WeTrade Group Inc. , an emerging growth company engaged in the business of providing software-as-a-services (SaaS) and cloud intelligent systems for micro-businesses, reports its financial results for fiscal year 2021 ended December 31, 2021.
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Mr. Pijun Liu, Chief Executive Officer of Wetrade, commented, “2021 was another strong year for us, with solid year-over-year growth across our key financial metrics. The COVID-19 pandemic boosted the home-based economy and has further promoted the rapid development of e-commerce, live broadcasting, and short videos. As a result, the market demand for the tools of SaaS and cloud intelligent systems provided by the Company for micro-businesses was strong, which is a significant factor for the Company’s fast growth. The solid financial results for fiscal year 2021 are the best proof. Looking forward, the Company will continue focusing on business development in vertical areas and investing our resources to create value and returns for our shareholders. We strive to achieve breakthrough innovations in the field of e-commerce retail SaaS and promote the sustainable development of enterprise service.”
Mr. Kean Tat Che, Chief Financial Officer of Wetrade, commented, “Our high financial growth in 2021 is contributed by the booming of short video and live-streaming e-commerce and the rapid transition of business from offline to online. However, the resurgence of the COVID-19 pandemic at the beginning of 2022 disrupted our planned operation and expansion. In the future, we will keep optimizing our strategic development plan in a timely and effective manner to mitigate the adverse impact of the COVID-19 pandemic to ensure our financial resilience.”
Cost of revenue was $2.68 million for fiscal year 2021, compared with $0.62 million for the same period of last year. The increase is mainly due to more staffs were recruited during the period. The increase is in line with the increase in revenue during the period.
Gross profit and gross margin
Gross profit increased by $6.04 million, or 106.8%, to $11.70 million for fiscal year 2021 from $5.66 million for the same period of last year.
Gross margin was 81.4% for fiscal year 2021, compared with 90.2% for the same period of last year.
General and administrative expenses increased by $3.80 million, or 200.1%, to $5.71 million for fiscal year 2021 from $1.90 million for the same period of last year. The increase is mainly due to increase in the payroll expenses as a result of more new staffs were recruited during the year.