Preliminary estimates indicate a 53% increase in net sales and a turnaround to positive operating income for Netcapital Inc. in fiscal year 2023
Netcapital Inc.(NCPL), a leading financial s ervices company, has provided preliminary estimated ranges of its financial results for the fiscal year ended April 30, 2023. While the audited consolidated financial statements are not yet available, management has presented these estimates based on currently available information. The preliminary data indicates a substantial increase in net sales and a positive shift in operating income compared to the previous fiscal year.
Strong Growth in Net Sales
For fiscal year 2023, Netcapital Inc. anticipates net sales in the range of $8.3 million to $8.5 million, representing a remarkable increase of approximately $2.9 million or 53%. This surge in net sales is primarily attributed to a significant rise in consulting fees. Compared to the net sales of $5.5 million in fiscal year 2022, the estimated growth demonstrates the company's ability to capture new business opportunities and expand its market presence.
Improved Operating Income
In a notable turnaround, Netcapital Inc. expects its operating income for fiscal year 2023 to range from $2.1 million to $2.3 million. This reflects a substantial increase of $3.2 million compared to the operating loss of $1.0 million incurred in the previous fiscal year. The positive shift in operating income showcases the effectiveness of the company's strategic initiatives and its ability to achieve sustainable profitability.
It is important to note that the preliminary financial data presented herein is subject to change as the company's financial closing procedures for the fiscal year ended April 30, 2023, are not yet complete. Therefore, these estimates should be interpreted with caution, and actual results may differ materially from the figures provided.
Netcapital Inc.'s management is solely responsible for the preparation of the preliminary financial data, and the independent registered public accounting firm has not audited or reviewed it. For a more comprehensive understanding of the factors that may impact the final financial results for fiscal year 2023, including potential risks and uncertainties, readers are encouraged to refer to the company's Annual Report on Form 10-K for the year ended April 30, 2022, filed with the Securities and Exchange Commission on August 8, 2022.
Netcapital Inc. remains committed to providing transparent and accurate financial reporting, and it will release the audited consolidated financial statements for the fiscal year ended April 30, 2023, in due course. The company's strong projected growth in net sales and improved operating income reflect its dedication to delivering value to shareholders while capitalizing on market opportunities.