PETALING JAYA: With the bulk of its revenue stream being recurring income, N2N CONNECT BHD
is expected to be in a strong position to weather the Covid-19 economic fallout.
According to TA Research, the business model of the financial information services provider will provide stability to the company amid the turmoil roiling the global economy and financial markets.
“We remain sanguine on N2N’s performance, thanks to its business model, whereby the bulk of the group’s revenue stream is largely recurring, ” the brokerage said.
It noted that about 79% of N2N’s revenue was recurring, comprising mainly the rental and subscription fees received for the provision of information service terminals, front-office trading and back-office settlement systems, and management network services, while transaction-based revenue (about 19%) was dependent on the volume of trades matched via its systems.
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