Wed, Nov 20, 11:03 AM (54 days ago)
For the quarter ended June 30, 2024, Fintech Scion Limited (FTSC) reported a significant decline in revenue, totaling $81,571, down from $583,628 in the same period of 2023. This decline was attributed to decreased transaction volumes in the Payment Services Provider and Foreign Exchange segments, alongside the impact of discontinuing the EMD agency service. Gross profit dropped to $59,766, compared to $541,158 in the prior year, while operating expenses decreased to $409,548 from $900,620, reflecting cost-cutting measures. The company reported a net loss of $464,329 for the quarter, worsening from $312,663 a year earlier. Cash flow from operations showed a net outflow of $656,279, leading to a cash balance of $3,455,972. Total liabilities increased to $3,391,996, mainly due to amounts owed to related parties. Goodwill remained unchanged at $16,657,653, with management not anticipating further impairment at this time. Looking ahead, the company aims to stabilize its financial position by negotiating extended terms with related party creditors and expects improved performance from new client onboarding and cost-saving initiatives. However, uncertainties regarding market conditions and regulatory compliance remain.