R8 Capital Inv Regulatory News (MODE)

Mode Global Holdings PLC

("Mode" or "the Company" or "the Group")

Unaudited interim results for the six months ended 30 June 2022

Mode Global Holdings PLC (LSE: MODE), the LSE-listed Fintech Group, is pleased to announce its unaudited results for the six months ended 30 June 2022.

Rita Liu, Mode CEO comments: "2022 has presented a highly volatile and challenging macro environment in which to operate. For tech and crypto companies, this has presented new challenges on an almost daily basis, with fiat and crypto markets seeing considerable losses, and reduced access to capital as markets prepare for possible recession. In light of this, Mode has done all it can to help its users trade in a safe and stable environment, providing more and more features to help support their crypto exposure, either actively or passively. We have also relentlessly worked on optimising our cost structure while continuing to build on our core propositions.

"That being said, the challenges the market has faced have impacted our numbers. Compared to H1 2021 which saw a crypto bull run, just 12 months later we face a very different environment. However, our conviction in creating value by leveraging cutting edge technology such as crypto and open banking has never been stronger. Our ecosystem of brands, partners, and users are growing despite the challenging macro environment, and the variety and diversity of our product development has given us resilience during a volatile time. We are highly confident about the future of Mode and the wider fintech and crypto industry. "

Financial Summary

● Revenue of £0.5m down 34% (H1 2021: £0.8m) driven by a significant reduction in trading at Fibermode which was driven by a market led drop in trading revenue of 80% to £0.09m (H1 2021: £0.48m). This was offset by growth in Global Services revenue of 34% to £0.44m (H1 2021: £0.33m).

● Basic loss per share improved to (3.9p) (H1 2021: (4.4p)) . This is a significant improvement on the year ended 31 December 2021 where our Basic loss per share was (10.0p).

● Gross profit margin remained relatively flat at 12% in line with 12% for the year ended 31 December 2021.

● Cash at bank £2.3m as at 30 June 2022 (FY 2021: £4.1m). 

Commercial Growth

● Bitcoin payroll partnership with ecommerce firm Heroes allowing employees to take salary in Bitcoin, one of the first companies in the UK to offer payment in Bitcoin

● Bitcoin payroll partnership with payroll and employment platform Lano

● Successful launch of new Bitcoin Cashback product allowing customers to receive Bitcoin Cashback as they shop

Corporate Highlights

● Resignation of CEO Ryan Moore and appointment of New CEO Rita Liu

● Mike Robertson and David Shrier appointed as Non Executive Directors

● Dr Jose Sanchez Loureda appointed Chief Technology Officer

Post Period End

● Successful issue of convertible loan notes to new and existing investors raising £2,000,000

● Conversion of an aggregate of £258,715.22 principle amount of the Loan notes resulting in the issue of 6,340,112 new ordinary shares within a nominal value of 1 pence each

● FCA approval granted to add multi-tokens to the Mode App

● Bitcoin Cashback expanded to users of over 350 leading UK retailers, and saw 129% growth in customer purchases via the Mode app (based on a 4 week rolling sales average) from the launch in May to September.

● User base continued to grow to 401,388 downloaded users, and 101,917 registered users (as of September 28th, 2022).

The Interim Report & Accounts will shortly be available to download from the Company's website at https://www.modeplc.com/investors/results-reports-presentations

These documents have also been submitted to the National Storage Mechanism and will shortly be available for inspection at: https://data.fca.org.uk/#/nsm/nationalstoragemechanism.

-ENDS-

Press contacts:

Chris Tuite, MRM

+44 (0)7471 350810

mode@mrm-london.com 

Julie Sand, Mode Global Holdings PLC

+44 (20) 3773 0588

julie.sand@modeapp.com

Notes to Editors

About Mode:

Mode's vision is to be the most trusted crypto company, enabling our customers to discover, own, and utilise digital assets. As an EMI licence holder, and a FCA registered crypto asset business, Mode is leveraging the power of crypto and Open Banking to deliver on this mission and offer customers in the UK a one-stop app to shop, earn and grow their crypto, all in one place. For businesses, Mode provides a cheaper, safer and smarter alternative to card payments that rewards shoppers with crypto. 

To learn more, visit our customer/business site at www.modeapp.com or our investor site at www.modeplc.com.