Karma 2019.Q4 Financial Report

Hello, dear friends!

Let’s discuss our financial results for the 4th quarter of 2019. You can check the detailed data in the comfortable Google Spreadsheet, including historical data by quarters.

First Nestlé milk-n-chocolate factory in Vevey, Switzerland. It took about 24 years for Henri Nestlé to find the product-market fit with powdered baby milk. Today Nestlé has approx. $100B of annual revenue.

Key points:

• Our total net quarterly loss is $202,832 which is +37% to 2019.Q3 and -62% to 2018.Q4.
• Our quarterly operational expenses have grown +9% to 2019.Q3 because we’ve paid some layoff fees to our ex-employees, and have been forced to switch to another bank.
• Our runway time looks like 2.5 quarters from this report, but we've significantly cut our operational expenses during January-April 2020, to approx. $35k/mo. This means we've got enough money to work for a year.
• We've increased our income from platform fees +91% due to the significant loan volume growth.
• Karma has focused on revenues from fees during the year, and it has grown from $1,000 in January to $12,250 in December.
• We've got 7000+ registered investors at the end of the quarter.
• The amount of the investors’ deposits to the loans has been almost doubled QoQ.

What’s next:

• Our main focus is the same: to grow the loan volume to become self-sustainable.
• The target volume is roughly $1.5M/mo. We’ve got approx. $600k in December, compared to $120k in August. So, we're on the right track 👌

Cheers ˆ_ˆ