ICREATE reports 506% increase in nine months net profit

November 16, 2022

iCreate Limited (ICREATE)

Unaudited Financial for the nine months ended September 30, 2022:

iCreate Limited (ICREATE) for the nine months ended September 30, 2022 reported revenues of $107.31 million, 237% up from $31.83 million reported a year ago. For the quarter, ICREATE posted revenue of $26.42 million (2021: $7.97 million). Management noted, “This strong performance was positively impacted by a mix of new business clients as well as existing opportunities from our pipeline which were closed in Q3. Our three divisions; Education, Advertising and ECommerce all contributed to the strong revenue growth for the period. Revenue was down 23.4% when compared to Q2 2022, which was driven by a one-off project in Q2.”

Total direct costs amounted to $38.64 million for the nine months period compared to $5.26 million for the first nine months of 2021. Thus, resulting in gross profit of $68.67 million relative to $26.57 million booked last year. Gross profit for the quarter amounted to $20.80 million versus $6.94 million booked for the second quarter of 2021. Other income for the period amounted to $744,178 relative to $5.33 million for 2021.

Administrative & General expenses increased 115% to $41.64 million (2021: $19.39 million) for the nine months. Depreciation and amortization expense close at $2.09 million (2021: $2.93 million).

As such, operating profit for the period closed at $25.68 million in contrast to a profit of $9.57 million for the corresponding period of 2021. Operating profit for the second quarter closed at $7.59 million (2021: $219,162).

Finance cost for the first nine months amounted to $2.27 million relative to $5.71 million booked twelve months earlier.

Consequently, net profit for the nine months period amounted to $23.41 million versus a profit of $3.87 million twelve months earlier. For the second quarter, net profit totalled $6.91 million compared to a net loss of $536,551 million booked in the corresponding quarter last year.

Earnings per share (EPS) amounted to $0.08 compared earnings per share of $0.013 for the same period of 2021. The EPS for the quarter amounted to $0.02 relative to a loss per share of $0.013 reported in 2021. The trailing twelve months LPS is $0.04. The number of shares used in this calculation was 308,560,242 shares. iCreate traded on November 15, 2022 at $1.71.

ICREATE stated, “We are also very pleased to have secured the financing to complete the acquisition of Visual Vibe.com Limited. We expect to close this transaction before the end of Q4 2022.”


Balance Sheet at a Glance: 

As at September 30, 2022, total assets increased 317% to close at $167.34 million (2021: $40.12 million). The increase was largely due to the 1,104% increase in ‘Other Current Assets’ which closed at $82.67 million (2021: $6.87 million).

Shareholder’s equity totalled $32.98 million compared to a shareholders’ deficit of $23.12 million quoted as at September 30, 2021. This resulted in a book value of $0.11 (2021: deficit per share of $0.075).




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