Net Element International Inc (OCTMKTS:NETE) has announced financial results for the recently concluded 3Q2015. As per the reports, the quarterly revenue increased at a whopping 110% compared to 3Q2014. At the same time, the overall revenue showed a significant growth rate of 59% YOY.

Other Milestones Achieved By Net Element

The growth of its business in different geographies remained one of the prime objectives of the company in the third quarter. It entered into multiple partnership agreements with different mobile operators in Kazakistan to provide world-class mobile payment services to millions of customers.

Even though revenues increased at an unbelievable rate, Net Element failed to achieve a profitable state. It ended the quarter with a net loss of 0.04 per share or $2,931,704 compared to previous year’s net loss of $0.06 per share or $2,225,498.

Net revenues for the three-month period ending September 30,2015 were $12.67 million compared to $6.02 million in 3Q2014. The primary source of these revenues was the payment processing fee received by Net Element during the quarter. There were multiple transactions regarding the net increase in merchants and purchase of portfolios in the quarter before, which helped the company generate excellent revenues in 3Q2015.

When it comes to gross margin, Net Element reported $1,969,796 against last year’s $1,309,106. The overall increase of $660,690 in the gross margin was due to a surge in US Transaction Processing. The increment in gross margin was off-set by reduction of $470,723 in the mobile gross margin. The fluctuating market conditions led to a significant reduction in mobile cost of sales, which affected company’s mobile gross margin

The general and administrative expenses for the quarter showed a record hike of $248,855 and touched were $2,159,170. The yearly increment in salaries, taxes, additional benefits and contractor benefits was the biggest driving force behind this record hike in G&M expenses.

The senior management of Net Element is confident of reporting better financial numbers than 3Q2015 in upcoming quarters.