RTB Digital (RTB) Q3 2015 earnings summary

Executive summary

• Q3 revenue fell to $216,000 from $412,532 YoY; results shifted to a $13,228 net loss from $130,883 net income, while 9M net income declined to $157,893 from $192,156.

• At Sept. 30, 2015, stockholders’ deficit was $774,301 and working capital deficit was $399,741; the filing cites substantial doubt about continuing as a going concern.

Financial highlights

• Q3 2015 total revenue was $216,000 vs. $412,532; gross profit was $139,200 vs. $246,007, and operating loss was $16,530 vs. operating income of $180,736.

• 9M 2015 total revenue was $997,418 vs. $1,294,657; gross profit was $598,618 vs. $679,632, and operating income was $242,353 vs. $377,332.

• 9M net income was $157,893 vs. $192,156; basic and diluted EPS were each $0.01 in both periods.

• 9M operating cash flow was $196,706 vs. $330,868; cash ended at $41,355, down $65 from the start of the period.

Outlook and guidance

• Management aimed to grow real estate transactions and advisory revenue; it expected support from major shareholders through a note payable to help sustain operations for 12 months.

• Longer-term growth plans called for internally generated funds plus potential debt and equity financing; no commitments had been received for planned capital investments.