Punktid Technologies (PNKTD) Q2 2024 earnings summary

Executive summary

• Focused on international expansion and platform optimization, including new payment options and Google Shopping marketing, despite a sharp decline in Baltic purchasing power and retail sales volume in H1 2024.

• Deliberate reduction in wholesale activities to prioritize platform development, driven by supplier changes and contract delays.

• Opened the German market and prepared for entry into Spain, supported by new CTO and product range expansion.

• July 2024 saw record monthly turnover, surpassing December 2023, indicating early signs of recovery.

Financial highlights

• H1 2024 sales revenue fell 81% year-over-year to €101,004; platform commission revenue was €43,000, wholesale €58,000.

• Gross merchandise value (GMV) on the platform dropped 40% to €434,000; wholesale volume declined 87% to €58,000.

• Operating expenses decreased 65% to €79,000; professional service costs fell by €4,000 to €10,000.

• Net loss for H1 2024 was €67,897, improved from a €86,896 loss in H1 2023.

• Cash flow from operations improved to -€22,198 from -€92,057; total cash flow positive at €10,811 versus -€107,887 in H1 2023.

Outlook and guidance

• Revised 2024 forecast: retail turnover €1.0 million (down 76% from IPO forecast), wholesale €0.1 million (down 89%).

• Expansion in Germany and Spain expected to drive future growth; July 2024 performance signals potential rebound.