SOURCE: Symbid Corp.

Symbid Corp.

March 26, 2015 08:14 ET

Symbid Corp. Announces Full Year 2014 Results

Financial Technology Brand Reports 248% Increase in Revenue Versus 2013

ROTTERDAM, THE NETHERLANDS and NEW YORK, NY--(Marketwired - Mar 26, 2015) - Symbid Corp. (OTCQB: SBID) www.symbidcorp.com

  • Total revenue of $276,325 for fiscal year 2014, up 248% year on year
  • Research and development costs of $320,032 plus acquisition of intangible assets relating to monitoring technology creates strong foundations for future growth
  • Company expects to add recurring revenue streams in 2015 with release of new, partly internally-developed cloud-based monitoring and deal-making products
  • Share-based payments accounted for 29% of total 2014 operating expenses of $3,318,471

"We are pleased to report continued exponential revenue growth ahead of average industry figures. Our results are a reflection of our commitment to successful innovation and the creation of long-term value for our shareholders," said Korstiaan Zandvliet, co-founder and CEO of Symbid Corp. "2014 saw our Company enlarge its share in a rapidly emerging market while investing heavily in developing advanced investing, monitoring and data tools. We are now in a position to begin reaping the financial benefits of these new products in the form of monthly recurring revenues. As we look ahead to 2015, we expect to again deliver results consistent with our strategic vision of becoming the leading European online funding platform. In this sense, the launch of The Funding Network™ and incorporation of Symbid Italia in early 2015 are both major business milestones."

Summary of Full Year 2014 Financial Performance:

  • Total revenue grew by 248% versus 2013 to $276,325.
  • 97% of revenue attributable to transaction-based model of core investment crowdfunding business, consistent with 2013.
  • Selling, general and administrative expenses increased by 404% year on year to $2,151,679 primarily due to the hiring of an internal software development team, share-based payments made to staff members, external contractors and a strategic alliance in 2014.
  • Research and development costs increased by 306% year on year to $320,032 due to the Company's investment in the development of a cloud-based monitoring product, released in early 2015, and other soon-to-be released financial technologies.
  • Total operating expenses increased by 155% year on year to $3,318,471, of which share-based payments account for 29%, as the Company invested heavily in internal technological development.
  • Net losses increased by 124% year on year to $2,821,794 in line with the Company's commitment to creating long-term value for its shareholders through successful innovation.

2015 Commercial Outlook:

  • In December 2014 the Company signed a partnership with leading financial advisory firm Credion to process an expected $800m transaction volume in 2015, which the Company expects to result in new monthly recurring revenue streams attributable to its cloud-based monitoring product (released in February 2015) and soon-to-be released deal-making product.
  • The Company underwent a successful re-launch of its website and partial rebranding in March 2015 in line with its repositioning to a more holistic funding platform, known as The Funding Network™, connecting traditional and alternative financing options in one go-to platform.
  • The Company expects to continue its ongoing release of new products and services with the launch of a loan product in the second quarter of 2015, resulting in additional transaction-based revenues.
  • The formal incorporation of Symbid Italia S.p.A. in February 2015 represents the first stage of a European roll-out which the Company expects to continue throughout 2015. The Company intends to commercialize this international expansion in the second quarter of 2015.
  • Management completed an initial closing of a Private Placement Offering raising $649,116 to support the growth of The Funding Network™.
  • The Company is actively pursuing a capital raise strategy in order to accelerate the horizontal and vertical expansion of its funding network and balance cash flow. 2014 saw the Company focus on the internal development of technology thereby creating long-term value through successful innovation. The Company intends to bring this financial technology portfolio to market in 2015.
    Year ended December 31,  
    2014     2013  
Revenues                
  Crowdfunding   $ 267,358     $ 66,716  
  Other     8,967       12,714  
    Total revenues     276,325       79,430  
Operating expenses                
  Selling, general and administrative     2,151,679       427,103  
  Professional fees     776,243       795,615  
  Research and development costs     320,032       78,773  
  Depreciation and amortization     70,517       1,302  
    Total operating expenses     3,318,471       1,302,793  
                 
    Operating loss     (3,042,146 )     (1,223,363 )
Other income (expense)                
  Fair value adjustment derivative liability - warrants     291,662       1,341  
  Interest expense     (31,405 )     (20,166 )
  Government subsidy     10,962       31,905  
  Equity in losses of Gambitious B.V. and Kredietpaspoort Coöperatie U.A.     (47,226 )     (49,913 )
  Other income and expense     (3,641 )     -  
    Total other income (expense)     220,352       (36,833 )
                 
    Net loss     (2,821,794 )     (1,260,196 )
                 
Net loss attributable to non-controlling interests     (28,794 )     (30,016 )
                 
    Net loss attributable to Symbid Corp. stockholders   $ (2,793,000 )   $ (1,230,180 )
                 
Basic and diluted net loss per common stock   $ (0.10 )   $ (0.05 )
                 
Weighted average number of shares outstanding                
  Basic and diluted     28,396,751       22,580,549  

Disclaimer
This press release is for information purposes only and is not intended to constitute, and should not be construed as, an offer to sell or a solicitation of any offer to buy securities of Symbid Corp. (the "Company") in the United States, Australia, Canada or Japan or in any other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of such jurisdiction.

About Symbid Corp.
Founded in April 2011 as one of the first investment crowdfunding platforms worldwide, Symbid is The Funding Network™, where companies get funded and grow. As a leading online funding portal for small- and medium-sized enterprises, Symbid gives entrepreneurs direct access to traditional and alternative forms of finance, while offering investors full transparency on the potential risks and returns of their portfolio. Advanced investing, monitoring and data tools ensure companies connecting to The Funding Network™ are financed in the most efficient way possible. Built around cutting-edge technology and expert financial advice, The Funding Network™ by Symbid is a go-to platform for entrepreneurs in search of funding and investors in search of exciting opportunities. As of March 2015, Symbid (www.symbid.com) has successfully funded 70 small businesses for a total capital sum of $7.5 million. With over 40 funding partners already connected -- including banks, venture capital, angel investors and 30,000 private (crowdfunding) investors -- the total transaction volume of The Funding Network™ in 2015 is estimated at $800 million. Symbid Corp. is a U.S. publicly listed company (OTCQB: SBID). For investor relations, please visit www.symbidcorp.com.

Safe Harbor Statement
This release may include predictions, estimates or other information that might be considered "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our current judgement on what the future holds, they are subject to risks and uncertainties that could cause actual results to differ materially. You are cautioned not to place undue reliance on these forward-looking statements, which reflect our opinions only as of the date of this release. Please keep in mind that we are not obligating ourselves to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. The predictions discussed in this release are based on the personal opinions of certain individuals and are supported by a consensus within the crowdfunding industry and alternative finance world generally. For a more complete discussion of these predictions and certain risk factors which may affect our future business operations, please review our most recent Form 10-K, particularly under the heading "Risk Factors." PDF copies of these forms can be viewed and downloaded on the Symbid Corp. Investor Relations website at www.symbidcorp.com.

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