FreeStar Technology (OTC Bulletin Board: FSRT) an international card payments processor and technology company, today reported financial results for the three month and nine-month periods ended March 31, 2008.
Revenue for the three months ended March 31, 2008 was $1,629,150 compared to $1,125,634 for the three months ended March 31, 2007 an increase of $503,516 or approximately 45%. Revenue consisted of transaction processing and related revenue of $575,002, an increase of 19% over prior year. The Company processed a total of 4,047,161 transactions during the three months ended March 31, 2008, this number does not reflect the sales of POS (Point of Sale) terminals that are charged a flat recurring rate monthly fee rather than per transaction fee.
Revenue for the nine month period ending March 31st 2008 showed a 85% increase over the same period ending March 31st 2007. The Company had revenue of $4,432,358 for the nine months ended March 31, 2007 compared to $2,399,396 for the nine months ended March 31, 2007, an increase of $2,032.962. Revenue consisted of transaction processing and related revenue was $1,575,507 compared to $1,443, 763 during the prior year an increase of 9%. The Company processed a total of 14,233,019 transactions. This number does not reflect the sales of POS (Point of Sale) terminals that are charged a flat recurring rate monthly fee rather than per transaction fee.
The Company reports continued trend in increases of Consulting services. There was an increase of 60% with a total of $760,119 for the three months ended March 31, 2008 compared to $474,505 during the prior year. An increase of 178% with revenue of $2,049958 for the Nine months ended March 31, 2008, compared to $738,449 during the prior year.
"The Company's Consulting revenue is generated primarily from the company's 50% stake in PLC (Project Life Cycle Partners). This will continue to increase with more terminals being deployed and further expansion into more countries with our Cross border payments processing ability. We expect to report increased revenue from consulting services in the Fiscal year ending June 30, 2008," stated Freestar's CEO Paul Egan.an.l Egan.;s CEO Paul Egan.
Hardware and related revenue was $806,893 during the Nine months ended March 31, 2008 compared to $589,709 the prior year, an increase of 272%. "This has been a record year thus far in both Consulting services and Hardware sales. We will continue this trend as we expand our customer base and recognize additional revenue streams from both annual maintenance fees and service initiation fees. Our International projects are in progress and we can expect to see a healthy increase in processing revenue throughout 2008," stated CEO Paul Egan.
Commenting on the results, Ciaran Egan, Chief Financial Officer, said: "This has been a very exciting year thus far for Freestar Technology Corporation. We believe we have achieved significant progress as a company through our continued investment in technical infrastructure, raising our profile, visibility, and customer support network. As a global business, we have further demonstrated that we can secure and deliver a wide range of cutting edge payment solutions to a wide range client base across a world market.
"We believe that this is very much the beginning of what can ultimately be achieved by the Company. We have an excellent team, a growing reputation for delivering quality solutions and a significant market opportunity."
Mr. Egan noted some recent highlights:
- Launched Multi-Currency Enabled IP Solution in Denmark
- Brings PCI Approved, Palm-Sized Mobile Payments to Finland
- Launched Stand Alone Dynamic Currency Conversion ("DCC") Solution At the
Point of Sale in the European Marketplace
- Major Finnish ICT Solutions Provider to Offer Rahaxi Processing's Secure
Payments Interface, Rahaxi-OTI to Its Clients
- Demand for EMV and PCI Compliant Payments Processing Products Prompts
First Major Order of Terminals in the Dominican Republic