FingerMotion Reports 10% Revenue Decline to $22.9 Million for Nine Months Ending November 30, 2025

FingerMotion, Inc. reported its financial results for the nine months ending November 30, 2025, revealing a revenue of $22.9 million, a decrease of 10% from $25.4 million in the same period last year. The decline was primarily attributed to reduced revenue from its telecommunications products and services, which generated $22.7 million compared to $25.3 million in the prior year. The company also noted a significant drop in revenue from its DaGe platform, which fell by 38% to $22,190. In contrast, the Command & Communication segment saw a substantial increase in revenue, rising to $140,877 from $28,868, reflecting the early-stage development of this segment.

The company's net loss for the nine months was $5.2 million, slightly higher than the $5.0 million loss reported in the previous year. This resulted in a loss per share of $0.09, consistent with the prior year. The increase in net loss was attributed to a credit impairment loss of $579,942, reflecting a prudent assessment of expected credit loss based on updated evaluations of customer credit risk. Total operating expenses decreased to $5.6 million from $6.4 million, driven by reductions in general and administrative expenses, marketing costs, and research and development expenditures.

In terms of operational metrics, FingerMotion's cash reserves significantly decreased to $24,214 from $1.1 million at the end of February 2025. The company reported a working capital of $7.3 million, up from $6.9 million, indicating a slight improvement in its liquidity position despite the cash decline. The company continues to face challenges related to working capital constraints, which have limited its ability to fund operations and support transaction volumes in its mobile payment business.

Strategically, FingerMotion has been active in expanding its product offerings and operational capabilities. The company recently entered into an asset purchase agreement to acquire intellectual property related to its DaGe platform, enhancing its service capabilities. Additionally, the company has initiated discussions regarding a potential acquisition of a voice and messaging telecom service provider, although no binding agreement has been executed yet. This move is part of FingerMotion's broader strategy to enhance its market position and service offerings in the telecommunications sector.

Looking ahead, FingerMotion's management has indicated that it may seek additional financing to support ongoing operations and address liquidity constraints. The company remains focused on optimizing its operational efficiency and expanding its market reach, particularly in the telecommunications and mobile payment sectors. However, the success of these initiatives will depend on securing the necessary funding and navigating the challenges posed by market conditions and operational constraints.