Mogo Inc stock announced second-quarter 2021 financial results today after which the stock became bullish in Pre-market. MOGO stock price saw a rise of 23.23% to reach $7.32 a share at the time of this writing. The stock was gloomy in the previous trade and went down by 2.78% at closing. Let’s take a closer look at financial results.
Second Quarter 2021 Financial Results:
- MOGO stock reported $13.7 million revenue for the reported quarter, 29% higher than the same period of the previous year.
- Subscription and services revenue reached $8.2 million, representing the record 81% growth over the year.
- Gross profit for MOGO stock was $12.1 million and gross margin was 88.5% for the reported quarter.
- MOGO stock suffered a $3.0 million adjusted EBITDA loss as compared to a $5.2 million adjusted EBITDA gain in Q2,2020. This loss is attributable to an increase in product and technology development for the launch of MogoTrade, and sales and marketing expenses.
- Net income for the MOGO stock was $9.0 million as compared to a $1.6 million net loss in the same quarter of last year.
- As of June 30, 2021, the MOGO stock had $75.8 million in combined cash, investments, and digital assets. Furthermore, the stock also had roughly $110 million investment in Coinsquare, Canada’s leading crypto exchange.
MOGO stock’s recent Developments:
- MOGO reported 1,695,000 members, by the end of June 2021, 63% higher than the same date of last year.
- MogoCard transaction volume represented a breathtaking 1660% increase over the year.
- Payment processing volume reached $2.0 billion, 83% higher year over year.
- MOGO completed 39% acquisition of Coinsquare along with certain option and warrant rights.
- The stock acquired Moka, one of Canada’s leading saving and investing apps in May 2021.
- MOGO stock signed a letter of intent in May after which it signed the definitive share purchase agreement to acquire Fortification Capital Inc in July.
- In May MOGO announced the partnership pursuant to which MogoMembers will have access to crypto and other equity research from FSInsight LLC.
Financial Outlook of MOGO stock:
MOGO management projected its total revenue between $70 million to $75 for the fiscal year 2022. The services and subscription revenue will possibly show a 100% to 110% increase in Q4,2021. The adjusted EBITDA is also expected to be improved in the future.
Conclusion:
Investors are responding positively to the release of second-quarter 2021 financial results. The revenues have shown significant improvement over the year. The stock projected an increase in the revenue and adjusted EBITDA for the fiscal year 2022. In a nutshell, investors should keep an eye on this stock.
