(Oslo, 30 August 2022) DLT ASA (DLTx, OSE: DLTX) reported a loss before tax of
USD 5.5 million in the second quarter of 2022, down from a profit before tax of
USD 2.1 million in the corresponding period last year,
"The first half of 2022 has been challenging from a macro-perspective, and while
it has certainly affected our financial results in the second quarter, I believe
we have taken important structural steps to build a DLTx for the future. We have
integrated the team acquired in the DSM Tech Enterprises transaction and are now
a fully integrated technology company with full in-house capabilities to develop
Web3 infrastructure," says Thomas Christensen, Chief Executive Officer.
DLTx reported cash flow from operating activities of USD -1.4m in the quarter,
down from USD 2m in the corresponding quarter last year. The company reported a
loss before tax of USD 5.5m, down from a profit before tax of USD 2.1m in the
corresponding period last year, mostly due to write down of Filecoin token
values.
"The low Filecoin prices have resulted in a write-down of our Filecoin of close
to USD 3m in the last six months and has had a significant impact on our
Filecoin revenues. Our Filecoin production continues its solid growth w, but the
low price means that the revenues are lower. We strongly believe in the
long-term business case for Filecoin as a back-end storage solution and I think
the price, risk and flexibility improvements offered by the network compared to
legacy providers are very compelling. When the price rebounds and we get further
in our operational development we expect to create significant cash flows from
our Filecoin operations," continues Christensen.
The company reported USD 525,000 in revenue for the quarter, with the majority
coming from DLTx Cloud and the Company's Filecoin storage provider. DLTx's
business development model means that the first two years of Filecoin operations
have been funded and the Company does not sell FIL to cover its expenses.
"DLTx is in its infancy as a company within a rapidly developing industry, and
we are focused on long term value creation for our shareholders. This means that
we are looking beyond the current bear-market and trying to take advantage of
the opportunities that arise. I am very happy about the progress we are making
and believe that we will have exciting news to share the next quarter."
Christensen concludes.
DLTx will present the financial results for the second quarter of 2022 on
Tuesday 30 August on a webcast hosted by CEO Thomas Christensen. The webcast can
be followed at:
https://channel.royalcast.com/landingpage/hegnarmedia/20220829_2
The presentation material and Board of Directors report for the second quarter
2022 are enclosed.
For further information, please contact:
Thomas Christensen, CEO, +47 922 55 444
About DLTx | www.dltx.com
DLTx is a vertically integrated technology company expanding Web3 by deploying
blockchain infrastructure at scale across major global industries. We are
decentralists who believe in the new economy that's powered by cryptographic
digital assets. Our team has been at the forefront of developing and launching
10 of the most important protocols in the blockchain space including Ethereum,
developed the first blockchain investment fund in 2014, built out massive scale
mining infrastructure since 2015, and now operates the first publicly traded
company focused on powering Web3.
This information is considered to be inside information pursuant to the EU
Market Abuse Regulation and is subject to the disclosure requirements pursuant
to section 5-12 of the Norwegian Securities Trading Act.