TORONTO, Nov. 29, 2019 (GLOBE NEWSWIRE) -- Artificial Intelligence company, AnalytixInsight Inc. (“AnalytixInsight”, or the “Company”) (TSX-V: ALY; OTCQB: ATIXF), is pleased to announce its financial results for the three and nine months ended September 30, 2019.
During the quarter, the Company continued delivering its AI-driven machine-created content to Refinitiv within its strategic initiative to provide research coverage on approximately 3,000 dividend-paying companies in Canada, the US and the UK. AI-driven content is becoming increasingly important as financial businesses move to embrace AI and analytics as the content cornerstones for their client offerings. Revenue for the three-month period ended September 30, 2019, was $754,703 which compares to $1,296,239 during the same period in the previous year. Revenue for the nine-month period ended September 30, 2019, was $2,852,177 which compares to $3,637,339 during the same period in the previous year. At September 30, 2019, the Company had working capital of $2,188,481 and no debt.
AnalytixInsight’s 49%-owned FinTech subsidiary, Marketwall, has applied to become an online financial broker in Europe and, following completion of regulatory approvals, Marketwall expects to initiate a formal process to determine its appropriate valuation within a peer-based context of online brokerage firms with innovative technology and partnerships with world-leading banks. Marketwall has advised the Company that following such process, Marketwall will then raise suitable funds to enable its global growth expansion plans. Completion of this process will allow AnalytixInsight to move forward with a spinout to unlock the value of its Marketwall holdings in an IPO or other such strategies.
During its four-year operating history, Marketwall has developed leading-edge FinTech solutions which include:
Financial portal – marketwall.com offers financial content, news, real-time quotes, and video news stories. As a Samsung Electronics partner, Marketwall’s financial app is pre-loaded on certain devices – such as Smart TVs. Marketwall draws an audience of over 3.5 million monthly views across its digital channels.
Mobile Stock-Trading App – launched as Investo in 2018 by Italy’s leading bank Intesa Sanpaolo and facilitated 20% of their customer trading orders shortly after deployment.
GlobalMarket – a trading & research platform offering analyst research and stock-trading in one common enterprise digital platform. It is marketed and sold by a leading investment research provider and has already been installed by a leading bank in Western Europe for their approximately 4,000 professional users.
Research Portal – an elegant financial research information portal for use by banks and brokerage firms to better serve their institutional buy-side clients. Research reports are organized and summarized in a password-protected portal, allowing a client to quickly search with ease, replacing the cumbersome email-based distribution methods traditionally used.
Marketwall’s revenue for the nine-month period ended September 30, 2019, was $3,452,697 which compares to $2,808,130 during the same period in the previous year. Net income for the nine-month period was $628,265 which compares to $542,712 during the same period in the previous year. Marketwall is an associated company 49%-owned by AnalytixInsight, and as such, Marketwall’s revenue is not included in AnalytixInsight’s consolidated revenue.
AnalytixInsight believes its key strategic initiatives - Artificial Intelligence and FinTech - are well positioned to capitalize on the market trends occurring in the industry.
Management Commentary
Prakash Hariharan, President & CEO of AnalytixInsight, commented: “Our service offerings are well developed, and we are working closely with several of the industry’s leading corporations. The financial brokerage industry is changing, and leading companies are embracing AI and FinTech as an integral part of their offerings. Our platform capabilities and service delivery solutions are being utilized by some of the world’s leading organizations, and we are also eagerly awaiting regulatory approvals for Marketwall to become a European financial broker.”
AnalytixInsight Selected Financial Information:
| AnalytixInsight $ Canadian (unaudited) | Three months ended Sept 30 | Nine months ended Sept 30 | ||||||
| 2019 | 2018 | 2019 | 2018 | |||||
| Revenue | 754,703 | 1,296,239 | 2,852,177 | 3,637,339 | ||||
| Basic net income (loss) per share | (0.01 | ) | (0.01 | ) | (0.02 | ) | (0.02 | ) |
| Sept 30, 2019 | Dec 31, 2018 | |||||||
| Total assets | 5,726,442 | 5,096,567 | ||||||
| Total liabilities | 531,501 | 663,754 | ||||||
Marketwall Selected Financial Information:
AnalytixInsight owns 49% of Marketwall which is considered an associated company as its financial results are not consolidated in AnalytixInsight’s financial results.
| Marketwall (Associated investment of AnalytixInsight, $ Canadian) | Nine months ended Sept 30, 2019 | Nine months ended Sept 30, 2018 |
| Revenue | 3,452,697 | 2,808,130 |
| Net income (loss) | 628,265 | 542,712 |
| Sept 30, 2019 | Dec 31, 2018 | |
| Total assets | 3,780,328 | 3,919,233 |
| Total liabilities | 1,553,674 | 2,250,174 |
CapitalCube
AnalytixInsight is an established AI-driven content supplier to Refinitiv with ability to provide content on small & mid-cap companies worldwide through its CapitalCube platform, which provides machine-created content with ability to scale. The platform is a powerful analytics engine capable of 100 billion daily computations and currently provides analysis on approximately 50,000 worldwide stocks and North American ETFs. CapitalCube began publishing pre-revenue research reports to Refinitiv’s Eikon users in November 2018. On June 17, 2019, the Company expanded the scope of the pre-revenue analysis reports to now include companies located in Italy, Germany, Hong Kong and Japan in response to the increasing Refinitiv client usage of the North American reports currently in production.
During the quarter, the Company continued delivering its AI-driven machine-created content to Refinitiv within its strategic initiative to provide research coverage on approximately 3,000 dividend-paying companies in Canada, the US and the UK. The CapitalCube dividend analysis report provides powerful insights, analysis and scoring regarding a company’s dividend quality, yield, coverage, flexibility, payment history, peer comparisons and sustainability.
AnalytixInsight is pleased to be an AI-driven content provider to Refinitiv and believes that its ability to create scalable financial content on worldwide companies is being recognized with increasing importance as global industry leaders embrace analytics within the financial industry. On August 1, 2019, the London Stock Exchange agreed to buy Refinitiv in a US$27 billion transaction to create a global financial markets infrastructure provider with leading data and analytics to Refinitiv’s 40,000 institutions in over 190 countries.
Workforce Optimization
AnalytixInsight’s Workforce Optimization division joined the IFS Partner Network in 2018, and during the quarter, the Company continued to advance its sales initiatives in this market. IFS is a world leader in developing workforce optimization enterprise software for global customers who manage service-focused operations. AnalytixInsight plans to explore opportunities with IFS to jointly develop machine intelligence solutions to help organizations maximize operational efficiency, increase revenue, reduce costs and improve customer satisfaction.
Marketwall
Marketwall, a developer of FinTech solutions, is 49% owned by AnalytixInsight and 33% owned by Intesa Sanpaolo. On July 15, 2019, the Company announced that Marketwall applied to become an online financial broker (“Marketwall Brokerage”) to offer leading FinTech-enabled services for receiving, transmitting and executing stock trading orders; using the Investment Bank of Intesa Sanpaolo as its execution broker. Marketwall Brokerage has requested regulatory approvals for brokerage services initially in Italy with intentions to expand to other European countries. Marketwall Brokerage intends to develop multi-device trading platforms, combining research and financial education.
Marketwall was established in Milan, Italy in 2014 by AnalytixInsight as a FinTech company with a focus on stock-trading and financial apps. In September 2015, Marketwall and Intesa Sanpaolo announced a partnership agreement to develop stock-trading apps, and in April 2016 Intesa Sanpaolo acquired 33% of Marketwall.
Intesa Sanpaolo is a leading bank in Europe with approximately 11.9 million customers, a network of approximately 4,400 branches throughout Italy, and has emerged as Italy's first digital bank. Intesa Sanpaolo now reports 8 million multi-channel customers, of which 3 million are now using the Intesa Sanpaolo Mobile banking app with 56 million logins per month on the app alone, and 53 million mobile transactions with the app since the start of 2018. On November 30, 2018, Intesa Sanpaolo announced plans to invest 2.8 billion euros over the following three years to increase the bank’s digitized business to 70%. Mobile is at the heart of the bank's digital ecosystem. The "app constellation" is centered around Intesa Sanpaolo Mobile, which provides access to banking services, financing, savings and is enhanced with the Intesa Sanpaolo Investo app (developed by Marketwall) that enables customers to trade securities and monitor their investment assets using their mobile device.
CONTACT INFORMATION:
Scott Urquhart
VP Corporate Development
Scott.Urquhart@AnalytixInsight.com
Tel: (416) 522-3975
ABOUT ANALYTIXINSIGHT INC.
AnalytixInsight Inc. is an Artificial Intelligence, machine-learning company. AnalytixInsight’s financial analytics platform CapitalCube.com algorithmically analyzes market price data and regulatory filings to create insightful actionable narratives and research on approximately 50,000 global companies and ETFs, providing high-quality financial research and content for investors, information providers, finance portals and media. AnalytixInsight also designs and implements Workforce Optimization solutions for large global enterprises. AnalytixInsight holds a 49% interest in Marketwall, a developer of FinTech solutions for financial institutions. For more information, visit AnalytixInsight.com.
Regulatory Statements
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding the growth of the Company’s business operations; the adoption of AI in various industries; the Company’s ability to spin out or monetize it’s interest in Marketwall, the valuation of Marketwall, Marketwall’s ability to raise adequate capital, Marketwall’s ability to obtain a brokerage licence; the use of the Company’s content by various parties; the impact of the distribution agreement with Refinitiv; the Company’s ongoing relationship with IFS and the Company’s ability to enter into commercial transactions with members thereof; the Company’s ability to expand its content distribution; and the Company’s future performance. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of AnalytixInsight Inc., as the case may be, to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the Company’s technology and revenue generation; risks associated with operation in the technology sector; ability to successfully integrate new technology and employees; foreign operations risks; and other risks inherent in the technology industry. Although AnalytixInsight has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. AnalytixInsight does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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