To say 2007 was a good year for FreeStar Technology Corp. (OTCBB: FSRT) would be an understatement. For the fiscal year ending June 30, 2007, the company announced a revenue hike of 91 percent to $4 million, up from the $2.1 million the company posted the previous year.In addition, the fourth-quarter earnings were equally impressive for FSRT. Revenue for the quarter ending June 30, 2007, is expected to be around $1.6 million, up a staggering 278 percent compared to the $422,759 the company earned during the same quarter in 2006.
FSRT is an international card payments processor and technology company, located in Finland, Ireland, with an aggressive strategy focused on expanding the company not only at home, but also around the world.
With constant expansion in mind, FSRT announced Tuesday that it would be changing its name to Rahaxi Inc., one of the company’s subsidiaries, based on approval of FreeStar’s board of directors.
Paul Egan, president and CEO of FSRT, said Rahaxi provides an established brand name in the company’s target markets, which could lead to further expansion.
“We believe that the Rahaxi brand is a valuable asset and that by changing FreeStar’s name to Rahaxi, we can maximize the goodwill associated with Rahaxi and uniformly brand our products in our other markets,” Egan explained in a company release.
As far as the revenue hike, Egan claimed that the company’s ability to profitably infiltrate its target market needs to be understood by investors, even though at times this can be a slow process.
“This is a slow process, and the results we achieved in fiscal year ended June 30, 2007, are only the beginning,” Egan proclaimed. “Our momentum is really building, and we find ourselves both delivering on our existing contracts, and continuing to close new deals.”
Egan added that the company has intentions of producing around $20 million of revenue over the fiscal years ending June 30, in 2008 and 2009.
“As we enter our new fiscal year, we are confident that revenue will continue to increase at very impressive rates,” Egan continued.
The expected revenue listed for 2008 does not include revenue contributions from Monex CUP (China Union pay), Swedish EMV Certifications, and global refunds. Egan concluded that these contributions could add a very significant upside to the estimates.