition of the RWJ assets took place on January 1, 2016.

Nine Months Ended September 30,
2017 / 2016
Sales / $ / 42,441,702 / 50,078,135
Cost of goods sold / 40,273,563 / 47,623,277
Gross profit / 2,168,139 / 2,454,858
Operating expenses / 8,492,340 / 4,013,055
Loss from operations / (6,324,201 / ) / (1,558,197 / )
Net loss / (7,720,712 / ) / (1,604,377 / )
Loss per share / (0.16 / ) / (0.08 / )

Recent News

2/08/18Gopher Protocol Incorporates Subsidiary in Great Britian

2/01/18GopherInsight™ Technology Native IoT and AI – Deployed Into a Product

1/30/2018GopherProduct the Guardian ORB – Indiegogo Campaign Goes Live Today 1pm EST

1/17/2018Gopher Protocol to Acquire 50% Stake in SPARE, Bringing International Crypto and Fiat Currency Transfer Capabilities to Gopher Network

1/08/201Gopher Protocol Year in Review – Transition to Revenue Generating Company Equipped with $1 million in Cash

1/04/2018Gopher Protocol Announces De-leveraging Eliminates Almost All Derivatives Debt

1/02/2018Gopher ProtocolCloses Growth Financing; Financing Generates $1 Million in Capital

Gopher ProtocolExecutive Team

Greg Bauer: Chief Executive Officer

Mr. Bauer is the executive director for WLPetrey and UGO HUB/PreWay. He is an entrepreneur skilled at corporate turnarounds. Since 2000,he has been an integral part of several corporate turnarounds. Early in his career Mr. Bauer successfully restructured PAVIS, a publicly traded entity. At PAVIS he was responsible for securing funding and reorganizing the company giving it direction and focus. Bringing that knowledge and experience to W.L. Petrey Wholesale LLC. in 2007. Over the last 20 years he has focused on recognizing industry trends and innovating W.L. Petrey’s approach to maximize profits despite the many evolutions the industry has undergone. Increasing distribution from 800 stores to 15,000+/-. A master negotiator and connector, his vision has been integral in building W.L. Petrey’s offering of the most dynamic suite of products and services available from one company. Mr. Bauer attended Maryland University and was a Quarter Master in the United States Navy for 6 years with several letters of commendation and other awards. While in the Navy he worked on his degree at the University of Florida. He is a member of the AFPA (Alternative Financial Service Provider Association) and other Telecom and Retail Associations that have enhanced his knowledge base for identifying industry trends.

Danny Rittman: Chief Technology Officer

Dr. Rittman is the Director and Chief Technology Officer of GOPH. He is a software architect and an integrated circuit technology expert; he is also a semiconductor designer with over 20 years of experience with leading global tech companies including Intel, DEC, IBM, and Qualcomm. Dr. Rittman has worked on many prestigious integrated circuits projects (Intel’s Pentium Pro, DEC’s Alpha chip, and others), and was the founder and CTO of BindKey Technologies, an EDA corporation that was acquired by DuPont Photo masks. Dr. Rittman is a key figure in the EDA (electronic design automation) arena and has led numerous global software and hardware teams in the field. Currently, he serves also as a Senior Integrated Circuit Consultant for Qualcomm/Max Linear; prior to GOPH, he was the Founder and CTO of Micrologic Design Automation. Dr. Rittman’s early career was spent as a Software Senior Consultant at IBM, after having founded Bindkey Technologies. He received his PhD and MSc in Computer Science from La Salle University.

Mansour Khatib: Chief Marketing Officer

Mr. Khatib combines his experience with big-box retailers, social media, and crowdfunding, which provides GOPH a competitive edge in sales and marketing. He has developed and marketed numerous consumer websites including EagleRider and Leisurelink. Additionally, he built distribution and marketing systems for Expedia, Orbitz, Saber, Amadeus and Hotels.com. Having studied Economics at the HS Wuppertal, Mr. Khatib also holds a degree in Electrical Engineering from the Technical University of Aachen, Germany.

Warren Jackson: Advisor

Mr. Jacksonowns and operates W.L. Petrey Wholesale Company Inc. along with his brother Bill. W.L. Petrey Wholesale was founded in 1898. In the early 1980's, Warren and his brother Bill took Petrey Wholesale in a new direction by developing a business plan to pursue the distribution of wholesale groceries primarily to service the needs of convenient stores. Through their efforts, W.L. Petrey Wholesale has become a leader in distribution throughout the Southeast and services close to 10,000 stores nationwide. The company employs over 600 individuals and through Warren’s innovative thinking, they have branched out beyond Grocery into Novelty, Food Service, Prepaid and Manufacturing. W.L. Petrey has annual revenues in excess of $600 million.

Atomic World Media | 2600 E. Southlake Blvd 120-366, Southlake, TX 76092 | | OTC: ATOC

Contact: Clay Bennett| Phone: (678) 905– 6024| Email:

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