LatAm Autos, an auto vertical operating in several Latin American markets — including Ecuador, Mexico, and Peru — saw its cash receipts for Q2 reach AUD 2.7 million ($2 million U.S.).
It was the company’s highest cash collection so far and was up 57 percent year-on-year and 34 percent quarter-on-quarter. So far, LatAm Autos’ cash receipts in the first half (H1) of the year reached AUD 4.5 million ($3.3 million US).
The company said 94 percent of cash receipts in Q2 came from its core markets: Mexico and Ecuador.
Cash outflows from operations in Q2 dropped 46 percent year-on-year and 18 percent quarter-on-quarter to AUD 1.5 million ($1.1 million US) — the company’s lowest quarterly cash outflow.
The auto vertical said it remains confident it will reach cash flow break-even by the end of the financial year 2018 (FY18). This is thanks to cross-sell products like financing, insurance, and GPS tracking.
Cross-sell products rose 60 percent in Q2, quarter-on-quarter and accounted for 40 percent of the company’s total revenues for Mexico, as of June 2018, it said.
LatAm Autos said it expects to launch several new cross-sell products in Q3. It launched Motorfy Garantias, an extended warranty for new and used cars, early in August.