LAS VEGAS, June 05, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Golden Matrix Group Inc. (OTCPK: GMGI) a technology-driven company that designs and develops social gaming platforms, systems and gaming content, today announced that for the third fiscal quarter ended April 30, 2019, the company recorded net income of $279,323 on revenues of $737,169. This compares with a net loss of $35,248 on revenues of $345,148 in like year-ago quarter.
For the first nine months ended April 30, 2019, Golden Matrix reported net income of $1,033,113 on revenues of $2,089,406, compared with a net loss of $408,807 on revenues of $405,148 in the comparable year-ago period.
Cash and cash equivalents as of April 30, 2019 increased to $1,425,494, up 27% from $1,118,499 at the end of the previous quarter, and up 219% from $446,581 at fiscal year-end (July 31) 2018.
Golden Matrix CEO Anthony Goodman noted that the net income reported in Q3 ’19 was adversely impacted by a non-cash charge of $214,849 related to the amortization of consultant options. This derivative cost was recorded in cost of goods sold and resulted from the increase in share price during the quarter.
Revenues recorded in the first nine months of fiscal 2019 were derived primarily from licensing fees received from gaming operators located in the Asia Pacific (APAC) region and integrated with the company’s state-of-the-art GM-X platform. Currently there are over 300 active operators and more than 1.5 million registered users across all gaming operator/GM-X platforms.
“We are extremely pleased with Q3 results,” commented Mr. Goodman, “as they further demonstrate our ongoing efforts to increase quarterly revenues and generate continued profitability with strong cash flow. This is the company’s fifth consecutive quarter of rising revenues, which has resulted from our ability to increase market share in the robust Asia-Pacific gaming markets, the largest in the world. We fully expect this trend in our core business to continue and, at the same time, we are actively pursuing certain strategic opportunities that can significantly expand GMGI’s revenue base and profitability.”
For additional information on Golden Matrix’s Q3 2019 performance, please refer to the Company's 10-Q filing at https://www.otcmarkets.com/stock/GMGI/disclosure or www.sec.gov.
About Golden Matrix
Golden Matrix Group, based in Las Vegas NV, is an established gaming technology company that develops and owns online gaming IP and builds configurable and scalable white-label social gaming platforms for its international customers, located primarily in the Asia Pacific region. The gaming IP includes tools for marketing, acquisition, retention and monetization of users. The company's platform can be accessed through both desktop and mobile applications.
Our sophisticated software automatically declines any gaming or redemption requests from within the United States, in strict compliance with current US law.
Forward-Looking Statements
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to financial results and plans for future development activities and are thus prospective. Forward-looking statements include all statements that are not statements of historical fact regarding intent, belief or current expectations of the Company, its directors or its officers. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control. Actual results may differ materially from those projected in the forward-looking statements. Among the factors that could cause actual results to differ materially from those indicated in the forward-looking statements are risks and uncertainties associated with the Company's business and finances in general, including the ability to continue and manage its growth, competition, global economic conditions and other factors discussed in detail in the Company's periodic filings with the Security and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements.
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Golden Matrix Group
info@goldenmatrix.com
Tel: (702) 318-7548
| Golden Matrix Group, Inc. | ||||
| Consolidated Balance Sheets | ||||
| (Unaudited) | ||||
| As of | As of | |||
| April 30, 2019 | Jul 31, 2018 | |||
| ASSETS | ||||
| Current assets: | ||||
| Cash and cash equivalents | 1,425,494 | 446,581 | ||
| Account receivable | 167,368 | 10,005 | ||
| Account receivable-RP | 906,380 | 362,288 | ||
| Prepaid Expenses | - | 1,000 | ||
| Total current assets | 2,499,242 | 819,874 | ||
| Total Assets | 2,499,242 | 819,874 | ||
| LIABILITIES AND SHAREHOLDERS EQUITY | ||||
| Current liabilities: | ||||
| Accounts payable and accrued liabilities | 68,670 | 14,391 | ||
| Accounts payable-related party | 462,570 | 376,217 | ||
| Advance from shareholder | 1,000 | 1,000 | ||
| Accrued interest | 8,708 | 155,384 | ||
| Settlement payable -related parties | 145,000 | 9,302 | ||
| Convertible notes payable, net of discount | 30,000 | 30,000 | ||
| Convertible notes payable, net of discount-in default | 10,000 | 11,929 | ||
| Notes payable - related party | - | 495,712 | ||
| Contingent liability | - | 1,055,312 | ||
| Promissory Note - related party | 1,031,567 | |||
| Derivative liabilities note conversion feature | 10,910 | 11,930 | ||
| Total Current liabilities | 1,768,425 | 2,161,177 | ||
| Settlement Payable related parties long-term: | 145,000 | 0 | ||
| Total Non-Current liabilities | 145,000 | 0 | ||
| TOTAL LIABILITIES | 1,913,425 | 2,161,177 | ||
| Shareholder's equity (deficit): | ||||
| Preferred stock, Series A: $0.00001 par value; 19,999,000 shares authorized, none outstanding | 0 | 0 | ||
| Preferred stock, Series B: $0.00001 par value; 1000 shares authorized, 1000 and 1000 shares issued and outstanding, respectively | 0 | 0 | ||
| Common stock: $0.00001 par value; 6,000,000,000 shares authorized; 2,845,318,757 and 2,622,904,757 shares issued and outstanding respectively | 28,453 | 26,229 | ||
| Additional paid in capital | 27,732,577 | 26,840,794 | ||
| Accumulated other comprehensive loss | (683 | ) | (683 | ) |
| Retained earnings (accumulated deficit) | (27,174,530 | ) | (28,207,643 | ) |
| Total shareholders' equity (deficit) | 585,817 | (1,341,303 | ) | |
| TOTAL LIABILITIES & STOCKHOLDERS’ EQUITY | 2,499,242 | 819,874 | ||
| Golden Matrix Group, Inc. | |||||||||
| Condensed Consolidated Statements of Operations and Comprehensive Loss | |||||||||
| (Unaudited) | |||||||||
| For the three months ended | For the three months ended | For the Nine months ended | For the Nine months ended | ||||||
| Apr-30-2019 | Apr-30-2018 | Apr-30-2019 | Apr-30-2018 | ||||||
| Revenues-related party | 574,397 | 345,148 | 1,923,882 | 405,148 | |||||
| Revenues | 162,772 | 165,524 | |||||||
| Cost of goods sold | (214,849 | ) | - | (353,351 | ) | - | |||
| Gross profit | 522,320 | 345,148 | 1,736,055 | 405,148 | |||||
| Costs and expenses | |||||||||
| Accounting and audit fees | 4,500 | 3,750 | 24,877 | 18,910 | |||||
| Amortization expense | 54,979 | 68,126 | 169,159 | 91,886 | |||||
| G&A expenses | 105,409 | 54,153 | 238,785 | 80,178 | |||||
| G&A expenses Related | 53,922 | 229,800 | 142,162 | 350,400 | |||||
| Loss on contingent liability - related party | 6,791 | 90,873 | |||||||
| Professional fees | 3,483 | 9,306 | 13,174 | 26,520 | |||||
| Total operating expenses | (229,084 | ) | (365,135 | ) | (679,030 | ) | (567,894 | ) | |
| Gain (Loss) from operations | 293,236 | (19,987 | ) | 1,057,025 | (162,746 | ) | |||
| Other income (expense) | |||||||||
| Interest Earned | 2,346 | 2,346 | |||||||
| Gain (Loss) on extinguishment of debt | - | - | (106 | ) | 814 | ||||
| Fair value change of derivative liability | 909 | 15,824 | (990 | ) | (114,064 | ) | |||
| Interest on convertible notes | (17,168 | ) | (31,085 | ) | (25,162 | ) | (132,811 | ) | |
| Total other income (expense) | (13,913 | ) | (15,261 | ) | (23,912 | ) | (246,061 | ) | |
| Net Income (Loss) | 279,323 | (35,248 | ) | 1,033,113 | (408,807 | ) | |||
| Per share information | |||||||||
| Basic, weighted number of common | |||||||||
| shares outstanding (1) | 2,838,577,184 | 1,479,677,984 | 2,804,249,255 | 767,756,060 | |||||
| Diluted weighted number of common | |||||||||
| shares outstanding (1) | 2,851,432,351 | 1,479,677,984 | 2,817,104,422 | 767,756,060 | |||||
| Net profit/(loss) per common share-basic | 0.00 | (0.00 | ) | 0.00 | (0.00 | ) | |||
| Net profit/(loss) per common share-diluted | 0.00 | (0.00 | ) | 0.00 | (0.00 | ) | |||