Mint Technology Corp.
TSX VENTURE : MIT

Mint Technology Corp.

February 05, 2010 14:44 ET

Mint Provides Further Market Guidance Following Recent Announcements

TORONTO, ONTARIO--(Marketwire - Feb. 5, 2010) -

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Mint Technology Corp. (TSX VENTURE:MIT) announced today the release of its first quarterly results and Management Discussion and Analysis Report for the period September 1, 2009 – November 30, 2009 together with a business update and market guidance. 

The features of the results announcement include revenue from continuing operations of $363,299 for Quarter 1 up from $121,541 for the quarter ended November 30, 2008. (+199%) reflecting the first inclusion of revenue from Mint's Middle East business.

The net loss for Quarter 1 was $1,579,706 compared to a net loss of $783,841 for the quarter ended November 30, 2008 reflecting the loss reported for the quarter of the business assets acquired in the United Arab Emirates and costs associated with the acquisition of that business.

The UAE business however is growing rapidly and in the 4 months that Mint has owned the UAE business it has added over 150,000 new payroll cards and continues to rollout this product in response to the UAE government directive under that country's newly launched Wages Protection System legislation.

Mint forecasts for Quarter 2 (December 1, 2009 – February 28, 2010) that it expects to report Revenue from continuing operations of more than $600,000 and this will show a 60% increase in Revenue over the Q1 2009 of $363,299.

Mint will continue to provide monthly guidance in respect to contracted and active card numbers (next guidance due February 12) and will now include a quarterly forecast of gross revenues. 

Mint President and CEO, Chris Hogg said, "In view of the changes previously announced in the Company's strategic direction of focusing on debit and payroll cards in the emerging markets, particularly in the Middle East, providing this additional information will ensure that shareholders and the public are kept fully informed of developments on both a month-to-month basis as well as quarterly as applicable."

Mint also clarifies its previous announcement regarding the sale of the Company's Canadian subsidiaries and the Business Agreement entered into with DirectCash Acquisition Holdings Inc.

Mr Hogg said "This transaction is a positive step in delivering on the Company's new strategy and is simply a change in the sharing of costs and revenue between DirectCash and Mint. It includes the elimination of Mint's direct costs of the Canadian operations including payroll (down 60%), rental premises obligation (down 45%) and other indirect costs arising from the assumption of activity by Direct Cash under the Business Agreement.

"We are now well positioned with a low cost operation in Canada continuing to service our contracts there with Canadian Tire, Much Music and UM Financial in partnership with Direct Cash now being on a net revenue share basis.

"Our corporate resources are now focused on developing our business in the Middle East including the successful launch of a pilot for our Money Transfer product in January and the proposed expansion of the company's operations into Saudi Arabia expected by April 2010. Both these initiatives will be separately financed in the region." said Mr. Hogg.

ABOUT MINT TECHNOLOGY CORP

Mint Technology Corp. is a pioneer in prepaid financial products and services and is Canada's first provider of prepaid credit card programs. As a MasterCard® Member Service Provider, Mint works with business partners to customize prepaid credit card programs that are tailored to meet a company and its card holder's needs. Mint has developed a secure, robust payments platform that provides an improved means to handle and manage financial transactions. Mint also provides services for those clients looking to move towards 'next generation' payment methods that include chip, internet, data mining and mobile phone load and remittance technologies. Mint's prepaid card products include general spend for the underserved, youth and employee payroll. Stock Symbol: MIT on the TSX Venture Exchange.

Forward-looking Statements.

Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or our future performance. Forward-looking statements include the forecast concerning future revenues. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements expressed or implied by such forward-looking statements. Forward-looking statements reflect current expectations regarding future events and operating performance and speak only as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily by accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, including, but not limited to, delays in rolling out card programs, the ability of Mint to obtain financing and terms of any financing, the possibility of technical, logistical or planning issues in connection with deployment of Mint's products and solutions, demand for Mint's products, and other factors discussed in Mint's MD&A filed on SEDAR. Although the forward-looking statements contained in this news release are based upon what management of Mint believes are reasonable assumptions on the date of this new release, Mint cannot assure investors that actual results will be consistent with these forward looking statements. These forward-looking statements are made as of the date of this news release.

For additional information please visit www.mintinc.com.

NEITHER 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.

Contact Information

  • Mint Technology Corp.
    Chris Hogg
    President and CEO
    (416) 581-0001 ext. 222
    Email: chogg@mintinc.ca
    or
    Mint Technology Corp.
    Andrew Martinez
    CFO
    (416) 581-0001 ext. 242
    Email: amartinez@mintinc.ca