On Thursday, Investment crowdfunding platform Symbid announced it has received 28% revenue growth in the second quarter of 2015.
Korstiaan Zandvliet, co-founder and CEO of Symbid, stated:
“We are delighted to report strong revenue growth as our core business continues to expand while we add new revenue streams from our loan crowdfunding and monitoring products. Following its launch in March, the diversified product portfolio of The Funding Network is now taking shape, creating value for investors and entrepreneurs. We are starting to reap the commercial benefits of our newly launched investing, monitoring and data tools as we continue to innovate at the forefront of online funding.
“We continued to grow our core business with transaction-based crowdfunding revenues up 8% from the same period last year as we added a loan product to became one of the first European platforms to offer both equity and loan crowdfunding. The Company is excited about the potential for this peer-to-business lending product with the market witnessing exponential growth. Meanwhile, our business has successfully pivoted towards a more complete funding offering to start-ups and small businesses: The Funding Network. This has resulted in new monthly recurring revenue streams that we expect to increase as we further integrate our products. Add to this the continued development of Symbid Italia, plus other tracks for international expansion, and we are confident of growing our business in the coming months.
“Looking ahead our focus is on the continued commercialisation of our diversified product portfolio of, including the new monitoring tool and an upcoming deal-making tool. 2015 is undoubtedly a crucial year in our business development. These results represent a solid foundation on which we expect to build towards our strategic vision of becoming the leading European online funding platform in 2016.”
Summary of Second Quarter 2015 Financial Performance:
- Total revenue increased by 28% compared to prior year period to $92,370.
- 84% of revenue attributable to transaction-based model of core crowdfunding business, compared to 100% in same period 2014, due to new revenue streams from The Funding Network.
- Selling, general and administrative expenses increased by 37% from same period 2014 to $429,413 due to increase in share-based payments made to staff members, accounting for approximately $115,000.
- Research and development costs decreased by 74% compared to same period 2014 to $26,077 due to fewer external suppliers providing related services and personnel costs for internal developers being listed under selling, general and administrative expenses.
- Total operating expenses increased by 7% from same period 2014 to $644,486, due to the addition of share-based payments as a cost factor.
- Net losses increased by 4% from same period 2014 to $552,116.