As the second quarter of 2020 came to a close on June 30, ISW Holdings Inc. (OTCMKTS:ISWH) prepared to close the books on another strong quarter – its fifth in a row where growth ran well above competitors on a period-over-period basis.

That data hit the wires this morning and it was as advertised. In summary, the company reported operational performance data for the three months and six months ended June 30, 2020, as follows:

  • Revenues for the three months ended June 30 totaled $248,675 (for the six months ended June 30, $485,593), representing year-over-year growth of 79% (and 244%) compared to comparable periods in 2019
  • Gross Profits for the three months ended June 30 totaled $94,692 (for the six months ended June 30, $134,011), representing year-over-year growth of 72% (and 152%) compared to comparable periods in 2019
  • Developed new TeleCare telehealth solution for integration into Paradigm Home Healthcare (“PHH”) division services
  • Growth in PHH during the quarter included new clients and new providers
  • Signed JV agreement with Bit5ive LLC (“Bit5ive”) to deliver 1MW cryptocurrency mining turnkey solution to major Pennsylvania mining facility

As noted above, the results constitute the fifth consecutive quarter of very strong growth, mostly powered by ISWH’s rapidly expanding home healthcare division, Paradigm Home Healthcare (PHH).

But we would note that this already strong growth curve appears likely to accelerate in the back half of the year as ISW Holdings begins shipping its turnkey cryptocurrency mining solution, the new Proceso S19 Pod5ive data center, developed and designed in partnership with its JV partner, Bit5ive, a market leader in cryptocurrency mining solutions.

Bit5ive is engaged in firing up its 100-MW crypto mining facilities in Pennsylvania, one of the most ambitious mining operations on the planet.

“We demonstrated the continued viability of our Home Healthcare business during a tumultuous quarter beset by tremendous challenges across the country due to the pandemic health crisis,” commented Alonzo Pierce, President and Chairman of ISW Holdings. “We also set the stage for accelerating growth in the back half of the year as we look forward to continued developments in both our telehealth and crypto mining endeavors at a time when the context is very promising in both of those markets. We have shown strong topline growth now for five consecutive quarters almost solely driven by PHH. We feel we are well positioned to continue that growth and begin to see tangible returns from our crypto mining investments over coming months as well.”

Building on a Foundation

ISW Holdings is global brand management holdings firm that invests in highly profitable companies and markets.

According to Alonzo Pierce, the president of the holdings company, their journey started 25 years ago, in the mid-nineties. As the company’s name suggests, their focus was on developing alcoholic and non-alcoholic beverages brands, from which Besado Tequila being the most well-known and successful. In the last more than two decades, ISWH’s team invested in the wellness market, renewable energy sector, in supply chain management software, and most recently in cryptocurrency mining and telehealth.

Alonzo Pierce and his team were working extremely hard to not simply keep the company above water during the long and devastating months of the pandemic. Still, during the first half of 2020, they managed to find and provide real value to their customers in two booming markets: crypto-mining and telehealth.

“Last week, we announced our new focus on the Pennsylvania project with Bit5ive and our participation in one of the most ambitious crypto mining facilities in the world, but the real breadwinner for the Company at present remains our flourishing home healthcare business,” shared Pierce recently. “The strong performance in Q2 from PHH was highlighted by continued growth in new clients and new hires. We are also very excited about our upcoming integration of proprietary telehealth technology into PHH operations.”

The New Business of Telehealth

The global pandemic is hitting the US economy hard, with rate of unemployment skyrocketing. The most endangered part of the population is senior citizens. They are prohibited to leave their houses, and while being quarantined, medical care is less likely to reach them when they need it.

Telehealth is about providing medical services online, including communication, wellness, fitness, and healing services. Step counters built-in mobile phones and heart rate monitors in wristwatches are the first steps of this highly innovative journey. Telehealth and telemedicine walk hand in hand to not simply measure and store patient data but build remote healthcare services that save lives.

PPH, also known as Paradigm Home Health, is the newest investment of ISW Holding, with an aim to improve senior citizens’ lives with telehealth and telemedicine devices and services. Their first product, currently in beta testing, is a “one-button wearable device to call their visiting nurse, home health provider, or a 24/7 nurse assist hotline anytime they need medical assistance.”

Crypto-Mining Horizon

With cryptocurrencies being sought by investors in never-before-seen quantities, it is a natural tendency that the biggest players increase their crypto mining capacities.

This process requires extremely powerful machinery that is specially built to be capable of handling trillions of calculations while requiring less and less energy. Therefore the era of home-built equipment is over with special devices, like the data center pod developed in joint-venture with Bit5ive, a new partner to ISW Holdings Inc. (OTCMKTS: ISWH).

“The S19 Pod5ive Data Center has been engineered from the ground up to deliver an industry-leading Power Usage Effectiveness (“PUE”) score of 1.025,” informed Alonzo Pierce. “If you eliminate everything superfluous to maximum performance, optimize every remaining factor, and then integrate it into a renewable energy substrate to drive costs down to some of the lowest levels available anywhere in the world, this is what you get.”