SANTA BARBARA, CA–(Marketwired – May 18, 2016) – CloudCommerce, Inc. (CLWD), a provider of advanced e-commerce services to leading brands, today announced the filing of its third quarterly report after the recent acquisition of Indaba Group (“Indaba”), with consolidated revenue showing continued improvement over the same quarter in the prior year.
Total revenue for the nine months ended March 31, 2016 increased by $1,239,978 to $1,628,612, compared to $388,634 for the nine months ended March 31, 2015. This approximate 319% increase was primarily due to the acquisition of Indaba.
The consolidated net loss for the three months ended March 31, 2016 was $791,115, compared to the consolidated net loss of $1,314,769 for the three months ended March 31, 2015. The decrease in net loss for the period was primarily due to the discontinuance of derivative accounting, partially offset by interest expense and additional operating costs of Indaba.
“We’re happy to announce another good quarter with steady results from operations,” said CloudCommerce CEO Andrew Van Noy. “We’re pleased that the acquisition of Indaba has created value for our shareholders. We believe that by continuing to execute our growth-by-acquisition plan we have the potential to further enhance our financial health and progress. We’re very proud of the management team at Indaba. They continue to work hard at improving day to day operations and executing the plan for internal growth.”
Mr. Van Noy concluded, “At the corporate, level we continue to pursue additional acquisitions that will fit within our family of e-commerce companies and add shareholder value.”
E-commerce has been reported to be one of the fastest-growing industries in the world. According to market research firm eMarketer, global consumers will spend $1.672 trillion online this year, and by 2019, online purchases are projected to more than double to $3.551 trillion, which will include roughly 12.4% of overall retail sales worth $28.550 trillion. CloudCommerce has previously announced its plans to grow by making acquisitions similar to its purchase of Indaba that will be highly accretive to both top- and bottom-line financial results. The strategy mirrors that used by many other successful information technology firms, such as PFSweb Inc., Perficient Inc., and Cognizant Technology Solutions Corporation.
CloudCommerce, Inc. (CLWD) provides advanced e-commerce services to leading brands. Our customers depend on us to help them compete effectively in the $1.6 trillion worldwide e-commerce market. Our comprehensive services include: (1) development of highly customized and sophisticated online stores, (2) real-time integration to other business systems, (3) digital marketing and data analytics, (4) complete and secure site management, and (5) integration to physical stores. Our goal is to become the industry leader by rapidly increasing the number of customers who regularly depend on us and by acquiring other rapidly growing e-commerce service providers. To learn more about CloudCommerce, please visit www.cloudcommerce.com.
Matters discussed in this shareholder letter contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words “anticipate,” “believe,” “estimate,” “may,” “intend,” “expect” and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These risks include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, products, and prospects for sales, failure to commercialize our technology, failure of technology to perform as expected, failure to earn profit or revenue, higher costs than expected, persistent operating losses, ownership dilution, inability to repay debt, failure of acquired businesses to perform as expected, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.