Leafbuyer Technologies Inc. (OTCMKTS:LBUY) has reported a 41% year-over-year increase in annual revenue for the fiscal year ended June 30, 2020.
Leafbuyer reported a gross profit of 52% YoY
Equally the company reported a 52% YoY increase in gross profit with operational expenses dropping by 18%. Leafbuyer had an exceptional last few months and between July 2019 and June 2020, the number of new customers using its texting platform was up 116% with texting credit usage rising 179% in the past twelve months ended June 30. When compared to 2018 figures the company’s revenue for fiscal 2020 was up 124% with average annual revenue growth of 50% in the past two years. Equally, Leafbuyer’s monthly cash from recurring revenue was up 48% with an average growth rate of 9% in the last six months of the year.
Most importantly, the company’s revenue increase and a drop in operating expenses mean that Leafbuyers is within reach of an operational profitability target. Leafbuyer CEO Kurt Rossner stated that the company’s average annual growth in the last two is a reflection of the momentum they have created. Rossner is optimistic that the momentum will continue going forward and accelerated at Leaf buyer deploys new technologies that its team has been developing in recent months.
Leafbuyer implemented new tech to boost revenue
The company’s YOY success is mainly due to its expansion into new legal markets, sales and marketing efforts, growth in recurring revenues per month, and implementation of new technologies. Rossner said that Leafbuyer’s investment in software creation boosted the company’s ability to scale its product offering, enhance customer retention, and also grow recurring revenue. He added that all the efforts the company has made so far in recent times have had a positive impact on the company’s bottom line this making it possible for the company to attain operational profitability soon.
Leafbuyers’s annual growth rate of 41% in revenue is almost triple the industry’s predicted 14% compound annual growth rate. ArcView Market research predicts that the legal cannabis industry could hit $47.3 billion by 2027 in North America.
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