Tue, May 14, 8:50 PM (431 days ago)
AppTech Payments Corp.'s Q1 2024 financial report highlights a challenging quarter, marked by a net loss of $3.0 million, slightly improved from a $3.2 million loss in Q1 2023. Revenue increased by 18% year-over-year to $105,000, driven by new licensing revenue, offset by lower merchant processing revenue. Cost of revenue dropped significantly by 79%, reflecting reduced transaction volumes. Operating expenses rose by 20% to $2.5 million, primarily due to higher professional fees. Research and development expenses decreased by 58% to $0.6 million, attributed to lower stock-based compensation and payroll costs. The company secured $2.4 million through public and ATM offerings, enhancing its cash position to $1.6 million. However, it faces continued liquidity challenges, with a working capital deficit of $2.3 million. Management is actively pursuing additional funding and expects new revenue streams to commence within the next twelve months. Legal proceedings, including disputes with Infinios Financial Services and former employees, present ongoing uncertainties. The company also received a Nasdaq compliance notice regarding its stock price, with a deadline to rectify by November 2024.