Toronto, Ontario--(Newsfile Corp. - February 5, 2024) - Hank Payments Corp. (TSXV: HANK) ("Hank" or the "Company"), an emerging North American leader in the Banking-as-a-Service (BaaS) market with a platform that modernizes budgets and payments for enterprises and consumers, is pleased to announce it has achieved a critical revenue milestone for the quarter ending December 31, 2023. Complete financials will be filed by February 29, 2024.
FINANCIAL & BUSINESS HIGHLIGHTS FOR FISCAL Q2, 2024
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Revenue for the quarter exceeded $1.85 MM, an increase of 21% over the September 2023 quarter and 27% growth over the same quarter in 2022;
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Canadian licensee revenues contributed over $500,000 in revenue on the quarter and this minimum contracted revenue will continue for the three-year minimum contract term;
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Adjusted loss from operations has improved by over 50% as compared to the September 2023 quarter;
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The Company announced a partnership with Ingo Money to power instant disbursements to students initially for Hank's education platform ("Hank EDU") thus saving time and money for colleges disbursing funds to students;
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New colleges signed up for the Hank EDU platform in the states of Texas and Oklahoma, with implementations on track for calendar Q1, 2024;
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A rich pipeline continues to strengthen for our EDU product suite with several more closings and announcements expected quarterly; and
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Post fiscal Q2, strategic investments were received from market development partners for two new products expected to launch this year, Hank Equity Builder and Hank Doors.
Michael Hilmer, CEO and Chairperson, commented, "These are the strongest quarterly financial results in our history by a wide margin. We have been diligent about investing in products that will be profitable within a reasonable time horizon, while managing overhead carefully." He added, "Our team is focused on achieving positive Adjusted EBITDA results in calendar 2024, scaling our Automotive and EDU products and launching the Hank Doors and Hank Equity Builder products by calendar 2024 year end."
The Company looks forward to reporting its second-quarter financials for the period ending December 31, 2023, by the end of February, 2024.
About Hank Payments Corp.
Hank Payments Corp (the Company or "Hank") is a North American leader in consumer Fintech Software-as-a-Service (SaaS) and Banking-as-a-Service (BaaS) platforms that manages consumer cash flow and budgets on an automated basis using proprietary algorithms that collect, store and disburse cash as required to discharge obligations in a timely fashion. The Hank stack provides for several vertical market applications of the technology, with features specific to channels and enterprise accounts ("Partners") that allow those partners to operate new lines of business and revenue streams, using Hank. The Partners benefit from new revenue streams and powerful insights that open up additional opportunities for Partners to grow assets using Hank. The Company operates exclusively across the USA, with certain leadership and technology functions in Toronto. Hank houses the complex technology, banking, treasury, customer service, sales and operations teams that acquire and service consumers. Hank currently charges upfront enrolment/setup fees and recurring monthly fees based on the types and quantity of payments that Hank Payments administers for the consumer (the "Users"). The Company acquires Users through various channels including (i) small to medium sized enterprises (the "SME Partners") and (ii) large enterprise businesses (the "Enterprise Partners"). The Company's BaaS model is emerging which is expected to add additional fees including software licensing and usage fees. For more information visit our website at www.hankpayments.com.
Forward-Looking Statements
This news release may contain forward-looking statements (within the meaning of applicable securities laws) which reflect the Company's current expectations regarding future events. Forward-looking statements are identified by words such as "believe", "anticipate", "project", "expect", "intend", "plan", "will", "may", "estimate" and other similar expressions. These statements are based on the Company's expectations, estimates, forecasts, and projections and include, without limitation, statements regarding the future success of the Company's business. Financial performance figures in Canadian Dollars unless otherwise indicated by "U" representing United States Dollars.
The forward-looking statements in this news release are based on certain assumptions, including without limitation the Shares beginning trading on the TSXV. The forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, the Company assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
FOR FURTHER INFORMATION PLEASE CONTACT:
For more information regarding Hank Payments Corp., please contact: Jason Ewart, EVP Capital Markets, at 416-580-0721. For Investor Relations please contact ir@hankpayments.com and visit the Company's website at https://ir.hankpayments.com/.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/196803
