VANCOUVER, British Columbia, Feb. 23, 2017 (GLOBE NEWSWIRE) -- Mobetize Corp. (OTCQB:MPAY), a provider of mobile financial services (‘MFS”) technology for the multi-billion dollar business to business (B2B) segment of the Fintech as a Service (“FAAS”) sector reported that revenues realized in the three month period ending December 31, 2016, doubled over the comparable period ended December 31, 2015, and over the nine month period ended December 31, 2016, increased 349% over the comparable period ended December 31, 2015.
The acceleration of revenue in the past year is a demonstration of the growing FAAS market acceptance of Mobetize products. The attribution of revenue growth in the three month period ending December 31, 2016 is also consistent with the current blend of revenue streams.
Revenue Model and Ongoing Business
Mobetize revenue is generated from licensing, consulting and transactional processing of financial services through the Mobetize Global B2B Fintech as a Service Supermarket (“Hub”) to telecom operators and financial institutions (FI’s).
Telecoms and FI’s are choosing the Mobetize Hub as the core on which to build their own mobile money enablement platforms. Mobetize assists its clients to build a digitized culture based on consumer needs and innovation. Mobetize expects to continue to grow transactional revenue as it increases the number and depth of these relationships.
In September 2016, Mobetize entered into a partnership agreement with G&F Financial Group (“G&F”), one of the ten largest credit unions in British Columbia; to jointly develop and market “Mobetize smartLoan”, a digitized lending platform. The smartLoan modules automate Know Your Customer verification and lending adjudication with full Customer Relationship Management and data analytics. The Mobetize smartLoan platform is on schedule to be delivered to G & F for implementation in the first quarter of 2017. Testing and roll out of the live production smartLoan platform is also expected to commence on schedule in the first quarter of 2017. We anticipate our product offerings with G&F to grow as other Mobetize products and services come online.
Mobetize is currently in discussions with other FI’s in Canada and the United States focused on expanding the smartLoan platform to more prospective users.
In January 2017, Mobetize and Tata Communications (America), Inc. (“Tata”) entered into a Software License, Customization Development and Service Level Agreement to govern the global deployment of products and services for its customers through our Hub. Mobetize has delivered its data top up module to Tata and expects to realize transactional revenues that stem from this relationship beginning in the second quarter of 2017.
Mobetize is in talks to significantly expand its data top-up geographical corridors and expects these relationships to be integrated to the Hub in the first two quarters of 2017. An expansion in the number of countries in which our products and services can be deployed is expected to further increase transactional revenues.
Ajay Hans, the CEO of Mobetize has stated that “we remain focused on creating FAAS products to increase efficiency, and cost-effectiveness, that will increase our revenues through innovation to meet the growing demand for mobile money solutions from our clients."
About Mobetize Corp.
Mobetize Corp. (OTCQB:MPAY) has developed a global B2B Fintech as a Service (FAAS) Supermarket. Mobetize digitizes bricks and mortar financial services to deliver mobile money services to leading telecommunications companies and financial institutions. Mobetize ensures end-to-end integration for services such as prepaid air-time top ups, data gifting, mobile lending, international money transfers, P2P transfers, Visa™/MasterCard™ programs and mobile bill payments. Mobetize seamlessly integrates and white labels its secure mobile money platform services for customers who then offer the services to millions of users. Mobetize experts to help telecom and banking providers discover new revenues, new customer relationships and navigate the emerging Fintech ecosystem. For more information, visit http://www.mobetize.com.
Forward Looking Statements
This press release includes statements that are not historical in nature and may be characterized as "forward-looking statements," including those related to future financial and operating results, benefits, and synergies of the combined companies, statements concerning Mobetize's outlook, pricing trends, and forces within the industry, the completion dates of capital projects, expected sales growth, cost reduction strategies, and their results, long-term goals of Mobetize and other statements of expectations, beliefs, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts. All predictions as to future results contain a measure of uncertainty and, accordingly, actual results could differ materially. Among the factors which could cause a difference are: changes in the general economy; changes in demand for Mobetize's products or in the supplier costs; the actions of its competitors; the success of our customers; technological change; changes in employee relations; government regulations; litigation, including its inherent uncertainty; difficulties in plant operations and materials; transportation, environmental matters; and other unforeseen circumstances. A number of these factors are discussed in Mobetize's previous filings with the Securities and Exchange Commission. Mobetize disclaims any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.