Verb Technology Company Inc. (VERB) is facing negativity early morning. As of this writing, it has lost 6.79%on Thursday, April 1, 2021.VERB shares have risen by 11.11% over the last 12 months, and they have moved down by -1.41% in the past week. Over the past three months, the stock has lost -13.04%,
Let’s have a look at the recent developments
Financial results announcement:
VERB announced its financial results on March 31, 2021, for the fourth quarter and the year 2020 ended on December 31, 2020.
The full-year 2020 financial highlights
- VERB total revenue was$10.0 million for the year ended December 31, 2021.
- The cost of revenue for the reported year was $4.8 million, compared to $4.9 million for the previous year
- Verb spent $7.9 million in Research and developmentexpenses for FY 2020.
- General and administrative expenses were $20.5 million for the reported year.
- As of December 31, 2020, VERB total cash and cash equivalents were $1.8 million, compared with $983,000 on December 31, 2019.
Fourth-quarter financial highlights
- For the fourth quarter ended December 31, 2020, the total revenue was $2.1 million
- Cost of revenue was $1.3 million for the reported quarter, in line with the same period last year
- For the fourth quarter, VERB spent $2.6 million in research and development expenses, compared with $1.2 million for the same period last year
- General and administrative expenses were $6.3 million for the reported quarter.
Partnership with Marketing 360
on March 29, 2021, VERB announced that it has signed a partnership agreement with Marketing 360 to offer complementary services that help small businesses grow more rapidly through an effective end-to-end sales and marketing program, from lead generation to sales conversion.
Settlement of Stockholder Derivative Lawsuit
On March 17 VERB revealed that the Stockholder Derivative Lawsuit has been settled and said that the United States District Court for the Central District of California has preliminary approved a derivative settlement on March 2, 2021,and provided notice of the settlement to stockholders of the Company in the matter captionedRichard Moore, Individually and on Behalf of All Others Similarly Situated, Plaintiff, v. Verb Technology Company, Inc., and Rory J. Cutaia, James P. Geiskopf, and Jeff Clayborne, Defendants, Case Number 2:19-CV-08393-AB-SS(the “Derivative Action”). A final settlement hearing is scheduled for April 29, 2021, at 8:30 a.m.
According to the settlement, VERB will pay the plaintiff’s counsel $75,000 for its fees and expenses and it has provided assurity to bring some changes to its corporate governance.
Conclusion: despite the improved financial figures, it is indescribable that why VERB is facing the negativity.