Fintech
RE-ISSUED: Peak First Quarter 2021 Results Show Revenue of $14.2M, Setting the Stage for Potential Milestone Year
***THIS NEWS RELEASE IS BEING RE-ISSUED TO ENSURE IT COMPLIES WITH CSA STAFF NOTICE 52-306 (REVISED), NON-GAAP FINANCIAL MEASURES (SN 52-306)***
Montreal, Quebec–(Newsfile Corp. – June 22, 2021) – Peak Fintech Group Inc. (CSE: PKK) (OTCQX: PKKFF) (“Peak” or the “Company”), an innovative Fintech service provider to the Chinese commercial lending sector, announced its financial results and operating highlights for the three-month period ended March 31, 2021. All amounts expressed are in Canadian dollars.
Peak generated three and a half times more revenue in the first quarter of 2021 than it did in Q1 2020. Given that the first quarter has historically been the smallest revenue-generating quarter for the Company due to the annual economic slowdown during the Chinese New Year holiday, the balance of the year, and 2021 as a whole, promises to be an exceptional year for Peak not only in terms of revenue but profit as well.
Q1 Financial Highlights:
- Total revenue of $14,239,776
- Adjusted EBITDA* of $121,737
- Net loss of $389,702
- Total assets of $62,147,286
* Adjusted EBITDA is provided as supplementary earnings measure to assist readers in determining the Company’s ability to generate cash-flows from operations and to cover finance charges. This is a non-GAAP measure that does not have a standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies.
Historical Comparative Revenue and adjusted EBITDA Summary
| Q1 2021 | Q1 2020 | Q1 2019 | Q1 2018 | |
| Revenue | $14,239,776 | $3,949,395 | $949,511 | $5,147 |
| Expenses1 | $14,118,039 | $3,777,350 | $971,233 | $692,873 |
| Adjusted EBITDA2 | $121,737 | $172,045 | ($21,722) | ($687,726) |
| Net loss | $389,702 | $805,695 | $568,779 | $1,055,768 |
1 Expenses do not include interest, taxes, depreciation (including impairment of intangible assets) loss on extinction of debt, gain on bargain purchase and amortization.
2 Adjusted EBITDA equals net income (loss) before finance costs, income taxes, depreciation, amortization and impairment of intangible assets, initial financing costs, expiration of deferred finance cost, loss on extinction of debt, loss on settlement of debt and (gain) loss on bargain purchase. Adjusted EBITDA is a non-GAAP measure that does not have a standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies.
Q1 Operating Highlights:
- Over 50% of transactions originating from recently launched social media influencer financing, retailer financing and distributor financing programs
- Partnership agreement with China’s top ecommerce software provider ShopEx
- Partnership agreement with China UnionPay subsidiary Rongbang Technology Ltd. to implement payment processing and fund transfer features to Lending Hub ecosystem
- Re-emergence of Gold River ecommerce and logistics platform
- First revenue generated by AST subsidiary in over three years
About First Quarter Financial and Operating Results Summary
The trend toward profitability continued in the first quarter of 2021 with over 50% of the transactions conducted through Peak’s Lending Hub ecosystem coming from a combination of social media influencers, wholesale distributors and retailers. As the Company moves to facilitate more of these types of transactions as opposed to those involving supply-chain transactions for which it incurs cost of service expenses, Peak expects to see a steady climb to profitability for the balance of 2021. Although the Company incurred a net loss for the quarter, the results achieved by its new targeted financing programs, the impact that the re-emergence of the Gold River platform is starting to have on reducing the cost of service of its supply-chain services, and the opportunity to dramatically increase the number of new clients on Lending Hub throughout the year through partnerships with the likes of ShopEx and China UnionPay, has Peak believing that Q2 2021 could be the Company’s first profitable quarter.
In summary, the Company generated $14,239,776 in revenue for the quarter ended March 31, 2021 compared to $3,949,395 for the same period in 2020. Total expenses for the quarter amounted to $14,327,501, compared to $4,755,090 for the same period in 2020.
The net loss for the the three-month period ending March 31, 2021 was $389,702 compared to $805,695 for the same period of 2020.
Full details of the Company’s first quarter 2021 financial results can be found in the Unaudited Condensed Interim Consolidated Financial Statements and Management’s Discussion and Analysis (MD&A) for the three-month periods ended March 31, 2021 and 2020, which are available at www.sedar.com.
About Peak Fintech Group Inc.:
Peak Fintech Group Inc. is the parent company of a group of innovative financial technology (Fintech) subsidiaries operating in China’s commercial lending industry. Peak’s subsidiaries use technology, analytics and artificial intelligence to create an ecosystem of lenders, borrowers and other participants in China’s commercial lending space where lending operations are conducted rapidly, safely, efficiently and with the utmost transparency. For more information: http://www.peakfintechgroup.com
For more information, please contact:
CHF Capital Markets
Cathy Hume, CEO
416-868-1079 ext.: 251
[email protected]
MZ Group – MZ North America
Mark Schwalenberg, CFA
1-312-261-6430
[email protected]
Peak Fintech Group
Barry Ellison, Director of Marketing and Communications
514-340-7775 ext.: 521
[email protected]
Follow Peak Fintech Group Inc. on social media:
Facebook: @peakfintech
Twitter: @peakfintech
LinkedIn: Peak Fintech
YouTube: Peak Fintech
Forward-Looking Statements / Information:
This news release may include certain forward-looking information, including statements relating to business and operating strategies, plans and prospects for revenue growth, using words including “anticipate”, “believe”, “could”, “expect”, “intend”, “may”, “plan”, “potential”, “project”, “seek”, “should”, “will”, “would” and similar expressions, which are intended to identify a number of these forward-looking statements. Forward-looking information reflects current views with respect to current events and is not a guarantee of future performance and is subject to risks, uncertainties and assumptions. The Company undertakes no obligation to publicly update or review any forward-looking information contained in this news release, except as may be required by applicable laws, rules and regulations. Readers are urged to consider these factors carefully in evaluating any forward-looking information.
The Exchange has neither approved nor disapproved the contents of this news release and accepts no responsibility for the adequacy or accuracy hereof.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/88306
The BIS, along with seven leading central banks and a cohort of private financial firms, has embarked on an ambitious venture known as Project Agorá.
Named after the Greek word for “marketplace,” this initiative stands at the forefront of exploring the potential of tokenisation to significantly enhance the operational efficiency of the monetary system worldwide.
Central to this pioneering project are the Bank of France (on behalf of the Eurosystem), the Bank of Japan, the Bank of Korea, the Bank of Mexico, the Swiss National Bank, the Bank of England, and the Federal Reserve Bank of New York. These institutions have joined forces under the banner of Project Agorá, in partnership with an extensive assembly of private financial entities convened by the Institute of International Finance (IIF).
At the heart of Project Agorá is the pursuit of integrating tokenised commercial bank deposits with tokenised wholesale central bank money within a unified, public-private programmable financial platform. By harnessing the advanced capabilities of smart contracts and programmability, the project aspires to unlock new transactional possibilities that were previously infeasible or impractical, thereby fostering novel opportunities that could benefit businesses and consumers alike.
The collaborative effort seeks to address and surmount a variety of structural inefficiencies that currently plague cross-border payments. These challenges include disparate legal, regulatory, and technical standards; varying operating hours and time zones; and the heightened complexity associated with conducting financial integrity checks (such as anti-money laundering and customer verification procedures), which are often redundantly executed across multiple stages of a single transaction due to the involvement of several intermediaries.
As a beacon of experimental and exploratory projects, the BIS Innovation Hub is committed to delivering public goods to the global central banking community through initiatives like Project Agorá. In line with this mission, the BIS will soon issue a call for expressions of interest from private financial institutions eager to contribute to this ground-breaking project. The IIF will facilitate the involvement of private sector participants, extending an invitation to regulated financial institutions representing each of the seven aforementioned currencies to partake in this transformative endeavour.
Source: fintech.globa
The post Central banks and the FinTech sector unite to change global payments space appeared first on HIPTHER Alerts.
TD Bank has inked a multi-year deal with Google Cloud as it looks to streamline the development and deployment of new products and services.
The deal will see the Canadian banking group integrate the vendor’s cloud services into a wider portion of its technology solutions portfolio, a move which TD expects will enable it “to respond quickly to changing customer expectations by rolling out new features, updates, or entirely new financial products at an accelerated pace”.
This marks an expansion of the already established relationship between TD Bank and Google Cloud after the group previously adopted the vendor’s Google Kubernetes Engine (GKE) for TD Securities Automated Trading (TDSAT), the Chicago-based subsidiary of its investment banking unit, TD Securities.
TDSAT uses GKE for process automation and quantitative modelling across fixed income markets, resulting in the development of a “data-driven research platform” capable of processing large research workloads in trading.
Dan Bosman, SVP and CIO of TD Securities, claims the infrastructure has so far supported TDSAT with “compute-intensive quantitative analysis” while expanding the subsidiary’s “trading volumes and portfolio size”.
TD’s new partnership with Google Cloud will see the group attempt to replicate the same level of success across its entire portfolio.
Source: fintechfutures.com
The post TD Bank inks multi-year strategic partnership with Google Cloud appeared first on HIPTHER Alerts.
The MAS has unveiled Cosmic, an acronym for Collaborative Sharing of Money Laundering/Terrorism Financing Information and Cases, a new money laundering platform.
According to Business Times, launched on April 1, Cosmic stands out as the first centralised digital platform dedicated to combating money laundering, terrorism financing, and proliferation financing on a worldwide scale. This move follows the enactment of the Financial Services and Markets (Amendment) Act 2023, which, along with its subsidiary legislation, commenced on the same day to provide a solid legal foundation and safeguards for information sharing among financial institutions (FIs).
Cosmic enables participating FIs to exchange customer information when certain “red flags” indicate potential suspicious activities. The platform’s introduction is a testament to MAS’s commitment to ensuring the integrity of the financial sector, mandating participants to establish stringent policies and operational safeguards to maintain the confidentiality of the shared information. This strategic approach allows for the efficient exchange of intelligence on potential criminal activities while protecting legitimate customers.
Significantly, Cosmic was co-developed by MAS and six leading commercial banks in Singapore—OCBC, UOB, DBS, Citibank, HSBC, and Standard Chartered—which will serve as participant FIs during its initial phase. The initiative emphasizes voluntary information sharing focused on addressing key financial crime risks within the commercial banking sector, such as the misuse of legal persons, trade finance, and proliferation financing.
Loo Siew Yee, assistant managing director for policy, payments, and financial crime at MAS, highlighted that Cosmic enhances the existing collaboration between the industry and law enforcement authorities, fortifying Singapore’s reputation as a well-regulated and trusted financial hub. Similarly, Pua Xiao Wei of Citi Singapore and Loretta Yuen of OCBC have expressed their institutions’ support for Cosmic, noting its potential to ramp up anti-money laundering efforts and its significance as a development in the banking sector’s ability to combat financial crimes efficiently. DBS’ Lam Chee Kin also praised Cosmic as a “game changer,” emphasizing the careful balance between combating financial crime and ensuring legitimate customers’ access to financial services.
Source: fintech.global
The post MAS launches transformative platform to combat money laundering appeared first on HIPTHER Alerts.
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