AnalytixInsight Reports Third Quarter 2018 Financial Results and Provides Corporate Update
TORONTO, Nov. 26, 2018 (GLOBE NEWSWIRE) — Artificial Intelligence company, AnalytixInsight Inc. (“AnalytixInsight”, or the “Company”) (TSX-V: ALY; OTCQB: ATIXF) is pleased to announce financial results for the third quarter ended September 30, 2018.
- Revenue for the three months ended September 30, 2018 was $1.3 million, which compares to revenue of $1.3 million in the previous quarter and $1.7 million during the same period in the previous year.
- Revenue for the nine months ended September 30, 2018 was $3.6 million, an increase of 21% when compared to revenue of $3.0 million in the same period in the previous year.
- Working capital at September 30, 2018 was $1.8 million.
- The Company has expanded the scope of its AI-driven research distribution agreement with Thomson Reuters to include nearly all small & mid-cap companies that do not otherwise have analyst coverage. Content delivery is expected to be initiated prior to year-end.
- Intesa Sanpaolo has launched the stock-trading app “Investo”, developed by AnalytixInsight’s subsidiary Marketwall, a developer of FinTech solutions for financial institutions. Investo is accessible in Google Play and the App Store by Intesa Sanpaolo’s approximate 12 million customers.
- The Company has initiated discussions to prepare the spinout and/or initiatives that will allow the Company to recognize the corresponding value associated with its 49% ownership of Marketwall and expects this strategy to be finalized during H1 2019.
- Marketwall revenue for the nine months ended September 30, 2018 was $2.8 million and net income was $0.5 million.
- During the quarter, the Company advanced discussions with members of FinTech hub, “The Floor”, to collaborate on opportunities which would employ the Company’s machine-learning capabilities and solutions architects.
Selected Financial Information:
$ Canadian (unaudited)
|Three months ended
|Nine months ended
|Basic net income (loss) per share||$||(0.01||)||$||0.01||$||(0.02||)||$||(0.01||)|
(49% owned associated investment, not consolidated by AnalytixInsight)
$ Canadian (unaudited)
|Nine months ended
September 30, 2018
|Net income (loss)||$||542,712|
Prakash Hariharan, President & CEO, commented: “We are pleased with our financial performance in this quarter, and the developments we have achieved. We are witnessing increasing interest from companies seeking AI and machine-learning solutions, and we are well positioned within this increasing sector trend shift.”
The Company has nearly completed its systems integration relating to its AI-driven research distribution agreement with Refinitiv, the former Financial & Risk business of Thomson Reuters. The Company expects to begin delivering financial research reports created by CapitalCube to Refinitiv’s Eikon users prior to year-end 2018. The number of companies to be covered by the Company’s proprietary machine-created research analysis has been expanded, with a goal to now provide coverage on nearly all small & mid-cap companies that do not otherwise have analyst coverage. On October 1, 2018, The Blackstone Group L.P. and Thomson Reuters Corp. completed a partnership transaction to form Refinitiv, at an overall valuation of US$20 billion. The new Refinitiv business expects to invest in a number of key areas including AI and analytics to serve its customer base, which currently includes 40,000 institutions in over 190 countries.
The Company is also developing a new graphical user interface for CapitalCube which will contain several updated improvements and ease-of-use features. This new version also improves navigation within CapitalCube for both desktop and mobile users, allowing users to efficiently research stocks and ETFs with speed and ease. The updated CapitalCube is expected to be completed for launch during the first quarter of 2019.
Intesa Sanpaolo launched mobile stock-trading app “Investo” during the quarter. Investo was developed by Marketwall as a white-label application for exclusive use by Intesa Sanpaolo in Italy and certain other European countries. The proprietary stock-trading app integrates unique stock analysis tools together with stock trading services, and is accessible for download from Intesa Sanpaolo’s website (here) as well as Google Play and the App Store.
Intesa Sanpaolo is one of the top banking groups in the euro zone with a market capitalization of 34 billion euros. It provides services in Italy to approximately 11.9 million customers through approximately 4,400 branches and has a strategic international presence with approximately 1,000 branches and 7.5 million customers operating in 12 countries.
Intesa Sanpaolo and AnalytixInsight are the major shareholders of Marketwall. Now that the Investo app has been successfully deployed, the parties have initiated discussions to prepare the spin out and/or initiatives that will allow the Company to recognize the corresponding value associated with its 49% ownership of Marketwall. The Company expects this strategy to be finalized during the first half of 2019 and will provide market updates on the plans and strategic initiatives for Marketwall as they develop.
AnalytixInsight owns 49% of Marketwall which is considered an associated company as its financial results are not consolidated in AnalytixInsight’s financial results.
During the quarter, the Company also advanced discussions with members of The Floor (TheFloorHub.com), an Israeli FinTech hub that is partnered with leading financial institutions and world banks including HSBC, Santander, Deutsche Bank, RBS and Intesa Sanpaolo. The Company is in dialogue with members of The Floor to collaborate on opportunities which would employ the Company’s machine-learning capabilities and solutions architects.
VP Corporate Development
Tel: (416) 522-3975
ABOUT ANALYTIXINSIGHT INC.
AnalytixInsight’s (AnalytixInsight.com) artificial intelligence platform transforms data into knowledge. AnalytixInsight’s financial analytics platform CapitalCube (capitalcube.com) algorithmically analyzes market price data and regulatory filings to create insightful actionable narratives and research on approximately 50,000 global companies and ETFs, providing high-quality financial research and content for investors, information providers, finance portals and media. AnalytixInsight holds a 49% interest in Marketwall, developer of FinTech solutions for financial institutions (marketwallcorporate.com). AnalytixInsight owns Euclides Technologies Inc. (euclidestech.com), a workflow analytics systems integrator.
AnalytixInsight is a 2018 Venture 50 TM company (tsx.com/venture50).
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the growth of the Company’s business operations; the Company’s ability to spin out or monetize it’s interest in Marketwall, the use of the Company’s content by various parties; the impact of the distribution agreement with Refinitiv; the impact of the agreement with The Floor and the Company’s ability to enter into commercial transactions with members thereof; and the Company’s future performance. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of AnalytixInsight Inc., as the case may be, to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the Company’s technology and revenue generation; risks associated with operation in the technology sector; ability to successfully integrate new technology and employees; foreign operations risks; and other risks inherent in the technology industry. Although AnalytixInsight has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. AnalytixInsight does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Neither 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