NextPlay Technologies Reports FY2022 Revenue of $8.2 Million
Source: GlobeNewswire Inc.
via NewMediaWire --NextPlay Technologies, Inc. (NASDAQ: NXTP), a digital business ecosystem for digital advertisers, consumers, video gamers and travelers, reported results for the fourth quarter and fiscal year 2022 ended February 28, 2022.
Fiscal 2022 Financial Highlights
? Achieved record annual revenue of $8.2 million, which compares very favorably to no revenue in the last year.
? Consolidated gross profit totaled $5.9 million, or 71%, of total revenue compared to none in the last year.
? As of February 28, 2022, and 2021, we had total assets of $99.8 million and $11.5 million, respectively, primarily as a result of the reverse merger and additional acquisitions of Reinhart Interactive TV AG and Zappware N.V. and NextBank International.
? Cash and cash equivalents as of February 28, 2022, were $6.6 million versus $0.4 million as of February 28, 2021.
Fiscal 2022 Operational Highlights
? Completed merger with HotPlay Enterprises and rebranded the company as NextPlay Technologies.
? In connection with the HotPlay Enterprises Merger, Nithinan “Jess” Boonyawattanapisut, NextPlay’s Co-Chief Executive Officer, was appointed as Principal Executive Officer of NextPlay.
? Reinhart Interactive TV, a NextPlay-funded strategic partnership, acquired award-winning Interactive TV provider, Zappware, founded in 2001 by former employees of Philips Media.
? Acquired controlling interest in International Financial Enterprise Bank (IFEB), a global financial institution.
? Received conditional approvals for insurance and reinsurance licenses enabling NextPlay’s NextShield LTD business unit to establish digital primary insurance and reinsurance operations and to offer blockchain-delivered products, such as parametric comprehensive travel insurance and bank deposit insurance.
? Company’s licensed Longroot digital token offering platform engaged to serve as the financial advisor and underwriter for Ample’s proposed security token offering (STO).
? Launched NextPlay X Soma Labs, an innovation and design platform bringing together non-fungible tokens (NFTs), social games, and Metaverse virtual worlds for major brands, creators, and agencies.
? Entered into agreement to acquire from Fighter Base Publishing the assets and AI-powered video game development platform of its wholly owned division, Make It Games™, which was closed subsequent to the fiscal year end.
? Appointed Mark Vange, an industry leader in video game development and in-game advertising and former chief technology officer of Electronic Arts Interactive, as chief technology officer of the company.
? ABCC - Signed a memorandum of understanding with Alphabit Consulting Pte. Ltd. to provide NextBank International deposit accounts and payment cards for members of its ABCC cryptocurrency exchange.
Subsequent events
? Signed memorandum of understanding with TruCash to launch NextBank Payments, which is anticipated to include (but not be limited to) Mobile Wallets, Mobile Payments, Credit cards, Debit Cards, and Prepaid products. In addition, NextBank expects to have the opportunity to offer NextBank's international banking services to TruCash's millions of account holders worldwide.
? Signed preliminary agreement with Decentralised Investment Group (DIG), a leading global blockchain technology company, to develop and operate an exclusive fiat payment platform for DIG customers, and would initially include in-game assets from Realms of Ethernity (RoE), the world’s first MMORPG (massively multiplayer online role-playing games) NFT game.
? Acquired goPlay assets, including a new-gen game publishing platform featuring a tournament system, chat, payment, and 37 casual games ranging from arcade to strategy. NextPlay plans to complete the integration of its HotPlay in-game advertising (IGA) technology into the 37 goPlay games by year-end. The Asset purchase also included a perpetual license to goPay, a payment aggregator that offers game developers multiple ways to more easily collect and process user payments through carrier billing, over the counter, e-voucher, bank transfer and e-wallet transfers.
Management Commentary
“The significant increase in our gross margin expansion demonstrates how we continue to more efficiently utilize and better leverage all of the components we brought into our ecosystem via several synergistic acquisitions that we did last year. During the fourth quarter, a lot more effort was allocated to actual platform development to leverage the foundation we have laid out in the last quarter further in order to increase the array of services we will be offering to our customers. Separately, we reached agreements with several key partners for product rollout collaboration and cross-selling products to their existing customers,” commented NextPlay Co-CEO and Principal Executive Officer, Nithinan “Jess” Boonyawattanapisut.
“During our fiscal 4th quarter, 2022, our digital interactive media division, NextMedia, delivered an updated version of Blockbuster 2048, its first in-house casual game and the first of the 16 games currently in the pipeline, including Evergreen Forest, Rolly Loops, Skyline Stack, Hook’n Hop, Booster Maths, that are also expected to be released in fiscal 2023 to iOS and Android app stores. All of these games will come with cross-platform capability. In conjunction, we have now released HotPlay 2.0, with advertising and real-world rewards delivery technology for businesses, with significantly enhanced integration and deep-linking support into Unity games, via a generational update of its Unity SDK for iOS, Android, Android TV and HTML5.
“HotPlay 2.0 is being incrementally opened to selected partners while it continues its steady progression towards the delivery of a global platform for all actors via its connected ecosystem of back-office tools for advertisers (with Advertiser Portal), game publishers (with Publisher Portal and its Unity Game SDK), and apps for consumers and players (including its HotPlay Reward Redemption native mobile app for iOS and Android).
“With the continued development of the HotPlay platform and integration of the MakeItGames AI animation platform, we anticipate the platform will introduce disruptive and game-changing capabilities to game, virtual reality, Metaverse and other immersive experiences for partners.
“Our Fintech division comprises our insurance, reinsurance, online banking, and crypto portal operations. The division has been our most active division in terms of new business development and revenue generation. NextBank’s revenue grew more than 206% compared to Q3 of FY 2022. The team continues to bring forth a diversified set of Fintech solutions to the market that are expected to offer asset banking, asset management, mobile payment, and a range of retail banking services to customers around the world. Our online banking platform with a new and more robust core banking system is scheduled to be available by the 1st half of fiscal 2023. Once implemented, we expect to see a significant acceleration, and multiple folds of growth, in the number of customers, amounts of deposits, and revenue generation. We expect NextBank profitability this year.
“NextBank welcomes blockchain industry participants and is focused on providing enabling capabilities to clients in the DeFi, NFT, and exchange verticals. We also plan to issue our own digital insurance tokens, which are expected to allow customers to purchase any of our insurance products, as well as a series of stable coins to facilitate remittance services that NextBank will provide. We expect the Fintech division to contribute significantly to earnings in FY 2023 whereby NextPlay as a whole would turn a profit, driven initially by NextBank’s results.
“Our travel division achieved several milestones in the 4th quarter of FY 2022, to position the company for growth. We have recently completed integrations on ConNextions, NextTrip’s alternative lodging rental booking engine, with several key distribution partners. We released several new features for NextTrip Business, our corporate travel management and booking solution for small and medium-sized businesses, including travel delegate, which allows a traveler to assign someone to book on their behalf. Additionally, with the travel industry recovery continuing to be driven by leisure travel, w
