Fintech
Tenet Second Quarter 2022 Financial Results in Line with Company Expectations with Revenue of $32.4M
Toronto, Ontario–(Newsfile Corp. – August 25, 2022) – Tenet Fintech Group Inc. (CSE: PKK) (OTC Pink: PKKFF) (“Tenet” or the “Company”), an innovative AI service provider and operator of the Business Hub™, today announced its financial results and operating highlights for the three-month and six-month periods ended June 30, 2022. Even though most of China’s major cities were at an economic standstill for almost two months during the quarter due to government-imposed Covid-19 restrictions, Tenet generated $32.4M in revenue and had a net loss of $6.3M for the period. The numbers are in line with the Company’s expectations as it steps up its Research & Development (R&D) and expansion efforts in both China and Canada. All amounts expressed are in Canadian dollars.
Q2 Financial Highlights:
- Total Revenue of $32.4M
- Adjusted EBITDA of ($2.9M)
- Net Loss of ($6.3M)
Summary of Quarterly Evolution of Revenue, Adjusted EBITDA and Net Income (Loss)
Q2 2022 | Q1 2022 | Q4 2021 | Q3 2021 | Q2 2021 | |
Revenue | $32,432,228 | $34,741,460 | $33,048,247 | $25,695,570 | $30,649,179 |
Expenses1 | $35,428,207 | $35,309,662 | $33,226,492 | $22,672,271 | $29,411,980 |
Adjusted EBITDA2 | ($2,995,979) | ($568,202) | ($178,245) | $1,500,554 | $1,043,482 |
Net Income (Loss) 3 | ($6,332,672) | ($3,359,601) | ($49,994,623) | $1,526,286 | $296,071 |
- Expenses, for the calculation of Adjusted EBITDA, do not include finance costs, interest, taxes, depreciation (including impairment of intangible assets) loss on settlement of debt, gain on bargain purchase and amortization.
- Adjusted EBITDA equals net income (loss) before finance costs, taxes, depreciation, amortization and impairment of intangible assets, loss on extinction of debt, gain on bargain purchase and amortization. Adjusted EBITDA is provided as a supplementary earnings measure to assist readers in determining the Company’s ability to generate cash flows from operations and to cover finance charges. Adjusted EBITDA and EBITDA are also widely used for business valuation purposes. Adjusted EBITDA does not have a standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies.
- The net loss for Q4 2021 included a total of $53,364,705 in impairment charges related to the Company’s acquisition of Cubeler for which forecasted revenues shifted by almost a year due to the delayed launch of the Company’s Canadian Business Hub™. Part of the impairment charges may be reversed in the future following the launch of the Company’s Canadian operations.
Q2 Operating Highlights:
- Launch of “Driver’s Seat”, first insurance policy to be exclusively available through Tenet’s Heartbeat insurance brokerage platform
- $10.1M in revenue generated from participation in 618 Shopping Festival
- National strategic cooperation agreement with Shanghai Electric Power Company
- Cooperative Agreement with Huai’an Rural Commercial Bank
ABOUT SECOND QUARTER FINANCIAL AND OPERATING RESULTS SUMMARY
Most of Tenet’s revenue for the second quarter of 2022 was generated in the month of June as China’s major economic hubs were under Covid-19 lockdown for virtually all of April and May. The Company’s participation in this year’s 618 Shopping Festival accounted for almost one-third of its total revenue for the quarter. Also contributing to the Company’s revenue in Q2, was an increasing percentage of Business Hub™ clients taking advantage of value-added services, such as insurance and transportation, related to their financing transactions.
From an operational standpoint in China, Tenet focused on furthering its involvement in the clean energy space during the quarter. This contributed to the signing of a national strategic cooperation agreement with Shanghai Electric Power Company to help the country with the implementation of its policy to have its carbon emissions peak by 2030 and achieve carbon neutrality by 2060.
While Tenet has not formally launched its Canadian Hub, the Company was very active in Canada during the quarter on several fronts, including business development initiatives. The Company took steps to become more visible and promote the upcoming Canadian launch of its Cubeler Business Hub™ among the Canadian SME community. It also began strategic partnership discussions with business associations and software vendors connected with large numbers of small- and medium-sized businesses. While these activities contributed to Tenet’s net loss for the quarter, the Company believes those initiatives set the foundation in Canada for a formula that will allow Tenet to expand its Cubeler Business Hub™ globally.
In summary, the Company generated revenue of $32,432,228 for the three-month period and $67,173,688 for the six-month period ended June 30, 2022, compared to $30,649,179 for the three-month period and $44,888,955 for the six-month period ended June 30, 2021.
Total expenses before taxes for the quarter amounted to $37,511,624, compared to $29, 691,302 for the same period in 2021. Net loss for the second quarter of 2022 was $6,332,672 compared to a net profit of $296,071 for the same period of 2021.
Full details of the Company’s second quarter 2022 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 and six-month periods ended June 30, 2022 and 2021, which are available at www.sedar.com.
Tenet will host an investor webinar on Monday, August 29 at 4:00 pm EDT, where President & CEO Johnson Joseph and CFO Jean Landreville will discuss the Q2 2022 financial results. Registration for the event is available at: https://bit.ly/3dUED2T
About Tenet Fintech Group Inc.:
Tenet Fintech Group Inc. is the parent company of a group of innovative financial technology (Fintech) and artificial intelligence (AI) companies. All references to Tenet in this news release, unless explicitly specified, includes Tenet and all its subsidiaries. Tenet’s subsidiaries provide various analytics and AI-based services to businesses and financial institutions through the Business Hub™, a global ecosystem where analytics and AI are used to create opportunities and facilitate B2B transactions among its members. Please visit our website at: http://www.tenetfintech.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
312-261-6430
[email protected]
Follow Tenet Fintech Group Inc. on social media:
Twitter: @Tenetfintech
Facebook: @Tenetfintech
LinkedIn: Tenet Fintech
YouTube: Tenet 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 and listing plans, 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.
Fintech
Fintech Pulse: Your Daily Industry Brief (Chime, ZBD, MiCA)
As we close out 2024, the fintech industry continues to deliver headlines that underscore its dynamism and innovation. From IPO aspirations to groundbreaking regulatory milestones, today’s updates highlight the transformative power of fintech partnerships, regulatory evolution, and disruptive technologies. Here’s what you need to know.
Chime’s Quiet Step Toward Public Markets
Chime, the U.S.-based financial technology startup best known for its digital banking services, has taken a significant step by filing confidential paperwork for an initial public offering (IPO). As one of the most valuable private fintechs in the U.S., Chime’s move could potentially signal a renewed appetite for fintech IPOs in a market that has been cautious following fluctuating valuations across the tech sector.
With a valuation that reportedly exceeded $25 billion in its last funding round, Chime’s IPO could set a new benchmark for the industry. Observers note that its strong customer base and revenue growth may make it an appealing choice for investors seeking to capitalize on the digital banking boom. However, the timing and success of the IPO will depend on broader market conditions and the regulatory landscape.
Source: Bloomberg
ZBD’s Pioneering Achievement: EU MiCA License Approval
ZBD, a fintech company specializing in Bitcoin Lightning network solutions, has made history by becoming the first to secure an EU MiCA (Markets in Crypto-Assets Regulation) license. This landmark approval by the Dutch regulator positions ZBD at the forefront of compliant crypto-fintech operations in Europe.
MiCA, which aims to harmonize the regulatory framework for crypto-assets across the EU, has been a focal point for industry players aiming to establish legitimacy and expand their offerings. ZBD’s achievement not only validates its operational rigor but also sets a precedent for other fintech firms navigating the evolving regulatory landscape.
Industry insiders view this as a strategic advantage for ZBD as it broadens its footprint in Europe. By leveraging its regulatory approval, the company can accelerate its product deployment and establish trust with institutional and retail users alike.
Source: Coindesk, PR Newswire
The Fintech-Credit Union Synergy: A Blueprint for Innovation
The convergence of fintechs and credit unions continues to reshape the financial services ecosystem. Collaborative initiatives, such as the one highlighted in the recent partnership between fintech innovators and credit unions, are proving to be a potent force in delivering tailored financial solutions.
This “dream team” approach allows credit unions to leverage fintech’s technological expertise while maintaining their community-focused ethos. Key areas of collaboration include digital payments, personalized financial management tools, and enhanced loan processing capabilities. These partnerships not only enhance member engagement but also enable credit unions to remain competitive in an increasingly digital-first financial environment.
Industry analysts emphasize that such collaborations underscore a broader trend of traditional financial institutions embracing fintech-driven solutions to bridge service gaps and foster innovation.
Source: PYMNTS
Tackling Student Loan Debt: A Fintech’s Mission
Student loan debt remains a pressing issue for millions of Americans, and a Rochester-based fintech aims to offer relief through its cloud-based platform. This innovative solution is designed to simplify loan management and provide borrowers with actionable insights to reduce their debt burden.
The platform’s features include repayment optimization tools, personalized financial education, and seamless integration with loan servicers. By addressing the complexities of student loan management, this fintech is empowering borrowers to make informed decisions and achieve financial stability.
As the student loan crisis continues to evolve, solutions like this highlight the critical role fintech can play in addressing systemic financial challenges while fostering financial literacy and inclusion.
Source: RBJ
Industry Implications and Takeaways
Today’s updates underscore several key themes shaping the fintech landscape:
- Regulatory Milestones: ZBD’s MiCA license approval exemplifies the importance of regulatory compliance in unlocking growth opportunities.
- Strategic Partnerships: The collaboration between fintechs and credit unions demonstrates the value of combining technological innovation with traditional financial models to drive customer-centric solutions.
- Market Opportunities: Chime’s IPO move reflects a potential revival in fintech public offerings, signaling confidence in the sector’s long-term prospects.
- Social Impact: Fintech’s ability to tackle systemic issues, such as student loan debt, showcases its role as a force for positive change.
The post Fintech Pulse: Your Daily Industry Brief (Chime, ZBD, MiCA) appeared first on News, Events, Advertising Options.
Fintech
SPAYZ.io prepares for iFX EXPO Dubai 2025
Leading global payments platform SPAYZ.io has confirmed it will be attending iFX EXPO Dubai 2025 on 14 to 16 January. Exhibiting at Stand 64 at Trade Centre Dubai, SPAYZ.io’s team of professionals will be on hand providing live demonstrations of its renowned payment services for payment providers. Attendees will also receive exclusive insight into SPAYZ.io’s plans for 2025 alongside early early access to its upcoming plans for the new year.
SPAYZ.io delivers a host of payment solutions that leverage the latest technological innovations and open access to the fastest growing emerging markets across Africa, Europe and Asia. Over the past year, there has been huge demand for its Open Banking and local payment method services, alongside bank transfers, mass payouts, online banking and e-wallets.
Yana Thakurta, Head of Business Development at SPAYZ.io commented: “We look forward to once again participating at iFX Dubai to expand our network of partners and clients. It’s a fantastic way to kick off the year, connecting with thousands of industry leaders from FOREX platforms to trading companies, and everything in between.
“Our key goal for iFX Dubai EXPO 2025 is to expand our portfolio of solutions and geographies. We’re using this as an opportunity to partner with like-minded entities who share our ambition to provide payment solutions that are truly global.”
Come meet SPAYZ.io’s team at the Trade Centre Dubai at Stand 64. You can also book a meeting slot with a member of a team.
The post SPAYZ.io prepares for iFX EXPO Dubai 2025 appeared first on News, Events, Advertising Options.
Fintech
Airtm Enhances Its Board of Directors with Two Strategic Appointments
Airtm, the most connected digital dollar account in the world, is proud to announce the addition of two distinguished industry leaders to its Board of Directors: Rafael de la Vega, Global SVP of Partnerships at Auctane, and Shivani Siroya, CEO & Founder of Tala. These appointments reflect Airtm’s commitment to innovation and financial inclusion as the company enters its next phase of growth.
“We are thrilled to welcome Rafael and Shivani to Airtm’s Board of Directors,” said Ruben Galindo Steckel, Co-founder and CEO of Airtm. “Their unique perspectives and proven track records will be invaluable as we continue scaling our platform to empower individuals and businesses in emerging markets. Together, we’ll push the boundaries of financial inclusion and innovation to create a more connected and equitable global economy. Rafael and Shivani bring a wealth of experience and strategic insight that will strengthen Airtm’s mission to connect emerging economies with the global market.”
Rafael de la Vega, a seasoned leader in fintech global partnerships and technology innovation, is currently the Global SVP of Partnerships at Auctane. With a proven track record of delivering scalable, impactful solutions at the intersection of fintech, innovation, and commerce, Rafael’s expertise will be pivotal as Airtm continues to grow. “Airtm has built a platform that breaks down barriers and opens up opportunities for people in emerging economies to connect to global markets. I am excited to contribute to its growth and help further its mission of fostering financial inclusion on a global scale,” said Rafael.
Shivani Siroya, CEO and Founder of Tala, is a pioneer in financial technology, renowned for empowering underserved communities through access to credit and essential financial tools. Her leadership in leveraging data-driven innovation aligns seamlessly with Airtm’s vision of creating more equitable financial opportunities. “Empowering underserved communities has always been at the core of my work, and Airtm’s mission resonates deeply with me. I’m thrilled to join the Board and work alongside such a dynamic team to expand access to financial tools that truly make a difference in people’s lives,” said Shivani.
The post Airtm Enhances Its Board of Directors with Two Strategic Appointments appeared first on News, Events, Advertising Options.
-
Fintech PR5 days ago
GCL Energy Technology and Ant Digital Technologies Launch First Blockchain-Based RWA Project in Photovoltaic Industry
-
Fintech PR5 days ago
Bybit Champions Web3 Innovation and Strengthens Ties with Asia’s Crypto Community at Taipei Blockchain Week
-
Fintech PR4 days ago
2025 Will See Increased QR Code Payments but Payment Card IC ASPs Will Not Return to Pre-Covid Levels
-
Fintech PR5 days ago
CKGSB Successfully Hosts 2024 MBA Professor Training Program for Western China
-
Fintech PR6 days ago
H.I.G. Realty Announces Strategic Partnership with Queen Mary BioEnterprises Innovation Centre in London
-
Fintech PR2 days ago
Markets Show Resilience Ahead of End-of-Year Options Expirations: Bybit x Block Scholes Crypto Derivatives Report
-
Fintech PR3 days ago
Sinopec Completes Construction of China’s Largest Petrochemical Industrial Base
-
Fintech PR2 days ago
2024 Global Youth Design Contest on Chinese Characters Themed “Guiyang in Characters” Successfully Concluded