DFNN Group grows revenue in 2022 by 69% and EBITDA by 190.7% from 2021
The Group enjoyed extraordinary development in all facets of its business in 2022. The Group had a successful fiscal year, recording total sales of ₱905.8 million, an increase of ₱369.7 million or a growth rate of 69.0% over the previous year. EBITDA was a healthy ₱237.5 million, as opposed to the prior year’s loss before interest, taxes, depreciation, and amortization of ₱252.2 million. The company’s successful equity restructure, along with the continuous increase in sales and the launch of numerous tailored interactive technology platforms, are all responsible for this tremendous turnaround.
DFNN Chairman and Founder Ramon Garcia Jr
With revenue targets effectively met, the Group ended the year strong with a total revenue for the year ended December 31, 2022 amounting to ₱905.8 million compared to 536.1 million in 2021, an increase of ₱369.7 million or 69.0% growth rate, year-on-year. EBITDA amounted to a robust ₱228.7 million versus a loss before interest, taxes, depreciation and amortization of ₱252.2 million year-on-year, resulting to a solid growth rate of 190.7%.
Gross profit stood at ₱586.6 million versus ₱135.5 million year-on-year, posting an impressive 333.1% growth rate. Net income amounted to ₱73.9 million for the period ended December 31, 2022, sustaining a growth of 117.3%, year-on-year. This a direct effect of the significant increase in the sales and operations of all the company’s business streams.
Revenue from share-based income generated from interactive operations increased by 69.4%, year-on-year. Total revenue in this category amounted to ₱698.6 million compared to ₱412.4 million year-on-year. This impressive increase in commission income is attributable to a steady surge in sales and the introduction of various customized interactive technology platforms.
Revenue generated from the development and maintenance of software solutions also posted steady growth amounting to ₱188.0 million, an increase of ₱80.5 million from ₱107.5 million or 74.9%, year-on-year.
Sales of software and application licenses amounted to ₱19.2 million, presenting an increase of ₱2.9 million or 18.1%, year-on-year. The increase in revenue is due to the increase in foreign license revenue.
All areas of the DFNN Group’s business continue to exhibit robust growth trends amid the residual effects of Covid as experienced by any other company and compounded by the challenging high inflationary environment.
As efforts to further operational efficiencies to lower costs are implemented, consolidated cost and expenses decreased by ₱89.8 million or 10.2% year-on-year, amounting to ₱792.9 million compared to ₱882.8 million in 2021.
Despite the lingering effects of Covid and the difficult high inflationary environment, the DFNN Group’s business showed strong growth trends in all areas. The organization’s outstanding performance is evidence of its tenacity and unwavering dedication to excellence. DFNN is prepared to seize the opportunities that lay ahead and is upbeat about the future. The company is well-positioned to pursue its growth plans and achieve even greater success in the years to come with a consolidated cash and cash equivalent of ₱99.2 million and no significant long-term debt.
As we continue to strive to constantly grow in the highly dynamic digital platforms and artificial intelligence (AI) industry, DFNN will further implement the strengths of its core competencies working with the latest Philippines laws which allow companies seamless implementation of its fintech, blockchain, quantum computing, and AI technologies. The Group and its partners envision to be leading propagators and use its cutting-edge capabilities to assist in laying down the foundation for a robust digital economy.