SAN DIEGO--(BUSINESS WIRE)--XY Labs (tZERO: XYLB), the company behind XYO (Coinbase: $XYO), the world’s first trustless oracle backed with cryptography, reported its semi-annual financial results for the six months leading to June 30, 2022. Despite headwinds in the cryptocurrency market, XY Labs saw significant growth in its net sales, reporting a 51% increase during the first six months of fiscal year 2022 (FY 22) as compared to the same period of FY 21.
Among the drivers of growth for XY Labs during the first half of 2022 include the next-generation launch of the XYO Network 2.0 and the accelerated growth of its user network which now has seen over 5 million nodes worldwide. Additionally, and more recently, XY Labs began trading its stock (XYLB) on the tZERO ATS, making XYO the largest blockchain protocol owned by a company offering SEC-registered shares. XY Labs has also broadened its roster of partnerships, including the launch of a $20 million ecosystem fund in collaboration with Outliers Fund. In addition to expanding the XYO ecosystem, the fund is designed to benefit an array of geospatial blockchain projects during tumultuous times for the market since new capital investment can be sparse.
Key Financial Figures at a Glance
- Net sales increased by approximately $2.5 million to $7.3 million, or 51.9%, in the six months ending June 30, 2022 compared to the same period of FY 21.
- Cost of sales increased minimally by approximately $23K in the six months ending June 30, 2022 compared to the same period of FY 21.
EBITDA decreased by approximately $6.5 million in the six months ending June 30, 2022 compared to the same period of FY 21 partly due to necessary divestitures and varied non-recurring or non-operational activities.
- To account for and reconcile the divestitures and other outlying activities, the EBITDA was adjusted to reflect a decrease of approximately $2.5 million in the six months ending June 30, 2022 compared to the same period of FY 21.
“Since the company’s founding in 2012, XY Labs has taken the long view, focusing on building and scaling a global data network utilizing people’s dataistic relationship to the physical world,” said Arie Trouw, Co-Founder of XYO and CEO of XY Labs. “Today, we stand at the forefront of the emerging data-economy, offering unique tools and technologies that seamlessly add value to the lives of our users–of which there have been more than five million and growing. With continued persistence and evolution in the face of changing markets, I am as confident as ever in the company’s future and look forward to our continued growth.”
The full 1-SA report for the first half of the year ending June 30, 2022, is available on the Securities and Exchange Commission (SEC) website here.
About XYO and XY Labs
XY Labs is a technology company based in California with a mission to create software and location-data-driven devices to build a global data network focused on people's Dataist relationship to the physical world. XY Lab's products include the COIN app, and the company launched oracle network XYO. With over 5 million nodes brought online for the XYO network, users worldwide can participate in the network and even get monetarily rewarded for doing so.