Blockchain Press Releases
Converge Technology Solutions Reports Second Quarter 2023 Financial Results
TORONTO and GATINEAU, QC, Aug. 9, 2023 /PRNewswire/ — Converge Technology Solutions Corp. (“Converge” or “the Company“) (TSX: CTS) (FSE: 0ZB) (OTCQX: CTSDF) is pleased to provide its financial results for the three and six months period ended June 30, 2023 (“Q2-23”). All figures are in Canadian dollars unless otherwise stated.
Financial Summary
|
In $000s except per share amounts |
Q2 2023  |
Q2 2022 |
H1 2023 |
H1 2022 |
||
|
Gross Sales1 |
957,219 |
729,678 |
1,922,477 |
1,403,607 |
||
|
Revenue |
665,813 |
515,196 |
1,344,011 |
1,009,236 |
||
|
Gross profit (GP) |
175,672 |
133,152 |
347,260 |
242,196 |
||
|
Gross profit (GP) % |
26.4 % |
25.8 % |
25.8 % |
24.0 % |
||
|
Adjusted EBITDA1 |
41,527 |
39,187 |
82,735 |
68,836 |
||
|
Adjusted EBITDA1 as a % of GP |
23.6 % |
29.4 % |
23.8 % |
28.4 % |
||
|
Adjusted EBITDA1 as a % of Revenue |
6.2 % |
7.6 % |
6.2 % |
6.8 % |
||
|
Net (loss) income |
(4,495) |
11,678 |
(7,856) |
9,270 |
||
|
Adjusted net income1 |
$25,124 |
29,900 |
$49,565 |
52,410 |
||
|
Adjusted EPS1 |
$0.12 |
$0.14 |
$0.24 |
$0.24 |
Q2-23 Financial Highlights:
- Gross sales1 of $957.2 million compared to $729.7 million in Q2-22; an increase of $227.5 million or 31%
- Gross services sales1 of $317.2 million increased by 33% year-over-year
- Gross Profit of $175.7 million compared to $133.1 million in Q2-22; an increase of $42.5 million or 32%
- Organic gross profit growth for Q2-23 was 2.5% driven by 14.4% increase in services organic gross profit
- Adjusted EBITDA1 of $41.5 million, increasing from $39.2 million in Q2-22 by 6%
- Revenue for Q2-23 of $665.8 million, an increase of 29% over Q2-22
- Product Bookings backlog2 at the end of Q2-23 was $447.6 million
- Achieved 112 net new logos3 in Q2-23, securing 215 net new logos in H1-23
|
___________________________________ |
|
1 This is a Non-IFRS measure (including non-IFRS ratio) and not a recognized, defined or a standardized measure under IFRS. See the Non-IFRS Financial Measures section of this news release for definitions, uses and a reconciliation of historical non-IFRS financial measures to the most directly comparable IFRS financial measures. |
|
2 Bookings backlog is calculated as purchase orders received from customers not yet delivered at the end of the fiscal period for North America Region. |
|
3 Statistic based on North American Region. |
Q2-23 Business Highlights & Subsequent to Quarter
- Board of Directors authorize second quarter dividend of $0.01 per common share to be paid on September 22nd, 2023 to shareholders of record at the close of business on September 8th, 2023
- Converge concluded its previously announced NCIB program after purchasing 4.28 million shares throughout Q2-23
- The Company announced that the Toronto Stock Exchange approved the Company’s Notice of Intention to make a Normal Course Issuer Bid. Pursuant to the NCIB, the Company may purchase for cancellation up to an aggregate of 19,427,276 common shares. All common shares acquired by the Company under the NCIB will be cancelled
“Converge continued to execute on its cross-sell strategy throughout the second quarter and drove high value solutions with clients by leveraging our advisory, implementation, and managed services across all practice areas. Today 60% of Converge sales representatives in North America are now driving more than 4 solution areas with their clients,” said Greg Berard, Converge Global CEO. “In today’s IT environment, Converge continues to shape and transform innovation, revolutionizing client-technology interactions. A distinguishing reason clients continue to partner with Converge is our ability to provide end-to-end solutions for cloud, hardware, and software, all while leveraging the technical expertise required for effective professional and managed services. Converge has built a unique set of skills supported by foundational partnerships across Analytics, AI, Cloud, and Cybersecurity and will continue to develop leading solutions to adapt with our clients’ growing needs. I am extremely proud of our team’s performance which has resulted in record gross profit in Q2-23.”
Conference Call Details:
Date: Wednesday, Aug 9th, 2023
Time: 8:00 AM Eastern Time
Participant Webcast Link:
Webcast Link – https://app.webinar.net/gkXqYQ1YE8v
Participant Dial-in Details with Operator Assistance:
Conference ID: 70789128
Toronto: 416-764-8609
North American Toll Free: 888-390-0605
International Toll-Free Numbers:
Germany: 08007240293
Ireland: 1800939111
Spain: 900834776
Switzerland: 0800312635
United Kingdom: 08006522435
You may register and enter your phone number to receive an instant automated call back via
https://emportal.ink/3OgdiaZ
Recording Playback:
Webcast Link – https://app.webinar.net/gkXqYQ1YE8v
Toronto: 416-764-8677
North American Toll Free: 1-888-390-0541
Replay Code: 789128 #
Expiry Date: August 16th, 2023
Please connect at least 15 minutes prior to the conference call to ensure time for any software download that may be required to access the webcast. A live audio webcast accompanied by presentation slides and archive of the conference call and webcast will be available by visiting the Company’s website at https://convergetp.com/investor-relations/.
About Converge
Converge Technology Solutions Corp. is a services-led, software-enabled, IT & Cloud Solutions provider focused on delivering industry-leading solutions. Converge’s global approach delivers advanced analytics, application modernization, cloud platforms, cybersecurity, digital infrastructure, and digital workplace offerings to clients across various industries. The Company supports these solutions with advisory, implementation, and managed services expertise across all major IT vendors in the marketplace. This multi-faceted approach enables Converge to address the unique business and technology requirements for all clients in the public and private sectors. For more information, visit convergetp.com.
Summary of Consolidated Statements of Financial Position
(expressed in thousands of Canadian dollars)
|
June 30, 2023 |
December 31, 2022 |
|||||
|
Assets |
||||||
|
Current |
||||||
|
Cash |
$ 78,443 |
$ 159,890 |
||||
|
Restricted cash |
2,611 |
5,230 |
||||
|
Trade and other receivables |
781,330 |
781,683 |
||||
|
Inventories |
160,411 |
158,430 |
||||
|
Prepaid expenses and other assets |
23,337 |
23,046 |
||||
|
1,046,132 |
1,128,279 |
|||||
|
Non-current |
||||||
|
Other assets |
17,943 |
4,646 |
||||
|
Property, equipment, and right-of-use assets, net |
73,659 |
88,352 |
||||
|
Intangible assets, net |
419,403 |
463,751 |
||||
|
Goodwill |
561,283 |
563,848 |
||||
|
Total assets |
$ 2,118,420 |
$ 2,248,876 |
||||
|
Liabilities |
||||||
|
Current |
||||||
|
Trade and other payables |
$ 814,855 |
$ 824,924 |
||||
|
Other financial liabilities |
63,082 |
123,932 |
||||
|
Deferred revenue |
47,475 |
60,210 |
||||
|
Borrowings |
398 |
421,728 |
||||
|
Income taxes payable |
7,816 |
7,112 |
||||
|
933,626 |
1,437,906 |
|||||
|
Non-current |
||||||
|
Other financial liabilities |
51,701 |
77,183 |
||||
|
Borrowings |
429,909 |
– |
||||
|
Deferred tax liabilities |
88,278 |
102,977 |
||||
|
Total liabilities |
$ 1,503,514 |
$ 1,618,066 |
||||
|
Shareholders’ equity |
||||||
|
Common shares |
604,144 |
595,019 |
||||
|
Contributed surplus |
9,243 |
7,919 |
||||
|
Exchange rights |
– |
1,705 |
||||
|
Accumulated other comprehensive income |
156 |
13,708 |
||||
|
Deficit |
(27,186) |
(18,441) |
||||
|
Total equity attributable to shareholders of Converge |
586,357 |
599,910 |
||||
|
Non-controlling interest |
28,549 |
30,900 |
||||
|
614,906 |
630,810 |
|||||
|
Total liabilities and shareholders’ equity |
$ 2,118,420 |
$ 2,248,876 |
||||
Summary of Consolidated Statements of Loss and Comprehensive Loss
(expressed in thousands of Canadian dollars)
|
Three months ended |
Six months ended |
|||||||||
|
2023 |
2022 |
2023 |
2022 |
|||||||
|
Revenues |
||||||||||
|
Product |
$ |
511,597 |
$ |
410,361 |
$ |
1,048,286 |
$ |
807,753 |
||
|
Service |
154,216 |
104,835 |
295,725 |
201,483 |
||||||
|
Total revenue |
665,813 |
515,196 |
1,344,011 |
1,009,236 |
||||||
|
Cost of sales |
490,141 |
382,044 |
996,751 |
767,040 |
||||||
|
Gross profit |
175,672 |
133,152 |
347,260 |
242,196 |
||||||
|
Selling, general and administrative expenses |
136,699 |
95,823 |
268,732 |
176,235 |
||||||
|
Income before the following |
38,973 |
37,329 |
78,528 |
65,961 |
||||||
|
Depreciation and amortization |
26,893 |
17,178 |
52,783 |
31,657 |
||||||
|
Finance expense, net |
10,652 |
3,094 |
20,002 |
4,912 |
||||||
|
Special charges |
13,292 |
5,559 |
17,576 |
11,280 |
||||||
|
Share-based compensation |
1,117 |
1,685 |
1,965 |
2,897 |
||||||
|
Other (income) expenses |
(6,529) |
(3,265) |
(4,060) |
3,138 |
||||||
|
Income before income taxes |
(6,452) |
13,078 |
(9,738) |
12,077 |
||||||
|
Income tax (recovery) expense |
(1,957) |
1,400 |
(1,882) |
2,807 |
||||||
|
Net (loss) income |
$ |
(4,495) |
$ |
11,678 |
$ |
(7,856) |
$ |
9,270 |
||
|
Net (loss) income attributable to: |
||||||||||
|
Shareholders of Converge |
(3,548) |
12,017 |
(5,505) |
10,223 |
||||||
|
Non-controlling interest |
(947) |
(339) |
(2,351) |
(953) |
||||||
|
$ |
(4,495) |
$ |
11,678 |
$ |
(7,856) |
$ |
9,270 |
|||
|
Other comprehensive (loss) income |
||||||||||
|
Item that may be reclassified subsequently to income: |
||||||||||
|
Exchange differences on translation of foreign operations |
(15,725) |
5,554 |
(13,552) |
(1,034) |
||||||
|
(15,725) |
5,554 |
(13,552) |
(1,034) |
|||||||
|
Comprehensive (loss) income |
$ |
(20,220) |
$ |
17,232 |
$ |
(21,408) |
$ |
8,236 |
||
|
Comprehensive (loss) income attributable to: |
||||||||||
|
Shareholders of Converge |
(19,273) |
17,571 |
(19,057) |
9,189 |
||||||
|
Non-controlling interest |
(947) |
(339) |
(2,351) |
(953) |
||||||
|
(20,220) |
17,232 |
(21,408) |
8,236 |
|||||||
|
Adjusted EBITDA |
41,527 |
39,187 |
82,735 |
68,836 |
||||||
|
Adjusted EBITDA as a % of Gross Profit |
23.6 % |
29.4 % |
23.8 % |
28.4 % |
||||||
|
Adjusted EBITDA as a % of Revenue |
6.2 % |
7.6 % |
6.2 % |
6.8 % |
||||||
Summary of Consolidated Statements of Cash Flows
(expressed in thousands of Canadian dollars)
|
For the three months |
For the six months ended June 30, |
||||||||
|
2023 |
2022 |
2023 |
2022 |
||||||
|
Cash flows (used in) from operating activities |
|||||||||
|
Net (loss) income |
$ |
(4,495) |
$ |
11,678 |
$ |
(7,856) |
$ |
9,270 |
|
|
Adjustments to reconcile net (loss) income to net |
|||||||||
|
Depreciation and amortization |
29,235 |
18,739 |
56,785 |
33,969 |
|||||
|
Unrealized foreign exchange (gains) losses |
(5,281) |
(2,968) |
(2,818) |
3,701 |
|||||
|
Share-based compensation expense |
1,117 |
1,685 |
1,965 |
2,897 |
|||||
|
Finance expense, net |
10,652 |
3,094 |
20,002 |
4,912 |
|||||
|
Gain on sale of property and equipment |
(598) |
– |
(598) |
– |
|||||
|
Change in fair value of contingent consideration |
6,551 |
– |
6,551 |
– |
|||||
|
Income tax (recovery) expense |
(1,957) |
1,400 |
(1,882) |
2,807 |
|||||
|
35,224 |
33,628 |
72,149 |
57,556 |
||||||
|
Changes in non-cash working capital items |
(40,349) |
9,214 |
(41,585) |
(44,290) |
|||||
|
(5,125) |
42,842 |
30,564 |
13,266 |
||||||
|
Income taxes paid |
(4,520) |
(16,272) |
(11,446) |
(17,025) |
|||||
|
Cash (used in) from operating activities |
(9,645) |
26,570 |
19,118 |
(3,759) |
|||||
|
Cash flows used in investing activities |
|||||||||
|
Purchase of property and equipment |
(2,091) |
(3,123) |
(7,197) |
(14,479) |
|||||
|
Proceeds on disposal of property and equipment |
3,681 |
– |
3,749 |
178 |
|||||
|
Payment of contingent consideration |
(975) |
– |
(9,935) |
(10,168) |
|||||
|
Payment of deferred consideration |
(4,066) |
(5,208) |
(29,720) |
(6,948) |
|||||
|
Payment of NCI liability |
– |
– |
(29,994) |
– |
|||||
|
Business combinations, net of cash acquired |
– |
(131,545) |
– |
(199,471) |
|||||
|
Cash used in investing activities |
(3,451) |
(139,876) |
(73,097) |
(230,888) |
|||||
|
Cash flows (used in) from financing activities |
|||||||||
|
Transfers from (to) restricted cash |
2,371 |
58,980 |
2,587 |
(4,513) |
|||||
|
Interest paid |
(7,365) |
(2,102) |
(15,242) |
(3,058) |
|||||
|
Dividend paid |
(2,067) |
(1,100) |
(2,067) |
(1,100) |
|||||
|
Payments of lease liabilities |
(5,089) |
(2,304) |
(10,224) |
(5,032) |
|||||
|
Repurchase of common shares |
(14,230) |
– |
(14,230) |
– |
|||||
|
Repayment of notes payable |
(40) |
(38) |
(80) |
(159) |
|||||
|
Net (repayment) proceeds from borrowings |
(22,815) |
22,351 |
11,384 |
184,819 |
|||||
|
Cash (used in) from financing activities |
(49,235) |
75,787 |
(27,872) |
170,957 |
|||||
|
Net change in cash during the period |
(62,331) |
(37,519) |
(81,851) |
(63,690) |
|||||
|
Effect of foreign exchange on cash |
1,746 |
4,526 |
404 |
(328) |
|||||
|
Cash, beginning of period |
139,028 |
217,168 |
159,890 |
248,193 |
|||||
|
Cash, end of period |
$ |
78,443 |
$ |
184,175 |
$ |
78,443 |
$ |
184,175 |
|
Non-IFRS Financial Measures
This release refers to certain performance indicators including Adjusted EBITDA that does not have any standardized meaning prescribed by IFRS and may not be comparable to similar measures presented by other companies. Management believes that these measures are useful to most shareholders, creditors, and other stakeholders in analyzing the Company’s results. These non-IFRS financial measures should not be considered as an alternative to the consolidated income (loss) or any other measure of performance under IFRS.
Adjusted EBITDA
Adjusted EBITDA represents net income or loss adjusted to exclude amortization, depreciation, interest expense and finance costs, foreign exchange gains and losses, share-based compensation expense, income tax expense, and special charges. Special charges consist primarily of restructuring related expenses for employee terminations, lease terminations, and restructuring of acquired companies, as well as certain legal fees or provisions related to acquired companies. From time to time, it may also include adjustments in the fair value of contingent consideration, and other such non-recurring costs related to restructuring, financing, and acquisitions.
The Company uses Adjusted EBITDA to provide investors with a supplemental measure of its operating performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS financial measures. The Company believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Management also uses non-IFRS measures to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess the ability to meet capital expenditure and working capital requirements.
Adjusted EBITDA is not a recognized, defined or standardized measure under IFRS. The Company’s definition of Adjusted EBITDA will likely differ from that used by other companies and therefore comparability may be limited. Adjusted EBITDA should not be considered a substitute for or in isolation from measures prepared in accordance with IFRS. Investors are encouraged to review the Company’s financial statements and disclosures in their entirety and are cautioned not to put undue reliance on non-IFRS measures and view them in conjunction with the most comparable IFRS financial measures.
The Company has reconciled Adjusted EBITDA to the most comparable IFRS financial measure as follows:
|
For the three months ended June 30, |
For the six months ended June 30, |
||||
|
2023 |
2022 |
2023 |
2022 |
||
|
Net income (loss) before taxes |
$ (6,452) |
$ 13,078 |
$ (9,738) |
$ 12,077 |
|
|
Finance expense |
10,652 |
3,094 |
20,002 |
4,912 |
|
|
Share-based compensation expense |
1,117 |
1,685 |
1,965 |
2,897 |
|
|
Depreciation and amortization |
26,893 |
17,178 |
52,783 |
31,657 |
|
|
Depreciation included in cost of sales |
2,342 |
1,561 |
4,002 |
2,312 |
|
|
Foreign exchange loss (gain) |
(6,317) |
(2,968) |
(3,855) |
3,701 |
|
|
Special charges |
13,292 |
5,559 |
17,576 |
11,280 |
|
|
Adjusted EBITDA |
$ 41,527 |
$ 39,187 |
$ 82,735 |
$ 68,836 |
|
Adjusted EBITDA as a % of Gross Profit
The Company believes that Adjusted EBITDA as a % of Gross Profit is a useful measure of the Company’s operating efficiency and profitability. This is calculated by dividing Adjusted EBITDA by gross profit.
Adjusted Net Income (Loss) and Adjusted Earnings per Share (“EPS”)
Adjusted Net Income (Loss) represents net income (loss) adjusted to exclude special charges, amortization of acquired intangible assets, and share-based compensation. The Company believes that Adjusted Net Income (Loss) is a more useful measure than net income (loss) as it excludes the impact of one-time, non-cash and/or non-recurring items that are not reflective of Converge’s underlying business performance. Adjusted EPS is calculated by dividing Adjusted Net Income (Loss) by the total weighted average shares outstanding on a basic and diluted basis.
The Company has provided a reconciliation to the most comparable IFRS financial measure as follows:
|
For the three months |
For the six months |
|||
|
ended June 30, |
ended June 30, |
|||
|
2023 |
2022 |
2023 |
2022 |
|
|
Net (loss) income |
$ (4,495) |
$ 11,678 |
$ (7,856) |
$ 9,270 |
|
Special charges |
13,292 |
5,559 |
17,576 |
11,280 |
|
Amortization of acquired intangible assets |
21,527 |
13,946 |
41,735 |
25,262 |
|
Foreign exchange loss |
(6,317) |
(2,968) |
(3,855) |
3,701 |
|
Share-based compensation |
1,117 |
1,685 |
1,965 |
2,897 |
|
Adjusted Net Income: |
$ 25,124 |
$ 29,900 |
$ 49,565 |
$ 52,410 |
|
Basic |
0.12 |
0.14 |
0.24 |
0.24 |
Gross sales and gross sales for organic growth
Gross sales, which is a non-IFRS measurement, reflects the gross amount billed to customers, adjusted for amounts deferred or accrued. The Company believes gross sales is a useful alternative financial metric to net revenue, the IFRS measure, as it better reflects volume fluctuations as compared to net revenue. Under the applicable IFRS 15 ‘principal vs agent’ guidance, the principal records revenue on a gross basis and the agent records commission on a net basis. In transactions where Converge is acting as an agent between the customer and the vendor, net revenue is calculated by reducing gross sales by the cost of sale amount.
The Company has provided a reconciliation of gross sales to net revenue, which is the most comparable IFRS financial measure, as follows:
|
For the three months |
For the six months |
||||
|
ended June 30, |
ended June 30, |
||||
|
2023 |
2022 |
2023 |
2022 |
||
|
Product |
$ 639,996 |
$ 491,821 |
$ 1,305,306 |
$ 945,210 |
|
|
Managed services |
45,182 |
32,268 |
85,818 |
66,251 |
|
|
Third party and professional services |
272,041 |
205,589 |
531,353 |
392,146 |
|
|
Gross sales |
$ 957,219 |
$ 729,678 |
$ 1,922,477 |
$ 1,403,607 |
|
|
Adjustment for sales transacted as agent |
(291,406) |
(214,482) |
(578,466) |
(394,371) |
|
|
Net Revenue |
$ 665,813 |
$ 515,196 |
$ 1,344,011 |
$ 1,009,236 |
|
Organic Growth
The Company measures organic growth at the gross sales and gross profit levels, and includes the contributions under Converge ownership in the current and comparative period(s). In calculating organic growth, the Company therefore deducts gross sales and gross profit generated from companies that were acquired in the current reporting period.
Gross sales organic growth is calculated by deducting prior period gross sales, as reported in the Company’s public filings, from current period gross sales for the same portfolio of companies. Gross sales organic growth percentage is calculated by dividing organic growth by prior period reported gross sales.
The following table calculates gross sales organic growth for three and six months ended June 30, 2023:
|
For the three months |
For the six months |
|||||
|
ended June 30, |
ended June 30, |
|||||
|
2023 |
2022 |
2023 |
2022 |
|||
|
Gross sales |
$ 957,219 |
$ 729,678 |
$ 1,922,477 |
$ 1,403,607 |
||
|
Less: gross sales from companies not |
214,227 |
215,748 |
459,857 |
404,433 |
||
|
Gross sales of companies owned in |
$ 742,992 |
$ 513,930 |
$ 1,462,620 |
$ 999,174 |
||
|
Prior period gross sales |
729,678 |
452,120 |
1,403,607 |
860,220 |
||
|
Organic Growth – $ |
$ 13,314 |
$ 61,810 |
$ 59,013 |
$ 138,954 |
||
|
Organic Growth – % |
1.8 % |
13.7 % |
4.2 % |
16.2 % |
||
Gross profit organic growth is calculated by deducting prior period gross profit, as reported in the Companies public filings, from current period gross profit for the same portfolio of companies. Gross profit organic growth percentage is calculated by dividing organic growth by prior period reported gross profit.
|
For the three months |
For the six months |
||||
|
ended June 30, |
ended June 30, |
||||
|
2023 |
2022 |
2023 |
2022 |
||
|
Gross profit |
$ 175,672 |
$ 133,152 |
$ 347,260 |
$ 242,196 |
|
|
Less: gross profit from companies not |
39,239 |
40,737 |
83,836 |
72,545 |
|
|
Gross profit of companies owned in |
$ 136,433 |
$ 92,415 |
$ 263,424 |
$ 169,651 |
|
|
Prior period gross profit |
133,152 |
78,244 |
242,197 |
146,041 |
|
|
Organic Growth – $ |
$ 3,281 |
$ 14,171 |
$ 21,227 |
$ 23,610 |
|
|
Organic Growth – % |
2.5 % |
18.1 % |
8.8 % |
16.2 % |
|
Forward-Looking Information
This press release contains certain “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements“) within the meaning of applicable Canadian securities legislation regarding Converge and its business. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected” “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”. “estimates”, “believes” or intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Except as required by law, Converge assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change. The reader is cautioned not to place undue reliance on forward-looking statements.
For a detailed description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company’s filings statement available on SEDAR under the Company’s profile at www.sedar.com including its most recent Annual Information Form, its Management Discussion and Analysis and its Annual and Quarterly Financial Statements.
CONTACT : Converge Technology Solutions Corp., Email: [email protected], Phone: 416-360-1495
View original content:https://www.prnewswire.co.uk/news-releases/converge-technology-solutions-reports-second-quarter-2023-financial-results-301896732.html
Blockchain Press Releases
MEXC Announces Listing of Hyperlane (HYPER) with a 165,000 HYPER and 50,000 USDT Prize Pool
VICTORIA, Seychelles, April 21, 2025 /PRNewswire/ — MEXC, a leading global cryptocurrency exchange, announced the Hyperlane (HYPER) listing on April 22, 2025(UTC).To celebrate this significant addition to the exchange, MEXC is launching a special event with a prize pool of 165,000 HYPER and 50,000 USDT for new and existing users.
Hyperlane is the first permissionless, universal interoperability protocol dedicated to building a truly open and decentralized cross-chain communication infrastructure. As “The Open Interoperability Framework,” it enables anyone to freely expand, utilize, and customize the network, allowing developers to easily and securely build cross-chain applications and token bridges. To date, Hyperlane has connected over 140 blockchains, processed nearly 9 million cross-chain messages, and bridged more than $6 billion in volume through its Warp Routes.
$HYPER is the native token of the Hyperlane ecosystem, with an initial total supply of 1 billion tokens. It plays a critical role in securing the protocol through staking, rewarding validators for verifying cross-chain messages, incentivizing user-driven activity, and enabling community governance over protocol development.
To celebrate the listing, MEXC will launch an Airdrop+ event with substantial rewards for users:
Event Period: April 21, 2025, 10:00 – May 01, 2025, 10:00 (UTC)
Benefit 1: Deposit and share 120,000 HYPER (New user exclusive)
Benefit 2: Spot Challenge — Trade to share 15,000 HYPER (For all users)
Benefit 3: Futures Challenge — Trade to share 50,000 USDT in Futures bonus (For all users)
Benefit 4: Invite new users and share 30,000 HYPER (For all users)
MEXC has established itself as a leading exchange by consistently offering users early access to high-potential crypto assets. In 2024 alone, the platform listed 2,376 new tokens, including 1,716 initial listings. According to the latest TokenInsight report, MEXC led the industry with 461 spot listings between November 1, 2024, and February 15, 2025. During this period, the exchange maintained a high listing frequency, consistently ranking among the top six platforms, demonstrating its agility in capturing emerging market trends. MEXC will continue to expand its asset offerings and help users seize timely opportunities in the fast-moving crypto market.
For full event details and participation rules, please visit here.
About MEXC
Founded in 2018, MEXC is committed to being “Your Easiest Way to Crypto.” Serving over 36 million users across 170+ countries, MEXC is known for its broad selection of trending tokens, everyday airdrop opportunities, and low trading fees. Our user-friendly platform is designed to support both new traders and experienced investors, offering secure and efficient access to digital assets. MEXC prioritizes simplicity and innovation, making crypto trading more accessible and rewarding.
MEXC Official Website｜ X ｜ Telegram ｜How to Sign Up on MEXC
Risk Disclaimer:
The information provided in this article regarding cryptocurrencies does not constitute investment advice. Given the highly volatile nature of the cryptocurrency market, investors are encouraged to carefully assess market fluctuations, the fundamentals of projects, and potential financial risks before making any trading decisions.
Photo – https://mma.prnewswire.com/media/2668781/1920×1080.jpg
Logo – https://mma.prnewswire.com/media/2668118/MEXC_new_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/mexc-announces-listing-of-hyperlane-hyper-with-a-165-000-hyper-and-50-000-usdt-prize-pool-302433327.html
Blockchain Press Releases
Introducing Clementine Bridge: Citrea Deploys First Complete BitVM Bridge Design on Testnet
Citrea’s Clementine Bridge marks the first time that a fully programmable layer is tested for settling on Bitcoin.
GEORGE TOWN, Cayman Islands, April 21, 2025 /PRNewswire/ — Citrea, the first ZK rollup to enhance capabilities of Bitcoin blockspace and enable Bitcoin applications (₿apps), has successfully deployed its Clementine Bridge, the first complete BitVM bridge design on Bitcoin Testnet. Citrea has also recently revealed Clementine’s whitepaper, marking the first real-world implementation of a BitVM-based bridge which extends BTC’s utility to decentralized finance in the most Bitcoin-secured and native way possible. With Clementine’s testnet deployment, Bitcoin is for the first time tested for optimistically verifying a fully programmable layer. The Clementine whitepaper is currently the only documentation of how to use BitVM in a bridge design with clear solutions toward a secure and efficient bridge implementation.
Despite being the world’s largest digital asset, BTC has struggled to build relevance in decentralized finance. A secure bridge between Bitcoin and a secondary layer has always been a bottleneck for using BTC in a programmable environment. This problem has forced users to either keep Bitcoin as a passive store of value or rely on custodians for using BTC in financial activities. Citrea’s BitVM-based Bitcoin bridge Clementine solves this by enabling the safest and most trust-minimized way to bridge BTC and extend its utility to decentralized finance.
Citrea’s Clementine bridge marks a historic moment for Bitcoin and a new beginning for BTC’s utility. “It felt like magic when we saw all the bridge components work smoothly in our internal tests and that any malicious act is stopped by a single honest actor,” said Ekrem Bal, Co-Creator of Citrea. “We’re now ready to test Clementine in a real Bitcoin Testnet environment and make it more battle-tested for Citrea mainnet.”
With the introduction of BitVM by a Bitcoin developer Robin Linus, verifying computations on Bitcoin and building Bitcoin-secured bridges became a possibility. Very soon after its introduction, Citrea team became a core contributor of BitVM and later a founding member of BitVM alliance, where BitVM’s fundamental technology of executing a fraud proof of a zero-knowledge (ZK) proof on Bitcoin was developed collaboratively. Although accomplishing a ZK proof verification on Bitcoin was a prerequisite, there were still critical problems to address to implement this fundamental technology securely and efficiently into a Bitcoin bridge design. A detailed breakdown of this can be found in Clementine’s whitepaper.
Clementine’s design and whitepaper introduce novel solutions to two main research topics in BitVM-based bridge implementation, namely Bitcoin chain fork selection and capital efficiency of operators. These topics have been critical to solve as they ensure both the bridge’s security and efficiency. Citrea’s Clementine bridge offers clear solutions to both of these problems:
- Bitcoin Chain Fork Selection: This is related to ensuring that the bridge follows the longest Bitcoin chain. It has been an open research topic where the BitVM creator introduced superblocks approach but its security was later found to be broken. Citrea introduces a new Bitcoin Light Client design that uses succinct Header Chain Proofs of Bitcoin. These proofs are aggregated by operators into a single BitVM proof.
- Capital Efficiency of Operators: This has been another limitation of implementing BitVM efficiently into a bridge design. With Citrea’s approach to non-standard Bitcoin transactions, operators can now process hundreds of withdrawals in parallel with a single collateral. Disproving only one withdrawal is enough to stop other malicious withdrawal processes.
Clementine’s design relies on zero-knowledge proofs, Bitcoin data availability, a novel Bitcoin Light Client design and BitVM. In the case of a malicious act, an honest watchtower provides a proof of the longest Bitcoin chain. Then the operator generates a proof verifying Citrea’s state, watchtowers’ challenges and payout for the withdrawal. If the operator is malicious, it won’t be able to generate such proof, resulting in slashing the operator. Clementine has three main bridge actors to ensure the system’s integrity:
- Signers enforce BitVM spendings by managing peg-ins through presign transactions
- Watchtowers are tasked with monitoring operators and challenging any malicious behavior by sending a proof of longest Bitcoin chain
- Operators, a group of profit-seeking entities, temporarily cover users’ withdrawals and are later reimbursed with presigned transactions.
Citrea: Bitcoin’s Application (₿app) Layer
Citrea extends Bitcoin’s utility without sacrificing its security. With zero-knowledge technology, Citrea enables Bitcoin to function as a fully programmable layer. With its Bitcoin bridge Clementine, Citrea offers the safest and most trust-minimized way to bridge BTC to a fully programmable secondary layer.
For the first time in its history, Bitcoin Network will be able to support diverse on-chain applications and its utility will be extended to decentralized finance.
Apply to Citrea’s unique incubation program ‘Citrea Origins‘ to build ₿apps.
For more information, please visit: Citrea website | Citrea X Account
View original content:https://www.prnewswire.co.uk/news-releases/introducing-clementine-bridge-citrea-deploys-first-complete-bitvm-bridge-design-on-testnet-302432655.html
PANAMA CITY, April 21, 2025 /PRNewswire/ — BingX, a global leading cryptocurrency exchange, announces the listing of EPT, the native token for Balance.fun, for both spot trading and also on the BingX Xpool. The spot listing will commence on April 21 at 12:00 (UTC) while the Xpool launch will start on April 22 at 10:00 (UTC). BingX users can stake BTC and EPT in Xpool, though new users will have an additional option to stake USDT to win a bigger share of the reward pool that includes 2,000,000 EPT Points. The first 1000 new users who stake a minimum of 100 USDT will also be able to earn an additional bonus voucher worth 100 USDT.
EPT is the governance token of Balance, an AI-powered web3 experience infrastructure designed for the masses. This new digital asset will fuel the new Balance Platform to create an open and inclusive gaming ecosystem for both gamers and developers with fairness at its core. With the integration of AI and blockchain technology, games can be built and marketed more easily while allowing players to benefit from the enhanced and diversified gaming experience.
Users of the existing Epal platform can transfer their EPT tokens to BingX, enabling a reliable method to trade EPT or, alternatively, purchase EPT for governance purposes. Having a solid exchange to further explore the vast world of cryptocurrencies, this new listing further empowers both Epal and Balance users in the process.
Vivien Lin, Chief Product Officer of BingX, shared her thoughts on the new trading option and Xpool listing: “I think providing users with these new trading and early investment options is our responsibility as a responsible cryptocurrency exchange since some of our users rely on us to introduce such projects with such numerous functions across multiple subcategories”.
Visit bingx.com to join the Xpool starting April 22 and start trading EPT on spot from April 21. Whether you’re a gamer, builder, or crypto enthusiast, this is your chance to be part of a new decentralized chapter in entertainment.
About BingX
Founded in 2018, BingX is a leading crypto exchange, serving over 20 million users worldwide. BingX offers diversified products and services, including spot, derivatives, copy trading, and asset management – all designed for the evolving needs of users, from beginners to professionals. BingX is committed to providing a trustworthy platform that empowers users with innovative tools and features to elevate their trading proficiency. In 2024, BingX proudly became the official crypto exchange partner of Chelsea Football Club, marking an exciting debut in the world of sports.
For more information, please visit: https://bingx.com/
Photo – https://mma.prnewswire.com/media/2668931/BINGX.jpg
Logo – https://mma.prnewswire.com/media/2310183/BingX_logo_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/bingx-brings-balance-ept-to-spot-with-a-200-million-ept-xpool-302433296.html
-
Blockchain Press Releases5 days agoHTX Completes Fireblocks Off-Exchange Integration, Advancing Institutional Trading Security and Efficiency
-
Blockchain5 days ago
Good Game Reality Show Reimagines Global Gaming Stardom with Tokenized Memberships and Real-Life Lounges
-
Blockchain Press Releases6 days ago
BTC Puts at 2023 Crisis Levels Amidst Tariff Storm: New Bybit x Block Scholes Crypto Derivatives Report
-
Blockchain6 days agoBlocks & Headlines: Today in Blockchain – April 15, 2025 | JPMorgan, Signing Day Sports, Moreno, Russia Global Forum, Kalp Studio
-
Blockchain5 days ago
Fifth Era Acquisition Corp I Announces the Separate Trading of its Class A Ordinary Shares and Rights, Commencing April 21, 2025
-
Blockchain4 days ago
Relm Insurance and Liva Insurance Obtain Central Bank Approval in the UAE for Web3 Insurance Solutions
-
Blockchain5 days agoRWA Inc. Appoints Fintech Executive and Entrepreneur Shaunt Sarkissian to Its Board of Directors
-
Blockchain5 days ago
Blocks & Headlines: Today in Blockchain – April 16, 2025 – Featuring XYO, Solx, JP Morgan, Fuse, and Bybit
