Oak Brook, IL. November 22, 2022 – Affluence Corporation (AFFU.PK) a leader in Smart City Software and Internet of Things (IoT) technology released its earnings for the third quarter of 2022 with its fourth straight quarter of positive net income. Highlights include:
- Revenue growth of 504% year over year
- Gross margin growth of 20 points quarter over quarter
- The fourth consecutive quarter of positive net income
“I am pleased to announce strong positive results in the third quarter, as we continue to make great strides in growing the business,” said James E. Honan, Jr., CEO of Affluence Corporation. “I am extremely proud of our team and delighted to announce revenue of $453,005 and net income of $132,670 for the third quarter of 2022. The revenue number is adjusted to reflect the divestiture of the RAS subsidiary and is slightly higher quarter over quarter on an adjusted basis. More importantly, we dramatically improved our gross margin percentage by 20 points quarter over quarter and grew year over year revenue by 504%,” said Honan.
“It is amazing what our management team accomplished in Q3,” said Dale Haase, Affluence Board Member. “We have forged significant partnerships with three of the world’s premier technology companies that will dramatically improve our sales reach in North America, the Middle East and Asia and we will be formally announcing these partnerships in the upcoming months. Additionally, we divested our RAS subsidiary which will enable us to focus on high growth, high margin markets including Digital Cities and AI. We also brought in $3.3 million of growth capital in a funding round led by Invenire Capital, LP that has enabled us to increase our development and sales headcount,” continued Haase.
“Operationally, in Q3 the company continued to execute on the delivery of Phase 1 of a multi-year, multi-million dollar contract for the largest Smart City project in the world where our Hypervisor product has been selected as the command and control software for the project,” continued Honan. “Also, we continued to deliver on a $1 million dollar Artificial Intelligence (AI) contract from the large technology company that is responsible for technology integration for the project. Going forward, both projects will continue to generate revenue for the remainder of this year and in 2024. In addition, our distribution network continues to expand which is fueling our growth. The sales pipeline has never been larger and continues to grow including several large, late stage sales opportunities. I am confident that we will continue with this momentum in Q4 and beyond,” said Honan.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. There are important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, including: general economic business conditions, competitive and technological factors, markets, services, products and prices, availability and the cost of capital, success of growth initiatives, limited operating history and other factors discussed in our filings with the Securities and Exchange Commissions. Additionally, this release may not be considered as legal, accounting, or investment advice, and is not, and may not be considered, a solicitation for the purchase of any securities issued by Affluence Corporation.