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Currency Exchange International Announces Financial Results for the Three-Month Period and Fiscal Year Ended October 31, 2021

TORONTO, Jan. 27, 2022 (GLOBE NEWSWIRE) -- Currency Exchange International, Corp. (the “Company”) (TSX: CXI; OTCBB: CURN), announces its financial results and management's discussion and analysis ("MD&A") for the three months and year ended October 31, 2021 (all figures are in U.S. dollars except where otherwise indicated). The complete financial statements and MD&A can be found on the Company's SEDAR profile at www.sedar.com.

On March 11, 2020 the World Health Organization (“WHO”) officially declared COVID-19, the disease caused by a novel coronavirus, a pandemic. Measures enacted to curtail COVID-19 by various governments have significantly impacted travel and tourism, and therefore the demand for foreign currencies. The Company has experienced a material decline in revenue as a result. While the Company continues to operate, it is not possible to reliably estimate the duration and severity of these consequences as well as their impact on the financial position and results of future periods.

Randolph Pinna, CEO of the Company, stated, “2021 was a transformational year for CXI. We executed well against each pillar of our strategy. Our corporate payments segment has exceeded our growth expectations, and we are very pleased with the acquisition that was completed on July 29, 2020. We have also grown our presence in the international marketplace for banknotes, and Exchange Bank of Canada’s new relationship with the Federal Reserve will enable further growth in that space. These two pillars are designed to diversify our reliance on the domestic trade in foreign currencies, which is largely dependent on international travel. However, we continue to increase our penetration in the domestic market that is helping to mitigate the reduction in consumer demand. As a result of our efforts, CXI is much better positioned to achieve a return to profitability in spite of the challenges caused by the ongoing pandemic. I am very proud of the significant effort put in by our dedicated employees at CXI as we navigated a very challenging period.”

Corporate and Operational Highlights for the year ended October 31, 2021:

  • During the year ended October 31, 2021, the Company added 1,220 new customer relationships comprising 2,421 locations, of which 708 relationships representing 1,837 locations were added in the United States and 512 relationships representing 584 locations were added in Canada. In addition, 296 clients acquired pursuant to the business acquisition completed on July 29, 2020 as announced on June 30, 2020, have transacted during the year.

  • The Company made significant progress in its objective to return to profitability, driving positive operating cash flow for the year and positive operating leverage in the second half of the year, and limiting capital erosion by accessing government subsidies designed to protect jobs in companies that have been significantly impacted by the COVID-19 pandemic.

  • Customer acquisition drove growth in the international payments segment in Canada, as Exchange Bank of Canada transacted with 699 clients in the year, up from 247 in the prior year.

  • The Company entered into an agreement to integrate its proprietary CXIFX platform with Jack Henry’s core banking platform. The technological integration is largely complete, and it has entered the testing phase with select clients. Once complete, the integration will increase the Company’s addressable market by approximately 1,100 financial institutions in the United States.

  • Through its subsidiary, Exchange Bank of Canada, began transacting with the Federal Reserve Bank of New York (FRBNY) as a participant in its foreign bank international cash services program, that was announced on August 16, 2021.