- Cash Receipts Up 190% with Revenue Up 195% quarter on quarter
- Unaudited operating revenues of $295,000 for the quarter ended 30 June 2017
- Transaction growth continuing (represented below)
- Full range of transactional banking services nearing completion
- KYC service operational for EU's June 26th, 2017 4th AML Directive
- Cash at bank $3.85m (including longer term security deposits of $0.4m in June QTR)
- Net Operating Cashflow in line with expectations ($1.5m)
* All figures are in Australian dollars (A$)
Whilst commencing with a low base at the start of FY17, transactional processing (including the key element of KYC) is showing steady growth on a month on month basis. This is expected to continue to build as we deploy the services to a wider range of contracted customers, contract new customers and open fully the service to the global operations of the existing integrated merchants.
As mentioned in previous communications to the market, the business operates on a transactional basis with the various transactions (identity verification/KYC, payment processing & monitoring, and funds clearance and settlement) being billed at varying rates depending on volume, size and complexity.
Transaction growth therefore has a direct correlation with revenue on a per merchant basis, but not on a consolidated basis. Consistent with being an API based service where our merchant customers connect to us, we do not charge fees for integration unless it is bespoke. As our reputation and service demand increases, the Company will charge monthly minimums and seek upfront commitments, in order for Merchants to demonstrate commitment to the Company's services on contract.
Summary of achievements this quarter include:
- Increase in operational (transactional) revenues from existing integrated accounts (not necessarily included as cash receipts as at 30 June);
o Unaudited operating revenues of $0.295m for the quarter ended 30 June 2017.
o The revenues above are a combination of ordinary operation revenues, resulting from fees charged to either XM, Ixaris, Coinify, EMerchantPay or Blockchain:
-- per transaction processed to a card acquirer,
-- per payment instrument verification (where it is independent of KYC onboarding),
-- per multi page document processing (where it is independent of KYC onboarding),
-- per active annual end user on-boarded to assist with KYC,
-- per PEP and Sanction screening to assist with KYC.
- XM.co.uk deployed and transacting, with the company supplying identity verification services on a commercial basis. Other XM sites are currently being integrated and we expect the ISX services to be opened to the rest of the world in Q1FY18.
- Coinify and Blockchain services experiencing growth.
- Borgun deployed well in advance of customer requested September commencement date.
- Eurosystem eMoney Monetary Financial Institution license granted for ISXPay.
- JCB International completes a partnership agreement with iSignthis to enable the processing of card payments within the SEPA region, to launch circa September 2017.
- Completed the cross listing of ISX stock on the Frankfurt Exchange with shares trading under the local Deutsche Bourse (FRA) code of TA8.
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About iSignthis Ltd
iSignthis Ltd (ASX:ISX) (FRA:TA8) is the global RegTech leader in remote identity verification, payment authentication and payment processing. iSignthis provides an end-to-end on-boarding service for merchants, with a unified payment and identity service via our Paydentity(TM) and ISXPay(R) solutions.
By converging payments and identity, iSignthis delivers regulatory compliance to an enhanced customer due diligence standard, offering global reach to any of the world's 4.2Bn 'bank verified' card or account holders, that can be remotely on-boarded to regulated merchants in as little as 3 to 5 minutes.
iSignthis Paydentity service is the trusted back office solution for regulated entities, allowing merchants to stay ahead of the regulatory curve, and focus on growing their core business.
iSignthis' and its subsidiary, iSignthis eMoney Ltd, trade as ISXPay(R), and is an EEA authorised eMoney Monetary Financial Institution, offering card acquiring in the EEA, Australia and New Zealand. ISXPay is a principal member of Visa Inc, Mastercard International and JCB International.
Read more about the company at our website http://www.isignthis.com
Link: Appendix 4C - quarterly