The Exodus Platform developed by Exodus Movement, Inc. facilitates the use of digital assets by individuals and businesses. The software application allows users to purchase and sell digital assets with fiat currency. The Exodus Platform does not support as many digital currencies as some the Company’s competing ‘crytpo wallets’, but it is quite versatile with apps for desktop computers, mobile devices and browser apps. The interface is simple, making it popular with individuals with little experience in digital currency.
In the twelve months ending June 2024, the Company reported $81.81 million in total revenue, providing $18.18 million in operating income. We are disappointed that the Company failed to generate positive operating cash flow during this period, but note that it has delivered internal cash flow in the past. It is also noteworthy that the Company’s return on invested assets was 46.25% while its cost of capital was 10.20% during this period, providing shareholders with an incentive to wait for positive cash flows.
In July 2024, the Company introduced a new product called Passkeys Wallet, which simplifies funding a wallet in a safe and secure platform. Is was planned to give reduce barriers to entry for cryptosystem users and make accessible self-custody of digital assets. At the time of the launch, Exodus management indicated there was a waitlist to acquire the Passkeys Wallet application. We expect it to be a key driver of revenue in the coming months.
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