Results released amid devaluation of Bitcoin
Mogo Finance Technology Inc. has just released its 2017 Q4 and full-year results, with total annual revenue at $48.7 million, 2% down from 2016.
The broker’s stock has declined by 26.2% in 2018 so far. Gross profit dollar increased by 7%, and gross margin rose to 67% (up from 62% in 2016).
A drop in fees from short-term credit products offset a 56% year-over-year increase in subscription and fee-based revenue.
Last year, Mogo formed a new subsidiary (Mogo Blockchain Technology Inc.) that will serve as the backbone of the company’s blockchain operations.
However, while Mogo’s latest numbers remained healthy, the move to blockchain and cryptocurrencies might encounter significant speed bumps this year amid recent developments in the global market.
Cryptocurrencies are currently in troubled waters, with Bitcoin falling below $9,500 after the U.S. Securities and Exchange Commission compelled online trading platforms to register with the agency.
Japan also ordered two cryptocurrency exchanges in its borders to cease operations on March 8, while Germany and France are expected to bring down a harsh hand on cryptocurrencies soon.
