MONTREAL, QUEBEC – (NEWSFILE – August 16, 2018) – Peak Positioning Technologies Inc. (CSE: PKK) (“Peak” or the “Company”) today announced its financial results and operating highlights for the three-month and six-month periods ended June 30, 2018, which feature a noticeable increase in financial services revenue compared to the previous period prompted by the launch of a new subsidiary. All amounts expressed are in Canadian dollars.
“A little over a year ago, we made an adjustment to our business model which we believed would not only make the Company a more profitable one in the long run, but would also allow it to become profitable considerably sooner,” said Johnson Joseph, President and CEO of Peak. “We went from trading low-profit-margin raw materials to putting more emphasis on financial services and our technology platforms. Our motivation has always been, and will continue to be, to deliver value to our shareholders, and to eventually do so in the form of a dividend payout. With that in mind, there are two things that I would like our shareholders to take away from the second quarter results reported today. The first is that we’re clearly on the right path and are just a little closer to our dividend payout objective with the launch of ASFC during the quarter. And the second is that they can look forward to ASDS and the Cubeler platform getting us even closer to that object by the end of 2018”.
Q2 Financial Highlights:
- Total revenues of $224,611
- Total expenses of 1,125,287
- Net loss of $967,734
- 11,000,000 common shares issued as a result of surrender of debentures, removing $550,000 worth of debt from the Company balance sheet
Q2 Operating Highlights:
- Official launch of financial services subsidiary Asia Synergy Financial Capital (“ASFC”)
- 1,694 loans worth a combined $20.1M extended by ASFC within first 30 days of operation
- First quarterly profit reported by a Chinese subsidiary
- Two new lenders adding $220M in annual lending capacity to Cubeler commercial lending platform after arrival of ASFC
The arrival of ASFC during the second quarter marked the Company’s official entry into the Chinese financial services industry. Although ASFC was only active for half of the quarter, it quickly showed its potential as a long-term contributor of steady and predictable revenue to the Company. ASFC generated positive cash flow from operations and reported a small profit for the period.
Full details of the Company’s second quarter 2018 financial results can be found in the Unaudited Condensed Interim Consolidated Financial Statements and Management’s Discussion and Analysis (MD&A) for the three- month and six-month periods ended June 30, 2018 and 2017, which are available at www.sedar.com.
About Peak Positioning Technologies Inc.:
Peak Positioning Technologies Inc. is an IT portfolio management company whose mission is to assemble, finance and manage a portfolio of promising companies and assets in some of the fastest-growing tech sectors in China, including fintech, e-commerce and cloud-computing. Peak provides a bridge for North American investors who wish to participate in the continued digitization of China’s industrial sectors through the latest advancements in technology. For more information: http://www.peakpositioning.com
CHF Capital Markets
Phone: 416-868-1079 ext.: 231
President and CEO
Peak Positioning Technologies Inc.
Phone: 514-340-7775 ext.: 501
Forward-Looking Statements / Information:
This news release may include certain forward-looking information, including statements relating to business and operating strategies, plans and prospects for revenue growth, using words including “anticipate”, “believe”, “could”, “expect”, “intend”, “may”, “plan”, “potential”, “project”, “seek”, “should”, “will”, “would” and similar expressions, which are intended to identify a number of these forward-looking statements. Forward-looking information reflects current views with respect to current events and is not a guarantee of future performance and is subject to risks, uncertainties and assumptions. The Company undertakes no obligation to publicly update or review any forward-looking information contained in this news release, except as may be required by applicable laws, rules and regulations. Readers are urged to consider these factors carefully in evaluating any forward-looking information.