TORONTO, Sept. 11, 2024 (GLOBE NEWSWIRE) -- Currency Exchange International, Corp. (the "Group" or "CXI") (TSX:CXI, OTC:CURN), today reported its financial results and Management's Discussion and Analysis ("MD&A") for the three and nine-month periods ended July 31, 2024 (all figures are in U.S. dollars except where otherwise indicated). The complete financial statements and MD&A can be found on the Company's SEDAR profile at www.sedarplus.ca.
Randolph Pinna, CEO of the Group, stated, "CXI group delivered revenue growth over the prior period keeping our balance sheet strong while managing expenses. CXI's business is very strong in the USA as its model is diverse with both its wholesale and direct-to-consumer customers. CXI remains committed to executing against our strategy of profitable growth while maintaining adequate capital levels. The management team and I are confident in our ability to continue to grow and become a global leader in the supply of foreign currency and payment services."
Financial Highlights for the three-months ended July 31, 2024 compared to the three-months ended July 31, 2023:
Revenue increased by 2% or $0.4 million to $24.0 million compared to $23.6 million. Payments revenue grew 5% or $0.2 million over the prior period and Banknotes revenue grew by 1% or $0.2 million;
Net operating income increased by 5% or $0.3 million to $6.7 million from $6.4 million;
Net income decreased by 3% or $0.1 million to $3.9 million from $4.0 million;
Earnings per share were $0.61 and $0.59 on a basic and fully diluted basis, respectively, compared to reported earnings per share of $0.63 and $0.60, respectively; and
The Group had strong liquidity and capital positions of $74.9 million in net working capital and $83.1 million in total equity as at July 31, 2024.
Financial Highlights for the nine-months ended July 31, 2024 compared to the nine-months ended July 31, 2023:
Revenue increased by 5% or $3.0 million to $62.2 million compared to $59.2 million. Banknotes revenue grew 4% or $2.0 million over the prior period and Payments revenue grew by 9% or $1.0 million;
Net operating income decreased by 1% or $0.1 million to $12.8 million from $12.9 million;
Reported net income declined by 33% or $2.6 million to $5.3 million from $7.9 million primarily related to the deferred tax expense recorded in the second quarter;
Reported earnings per share was $0.84 on a basic basis and $0.80 on a fully diluted basis (adjusted earnings per share1 was $1.06 and $1.02 on a basic and a fully diluted basis, respectively) compared to reported earnings per share of $1.23 and $1.18, respectively; and
Cash flows from operating activities, excluding the changes in working capital amounted to $13.9 million compared to $13.6 million.
________________________1 This is a non-GAAP measure. For further information, refer to the non-GAAP financial metrics and measures section on page 3 of this document
Corporate Highlights for the three-months ended July 31, 2024:
The Group continued to grow its Payments product line benefiting from the recent investments in core banking platform integration which enabled the Company to expand its reach and increase its volumes in the United States
The Company maintained its strong volumes in the Banknotes product line as a result of the strong consumer demand for foreign currencies in the third quarter as international travel continued to strengthen in the United States. This is supported by the increased rate of travelers passing through TSA check points in United States airports;
The financial institutions sector in the United States continued to grow with the addition of 98 new clients, representing 123 transacting locations;
The Group continued expanding its OnlineFX platform, adding Maryland and Iowa to its network. The platform now provides its services in 43 states and the District of Columbia; and
The Payments product line processed 39,779 payments transactions, representing $3.38 billion in volume compared to 32,675 transactions and $2.57 billion in volume in the prior period.
Selected Financial Data
The following table summarizes the performance of the Group over the last eight fiscal quarters2:
