<span item_type="fundamental" item_id="4baf006925f7e8dd0e1027b7350bbf33" counter_id="ST/US/APCX" env="prod"></span><span item_type="announcement" item_id="648687752273396865" env="prod"></span><p>Revenue: As of FY2026 Q1, the actual value is USD 1.457 M.</p><p>EPS: As of FY2026 Q1, the actual value is USD -0.08.</p><p>EBIT: As of FY2026 Q1, the actual value is USD -2.652 M.</p><p></p><h3>Segment Revenue</h3><p>AppTech Payments Corp., a fintech infrastructure provider, reported revenues of $1,457 thousand for the three months ended March 31, 2026, a 571% increase from $217 thousand for the same period in 2025.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span> This growth was driven by lending revenue, revenue from the IP platform, and increased merchant processing revenue from its independent sales organization (“ISO”).<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span> The company’s revenue streams include one-time customer setup services, monthly platform and transaction-based fees, and merchant processing services.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h3>Operational Metrics</h3><h4>Cost of Revenue</h4><p>Cost of revenue increased by 405% to $646 thousand for the three months ended March 31, 2026, from $128 thousand in 2025, primarily due to fees owed to the ISO partner, IP platform processor, and higher referral partner payouts related to IP.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h4>Gross Profit</h4><p>Gross profit was $811 thousand for the three months ended March 31, 2026, an 811% increase from $89 thousand in the comparable 2025 period.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h4>Operating Expenses</h4><ul><li><strong>General and Administrative</strong>: These expenses rose by 67% to $3,284 thousand for the three months ended March 31, 2026, from $1,965 thousand in 2025, mainly due to stock-based compensation and accelerated vesting of performance-based shares.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></li><li><strong>Research and Development</strong>: R&amp;D expenses decreased by -52% to $375 thousand for the three months ended March 31, 2026, from $780 thousand in 2025, attributed to the company’s decision to lower its outsourced development team.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></li></ul><h4>Loss from Operations</h4><p>The loss from operations increased by 7% to -$2,848 thousand for the three months ended March 31, 2026, from -$2,656 thousand in 2025.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h4>Net Loss</h4><p>The net loss for the three months ended March 31, 2026, was -$3,308 thousand, a 25% increase from -$2,641 thousand for the same period in 2025.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h3>Other Income (Expenses)</h3><h4>Interest Expense</h4><p>Interest expense increased by 494% to -$196 thousand for the three months ended March 31, 2026, from -$33 thousand in 2025, due to interest on convertible notes and a liability assumption from a banking partner.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h4>Loss on Change in Fair Value of Contingent Consideration</h4><p>A loss of -$262 thousand was recognized for the three months ended March 31, 2026, compared to $0 in 2025, resulting from adjusting the earnout owed to the Sellers of IP.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h3>Cash Flow</h3><h4>Net cash used in operating activities</h4><p>Net cash used in operating activities was -$913 thousand for the three months ended March 31, 2026, an improvement from -$1,801 thousand for the same period in 2025.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h4>Net cash provided by financing activities</h4><p>Net cash provided by financing activities totaled $779 thousand for the three months ended March 31, 2026, primarily from $1,000 thousand in proceeds from a participation agreement, partially offset by -$221 thousand in repayments of notes payable.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span> In the prior period, net cash provided by financing activities was $1,350 thousand from outstanding equity receivable.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p><h3>Future Outlook and Strategy</h3><p>AppTech Payments Corp.’s 2026 priorities include scaling its Banking Platform, expanding cross-border and multi-currency capabilities, and increasing transaction-based and subscription revenue.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span> The company aims to strengthen partner and enterprise relationships while participating in the shift toward digital financial services and embedded financial infrastructure.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span> Management is pursuing additional funding and new revenue streams, and began implementing expense reduction strategies in March 2026 to enhance financial stability.<span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1070050/000168316826004002/apptech_i10q-33126.htm"></span></p>

AppTech | 10-Q: FY2026 Q1 Revenue: USD 1.457 M