FNDS3000 Corp Reports Results for First Quarter of Fiscal Year 2010
January 20 2010 - 8:00AM
PR Newswire (US)
JACKSONVILLE, Fla., Jan. 20 /PRNewswire-FirstCall/ -- FNDS3000 Corp
(OTC Bulletin Board: FDTC) (Frankfurt: "FT4," A0MWLG), a financial
transaction processing services company, currently introducing
prepaid card programs to the South African market, today announced
financial results for the first quarter of fiscal year 2010. For
the quarter ended November 30, 2009, revenues were $77,695, an
increase of $73,320 (or 1,676%) from $4,375 for the first quarter
of fiscal 2009, reflecting the initial revenue stream from our
prepaid card programs. The net loss for the quarter was
$(1,139,660) or ($0.03) per share, an increase of $87,015 (or 8%)
from $(1,052,645) or ($0.04) per share for the same period in the
prior year. More detailed information on the financial results of
the Company is available within FNDS3000 Corp's Form 10-Q that was
filed with the Securities and Exchange Commission on January 14,
2010. John Hancock, Chief Executive Officer, said, "This first
quarter of Fiscal 2010 began as we entered the critical Market
Volume Test which, we believe, over the quarter confirmed our
operations in terms of handling commercial scale numbers of
customers and cards. In early November 2009, we exceeded the level
of 50,000 cards distributed to corporate clients. As a result, the
quarter saw the first meaningful revenues, albeit at this early
stage, still small. As we have reported, the comprehensive testing
required more time than we anticipated. However, we used these
delays to further test, develop and enhance our systems, processes,
infrastructure and operational team. We were also able to validate
that card revenues and margins were meeting our expectations. By
the end of this first quarter, we had 70,000 cards distributed to
corporate clients, 37 contracted customers with 11 more customers
under active negotiation. "I was and am pleased with this progress
and in early December felt able to authorize the move to full
production roll out. The Christmas holiday season, which in South
Africa coincides with high summer and school and family vacations,
inevitably slowed the pace of client activity, but nevertheless,
our important card fee revenues in December were some 75% above
those of November. "The delays necessitated more financial support.
A financing agreement valued at just over $2 million, negotiated
with existing investors, was closed at the end of the quarter, and
we now recognize a need to secure additional funds to cover
operating expenditures as we work towards positive cash flow. We
cannot today provide any guarantee that we will successfully close
such financing or that such financing, if closed, will be on
reasonable terms." About FNDS3000 Corp: FNDS3000 Corp (OTC:FDTC)
(BULLETIN BOARD: FDTC) (Frankfurt: "FT4," A0MWLG) is a financial
transaction processing service company. Since its inception, its
focus has been on the development and implementation of a variety
of prepaid card programs outside the United States, including
services to individuals who lack access to conventional banking
services. FNDS3000 meets a vital need of companies that have
financial dealings with such individuals by offering prepaid cards
that can be tailored to the differing requirements of each
customer. FNDS3000 intends to provide these services in both
developed and underdeveloped nations through a proven U.S.
processing platform that has been designed for international and
cross border capability. Many of these FNDS3000 products carry
worldwide brand marks and can be used anywhere that accepts these
brands. Programs that can be supported include payroll, insurance,
medical aid, gift cards, prepaid cellular charges and small-scale
international transfers of funds. Forward Looking Statements
Matters discussed in this press release contain forward looking
statements. Investors are cautioned that such forward looking
statements involve risk and uncertainties, which could
significantly impact the actual results, performance, or
achievements of the Company. Such risks and uncertainties include,
but are not limited to, the potential loss of our relationships
with each of the parties that sponsor our cards and banks that
manufacture, issue, and own the cards; the loss of our service
providers; security breaches of our electronic information; the
inability to raise sufficient capital to fund its operations; and
other risks as may be detailed from time to time in the Company's
periodic reports filed with the Securities and Exchange Commission.
The Company assumes no obligation to publicly update or revise its
forward looking statements even if experience or future events make
it clear that any of the projected results expressed or implied
herein will not be realized. http://www.fnds3000.com/ DATASOURCE:
FNDS3000 Corp CONTACT: Joe McGuire, Chief Financial Officer,
FNDS3000 Corp, +1-904-273-2702, Web Site: http://www.fnds3000.com/
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