Peak Fintech Group - CEO, Johnson Joseph.
CEO, Johnson Joseph.
Source: Peak Fintech Group.
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Peak Fintech (PKK) has upgraded its revenue and earnings guidance to account for its planned North American expansion
  • The update follows the company’s acquisition of analytics and AI company, Cubeler
  • The company raised its 2021 revenue forecast by 5 per cent, its 2022 forecast by 13 per cent and its 2023 forecast by 30 per cent
  • Peak Fintech Group offers a suite of services in China’s commercial lending industry
  • Peak Fintech (PKK) is up by 1.46 per cent and is currently trading at $11.13 per share

Peak Fintech (PKK) has upgraded its revenue and earnings guidance to account for its planned North American expansion.

The update follows the company’s acquisition of analytics and AI company, Cubeler, which will allow Peak to deploy its Business Hub concept first to North America and eventually to markets around the world.

Updated financial guidance summary

RevenueEBITDANet income (loss)
2020$42.7M($2.78M)($5.5M)
2021$109.0M$11.3M$4.4M
2022$345.0M$81.8M$51.4M
2023$814.0M$295.7M$204.5M

Johnson Joseph, Peak Fintech’s CEO, stated,

“There are several reasons why we’re so excited about our recent acquisition of Cubeler. The most obvious ones are the expected impact on our revenue and our unfettered access to markets beyond China, but what I’m personally most enthusiastic about is introducing the world to our consumer-focused applications leveraging the vast amount of data at our disposal and our AI capabilities.

While we don’t expect those applications to impact our 2021 numbers as they are still being developed, we do expect them to account for more than a third of our revenue by 2023 and to eventually become the biggest source of revenue for the company shortly thereafter.

Until that happens, we have revised our revenue guidance upward by 5 per cent for 2021, 13 per cent for 2022 and 30 per cent for 2023. We now expect 2021 EBITDA and net income to be slightly lower than prior guidance as we invest in the deployment of our North American operations. But those numbers should be considerably higher in 2022 and 2023 than what was previously forecasted, as we expect EBITDA to come in at 36 per cent of sales and a net profit margin of 25 per cent by 2023.”

Peak Fintech Group offers a suite of services in China’s commercial lending industry.

Peak Fintech (PKK) is up by 1.46 per cent and is currently trading at $11.13 per share as of 9:30 am ET.

More From The Market Herald
Colliers - CEO, Jay Hennick.

" Colliers (TSX:CIGI) to acquire majority stake in Versus Capital

Colliers (CIGI) will acquire a 75-per-cent stake in alternative investment manager Versus Capital.

" Pentagon I Capital Corp. (TSXV:PNTI.P) closes initial public offering

Pentagon I Capital Corp. (PNTI.P) has completed its initial public offering of 3,000,000 common shares for gross proceeds of $300,000.

" Mobi724 (TSXV:MOS) signs a long-term agreement with CGI

Mobi724 (MOS) has signed a long-term license and support agreement with independent IT and business consulting services firm CGI (TSX:GIB.A).

" Onex (TSX:ONEX) appoints Co-Heads of Onex Credit

Onex (ONEX) has appointed Ronnie Jaber and Sandeep Alva as Co-Heads of Onex Credit.