DigitalX Limited reports 31.8% revenue increase and 15% increase in Net Assets for the half-year ended 31 December 2023

DigitalX Limited (ASX: $DCC) has reported a 31.8% increase in revenue and a 15% increase in Net Assets for the half-year ended 31 December 2023. The company's loss for the period after providing for income tax amounted to $2,554,371, reflecting a 60.9% decrease from the prior corresponding period. The total comprehensive income was $3,448,205 compared to a loss in the previous corresponding period. The revenue growth was primarily driven by a 32% increase in revenue generated from the Sell My Shares business to $1,103,219 for the half-year, with a 58% increase in revenue from the Funds management business to $174,256.

Executive Commentary on Half-Year Results

DigitalX continued to progress on its business strategy of growing revenue and profitability through its sell my shares business and generating performance fees from its Funds Management Division whilst building on its 5 year track record in funds management. The company's Bitcoin Fund and DigitalX Fund ranked as the first and third best performing Australian funds for 1 year returns by Morningstar. The DigitalX Bitcoin Fund also closed out the year as SQM research's top performing fund for 1 year returns and second best performing fund for 3 year annualised returns. The company has also developed key strategic partnerships with Canadian-regulated asset manager 3iQ and ASX-listed K2 Asset Management to lodge its own spot Bitcoin ETF on the ASX that provides retail capability.

Summary of Half-Year Report and Outlook

In summary, DigitalX Limited has reported a strong half-year performance with significant revenue growth and a decrease in loss after tax. The company's strategic focus on revenue generation through its sell my shares business and funds management division has yielded positive results, with the Bitcoin Fund and DigitalX Fund ranking as top performing Australian funds. DigitalX's partnerships with 3iQ and K2 Asset Management demonstrate its commitment to expanding its offerings and providing retail capability. With a strong balance sheet and strategic initiatives in place, the company is well-positioned to execute its new strategy through its digital asset funds management business, digital finance products, and blockchain ventures. The application for an ETF with the ASX and the ongoing Mt Gox developments present potential opportunities for further growth and expansion in the future.