FRNT Financial Announces Q3 2022 Financial Results
/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
TORONTO, May 31, 2022 /CNW/ - FRNT Financial Inc. ("FRNT" or the "Company"); a next generation institutional capital markets platform offering various trading and advisory services within cryptocurrency and emerging asset classes, today released financial results for the three months ended March 31, 2022.
Revenue was a record $1.14 million for the quarter ended March 31, 2022. Adjusting the net loss for the period for non-cash items (i.e. interest expense, change in unrealized gain on investments, government assistance, share based compensation and depreciation), would result in an adjusted net income of $652,265 for the three months ended March 31, 2022 compared to an adjusted net loss of $277,361 for the same period in 2021.
"Our first reporting quarter as a public issuer was a record quarter for FRNT by several measures including revenue," said Stéphane Ouellette, CEO and Co-Founder of FRNT Financial. "FRNT has delivered significant growth amidst the backdrop of digital asset price declines and macroeconomic challenges. We've built a strong operational foundation to support a steady growth trajectory of adding revenue at a much greater rate than cost. While the share price has held steady despite lower trading seen across the industry, we believe we are still significantly undervalued on a growth earnings multiple and look forward to our shareholders capturing that upside as we continue to scale our business."
- Expanded Offering of Regulated OTC Futures
- The Company launched a new suite of regulated OTC Futures to permitted clients on cryptocurrencies Solana (SOL), Polkadot (DOT), Cardano (ADA), and Litecoin (LTC) via the Company's SEM trade platform.
- Engaged New Advisory Mandates
- The Company signed two new advisory mandates. These institutional clients hired FRNT to advise them in their digital asset strategies.
- Received Portfolio Management License from the OSC
- FRNT Asset Management, a wholly owned subsidiary of the Company, was granted a portfolio manager license by the Ontario Securities Commission (OSC).
- Completed Initial Public Offering
- On April 12, 2022, the Company closed its IPO of 4,000,000 common shares at a price of $1.50 per common share for total gross proceeds of $6,000,000.
- On April 19, 2022, the Company's common shares were listed on the TSX Venture Exchange, under the trading symbol "FRNT".
- Completed Listing on the Frankfurt Stock Exchange
- Listing of the Company's common shares on the Frankfurt Stock Exchange ("FSE"), under the trading symbol "XZ3". The Company's common shares are now cross-listed on the TSX Venture Exchange and the FSE.
"As we transition from a private to public company, we aim to simplify and streamline the complexities around our accounting presentation to provide better clarity and guidance to investors," concluded Ouellette.
FRNT Financial is a next generation institutional capital markets platform offering various trading and advisory services within cryptocurrency and emerging asset classes. The Company intends to present a new set of opportunities targeted to permitted clients and institutional investors while maintaining a lean, technology-forward operation. FRNT is focused on delivering expertise and products to institutional clients that allow them to effectively access alternative cryptocurrency opportunities. The Company was founded in 2018 and is led by CEO Stéphane Ouellette, headquartered in Toronto, Ontario.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Cautionary Note Regarding Forward-Looking Information
This press release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable law. Generally, forward-looking statements and 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", "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". All forward-looking statements and forward-looking information are based on reasonable assumptions that have been made by the Company as at the date of such information. Forward-looking statements and forward-looking information are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements and forward-looking information, including but not limited to: the general risks associated with the speculative nature of the Company's business, current global financial conditions, uncertainty of additional capital, price volatility, no history of earnings, government regulation in the industries in which the Company operates, political and economic risk, absence of public trading market, arbitrary offering price, dilution to Common Shares, dependence on key personnel, currency fluctuations, insurance and uninsured risks, competition, legal proceedings, conflicts of interest and lack of dividends. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements and 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 or information. Accordingly, readers should not place undue reliance on forward-looking statements or forward-looking information. The Company does not undertake to update any forward-looking statement or forward-looking information that is included herein, except in accordance with applicable securities laws.
SOURCE FRNT Financial Inc.
INVESTOR RELATIONS: Jackie Kelly, [email protected], 416-301-2949
Share this article