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Beyond Commerce Reports Second Quarter 2020 Results

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Revenue Increased 21% in the 1st Half 2020

LAS VEGAS, NV / ACCESSWIRE / August 14, 2020 / Beyond Commerce, Inc. (OTC:BYOC) (the "Company"), a provider of B2B internet marketing analytics, technologies and services, today announced the company's financial results for its second quarter ended June 30, 2020.

Key Financial Highlights for 1st Half 2020:

  • Revenues increased by 21% to $2.0 million
  • Gross profit increased by 11% to $1.4 million
  • Gross margin of 67%
  • Operating loss increased by 45% to $1.3 million
  • Net loss decreased by 71% to $2.6 million
  • Total assets of $5.8 million
  • Total shareholders' deficit of $3.3 million

Subsequent to the End of the 1st Half 2020:

Entered into a definitive agreement to acquire all of the equity of E.G. Insight, Inc., a St. Paul, Minnesota based customer and provider of employee data analytics. The transaction, which is subject to customary closing conditions, is expected to add approximately $1 million in annual revenue. It is anticipated to close by early August. E.G. Insight has established a solid number of offerings to measure and analyze customer and employee data and has assembled a loyal roster of clients.

Over the past 30 years, E.G. Insight has worked with global clients to gather and analyze meaningful information about their strategic accounts, competitors, and employees. E.G. Insight has focused on asking the right questions of the right people - the relationships that matter most to clients. E.G Insight's proprietary approach begins with gathering in-depth, strategic feedback from a company's most valued customers. The philosophy emphasizes directly identifying and addressing the needs of the customers and has created the Customer Review process to implement this approach. With over 300,000 interviews completed in more than 70 countries, E.G. Insight has been equipping organizations to have in-depth, structured conversations with their most important contacts since their inception.

Management Commentary

"Like all companies we have been impacted by the global COVID-19 pandemic, but we are fortunate in that we have already experienced a recent increase in business activity from our customers, commented, Geordan Pursglove, Beyond Commerce's Chief Executive Officer. "No revenue was actually lost, as a few customers paused their business, but concurrently extended their contracts with us. Additionally, the slowdown and pause with some customers allowed our team to continue to improve operating efficiencies with Service 800 and sharpen the focus of our business and strategic vision. We continue on our path of complementary acquisitions, as exemplified by our recently announced definitive agreement to acquire E.G. Insight. Our pipeline of additional acquisitions remains robust and our team is busy analyzing various opportunities. We believe that our high margined revenue demonstrates our business model's ability to generate profitable growth. I couldn't be more personally excited about our future and believe we are well-positioned for future success."

Financial Results for the Three Months Ended June 30, 2020:

Revenue for the three months ended June 30, 2020 was $782,009, a decrease of $431,919, or 36%, compared to $1,213,928 for the three months ended June 30, 2019. Our customer-based growth was paused momentarily in response to the Covid-19 situation.

Gross profit for the three months ended June 30, 2020 was $533,992, a decrease of $336,906, or 39%, compared to $870,898 for the three months ended June 30, 2019. The resulting gross margin was 68.3% for the three months ended June 30, 2020, compared to 71.7% for the three months ended June 30, 2019.

Operating expenses for the three months ended June 30, 2020 were $1,521,979, a decrease of $335,508, or 18%, compared to $1,857,487 for the three months ended June 30, 2019. The significant decrease is mainly attributable to cost reduced in reaction to the Covid-19 issues, reduction in office rent and related expenses as many of our employees preferred to work from home and the reduction of certain officers' salaries.

Operating loss for the three months ended June 30, 2020 was $739,970, an increase of $96,411, or 15%, compared to $643,559, for the three months ended June 30, 2019.

Non-Operating expenses for the three months ended June 30, 2020 were $1,403,254, a decrease of $3,132,389, or 69%, compared to $4,535,643 for the three months ended June 30, 2019. The significant decrease is mainly attributable to the changes in the derivative liability and debt fees associated with our convertible notes.

Net loss for the three months ended June 30, 2020 was $2,136,009, a decrease of $3,031,999, or 59%, compared to a net loss of $5,168,008 for the three months ended June 30, 2019. The decrease in net loss was primarily attributable to the changes in the derivative liability and debt fees associated with the Discover Growth Fund Note. The resulting EPS loss for the three months ended June 30, 2020 was ($0.00) per diluted share, compared to ($0.01) per diluted share for the three months ended June 30, 2019.

Financial Results for the Six Months Ended June 30, 2020:

Revenue for the six months ended June 30, 2020 was $2,029,599, an increase of $351,757, or 21%, compared to $1,677,842 for the six months ended June 30, 2019. The increase in revenue is mainly attributable to revenue being created from both the Service 800 and Customer Centered Strategies acquisition which was closed in 2019 for the full six months.

Gross profit for the six months ended June 30, 2020 was $1,359,162, an increase of $136,404, or 11%, compared to $1,222,758 for the six months ended June 30, 2019. The resulting gross margin was 67.0% for the six months ended June 30, 2020, compared to 72.9% for the six months ended June 30, 2019.

Operating expenses for the six months ended June 30, 2020 were $3,291,142, an increase of $740,955, or 29%, compared to $2,550,187 for the six months ended June 30, 2019. The significant increase is mainly attributable to the Service 800 and Customer Centered Strategies acquisitions and the related costs associated with these operations.

Operating loss for the six months ended June 30, 2020 was $1,261,543, an increase of $389,198, or 45%, compared to $872,345, for the six months ended June 30, 2019.

Non-Operating expenses for the six months ended June 30, 2020 were $1,677,165, a decrease of $6,383,694, or 79%, compared to $8,060,859 for the six months ended June 30, 2019. The significant decrease is mainly attributable to the changes in the derivative liability and debt fees associated with our convertible notes, along with an increase in interest expense of $498,173 due to the increase in debt level.

Net loss for the six months ended June 30, 2020 was $2,560,593, a decrease of $6,361,417, or 71%, compared to a net loss of $8,922,010 for the six months ended June 30, 2019. The decrease in net loss was primarily attributable to the changes in the derivative liability and debt fees associated with the Discover Growth Fund Note. The resulting EPS loss for the six months ended June 30, 2020 was ($0.00) per diluted share, compared to ($0.01) per diluted share for the six months ended June 30, 2019.

As of June 30, 2020, the Company had an accumulated deficit of $50,787,793 and as of December 31, 2019, the Company had an accumulated deficit of $48,227,200.

About Beyond Commerce, Inc.

Beyond Commerce, Inc. (OTC:BYOC) is focused on business combinations of "big data" companies in global B2B internet marketing analytics, technologies and services. The Company's objective is to develop and deploy disruptive strategic software technology that will build on organic growth potential and to exploit cross-selling opportunities. Beyond Commerce plans to offer a cohesive global digital product and services platform to provide clients with a single point of contact for their big data, marketing and related sales initiatives. For additional information, please visit: https://beyondcommerceinc.com and https://www.service800.com and

Twitter: @incbyoc
Facebook: fb.me/incbyoc

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which are subject to the "safe harbor" created by those sections for such statements. All statements other than statements of historical fact are forward-looking statements, which are often indicated by terms such as "anticipate," "believe," "could," "design," "estimate," "except," "forecast," "goal," "intend," "look forward to," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would," or the negatives or other tense of such terms and other similar expressions intended to identify forward-looking statements and similar expressions. We use forward-looking statements relate to future events or future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels or activity, performance or achievements expressed or implied by these forward-looking statements.

Contact Information:

investors@beyondcommerceinc.com
p702-675-8022
ClearThink
nyc@clearthink.capital

SOURCE: Beyond Commerce, Inc.

View source version on accesswire.com:
https://www.accesswire.com/601792/Beyond-Commerce-Reports-Second-Quarter-2020-Results

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