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Ripple’s Partner MoneyGram Beats Expectations in Q4 Earnings Report

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Tue, 02/25/2020 - 14:18
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Alex Dovbnya
MoneyGram remains unprofitable despite higher-than-expected earnings in Q4
Ripple’s Partner MoneyGram Beats Expectations in Q4 Earnings Report
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Cryptocurrency company MoneyGram has released its Q4 financial report where it highlighted its better-than-expected earnings. The company's total revenue in the last quarter of 2019 amounted to $323 mln. 

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$8.9 mln as a contra expense 

In its business report, MoneyGram called attention to the fact that it continued expanding its strategic partnership with San Francisco-based blockchain behemoth Ripple, which owns 9.95 percent of its outstanding common stock. This coincided with its rapid digital transformation — MoneyGram Online has witnessed a 39 percent year-over-year increase in number of transactions.    

"This was a pivotal year for us as we continued to execute our digital transformation and deliver a differentiated experience to our customers," said Alex Holmes, the CEO of MoneyGram. 

The aforementioned revenue figure excludes Ripple's $8.9 mln financial benefit. The SEC recommended MoneyGram count it as part of MoneyGram's contra expense account. 

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Ripple's Partner MoneyGram Ventures Into Asia-Pacific Region After Signing Major Deal

Struggling to turn a profit 

Despite MoneyGram's upbeat earnings report, the Dallas-based money transfer company is still struggling to remain profitable after ending yet another quarter in the red. 

In Q4, it reported a net loss of $11.9 mln compared to $7.7 mln in the previous quarter. 

MoneyGram's shares are currently down by more than six percent pre-market.  

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.