Fountain Asset Corp. Announces Its Financial Results for the Quarter Ended March 31, 2023

TORONTO, May 26, 2023 (GLOBE NEWSWIRE) -- Fountain Asset Corp. (TSXV:FA) (“Fountain” or the “Company”) would like to announce its financial results for the three months ended March 31, 2023 (“Q1/23”).

Highlights from Q1/23:

• Net asset value (“NAV”) of $11.68 million ($0.19 per share) at March 31, 2023 compared to $11.84 million ($0.19 per share) at December 31, 2022, representing a flat 0.0% change quarter over quarter on a per share basis. NAV is calculated as the value of total assets less the value of total liabilities;
• Net comprehensive loss of $0.18 million for the three months ended March 31, 2023, compared to net comprehensive loss of $2.03 million for three months ended March 31, 2022 (“Q1/22”);
• Total gain from investment activity was $0.04 million compared to total loss of $1.80 million for Q1/22;
• Net realized gains on the sale of portfolio investments of $0.09 million compared to net realized losses of $0.81 million for Q1/22;
• Net unrealized losses on portfolio investments of $0.06 million compared to net unrealized losses of $0.99 million for Q1/22;
• Total expenses of $0.22 million, which included $0.03 million of stock-based compensation, compared to $0.23 million for Q1/22 which included $0.03 of stock-based compensation; and
• Operating expenses of $0.18 million compared to $0.18 million for Q1/22.
  

During Q1/23, the company saw a slight increase from its portfolio of publicly traded companies, which included an increase from Black Swan Graphene. The increases were offset by decreases in the stock price of Hub Cyber Security.

The Company was able to maintain low operating expenses in Q1/23 as it has done in the previous quarters, which helped contribute to a net comprehensive loss of $0.18 million for Q1/23 compared to net comprehensive loss of $2.03 million for Q1/22. As at March 31, 2023, the Company’s net assets were valued at $11.68 million or $0.19 per share compared to $11.84 million or $0.19 per share at December 31, 2022.

“During Q1/23, the Company saw early signs of success in its strategy to increase our exposure to the battery metals and the energy sector. We believe that with the new investments made this quarter in these industries Fountain has positioned itself to realize future economic benefits that will ensure the continued success of the Company,” said Andrew Parks, CEO of Fountain.