Treasure Global Reports Second Quarter Fiscal Year 2023 Results

Total Revenues of $20.4 Million For Q2 2023

Gross Profit Of $0.23 Million Improved by 68% Year-Over-Year

Game-Changing Online Food & Beverage Management System, TAZTE, Made Available To Users In December 2022, Digitalizing The Food & Beverage (“F&B”) Industry

NEW YORK and KUALA LUMPUR, Malaysia, Feb. 15, 2023 (GLOBE NEWSWIRE) -- Treasure Global Inc (NASDAQ: TGL) (“TGI”, or the “Company”), an innovative e-commerce platform providing seamless technology enabled solutions for lifestyle needs, today reported its financial results for the second quarter of the fiscal year 2023 ended December 31, 2022.

“The second quarter of fiscal year 2023 was pivotal for TGI as we made our digital F&B management platform, TAZTE, available to all registered users in the ZCITY platform. This product is a key step in our corporate strategy to increase gross profit and improve margins,” said Sam Teo, Chief Executive Officer of TGI. “By leveraging our large and growing user base, we focus on providing innovative e-commerce solutions to enable our customers to enhance their lifestyle goals. We are on our way to achieving this as we saw active user retention rate increase by 98.1% year-over-year, and an improvement in gross profit by 68% year-over-year. TAZTE is one of TGI’s game changing products – we are excited to provide greater insight on our product pipeline in 2023 and beyond.”

“In addition, we made great progress in enhancing our regional partnerships. We entered into a new partnership with Malaysia’s leading payment gateway, iPay88, to provide e-commerce and retail payment solutions for ZCITY, not only in Malaysia but also further Southeast Asian countries including Indonesia, Thailand and the Philippines, supporting ZCITY’s future regional expansion. Also, we signed an MOU with a leading regional fintech provider, Boost, to onboard Boost Credit’s digital financing solutions to TAZTE, increasing our brand exposure and extending our reach to F&B businesses. As the Southeast region continues to re-open after the COVID-19 pandemic, we are well positioned to tap into market trends and further execute our regional expansion plans,” added Mr. Teo.

Financial Highlights for the Second Quarter, Fiscal Year 2023

  • Total revenues of approximately $20.4 million
  • Gross profit of approximately $0.23 million
  • Net loss was approximately $2.0 million
  • Cash and cash equivalents of $4.7 million

Recent User Highlights as of December 31, 2022

  • Over 2.3 million Registered Users
  • Over 240,000 Monthly Active Users
  • 45% of Paid Users transacted 3 or more times in a quarter, which is an increase of approximately 30% year-over-year
  • Quarterly Active Users were up 8.8% year-over-year
  • Active User Retention Rate was up 98.1% year-over-year
  • 0.9 million total transactions by Registered Users in the second quarter fiscal year 2023

Recent Business Highlights

  • Signed a strategic partnership MOU in Malaysia with Boost, a leading regional full spectrum fintech player
  • Launched TAZTE, an automated management system to innovate and streamline the F&B industry
  • Signed an MOU with iPay88, for the payment gateway system to become TGI’s exclusive partner for ZCITY and TAZTE
  • Launched ZCITY app campaign with the leading retail petroleum company In Malaysia

Financial Results for the Second Quarter, Fiscal Year 2023

Total revenues for the second quarter of fiscal year 2023 were approximately $20.4 million, compared to approximately $22.4 million for the second quarter of fiscal year 2022. The decrease was mainly attributable to resources being allocated to membership subscriptions that generate revenues with better margins.

Gross profit was approximately $0.23 million, or gross margin of approximately 1.1%, for the second quarter of fiscal year 2023, compared to $0.14 million, or gross margin of approximately 0.6%, for the second quarter of fiscal year 2022. The increase in gross profit was primarily due to an increase in membership revenue with better margins.

Net loss was approximately $2.0 million for the second quarter of fiscal year 2023, compared to $3.2 million second quarter of fiscal year 2022.

Cash and cash equivalents were approximately $4.7 million as of December 31, 2022, compared to approximately $7.0 million as of September 30, 2022.

Outlook for Fiscal Year 2023

For fiscal year 2023, TGI continues to focus on increasing user engagement and margins. The Company expects to achieve this through releases of innovative new products and solutions, as well as executing its regional expansion plans in Southeast Asia. With a solid balance sheet and proven infrastructure, TGI is well placed to achieve its strategic priorities and further develop as a leading innovative e-commerce provider in the Southeast Asia region.

Conference Call and Webcast Information
The Company will host a conference call and audio webcast today, Wednesday, February 15, 2023, at 8:30 a.m. Eastern Time featuring remarks by Sam Teo, CEO and Jaylvin Chan, CFO.

Event: Treasure Global Second Quarter Fiscal Year 2023 Results Conference Call
Date: Wednesday, February 15, 2023
Time: 8:30 a.m. Eastern Time
Live Call: +1-877-704-4453 (Toll Free) or +1-201-389-0920 (International)

For interested individuals unable to join the conference call, a replay will be available through March 1, 2023, at +1-844-512-2921 (U.S. Toll Free) or +1-412-317-6671 (International). Participants must use the following code to access the replay of the call: 13735893. An archived version of the webcast will also be available on TGI’s Investor Relations site:

About Treasure Global Inc
Treasure Global Inc (“TGI”) is an innovative Malaysian e-commerce platform providing seamless technology enabled solutions for lifestyle needs with instant rebates and affiliate cashback programs. On a mission to bring together the worlds of online e-commerce and offline physical retailers, TGI is developing a portfolio of leading digital platforms for use throughout Southeast Asia (“SEA”) and Japan. In June 2020, TGI launched its proprietary product, the ZCITY App, a unique digital ecosystem that transforms and simplifies the e-payment experience for consumers, while simultaneously allowing them to earn rewards. In the ZCITY ecosystem, users can utilize TAZTE, a revenue generating digital F&B management system providing merchants with a one-stop touchless management and automated solution to digitalize their businesses. As of December 31, 2022, ZCITY had over 2,300,000 registered users.

For more information, please visit

Forward Looking Statements
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements are characterized by future or conditional verbs such as “may,” “will,” “expect,” “intend,” “anticipate,” “believe,” “estimate” and “continue” or similar words. You should read statements that contain these words carefully because they discuss future expectations and plans, which contain projections of future results of operations or financial condition or state other forward-looking information. Forward-looking statements are not guarantees of future performance, are based on certain assumptions and are subject to various known and unknown risks and uncertainties, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company’s registration statement and preliminary prospectus for the Company’s initial public offering filed with the SEC. Copies of these documents are available on the SEC’s website, These forward-looking statements cannot be predicted or quantified and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

For further information, please contact:

U.S. Investor Contact
Allison Soss
KCSA Strategic Communications

Malaysian Investor Contacts

Media Contact
Sue Chuah, Chief Marketing Officer
Treasure Global Inc

    December 31,       June 30,  
    2022       2022  
CURRENT ASSETS              
Cash and cash equivalents $ 4,720,614     $ 1,845,232  
Accounts receivable, net   53,436       -  
Inventories   197,688       216,069  
Other receivable and other current assets   216,915       8,780  
Prepayments   530,772       203,020  
Total current assets   5,719,425       2,273,101  
OTHER ASSETS              
Property and equipment, net   347,871       337,645  
Other assets, non-current   100,082       -  
Operating lease right-of-use asset   72,108       -  
Deferred offering costs   -       93,536  
Total other assets   520,061       431,181  
TOTAL ASSETS $ 6,239,486     $ 2,704,282  
Related party loan, current portion $ 5,164     $ 4,505  
Convertible notes payable, net of unamortized discounts of $0 and $717,260 as of December 31, 2022 and June 30, 2022, respectively   -       10,954,042  
Convertible notes payable, related parties   -       2,437,574  
Loans from third parties   -       1,417,647  
Account payable   86,545       25,397  
Account payable, related parties   -       14,326  
Customer deposits   107,604       73,317  
Contract liability   139,864       56,757  
Other payables and accrued liabilities   288,907       1,161,860  
Other payables, related parties   31,393       -  
Amount due to related parties   332,188       2,060,088  
Operating lease liability   32,320       -  
Income tax payables   39,445       16,445  
Total current liabilities   1,063,430       18,221,958  
Operating lease liability, non-current   36,674       -  
Related party loan, non-current portion   11,285       13,883  
Senior note   -       65,000  
Total non-current liabilities   47,959       78,883  
TOTAL LIABILITIES   1,111,389       18,300,841  
Common stock, par value $0.00001; 150,000,000 shares authorized, 17,288,116 and 10,545,251 shares issued and outstanding as of December 31, 2022 and June 30, 2022, respectively   173       105  
Additional paid-in capital   30,514,931       4,020,552  
Accumulated deficit   (25,400,253 )     (19,715,740 )
Accumulated other comprehensive income   13,246       98,524  
TOTAL STOCKHOLDERS' EQUITY (DEFICIENCY)   5,128,097       (15,596,559 )

  For the Three Months Ended December 31,     For the Six Months Ended December 31  
  2022     2021     2022     2021  
REVENUES $ 20,444,168   $ 22,362,136   $ 36,000,508   $ 42,730,654  
COST OF REVENUES   (20,210,159 )     (22,222,652 )     (35,729,406 )     (42,519,595 )
GROSS PROFIT   234,009       139,484       271,102       211,059  
SELLING   (1,266,300 )     (1,867,085 )     (2,559,330 )     (3,617,050 )
GENERAL AND ADMINISTRATIVE   (855,573 )     (556,812 )     (1,666,319 )     (1,065,867 )
RESEARCH AND DEVELOPMENT   (167,933 )     (124,849 )     (297,230 )     (193,222 )
STOCK-BASED COMPENSATION   -       (321,058 )     (439,332 )     (641,881 )
TOTAL OPERATING EXPENSES   (2,289,806 )     (2,869,804 )     (4,962,211 )     (5,518,020 )
LOSS FROM OPERATIONS   (2,055,797 )     (2,730,320 )     (4,691,109 )     (5,306,961 )
OTHER (EXPENSE) INCOME                              
Other income, net   55,187       26,217       69,512       37,149  
Interest expense   (55 )     (333,233 )     (41,840 )     (406,913 )
Amortization of debt discount   -       (121,855 )     (998,076 )     (252,007 )
TOTAL OTHER (EXPENSE) INCOME, NET   55,132       (428,871 )     (970,404 )     (621,771 )
LOSS BEFORE INCOME TAXES   (2,000,665 )     (3,159,191 )     (5,661,513 )     (5,928,732 )
PROVISION FOR INCOME TAXES   (11,500 )     (4,800 )     (23,000 )     (8,700 )
NET LOSS   (2,012,165 )     (3,163,991 )     (5,684,513 )     (5,937,432 )
OTHER COMPREHENSIVE INCOME (LOSS)                              
Foreign currency translation adjustment   49,998       (24,537 )     (85,278 )     (37,344 )
COMPREHENSIVE LOSS $ (1,962,167 )   $ (3,188,528 )   $ (5,769,791 )   $ (5,974,776 )
LOSS PER SHARE                              
Basic and diluted $ (0.12 )   $ (0.30 )   $ (0.36 )   $ (0.56 )
Basic and diluted   17,288,116       10,545,251       15,598,984       10,543,987  
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

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Source: Treasure Global Inc.