Golden Matrix stock (OTCPK: GMGI) volume surged into the close on August 21, 2019, after Red Label Technology ‘REDLABEL’, one of its major distributors servicing the Asia Pacific (APAC) region, generated multi-million dollars in Golden Matrix gameplay during the company’s fourth fiscal (July 31) quarter, resulting in revenue due to Golden Matrix of $285,247, up 73% from $164,772 received from REDLABEL in the company’s third fiscal (April 30) quarter.
The company had previously announced it expected total fourth quarter revenues to exceed $780,000, which would make it the company’s sixth consecutive quarter of rising revenues.
According to Golden Matrix CEO Anthony Goodman, “We are highly encouraged by this big uptick in revenue generation and contribution by REDLABEL, and we are confident they will continue to be an important source of revenue growth for Golden Matrix going forward. We can attribute the recently introduced Chinese Traditional Gaming Portfolio to our total game offerings as a major factor, and we expect it to contribute to significant revenue growth for the foreseeable future.”
Mr. Goodman said Golden Matrix is currently integrating additional operators to increase game usage of the CTG Portfolio, and “in the coming weeks we expect to engage with one of the largest gaming distributors now operating in the APAC region.”
Golden Matrix revenues are derived primarily from licensing fees received from gaming operators located in the Asia Pacific (APAC) region and integrated with the company’s state-of-the-art GM-X platform. Currently there are over 300 active operators and more than 1.5 million registered users across all gaming operator/GM-X platforms.
“The growth in demand for our platform demonstrates the stability, reliability and popularity of the GM-X system and its gaming content,” concluded Mr. Goodman. “We are pleased to be a go-to company for adding significant content value to distributors and their active user networks.”
GMGI stock had a volume explosion at the end of regular trading on August 21, 2019.
Back on June 5, 2019, Golden Matrix Group announced that for the third fiscal quarter ended April 30, 2019, the company recorded net income of $279,323 on revenues of $737,169. This compares with a net loss of $35,248 on revenues of $345,148 in like year-ago quarter.
For the first nine months ended April 30, 2019, Golden Matrix reported net income of $1,033,113 on revenues of $2,089,406, compared with a net loss of $408,807 on revenues of $405,148 in the comparable year-ago period.
Cash and cash equivalents as of April 30, 2019 increased to $1,425,494, up 27% from $1,118,499 at the end of the previous quarter, and up 219% from $446,581 at fiscal year-end (July 31) 2018.
“We are extremely pleased with Q3 results,” commented Mr. Goodman, “as they further demonstrate our ongoing efforts to increase quarterly revenues and generate continued profitability with strong cash flow. This is the company’s fifth consecutive quarter of rising revenues, which has resulted from our ability to increase market share in the robust Asia-Pacific gaming markets, the largest in the world. We fully expect this trend in our core business to continue and, at the same time, we are actively pursuing certain strategic opportunities that can significantly expand GMGI’s revenue base and profitability.”
Pink sheet stocks do not meet the minimum requirements for inclusion in the GST Portfolio but folks, we know that Asia gaming is a red-hot market right now and we see the incredible turnaround in GMGI’s revenue in just the last year as proof. I like GMGI stock for a long-term, buy and hold, mad money, swing for the fence trade where you’ll make a fortune or lose it all.
Disclosure: We do not hold any position in GMGI stock.