ShiftPixy Inc. (NASAQ: PIXY) reported revenue rose 53.7% in its fiscal year 2022 ended Aug. 31, according to a filing with the US Securities and Exchange Commission. The Miami-based company operates both as an employment administrative services provider and staffing provider that focuses on the restaurant and hospitality industry as well as the healthcare industry. It also provides a human resources information system.

The increase in revenue is due to the combination of a 2.9% year-over-year increase in gross billings and the impact of transitioning a significant amount of its existing clients to a staffing revenue recognition model during fiscal year 2022, the company reported in the regulatory filing.

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The increase in net loss was mainly driven an increase in operating expenses, according to the filing. These included a 22.3% increase in payroll, the cost associated with ShiftPixy’s SPAC’s initiative. Furthermore, a significant impact from non-recurring expenses in fiscal 2022 includes a $4.0 million impairment of the notes receivable from the sale of its PEO business for $19.0 million to Vensure Employers Services Inc. and a $3.9 million ROU asset impairment for the two leases abandoned during the year.

Share price and market cap

Shares in ShiftPixy were down 10.2% to $17.42 as of 1:21 p.m. Eastern time; they were 100.58% above their 52-week low, according to FT.com. The company had a market cap of $187.62 million.