Fintech Select Records a Net Profit of $986k for Q1 Ending March 31 2018

Fintech Select Ltd (TSXV:FTEC) announced that its financial statements for the Q1 ending March 31, 2018 have resulted in a net profit of $986k.

The company said that it had a net loss of $383,395 for the three months ended March 31, 2017. The revenues for the first quarter 2018 were $841,685 as compared to $981,435 for the first quarter of 2017.

As quoted in the press release:

The reduction in revenue is mainly due to that the contract with City of Toronto expired at the end of June 2017. The reduction in revenue also was due to the reduction in wireless prepaid business, and to less prepaid financial services business that was affected by the claim from a service provider.

Gross profit (Operating Revenue less cost of goods and services purchased) for the first quarter 2018 was $611,883 compared to $ 585,029 in the first quarter of 2017. Gross margin for the first quarter 2018 is 73% compared to 60% for the first quarter of 2017. The increase of gross margin was due to the increased call center business. The Company is continuing pursue the addition of new revenue growth opportunities in the Crypto-currency, call center services, and P2P mobile banking solution sectors.

“We are pleased with the current financial status of the company as the majority of our debt has been significantly reduced and our balance sheet has vastly improved,” said the company in its filing. “Our main revenue generating divisions will be continually expanded upon while we drive the next evolution of our cryptocurrency division across Canada and other regions.”

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