SINGAPORE (Nov 14): YuuZoo Networks Group, formerly known as YuuZoo Corporation, reported 3Q18 earnings of $4.57 million, compared to a loss of $7.24 million in 3Q17.

This brings 9M18 earnings to $1.12 million, compared to a loss of $22.0 million in 9M17.

Revenue for the quarter surged almost eightfold to $4.21 million from $0.53 million a year ago, mainly contributed by the logistic service revenue generated by YuuLogistic France and the platform sales generated by the subsidiary incorporated in Thailand.

Cost of services also saw a significant increase to $1.44 million from $75,000 last year.

During the quarter, the group did not register amortisation of intangible assets as all the intangible assets were fully written off in FY17, compared to a loss of $6.11 million in the previous year.

Employee benefits expenses grew 388% y-o-y to $2.94 million, while other expenses increased by 209% y-o-y to $3.01 million.

The group registered income tax credit of $7.44 million in 3Q18.

Cash and cash equivalents as at end-Sept stood at $1.41 million.

On the outlook, the group expects to continue being strong in all key areas that it operates in, being social commerce, online and mobile payments sector, online games and mobile games sectors.

Separately, YuuZoo announced this morning that it has received a letter of resignation from its independent auditors RT LLP.

This comes after the resolution to re-appoint the auditors was not passed at the group’s Annual General Meeting (AGM) on Oct 26.

The board says that it is currently reviewing and considering the respective credentials, services and fee proposals from various other audit firms.

Trading of shares in YuuZoo have been suspended since March.