Mr. Clayton Moore reports
NETCENTS TECHNOLOGY ISSUES Q3 2019 FINANCIAL STATEMENTS, INCREASES REVENUE
NetCents Technology Inc. has released and filed its financial statements and management's discussion and analysis for the nine months ended July 31, 2019. The company is excited by these financial statements as they support what the company has previously stated in its press releases over the summer months.
When looking at leading indicators for the company's growth, the company has achieved the following growth between the second and third quarters of fiscal 2019:
- Merchant processing revenue increased by 498 per cent over Q2.
- Processing volume increased by 360 per cent over Q2.
- Transactions increased by 296 per cent over Q2.
- Merchant sign-ups increased by 121 per cent over Q2.
During the current fiscal year to date, the company has recorded merchant processing revenue of $86,681. This is made up of merchant processing revenue of $10,826 during the three months ended Jan. 31, 2019, $12,677 for the three months ended April 30, 2019, and $63,178 for the three months ended July 31, 2019.
The key drivers for the increase in revenue is that the number of transactions and processing volumes have both increased. This has resulted from the business development team driving new sales and partnership initiatives and demonstrating how simple it is to accept cryptocurrency as a form of payment. The company has also attended several trade shows in new and upcoming industries and will be the merchant processing leader in these industries.
In addition to increasing the company's growth indicators, as outlined above, NetCents has decreased its operating costs by 46 per cent for the nine-month period ended July 31, 2019, compared with July 31, 2018. The net loss of the company also decreased by 54 per cent for the nine-month period ended July 31, 2019, when compared with July 31, 2018.
Between the increase in revenues and the company's growth indicators, along with the corresponding decrease to its operating costs, the company is in a strong position as it works toward its breakeven point, which should be obtained within a 24-month period.
Finally, the company's financial statements showed a cash and cash equivalents position of $2.21-million and net working capital of $759,000 as at July 31, 2019, compared with cash and cash equivalents of $54,000 and a working capital deficiency of $1.21-million at April 30, 2019, which shows that the company is in a much better position to cover expenditures over the next period.
About NetCents Technology Inc.
NetCents, the transactional hub for all cryptocurrency payments, equips forward-thinking businesses with the technology to seamlessly integrate cryptocurrency processing into their payment model without taking on the risk or volatility of the crypto market.
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