Shares in tech developer Datametrex AI (DM) are continuing to fall, despite the company releasing an improving third quarter report.
Third quarter revenue leapt 186 per cent up to just over C$4.8 million, compared to last year’s corresponding period. Similarly, earnings before interest, taxes, depreciation, and amortization moved into the black at $362,059, versus negative $539,116 in 2019 same quarter.
Nevertheless, the company still posted a net loss of $451,353 due to $607,997 in option issuance expenses and $194,517 of depreciation and amortization expenses. The net loss is a 35 per cent improvement on last year’s loss, but this fact has still failed to slow the company's months-long share price fall.
Datametrex’s market share has been descending since late August, following a share price spike earlier in the year. Bullish sentiment surrounding the company’s COVID-19 test kits triggered a share buy-up back in April, sending Datametrex’s share price from one cent to 19 cents in a matter of weeks.
However, with fears of extended pandemic-induced recession fading and test kit sales remaining tepid, the company’s recent market performance is continuing to suffer.
Datametrex CEO Marshall Gunter said the company achieved multiple key milestones during quarter, a significant increase in gross revenue and improvement in its cash position.
“This positive outcome was a direct result of our quick response in implementing a plan to begin selling test kits as result of the global impact of the COVID-19 virus. This resulted in a substantial improvement to the bottom line," he added.
Datametrex AI is down 16.67 per cent and is trading at 10 cents per share at 11:34am EST.