Creative Realities, Inc. (CREX), a company providing digital marketing technology solutions to retail companies, has seen a decline of 7.80% in the premarket trading session. As a result that, CREX stock is changing hands at $1.30 at the time of this writing. The decline has come after CREX stock increased 6.02% on Thursday and closed the day at $1.41. The decline in the premarket session had come without any obvious reason or news, which could have stirred the downward movement of CREX. So, let’s discuss some of the recent news relevant to CREX stock.
Q2 2021 financial results
On the 16th of August, CREX reported the results for the second quarter of the fiscal year 2021, which ended on 30th June. According to the details, the company generated revenue of $3.3 million during the quarter, a decrease of 10% when compared with the equivalent period of 2020. The gross profit of the company increased some 3% during the quarter as compared to the equivalent period of 2020. The sales and marketing expenses decreased 54% while research and development expenses decreased by 76% during the quarter as compared to stats of 2020. The general and administrative expenses decreased by 15% during the quarter, as compared to the equivalent period of 2020. The operating loss was $0.4 million during the quarter as compared to $1.6 million during the equivalent period of 2020. The net income was $1 million during the quarter as compared to a net loss of $2.5 million during the equivalent period of 2020. Rick Mills, Chief Executive Officer of CREX, commented that the company faced numerous challenges during the recent past, but the performance indicates a tremendous performance by the company.
Q1 2021 financial results
On the 17th of May, CREX reported quarterly results for the first quarter of the fiscal year 2021, which ended on 301st March. According to the results, the company generated revenue of $5 million during the quarter, an increase of 35% when compared with stats of the previous year. The gross profit for three month period was $2.2 million. The sales and marketing expenses decreased 22%, while research and development expenses decreased by 45% as compared to those of the previous year. The general and administrative expenses decreased 16% as compared to those of 2020. The operating loss for three month period stood at $0.2 million, as compared to $12.2 million for the same period of 2020. The company generated a net income of $1.3 million, as compared to a net loss of $13.2 million for an equivalent period of 2020.
CREX credit agreement
In early March, CREX announced to have entered into an amended and restated credit agreement with the lender. Under the terms of the agreement, both the parties agreed to take actions for restructuring of company’s outstanding indebtedness. This would improve the company’s capital structure and its creative flexibility, and that would aid in the management of projects in line.
What’s ahead for CREX?
The recent performance of CREX stock is not up to the mark. The stock has decreased by some 20% during the last week. But for analysts, CREX stock has the potential to grow in the months ahead. So, potential investors should keenly watch the fluctuations of CREX stock.
