The artificial intelligence firm focused on providing insight for over 3,000 financial securities saw revenues drop over 40 percent.
AnalytixInsight (TSXV:ALY), an artificial intelligence company announced its third quarter financial results, with revenues totaling C$754,000, dropping over 40 percent compared to the same time period last year. Marketwall, its 49 percent owned subsidiary, helped drive revenues as the revenues footed over C$3.4 million over the quarter. These figures were not included in AnalytixInsight’s statement of consolidated revenues.
As quoted in the press release:
During the quarter, the Company continued delivering its AI-driven machine-created content to Refinitiv within its strategic initiative to provide research coverage on approximately 3,000 dividend-paying companies in Canada, the US and the UK. AI-driven content is becoming increasingly important as financial businesses move to embrace AI and analytics as the content cornerstones for their client offerings. Revenue for the three-month period ended September 30, 2019, was $754,703 which compares to $1,296,239 during the same period in the previous year. Revenue for the nine-month period ended September 30, 2019, was $2,852,177 which compares to $3,637,339 during the same period in the previous year. At September 30, 2019, the Company had working capital of $2,188,481 and no debt.
AnalytixInsight’s 49%-owned FinTech subsidiary, Marketwall, has applied to become an online financial broker in Europe and, following completion of regulatory approvals, Marketwall expects to initiate a formal process to determine its appropriate valuation within a peer-based context of online brokerage firms with innovative technology and partnerships with world-leading banks. Marketwall has advised the Company that following such process, Marketwall will then raise suitable funds to enable its global growth expansion plans. Completion of this process will allow AnalytixInsight to move forward with a spinout to unlock the value of its Marketwall holdings in an IPO or other such strategies.