PR Newswire

WeTrade Group Inc. Reports First Quarter 2021 Unaudited Financial Results

BEIJING, June 1, 2021 /PRNewswire/ — WeTrade Group Inc. (“Wetrade” or the “Company”) (US: WETG), an emerging growth company engaged in the business of providing software-as-a-services (SAAS) and cloud intelligent systems for micro-businesses, today reports its unaudited financial results for the first quarter ended March 31, 2021.

Mr. Pijun Liu, Chief Executive Officer of Wetrade, commented, “The Company’s revenue and profits in the first quarter of 2021 are in line with our expectation. With COVID-19 has been brought under control and the offline economy has resumed, the Company’s performance still maintained a rapid growth trend, indicating the irresistible outbreak of the private sector economy.”  

Mr. Liu continued, “In the digital economy era, more and more companies and individuals are beginning to pay attention to private domain traffic operations, especially after experiencing the COVID-19 pandemic. The pursuit of multi-channel network and SaaS of private domain traffic marketing has become an industry consensus. At the beginning of the year, the Company reached a cooperation with Zhongyan Corporation to help its digital transformation and monetization of private domain traffic marketing. The Company’s cooperation with Beijing Youth Hostel and China Kanghui showed good examples and industry trend.”

Mr. Kean Tat Che, Chief Financial Officer of Wetrade, commented, “In the first quarter of 2021, YCloud has served 18 million small and medium-sized enterprises, an increase of 3 million compared to 2020. The Company still maintained a momentum of rapid development this quarter due to the improvement of YCloud technology and the growth of the Company’s customer base. 2021 will be a year of rapid development for the Company. The Company will further increase the development of technologies and applications in the vertical field of micro-business, provide more applications based on consumption scenarios and seek more new partners and business opportunities.”

First Quarter of 2021 Financial Results

For the Three Months Ended March 31,

($)

2021

2020

% Change

Revenue

2,780,923

21,070

13,098.5%

Gross Profit

2,634,615

21,070

12,404.1%

Gross Margin

94.7%

100%

-5.3pp*

Operations Profit/(Loss)

745,425

(4,000)

NM

Net Income/(Loss)

652,084

(461)

NM

Earnings/(Loss) Per Share

0.00

(0.00)

NM

*Notes: pp represents percentage points

Revenue

Total revenue was $2.78 million from customers for the three months ended March 31, 2021, which are mainly from the service revenue generated from auto-billing management system from customers.

Cost of Revenue

Cost of revenue was $0.15 million for the three months ended March 31, 2021, compared with nil for the same period of last year. The increase was mainly due to more staffs were recruited and was in line with the increase in revenue during the period.

Gross profit and gross margin

Gross profit was $2.63 million for the three months ended March 31, 2021, compared with $0.02 million for the same period of last year. 

Gross margin was 94.7% for the three months ended March 31, 2021, compared with 100% for the same period of last year.

Operations Profit/(Loss)

Operations profit was $745,425 for the three months ended March 31, 2021, compared with operations loss of $4,000 for the same period of last year.

Net Income/(Loss)

Net income was $652,084 for the three months ended March 31, 2021, compared with net loss of $461 for the same period of last year. Basic and diluted earnings per share was nil for the three months ended March 31, 2021, compared with nil for the same period of last year.

Financial Condition

As of March 31, 2021, the Company had cash and cash equivalents for $2.67 million, compared to $4.64 million as of December 31, 2020.

Net cash used in operating activities was $1.97 million for the three months ended March 31, 2021, compared to $1.42 million for the same period of last year.

Net cash provided by financing activities was nil for the three months ended March 31, 2021, compared to $0.08 million for the same period of last year.

About WeTrade Group Inc.

WeTrade Group Inc. is believed the world’s first technical service provider of Cloud Intelligent System and SAAS for micro-businesses. It is the first internationalized system in the global micro-business cloud intelligence field and also the leader, innovator and promoter of the world’s cloud intelligent system for micro-businesses. WeTrade Group independently developed the cloud intelligent system for micro-businesses (Abbreviation: YCloud). YCloud can strengthen users’ marketing relationship and CPS commission profit management through leading technology and big data analysis. It also can help increase the payment scenarios, revenue and group leader management to increase customers’ revenue by multi-channel data statistics, AI fission and management as well as improved supply chain system. Up to now, YCloud’s business has successfully landed in mainland China, Hong Kong, the Philippines, Singapore and other countries, covering the micro business industry, tourism industry, hospitality industry, livestreaming and short video industry, aesthetic medical industry and traditional retail industry. For more information, please visit https://ir.wetg.group

Forward-Looking Statements

This press release contains information about the Company’s view of its future expectations, plans and prospects that constitute forward-looking statements. Actual results may differ materially from historical results or those indicated by these forward-looking statements as a result of a variety of factors including, but not limited to, risks and uncertainties associated with its ability to raise additional funding, its ability to maintain and grow its business, variability of operating results, its ability to maintain and enhance its brand, its development and introduction of new products and services, the successful integration of acquired companies, technologies and assets into its portfolio of products and services, marketing and other business development initiatives, competition in the industry, general government regulation, economic conditions, dependence on key personnel, the ability to attract, hire and retain personnel who possess the technical skills and experience necessary to meet the requirements of its clients, and its ability to protect its intellectual property. The Company’s encourages you to review other factors that may affect its future results in the Company’s annual reports and in its other filings with the Securities and Exchange Commission.

For more information, please contact:

Ascent Investor Relations LLC
Tina Xiao
+1-917-609-0333
tina.xiao@ascent-ir.com  

 

 

WETRADE GROUP INC

BALANCE SHEETS

March 31,

December 31,

(All amounts shown in U.S. Dollars)

2021

2020

ASSETS

(unaudited)

Current Assets:

    Cash and Cash Equivalents

$    2,672,940

4,640,603

    Accounts Receivables

2,880,285

2,609,520

    Note receivable

4,516,275

3,097,981

    Other receivables

51,193

50,786

    Prepayments

1,313,949

61,707

    Total current assets

11,434,642

10,460,597

    Non current Assets:

Right of use assets

2,668,764

2,813,186

Intangible asset, net

45,782

49,029

Rental deposit

219,020

219,895

Total non-current assets

2,933,566

3,082,110

Total Assets:

14,368,208

13,542,707

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:

    Account payables

669,469

8,176

    Accrued expenses

238,634

263,355

    Tax payables

275,500

828,695

    Amount due to related parties

452,500

416,500

    Lease liabilities, current

585,153

569,865

    Other payables

344,547

90,633

Total Current Liabilities

2,565,803

2,177,224

    Lease liabilities, non current

2,308,369

2,471,598

Total Liabilities

4,874,172

4,648,822

Stockholders’ Equity:

    Common Stock; $0.00 per share par value; 305,451,498 issued and outstanding at March 31, 2021 and 305,451,498

    issued and outstanding at December 31, 2020

    Additional Paid in Capital

6,057,520

6,057,520

    Accumulated other comprehensive income (loss)

526,802

578,735

    Retained Earning/ (Accumulated Deficit)

2,909,714

2,257,630

    Total Stockholders’ Equity

9,494,036

8,893,885

Total Liabilities and Stockholders’ Equity

$  14,368,208

13,542,707

 

 

WETRADE GROUP INC

STATEMENTS OF OPERATIONS

Unaudited

Three Months

Three Months

ended

ended

March 31

March 31

2021

2020

Revenue:

Service revenue, related party

21,070

Service revenue

2,780,923

Total service revenue

2,780,923

21,070

Cost of revenue

(146,308)

Gross Profit

2,634,615

21,070

Operating expenses:

    General and Administrative

1,889,190

25,070

Operations Profit/ (Loss)

745,425

(25,070)

Other revenue/ (loss)

83,515

3,539

Net Profit/ (Loss) before Income Tax

828,940

(461)

Income tax expense

176,856

Net income (loss) attributable to noncontrolling interest

652,084

(461)

Other Comprehensive Income (Loss)

Foreign currency translation adjustment

(51,933)

(57,060)

Total comprehensive Income (Loss)

600,151

(56,599)

Basic and Diluted Net Income (Loss) per share:

0.00

(0.00)

Weighted average number of shares outstanding; Basic and Diluted*

305,451,498

301,888,665

*Share and per share amounts have been retroactively adjusted to reflect the increased number of shares resulting from a 1:3 stock
split.

 

 

WETRADE GROUP INC

STATEMENTS OF CASH FLOWS

For the

From the

Period

period

March 31,

March 31,

2021

2020

(unaudited)

(unaudited)

Cash Flows from Operating Activities:

Net Income/ (Loss)

$    652,084

(461)

Amortization of intangible asset

3,084

Changes in Operating Assets and Liabilities:

Accounts receivables

(284,056)

Note receivable

(1,444,683)

Other receivables

(615)

Prepayments

(1,272,083)

(13,531)

Amount due to related parties

36,000

(1,338,000)

Intangible assets

(56,191)

Accounts payables

668,159

Accrued expenses

254,206

(11,790)

Right of use assets

133,224

Lease liabilities

(135,835)

Tax payables

(578,814)

Net Cash Flows Used in Operating Activities:

(1,969,329)

(1,419,973)

Cash flow from financing activities:

Share issued for cash

78,000

Net cash provided by financing activities:

78,000

Effect of exchange rate changes on cash

1,666

(57,060)

Change in Cash and Cash Equivalents:

(1,967,663)

(1,399,033)

Cash and Cash Equivalents, Beginning of Period

4,640,603

6,591,128

Cash and Cash Equivalents, End of Period

$    2,672,940

5,192,095

Supplemental Cash Flow Information:

Cash paid for interest

 

$                –

Cash paid for taxes

$    553,195

 

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