New York, NY, April 23, 2019 (GLOBE NEWSWIRE) — OLB Group, Inc. (“OLBG” or the “Company”), a FinTech company, has announced financial results for the year ended December 31, 2018.
We are a FinTech company and a payment facilitator that, through our subsidiaries, focuses on a suite of products in the merchant services and payment facilitator verticals.
These services include electronic payment processing, cloud-based multi-channel commerce platform solutions for small to medium-sized businesses and crowdfunding services. The company is focused on providing these integrated business solutions to merchants throughout the United States through three wholly-owned subsidiaries, eVance, Inc., Omnisoft.io, Inc., and CrowdPay.us, Inc.
|•||Revenues increased from $183,998 to $9,019,876 for the years ended 2017 and 2018, respectively.|
|•||Successful acquisition of merchant processing assets, with approximately 8,500 merchants. The company now is a full-service payments company providing in-house risk and underwriting.|
|•||Acquired proprietary gateway.|
|•||Acquired CrowdPay.us, a crowdfunding platform company.|
|•||Acquired Omnisoft.io, a SAAS company. Omnisoft.io owns an Omni-channel POS software system, ShopFast. Matching this system with the gateway will provide a complete end to end business management system for small to medium businesses.|
|•||OLBG was approved as Payment Facilitator.|
About Non-GAAP Financial Measures
This press release contains non-GAAP financial measures, EBITDA and adjusted EBITDA, as defined in Regulation G. The Company reports its financial results in compliance with GAAP but also provides additional non-GAAP measures of its operating results. The Company defines EBITDA as operating income (loss), before interest, taxes, depreciation, and amortization. The Company defines adjusted EBITDA as EBITDA, as defined above, plus non-cash stock option costs and certain non-recurring items, such as costs incurred with completing acquisitions. These measures may not be comparable to similarly titled measures reported by other companies. Management believes the use of EBITDA and adjusted EBITDA is appropriate to enhance the understanding by the Company’s investors of its historical performance through the use of a metric that seeks to normalize earnings.
Revenues highlights for year-end 2018 Financials
|For the Year Ended|
|December 31, 2018|
|Total operating expenses||$||9,552,942|
|Loss from operations||$||(533,066)|
|Total other expense||$||(860,478)|
|Net Income (Loss)||$||(1,393,544)|
|Acquisitions & Stock-Based Compensation expenses (unaudited)||$||503,344|
|Adjusted EBITDA (unaudited)||$||575,675|
Revenue increased from 2017 due to the acquisition of the assets of Excel Corp, Inc. The acquisition was completed on April 9, 2018, allowing the financial statements to include approximately 9 months of revenue and expenses related to the acquisition. On a full year pro forma basis, the revenue would have been $12,194,415 compared to $9,019,876. The pro forma adjusted non-GAAP revenue and adjusted EBITDA are presented below.
|For the Year Ended|
|December 31, 2018
|Net Income (Loss)||$||(1,816,576)|
|Acquisition & Stock-Based Compensation expense (unaudited)||$||503,344|
Key Highlights for 2019
|•||Implement Proprietary Merchant Boarding and CRM System|
|•||Rolling out our Omni Commerce applications to our current merchants|
|•||Crowd Funding Platform integrates with our secure payment gateway for Credit Cards and ACH|