Wishpond Technologies Ltd. (TSXV: WISH) reported today its financial results for the third quarter of 2021. The report highlighted a quarterly revenue of $4.0 million, an increase from both Q2 2021’s revenue of $3.2 million and Q3 2020’s revenue of $2.1 million.
The company said that the year-on-year increase in revenue was primarily due to growth from the incremental investment in its sales team and the positive contribution of its acquisitions. Its US market contributed 73% of its revenue for the quarter.
The gross margin for the quarter came to 69.42% compared to 69.36% last quarter and 72.48% last year.
However, with total operating expenses reaching $3.4 million, the firm still ended with an operating loss of $0.6 million. Q2 2021’s operating loss came at $1.1 million while Q3 2020 achieved an operating income of $0.05 million.
Corollary, the firm ended with a net loss of $1.3 million, a marginal increase from last quarter’s net loss of $1.5 million but a decline from last year’s net income of $0.09 million. The quarterly loss translates to $0.02 per share.
Calibrating for financial items, adjusted EBITDA for the quarter landed at $0.2 million coming from a loss of $0.3 million last quarter and a positive value of $0.2 million last year.
The company also ended the quarter with a cash balance of $7.8 million coming from starting balance of $10.1 million. The cash burn during the quarter is mainly due to cash payments to vendors and employees amounting to $3.3 million and business acquisitions amounting to $1.7 million.
At quarter’s end, the firm’s current assets balance came in at $8.7 million while current liabilities ended at $6.8 million.
Wishpond Technologies last traded at $1.31 on the TSX Venture.
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