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Toronto, Ontario--(Newsfile Corp. - November 29, 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 report its first quarter financial results for the period ending September 30, 2024. All figures are in CAD.
FIRST QUARTER FINANCIAL HIGHLIGHTS
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Revenue for the first quarter, ending September 30, 2024, was $2.04 MM, an increase of 29% over the September 2023 quarter;
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Gross margins remain strong at 91%;
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Adjusted loss from operations for Q1 improved by 61% to $199,139 as compared to Q1, 2023 of $507,797, and a 17% improvement over the quarter ended June 2024, $239,986;
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The Company continues prioritizing positive cash flow and EBITDA from operations and is focused on growth of high margin revenue while investing carefully in technology and marketing.
SUBSEQUENT EVENTS POST QUARTER:
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The Company improved its balance sheet through two material events: i) Closing of a non-brokered private placement of a convertible debenture for total gross proceeds of $744,921, and ii) The conversion of $2,544,000 of legacy convertible debentures and $200,732 of related interest into an aggregate of 54,894,640 common shares of the Company, both events occurring in November;
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The Company continues towards the closing of its acquisition announced in August and has early interest from customers in using the technology being acquired and the Company believes that in time the transaction will create meaningful value.
Michael Hilmer, CEO and Chairperson commented "We continue to focus on operational and financial efficiencies as well as driving opportunistic and strategic transactions that we expect to provide meaningful value over time."
A comprehensive discussion of Hank's financial position and results of operations is provided in the financial statements and MD&A for the three-month period ending September 30, 2024, filed on SEDAR.
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.