Pineapple Financial Launches Pineapple+, Slashes $1M in Costs, Strengthens Profitability and Growth Strategy
- Expected elimination of $1 million in annual third-party technology and licensing costs
- Full ownership and control of core operational technology infrastructure
- Platform consolidates multiple functions into one ecosystem (CRM, processing, document management, marketing)
- Potential for revenue growth through improved broker productivity and client retention
- Foundation established for future AI and analytics integration
- Continued reliance on third-party systems for compliance and payroll
- Full cost savings won't be realized until May 2025
Insights
Pineapple's new proprietary platform cuts $1M in annual costs and strengthens path to profitability while creating multiple revenue growth opportunities.
The launch of Pineapple+ represents a significant financial inflection point for Pineapple Financial. By bringing their technology stack in-house, the company has eliminated nearly $1 million in annual third-party costs – a substantial sum that directly improves their bottom line. This represents an immediate
This strategic move transforms Pineapple's cost structure from recurring licensing fees to a one-time development investment with dramatically lower ongoing maintenance costs. The timing is precise, with savings beginning in May 2025, aligning perfectly with their previously communicated profitability roadmap.
Beyond cost reduction, the platform establishes four distinct revenue growth vectors: increased broker productivity, enhanced agent attraction, improved client retention, and elevated customer experience. Each of these represents a potential multiplier effect on the initial $1M savings.
From a cash flow perspective, this development significantly improves operating leverage – the relationship between revenue growth and expense growth. As Pineapple scales, incremental revenue can now flow through to the bottom line at higher rates without corresponding increases in technology costs. This substantially improves unit economics for each new mortgage transaction processed.
The decision to maintain third-party solutions only for specialized regulatory areas like compliance and payroll demonstrates financial discipline – focusing internal resources where proprietary development creates competitive advantage while leveraging external solutions where they remain optimal.
The unveiling of Pineapple+ addresses a critical inefficiency common in mortgage technology: fragmented systems requiring costly integrations and ongoing license fees. By consolidating CRM, deal processing, document management, marketing automation, renewals, and analytics into a unified ecosystem, Pineapple has eliminated technical debt while creating architectural flexibility.
The technological advantages extend beyond cost savings. The platform creates a closed data loop where client interactions, transaction processing, and marketing efforts generate interconnected insights previously scattered across disparate systems. This data centralization establishes the foundation for truly meaningful AI implementation – not just superficial automation but predictive capabilities that could revolutionize mortgage origination efficiency.
From a competitive standpoint, proprietary technology creates significant differentiation in the Canadian mortgage tech landscape. While competitors remain dependent on third-party solutions with inherent customization limitations, Pineapple can now rapidly adapt their platform to changing market conditions, regulatory requirements, or emerging opportunities.
The platform architecture decision reflects sophisticated technological strategy. Rather than attempting to build everything in-house, they've maintained selective third-party integrations for specialized functions like compliance and payroll – areas where the regulatory complexity makes proprietary development inefficient. This balanced approach optimizes both independence and regulatory alignment.
Looking forward, the greatest technological value lies in Pineapple+'s role as an innovation foundation. With control over their entire technology stack, they've established the infrastructure to rapidly deploy advanced capabilities including predictive analytics, process automation, and data-driven optimization that could dramatically enhance both broker productivity and client experience.
Toronto, Ontario--(Newsfile Corp. - May 1, 2025) - Pineapple Financial Inc. (NYSE American: PAPL) ("Pineapple" or the "Company"), a leading Canadian mortgage technology and brokerage firm, today announced what it believes is a transformational milestone, official launch of Pineapple+, its fully proprietary, end-to-end broker platform that is expected to eliminate nearly
We believe that, Pineapple+ represents a major milestone in the Company's evolution. Developed entirely in-house, Pineapple+ consolidates all primary operational functions including CRM, deal processing, document management, marketing automation, renewals, and business analytics into one seamless and fully owned ecosystem. Selective third-party integrations remain only in specialized areas such as compliance and payroll, ensuring optimized regulatory alignment without compromising independence or control.
As a result of this platform launch, Pineapple has already realized approximately
"The launch of Pineapple+ is a transformational moment for our company," said Shubha Dasgupta, CEO of Pineapple Financial. "This platform is not only a testament to our innovation and execution capabilities but a key driver toward achieving sustained profitability. By reducing substantial operational costs and building a flexible foundation for future growth, we have significantly enhanced our financial strength and competitive positioning."
Pineapple has already implemented key components of the Pineapple+ platform and anticipates that associated operational cost savings will be fully reflected beginning in May 2025. This timeline is consistent with the Company's previously communicated objectives to improve operating leverage and support progress toward sustained profitability.
In addition to realized operational savings, Pineapple believes that Pineapple+ is well-positioned to support future revenue growth through several strategic levers:
- Driving increased sales volume by enhancing broker productivity and reducing process friction;
- Attracting new agent interest through the platform's automation capabilities and advisor-focused tools;
- Supporting improved client retention via expanded engagement and relationship management features;
- Elevating the end-customer experience to reinforce Pineapple brokers' role as trusted advisors delivering scalable, tech-enabled support.
Pineapple+ also establishes a launchpad for future innovation, unlocking opportunities for advanced AI integrations, predictive analytics, and deeper data intelligence, which we believe will allow the company to continually enhance broker success and operational efficiency.
"Pineapple+ gives us a competitive advantage in a shifting mortgage landscape," added COO Kendall Marin. "It strengthens our value proposition to brokers, partners, and clients, while positioning Pineapple as a fintech innovation leader within Canada's mortgage sector. We are confident this milestone will significantly contribute to our long-term growth and shareholder value."
The full demonstration video for informational purposes of the Pineapple+ platform can be viewed here:
CLICK HERE
About Pineapple Financial
Pineapple Financial Inc. (NYSE American: PAPL) is a leading Canadian mortgage technology and brokerage company focused on delivering the ultimate experience for mortgage brokers, lenders, and clients. Pineapple provides cutting-edge tools, marketing automation, analytics, and proprietary technology designed to simplify and enhance the mortgage process. With a growing national footprint and a commitment to innovation, Pineapple is setting a new standard for excellence in the mortgage industry.
For more information, please visit www.gopineapple.com.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations that arise after the date hereof, except as may be required by law. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions and the completion of the initial public offering on the anticipated terms or at all, and other factors discussed in the "Risk Factors" section of the registration statement filed with the SEC. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the SEC. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov.
Given these uncertainties, you should not place undue reliance on these forward-looking statements. The forward-looking statements included in this press release are made only as of the date hereof. We do not undertake any obligation to update any such statements or to publicly announce the results of any revisions to any of such statements to reflect future events or developments.
Media Contact:
For media inquiries, please contact Shubha Dasgupta, Chief Executive Officer, at Pineapple.
Email: shubha@gopineapple.com
Related Links:
https://gopineapple.com
http://empoweredbypineapple.com
Investor Relations Contact:
For investor relations inquiries, please contact Pineapple Financial Inc.
ir@gopineapple.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250379
FAQ
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