Why the Fatfish (ASX:FFG) share price is storming 7% higher today

The ASX tech share announced record sales figures from its investee company Fatberry.

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The Fatfish Group Ltd (ASX: FFG) share price is rocketing today, up 7% in early afternoon trade, having earlier posted gains of 19%.

At the time of writing, the Fatfish share price is trading in the green at 6.2 cents apiece.

Below we look at the news out today from the ASX tech share.

What did Fatfish announce?

Fatfish’s share price is surging after the company reported fresh monthly and quarterly sales records at its insurtech (insurance and technology) investee company Fatberry.

Fatfish, along with its Swedish-listed subsidiary Abelco Investment Group, together own 61% of Fatberry.

According to today’s release, sales increased 36.7% from May to June, hitting $569,599 in monthly gross sales in June.

Total sales for the first half of 2021 of $1,977,391 represent a record high for Fatberry.

The Fatfish share price also may be getting a boost from its report that Fatberry’s quarter-on-quarter average sales growth over the past 4 quarters is at 478% per quarter.

What did management say?

Commenting on the results, Fatberry CEO John Tan said:

Fatberry is riding on a very strong growth momentum. We are breaking our own records every quarter and growth is seen continuously in all operational measurements, from visitor counts on our website to overall sales performance.

The company has equipped itself with the right business model, stellar team and technology to drive this exponential growth for quite a while more.

Fatberry’s current insurance products cover vehicles, motorbikes, personal accident and travel insurance. The company plans to launch a new insurance product category before the end of September.

Fatfish share price snapshot

The Fatfish share price has been a standout performer over the past 12 months, gaining 530%. By comparison the All Ordinaries Index (ASX: XAO) is up 26% over that same time.

Year-to-date, Fatfish’s share price has continued to outperform, up 58% in 2021.

Fatfish and its Swedish subsidiary, Abelco, operate from innovation hubs in Singapore, Kuala Lumpur and Stockholm.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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