– Positive operating cash flow for the 2022 financial year of $0.02 M (vs. -0.97 M$) for the previous year.
– Total operating cash flow for the quarter ending June 30, 2022 was ($4,000).
– Cash at bank of $2.23 million as of June 30, 2022.
– The Mobile Subscription division shows continued profitability alongside the implementation of growth measures on all business fronts; increase profitability per user and implement new technologies.
– Talking Head development continues on schedule with positive R&D results for upcoming software releases and a new version of the platform to be rolled out in the coming weeks, including expanded device support, improved speech recognition and stability features.
– Strategic partnership with Israeli SrcFlare for media search business and talking head technology integrations in first month of activity on proof of concept phase exceeded expectations with revenue of $26,000 in June.
– The cash balance as of June 30, 2022 was $2.23 million, an increase of $0.94 million from the prior quarter. Net cash from operating activities for the quarter was ($4,000) with net trading revenue of $8,000.
– Subject to shareholder approval at the EGM to be held on August 3, 2022, Crowd will raise an additional $0.6 million in cash through the equity offering.
– Net cash flow from investing activities for the period was ($0.25M) and was used for further investment in intellectual property.
– Net cash flow from financing activities was $1.29 million for the quarter. Crowd raised $1.32 million (net of transaction costs) through the equity placement in June 2022. The lease liability repayment was $0.04 million for the quarter.
Talking Head Update:
– Development is accelerating with all milestones completed to date on time, while the development team continues to grow according to plan to support full-scale commercialization.
– Signed a commercial agreement with media research company SourceFlare to provide a proof-of-concept Talking Head product to integrate conversational AI into Internet search engines. The early-stage proof-of-concept has already generated $26,000 in revenue for Crowd Media.
– Soft launched a Talking Head product with the Mobile Subscription division, signifying the success of integrating the platform internally and opening the door to future integrations with the technical tools that have been created to do so. A full suite of Talking Head subscription products will follow, which will be sold via business-to-consumer (B2C, from the Subscription division directly to end users) and business-to-business (B2B, licensing technology to non-competing mobile applications).
Mobile subscription update:
– Average revenue per user increased 3% for the second consecutive quarter.
– The division continues to generate continued profits. Optimization measures are continuously implemented in the personnel, sales and marketing functions.
– Obtained mobile network approvals to mass-distribute its artificial intelligence-based Talking Head technology for entertainment applications in the Netherlands, Portugal and the United Arab Emirates. Network approvals were granted by T-Mobile and KPN in the Netherlands, Vodafone in Portugal and Etisalat in the United Arab Emirates.
Crowd Media CEO Idan Schmorak said, “Crowd continues to develop its technology while pushing commercialization ahead of schedule and ‘soft launch’ products to reasonably scale the system and adapt its features. target markets that open up new revenue channels.
We continue to right-size our teams to support the upscaling and creation of new business functions with high-level personnel while maintaining a responsible cash regime, which enables us to be cash flow positive from operations for the year, an exceptional situation for a company in the growth phase. »
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About Crowd Media Holdings Limited
Crowd Media Holdings Ltd (ASX:CM8) (FRA:CM3) is an artificial intelligence company that leverages its AI platform for applications in conversational commerce.
Crowd Media Holdings Limited