Business
Paltalk, Inc. Reports Third Quarter 2020 Financial Results
Company Reports Second Consecutive Profitable and Cash Flow Positive Quarter, Revenue Increases by Over 10% Compared to Prior Year Period JERICHO, NY, Nov.
About this update from Intelligent Protection Management Corp.
[{"type":"text","content":"Company Reports Second Consecutive Profitable and Cash Flow Positive Quarter, Revenue Increases by Over 10% Compared to Prior Year Period\n JERICHO, NY, Nov. 05, 2020 (GLOBE NEWSWIRE) -- via NewMediaWire -- Paltalk, Inc., formerly known as PeerStream, Inc., (“Paltalk,” the “Company,” “we,” “our” or “us”) (OTCQB: PALT), a leading communications software innovator that powers multimedia social applications, today announced financial and operational results for the third quarter ended September 30, 2020. FINANCIAL AND BUSINESS HIGHLIGHTS: During the three months ended September 30, 2020, the Company executed key components of its business objectives, which resulted in the following: Total revenue was $3.3 million, an increase of 11.9% compared to the third quarter of 2019. This growth was driven primarily by an increase in subscription revenue of $0.3 million, or 9.8%, compared to the same period in the prior year and was down slightly, $0.1 million, or 3.1%, compared to the three months ended June 30, 2020; Achieved net income from continuing operations of $0.7 million, an increase of $2.3 million, or 147.5%, compared to the three months ended September 30, 2019 and an increase of $0.2 million, or 40.5%, compared to the three months ended June 30, 2020; andImprovement in net income from continuing operations was driven by increased revenue as well as a decrease in operating expenses of 31.6%, or $1.3 million, compared to the three months ended September 30, 2019 and a decrease of 3.0%, or $0.1 million, compared to the three months ended June 30, 2020. These reductions were a result of the Company’s streamlined operating plan, which eliminated costs associated with our secure communications business headcount as well as overall operating expenses. In addition, the Company recorded $0.2 million in other income, net in connection with the sale of certain assets associated with the secure communication business. Liquidity and Capital Resources Achieved positive cash flow from operations of $0.9 million for the nine months ended September 30, 2020, an improvement of $5.2 million compared to the nine months ended September 30, 2019;Realized positive net cash flow of approximately $1.6 million for the nine months ended September 30, 2020, an improvement of $4.6 million when compared to the nine months ended September 30, 2019; andCash an...