AppTech Payments Reports Positive Second Quarter Financial Results and Strategic Progress
Rhea-AI Summary
AppTech Payments Corp. (Nasdaq: APCX) reported its Q2 2024 financial results, showing strategic progress and operational efficiency. Revenue decreased to $76,000 due to lower merchant processing revenue, aligning with the company's focus on long-term growth initiatives. Operating expenses were reduced to $3.0 million, down from $9.4 million in Q2 2023. The net loss improved to $(2.9) million, compared to $(9.1) million in the same period last year. Earnings per share improved to $(0.12) from $(0.49).
Recent highlights include a settlement agreement with Infinios Solutions, successful piloting of multiple portfolios, integration of payment systems for airports, a strategic partnership with FISB Solutions, and the launch of a Banking-as-a-Service platform. AppTech is focusing on consolidating operations to support revenue scaling.
Positive
- Significant reduction in operating expenses from $9.4 million to $3.0 million
- Net loss improvement from $(9.1) million to $(2.9) million
- Earnings per share improvement from $(0.49) to $(0.12)
- Strategic partnership with FISB Solutions to modernize banking systems for 250+ community banks
- Successful launch of Banking-as-a-Service platform supporting InstaCash
- Integration of payment systems for 440+ airports planned over next 18 months
- Rollout of services to 4,000 credit union locations planned over next 12 months
Negative
- Revenue decrease from $210,000 to $76,000 in Q2 2024
- Continued net loss of $(2.9) million despite improvements
News Market Reaction 1 Alert
On the day this news was published, APCX gained 9.73%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
CARLSBAD, Calif., Aug. 14, 2024 (GLOBE NEWSWIRE) -- AppTech Payments Corp. (Nasdaq: APCX) (“AppTech” or the “Company”), a pioneering Fintech company powering frictionless commerce, today announces its financial results for the second quarter ended June 30, 2024, showcasing strategic progress and continued operational efficiency.
Financial Highlights
Revenue Performance
Reported revenue of approximately
Operating Efficiency
Operating expenses were strategically reduced to approximately
Substantial Net Loss Improvement
The net loss was approximately
Earnings Per Share Growth
Earnings per share improved significantly to approximately
Recent Business Highlights
- On August 8, 2024, AppTech entered into a Settlement Agreement and Mutual Release with Infinios Solutions (Bahrain) W.L.L. The terms of the Settlement Agreement are confidential. Following the fulfillment of its terms, both parties will jointly file for the dismissal and termination of the arbitration, expected to be completed before the end of September 2024.
- In August 2024, the Company successfully piloted and tested multiple portfolios, which are now ready to scale to commercial levels.
- In July 2024, AppTech successfully tested and integrated payment systems for multiple airports, building custom back-end payment systems and upgrading the airport's legacy systems. The Company anticipates rolling out these systems to over 440 airports over the next 18 months.
- On June 11, 2024, AppTech announced a strategic partnership with FISB Solutions to modernize legacy core banking systems for over 250 community banks. This partnership enables these banks to compete in the digital banking era by providing them with advanced neobank technologies, including automated underwriting, and leveraging local Independent Sales Organizations (ISOs) to foster community engagement and growth. After years of supporting and driving millions of dollars in revenue to Jack Henry, Jerry Federico is exclusively committed to AppTech.
- Following a successful pilot program, AppTech officially launched its Banking-as-a-Service platform in May 2024. The platform supports the launch of InstaCash, offering virtual accounts, debit and credit cards, and high-yielding financial products. This initiative aims to democratize banking by providing small and medium-sized enterprises with access to financial products typically reserved for large corporations.
- In May 2024, strategic partner PayToMe.co was honored with six prestigious Stevie® Awards, including gold, silver, and bronze awards. These accolades underscore the transformative power of AppTech’s collaborative approach to technological innovation and our shared vision of driving long-term shareholder value.
- In May 2024, the Company began integrating multiple credit union backends, providing the necessary support to offer mobile to mobile payment systems, ACH capabilities, virtual card issuance, ledger management, and fraud detection. The Company plans to roll out these services to 4,000 credit union locations over the next 12 months.
- After acquiring Finzeo last year, AppTech has been focused in Q1 and Q2 2024 on consolidating, integrating, and streamlining operations to support the scaling of top-line revenue, which includes the projects mentioned above.
“We continue to execute our strategy to enhance our technology platform and expand our market presence,” stated Luke D’Angelo, Chairman and CEO of AppTech Payments Corp. “The second quarter of 2024 was a period of significant progress in our partnerships and technology innovation. We remain focused on leveraging our strong platform to drive future growth and deliver value to our shareholders.”
About AppTech Payments Corp.
AppTech Payments Corp. (NASDAQ: APCX) provides digital financial services for financial institutions, corporations, small and midsized enterprises (“SMEs”), and consumers through the Company’s scalable cloud-based platform architecture and infrastructure, coupled with our Specialty Payments development and delivery model. AppTech maintains exclusive licensing and partnership agreements in addition to a full suite of patented technology capabilities. For more information, please visit apptechcorp.com.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements that are inherently subject to risks and uncertainties. Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate, believe, estimate, expect, forecast, intend, may, plan, project, predict, should, will” and similar expressions as they relate to AppTech are intended to identify such forward-looking statements. These risks and uncertainties include but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in methods of marketing, delays in manufacturing or distribution, changes in customer order patterns, changes in customer offering mix, and various other factors beyond the Company’s control. Actual events or results may differ materially from those described in this press release due to any of these factors. AppTech is under no obligation to update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.
Investor Relations Contact
CORE IR
Scott Arnold
AppTech Payments Corp.
760-707-5959
FAQ
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