Fly-E Group Announces Second Quarter and First Half of Fiscal Year 2025 Financial Results
NEW YORK, Nov. 20, 2024 /PRNewswire/ — Fly-E Group, Inc. FLYE (“Fly-E” or the “Company”), an electric vehicle company engaged in designing, installing and selling smart electric motorcycles, electric bikes, electric scooters, and related accessories, today announced its unaudited financial results for the second quarter and first half of fiscal year 2025 ended September 30, 2024.
Selected Second Quarter Financial Results
- Revenue: $6.8 million, compared with $8.8 million in Q2 2023.
- Gross profit: $2.9 million, compared with $3.8 million in Q2 2023.
- Total operating expense: $4.1 million, compared with $2.7 million in Q2 2023.
- Net loss: $1.1 million, or $0.05 per share, compared with net income of $0.7 million, or $0.03 per share, in Q2 2023.
Mr. Zhou (Andy) Ou, Chairman and Chief Executive Officer of Fly-E, remarked, “Despite recent market challenges, we remain committed to driving growth and expanding our market presence. In the second quarter of fiscal year 2025, we held a stable gross margin above 40%, even as operating expenses increased with our efforts to add e-bike rental business. For the first half of fiscal 2025, our gross margin improved to 40.9%, up from 39.0% last year, reflecting disciplined cost management and a commitment to profitability. While we saw a dip in revenue due to external factors, these stable margins underscore the effectiveness of our approach.
On the product and market side, we’re energized by the success of our recent initiatives. At October’s Electrify Expo in New York, our product lineup— featuring 11 models spanning e-bikes, e-motorcycles, and e-scooters, with three newly launched models in the e-motorcycles—drew strong interest and received highly positive feedback. Additionally, the launch of our e-bike Rental Service offers customers a flexible, affordable way to experience our products and positions us well to meet shifting consumer needs. As part of our growth strategy, we’re expanding into key markets like Miami, Los Angeles and Toronto and broaden our presence . On the technological front, we are leveraging innovation to enhance customer convenience, including ongoing development of our mobile apps designed to streamline user experiences and provide more features for our customers. Our involvement in New York City’s Trade-in Program for e-bikes and batteries is aligned with our commitment to setting high safety standards in the electric vehicle industry, helping provide UL-certified e-bikes for delivery workers. Moving forward, our dedication to innovation, safety, and superior customer experience is expected to continue to drive growth and enhance value for our shareholders.”
Second Quarter of Fiscal Year 2025 Financial Results
Net revenues were $6.8 million for the second quarter of fiscal year 2025, a decrease of 22.1%, from $8.8 million for the same period last year. The decrease in net revenues was primarily due to the decrease in sales volume by 5,850 units, from 20,906 units for the same period last year to 15,056 units for the second quarter of fiscal year 2025.
Retail sales revenue was $5.9 million for the second quarter of fiscal year 2025, a decrease of 12.5%, from $6.8 million for the same period last year. Wholesale revenue was $0.9 million for the second quarter of fiscal year 2025, a decrease of 54.8% from $2.0 million for the same period last year. The decrease in retail sales revenue is mainly due to recent lithium battery accidents involving E-Bikes and E-Scooters. With an increasing number of lithium-battery explosion incidents in New York, customers are less inclined to purchase E-Bikes. Consequently, the management believes that sales have declined as customers opt for oil-powered vehicles over electric vehicles. The decrease in wholesales revenue was driven primarily by the decrease in orders from the top two customers who closed their stores.
Cost of Revenues
Cost of revenues was $3.9 million for the second quarter of fiscal year 2025, a decrease of 21.6%, from $5.0 million for the same period last year. The decrease in cost of revenues was primarily attributable to a reduction in units sold, which declined by 5,850 units, to 15,056 units for the second quarter of fiscal year 2025 from 20,906 units for the same period last year.
Gross Profit
Gross profit was $2.9 million for the second quarter of fiscal year 2025, a decrease of 22.8%, from $3.8 million for the same period last year. Gross margin was 42.6% for the second quarter of fiscal year 2025, compared to 42.9% for the same period last year.
Total Operating Expenses
Total operating expenses were $4.1 million for the second quarter of fiscal year 2025, an increase of 54.5%, from $2.7 million for the same period last year. The increase in operating expenses was attributable to the increase in payroll expenses, rent expenses, advertising expenses, professional fees, and insurance expenses as the Company expanded its business.
- Selling expenses were $2.0 million for the second quarter of fiscal year 2025, compared to $1.6 million for the same period last year. Selling expenses primarily consist of payroll expenses, rent, utilities expenses, and advertising expenses of retail stores. Total payroll expenses were $0.9 million for the second quarter of fiscal year 2025, compared to $0.4 million for the same period last year. Rent expenses were $0.8 million for the second quarter of fiscal year 2025, compared to $0.6 million for the same period last year. Advertising expenses were $0.1 million for the second quarter of fiscal year 2025, compared to $14,339 for the same period last year. The increase in these expenses was primarily due to the increased number of new employees hired for repair and maintenance business operation in the second quarter of fiscal year 2025.
- General and administrative expenses were $2.1 million for the second quarter of fiscal year 2025, compared to $1.1 million for the same period last year. Professional fees increased to $0.9 million for the second quarter of fiscal year 2025, compared to $0.3 million for the same period last year, primarily attributable to the increase in audit fee, consulting fee, legal fee and IR expenses associated with ongoing reporting obligations. Payroll expenses increased to $0.4 million for the second quarter of fiscal year 2025 from $0.2 million for the same period last year primarily due to additional employees hired in operation departments. Insurance expenses increased to $0.3 million for the second quarter of fiscal year 2025, compared to $24,570 for the same quarter of prior year as a result of purchase of the directors and officers liability insurance after initial public offering in the second quarter of fiscal year 2025.
Net Income (Loss)
Net loss was $1.1 million for the second quarter of fiscal year 2025, compared to net income of $0.7 million for the same period last year.
Basic and Diluted Earnings (Losses) per Share
Basic and diluted losses per share were $0.05 for the second quarter of fiscal year 2025, compared to basic and diluted earnings per share of $0.03 for the same period last year.
EBITDA
EBITDA was negative $1.2 million for the second quarter of fiscal year 2025, compared to positive EBITDA of $1.3 million for the same period last year.
First Half of Fiscal Year 2025 Financial Results
Net Revenues
Net revenues were $14.7 million for the first half of fiscal year 2025, a decrease of 11.5%, from $16.6 million for the same period last year. The decrease in net revenues was driven primarily by a decrease in total units sold, which decreased by 4,067 units, to 31,936 units for the first half of fiscal year 2025 from 36,003 units for the same period last year. For the six months ended September 30, 2023 and for the six months ended September 30, 2024, the quantity of E-bikes and batteries sold decreased by 2,963 and 2,624, respectively.
Retail sales revenue was $12.8 million for the first half of fiscal year 2025, a decrease of 1.1%, from $12.9 million for the same period last year. Wholesale revenue was $1.9 million for the first half of fiscal year 2025, a decrease of 48.1% to $3.7 million for the same period last year. The decrease in retail sales revenue is mainly due to recent lithium-battery accidents involving E-Bikes and E-Scooters. With an increasing number of lithium-battery explosion incidents in New York, customers are less inclined to purchase E-Bikes. Consequently, sales have declined as customers opt for oil-powered vehicles over electric vehicles. The decrease in wholesales revenue was driven primarily by the closure of stores by the top two customers who closed their stores in December 2023 due to lack of profitability.
Cost of Revenues
Cost of revenues was $8.7 million for the for the first half of fiscal year 2025, a decrease of 14.1%, from $10.1 million for the same period last year. The decrease in cost of revenues was primarily attributable to more favorable pricing the Company obtained from its suppliers, particularly for batteries, as well as a reduction in battery sales volume. These factors collectively contributed to the overall decrease in cost of revenues. The unit cost for battery decreased 36%, to $75 in the first half of fiscal year 2025 from $117 in the same period last year.
Gross Profit
Gross profit was $6.0 million for the first half of fiscal year 2025, a decrease of 7.4%, from $6.5 million for the same period last year. Gross margin was 40.9% for the first half of fiscal year 2025, increased from 39.0% for the same period last year.
Total Operating Expenses
Total operating expenses were $7.3 million for the first half of fiscal year 2025, an increase of 57.2%, from $4.6 million for the same period last year. The increase in operating expenses was attributable to the increase in payroll expenses, rent expenses, meals and entertainment expenses, professional fees, and development expenses as the Company expanded business.
- Selling expenses were $3.7 million for the first half of fiscal year 2025, compared to $2.7 million for the same period last year. Selling expenses primarily consist of payroll expenses, rent, utilities expenses, and advertising expenses of retail stores. Total payroll expenses were $1.5 million for the first half of fiscal year 2025, compared to $0.8 million for the same period last year. Rent expenses were $1.5 million for the first half of fiscal year 2025, compared to $1.1 million for the same period last year. Utilities expenses were $119,252 for the first half of fiscal year 2025, compared to $68,863 for the same period last year. Advertising expenses were $0.2 million for the first half of fiscal year 2025, compared to $26,066 for the same period last year. The increase in these expenses was primarily due to the increase number of new employees hired for business operating in the first half of fiscal year 2025.
- General and administrative expenses were $3.6 million for the first half of fiscal year 2025, compared to $1.9 million for the same period last year. Professional fees increased to $1.3 million for the first half of fiscal year 2025, compared to $0.5 million for the same period last year, primarily attributable to the increase in audit fee, consulting fee, legal fee and IR expenses associated with the Company’s initial public offering and ongoing reporting obligations. Payroll expenses increased to $0.8 million for the first half of fiscal year 2025, from $0.4 million for the same period las year primarily due to additional employees hired in operation and accounting departments. Insurance expenses increased to $0.5 million for the first half of fiscal year 2025, compared to $0.1 million for the same period of prior year as a result of purchase of directors and officers liability insurance after initial public offering in the first half of fiscal year 2025. Software development fee increase to $0.3 million for the first half of fiscal year 2025, compared to $0.1 million for the same period last year as a result of maintenance for Fly E-Bike app during the first half of fiscal year 2025.
Net Income (Loss)
Net loss was $1.3 million for the first half of fiscal year 2025, compared to net income of $1.2 million for the same period last year.
Basic and Diluted Earnings (Losses) per Share
Basic and diluted losses per share were $0.06 for the first half of fiscal year 2025, compared to basic and diluted earnings per share of $0.05 for the same period last year.
EBITDA
EBITDA was negative $1.1 million for the first half of fiscal year 2025, compared to positive EBITDA of $2.1 million for the same period last year.
Financial Condition
As of September 30, 2024, the Company had cash of $1.3 million.
Net cash used in operating activities was $9.4 million for the first half of fiscal year 2025, compared to net cash provided by operating activities of $1.6 million for the same period last year.
Net cash used in investing activities was $2.8 million for the first half of fiscal year 2025, compared to $0.5 million for the same period last year.
Net cash provided by financing activities was $12.1 million for the first half of fiscal year 2025, compared to net cash used in financing activities of $0.3 million for the same period last year.
Business Update
At the Electrify Expo in New York, a leading event in the micromobility industry held from October 12 to 13, 2024, the Company showcased its full product lineup, featuring 11 models, including e-bikes, e-motorcycles, and e-scooters. Among the highlights were three newly launched e-motorcycle models: the DT, designed for off-road adventures; the EK, offering a balanced mix of stability and efficiency; and the DP, delivering a powerful and exhilarating riding experience.
Over the two-day event, Fly-E captivated more than 10,000 attendees, facilitating over 1,500 successful test rides and receiving overwhelmingly positive feedback. With four dedicated booths and meticulous preparation, the Company’s offerings attracted a diverse audience, ranging from couples and families to young professionals. Many attendees expressed interest in visiting the Company’s New York stores in Queens, Manhattan, Bronx, and Brooklyn for further exploration and in-store shopping.
As part of its growth strategy, Fly-E is committed to prioritizing eco-friendly innovation and enhancing user experience in its product development. Leveraging insights gained from the event, the Company plans to refine its offerings and expand its market presence.
About Fly-E Group, Inc.
Fly-E Group, Inc. is an electric vehicle company that is principally engaged in designing, installing and selling smart electric motorcycles, electric bikes, electric scooters and related accessories under the brand “Fly E-Bike.” The Company’s commitment is to encourage people to incorporate eco-friendly transportation into their active lifestyles, ultimately contributing towards building a more environmentally friendly future. For more information, please visit the Company’s website: https://investors.flyebike.com.
Non-GAAP Financial Measures
To supplement the Company’s financial information presented in accordance with the generally accepted accounting principles in the United States (the “U.S. GAAP”), management periodically uses certain “non-GAAP financial measures,” as such term is defined under the rules of the SEC, to clarify and enhance understanding of past performance and prospects for the future. Generally, a non-GAAP financial measure is a numerical measure of a company’s operating performance, financial position or cash flows that excludes or includes amounts that are included in or excluded from the most directly comparable measure calculated and presented in accordance with U.S. GAAP. For example, non-GAAP measures may exclude the impact of certain items such as acquisitions, divestitures, gains, losses and impairments, or items outside of management’s control. Management believes that the following non-GAAP financial measure provides investors and analysts useful insight into its financial position and operating performance. Any non-GAAP measure provided should be viewed in addition to, and not as an alternative to, the most directly comparable measure determined in accordance with U.S. GAAP. Further, the calculation of these non-GAAP financial measures may differ from the calculation of similarly titled financial measures presented by other companies and therefore may not be comparable among companies.
The Company uses EBITDA (earnings before interest, taxes, depreciation, and amortization) to evaluate its operating performance. The Company believes EBITDA provides additional insight into its underlying, ongoing operating performance and facilitates year-to-year comparisons by excluding the earnings impact of interest, tax, depreciation and amortization and that presenting EBITDA is more representative of its operational performance and may be more useful for investors.
The Company reconciles its non-GAAP financial measure to its net income, which is its most directly comparable financial measure calculated and presented in accordance with U.S. GAAP. EBITDA includes adjustments for provision for income taxes, as applicable, interest income and expense, depreciation, and amortization. EBITDA does not represent and should not be considered an alternative to net income as determined by U.S. GAAP, and its calculations thereof may not be comparable to those reported by other companies. The Company believes EBITDA is an important measure of operating performance and provides useful information to investors because it highlights trends in its business that may not otherwise be apparent when relying solely on U.S. GAAP measures and because it eliminates items that have less bearing on its operating performance. EBITDA, as presented herein, is a supplemental measure of its performance that is not required by, or presented in accordance with, U.S. GAAP. The Company uses non-GAAP financial measures as supplements to its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its business. EBITDA is a measure of operating performance that is not defined by U.S. GAAP and should not be considered a substitute for net (loss) income as determined in accordance with U.S. GAAP.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can find many (but not all) of these statements by the use of words such as “approximates,” “believes,” “hopes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,” “plans,” “will,” “would,” “should,” “could,” “may” or other similar expressions. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct. The Company cautions investors that actual results may differ materially from the anticipated results, and that the forward-looking statements contained in this press release are subject to the risks set forth in the Company’s filings with the Securities and Exchange Commission (the “SEC”), including the section under “Risk Factors” of its most recent Annual Report on Form 10-K for the fiscal year ended March 21, 2024, filed with the SEC on June 28, 2024. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law.
For investor and media inquiries, please contact:
Fly-E Group, Inc.
Investor Relations Department
Email: ir@flyebike.com
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
|
FLY-E GROUP, INC. |
||||||||
|
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS |
||||||||
|
(Expressed in U.S. dollars, except for the number of shares) |
||||||||
|
September 30, |
March 31, |
|||||||
|
ASSETS |
||||||||
|
Current Assets |
||||||||
|
Cash |
$ |
1,274,935 |
$ |
1,403,514 |
||||
|
Accounts receivable |
366,838 |
212,804 |
||||||
|
Accounts receivable – related parties |
91,885 |
326,914 |
||||||
|
Inventories, net |
8,596,108 |
5,364,060 |
||||||
|
Prepayments and other receivables |
2,453,340 |
588,660 |
||||||
|
Prepayments and other receivables – related parties |
387,808 |
240,256 |
||||||
|
Total Current Assets |
13,170,914 |
8,136,208 |
||||||
|
Property and equipment, net |
6,644,717 |
1,755,022 |
||||||
|
Security deposits |
837,179 |
781,581 |
||||||
|
Deferred IPO costs |
– |
502,198 |
||||||
|
Deferred tax assets, net |
497,939 |
35,199 |
||||||
|
Operating lease right-of-use assets |
15,438,347 |
16,000,742 |
||||||
|
Intangible assets, net |
527,538 |
36,384 |
||||||
|
Long-term prepayment for property |
– |
450,000 |
||||||
|
Long-term prepayment for software development– related parties |
1,055,980 |
1,279,000 |
||||||
|
Total Assets |
$ |
38,172,614 |
$ |
28,976,334 |
||||
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
||||||||
|
Current Liabilities |
||||||||
|
Accounts payable |
$ |
365,129 |
$ |
1,180,796 |
||||
|
Short-term loan payables |
4,909,982 |
– |
||||||
|
Current portion of long-term loan payables |
90,809 |
1,213,242 |
||||||
|
Short term mortgage loan payables |
1,800,000 |
– |
||||||
|
Accrued expenses and other payables |
545,206 |
925,389 |
||||||
|
Other payables – related parties |
– |
92,229 |
||||||
|
Operating lease liabilities – current |
3,149,827 |
2,852,744 |
||||||
|
Taxes payable |
– |
1,530,416 |
||||||
|
Total Current Liabilities |
10,860,953 |
7,794,816 |
||||||
|
Long-term loan payables |
191,128 |
412,817 |
||||||
|
Operating lease liabilities – non-current |
13,288,194 |
13,986,879 |
||||||
|
Total Liabilities |
24,340,275 |
22,194,512 |
||||||
|
Commitment and Contingencies |
||||||||
|
Stockholders’ Equity |
||||||||
|
Preferred stock, $0.01 par value, 4,400,000 shares authorized and nil |
— |
— |
||||||
|
Common stock, $0.01 par value, 44,000,000 shares authorized and 24,587,500 |
245,875 |
220,000 |
||||||
|
Additional Paid-in Capital |
10,744,024 |
2,400,000 |
||||||
|
Shares Subscription Receivable |
(219,998) |
(219,998) |
||||||
|
Retained Earnings |
3,073,293 |
4,395,649 |
||||||
|
Accumulated other comprehensive loss |
(10,855) |
(13,829) |
||||||
|
Total FLY-E Group, Inc. Stockholders’ Equity |
13,832,339 |
6,781,822 |
||||||
|
Total Liabilities and Stockholders’ Equity |
$ |
38,172,614 |
$ |
28,976,334 |
||||
|
* |
Shares and per share data are presented on a retroactive basis to reflect the nominal share issuance on |
|
FLY-E GROUP, INC. |
||||||||||||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND |
||||||||||||||||
|
COMPREHENSIVE (LOSS) INCOME |
||||||||||||||||
|
(Expressed in U.S. dollars, except for the number of shares) |
||||||||||||||||
|
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
|
2024 |
2023 |
2024 |
2023 |
|||||||||||||
|
Revenues |
$ |
6,824,406 |
$ |
8,763,839 |
$ |
14,697,832 |
$ |
16,606,185 |
||||||||
|
Cost of Revenues |
3,919,952 |
5,002,540 |
8,693,744 |
10,122,171 |
||||||||||||
|
Gross Profit |
2,904,454 |
3,761,299 |
6,004,088 |
6,484,014 |
||||||||||||
|
Operating Expenses |
||||||||||||||||
|
Selling Expenses |
2,041,435 |
1,618,439 |
3,653,930 |
2,701,545 |
||||||||||||
|
General and Administrative Expenses |
2,094,078 |
1,058,235 |
3,626,716 |
1,930,300 |
||||||||||||
|
Total Operating Expenses |
4,135,513 |
2,676,674 |
7,280,646 |
4,631,845 |
||||||||||||
|
(Loss) Income from Operations |
(1,231,059) |
1,084,625 |
(1,276,558) |
1,852,169 |
||||||||||||
|
Other Income (Expenses), net |
(53,929) |
40,779 |
(47,411) |
29,701 |
||||||||||||
|
Interest Expenses, net |
(23,795) |
(17,969) |
(91,877) |
(50,592) |
||||||||||||
|
(Loss) Income Before Income Taxes |
(1,308,783) |
1,107,435 |
(1,415,846) |
1,831,278 |
||||||||||||
|
Income Tax Benefit (Expense) |
165,935 |
(360,879) |
93,490 |
(644,279) |
||||||||||||
|
Net (Loss) Income |
$ |
(1,142,848) |
$ |
746,556 |
$ |
(1,322,356) |
$ |
1,186,999 |
||||||||
|
Other Comprehensive Income (Loss) |
||||||||||||||||
|
Foreign currency translation adjustment |
4,298 |
— |
2,974 |
— |
||||||||||||
|
Total Comprehensive (Loss) Income |
$ |
(1,138,550) |
$ |
746,556 |
$ |
(1,319,382) |
$ |
1,186,999 |
||||||||
|
(Losses) Earnings per Share* |
$ |
(0.05) |
$ |
0.03 |
$ |
(0.06) |
$ |
0.05 |
||||||||
|
Weighted Average Number of Common Stock |
||||||||||||||||
|
– Basic and Diluted* |
24,587,500 |
22,000,000 |
23,622,596 |
22,000,000 |
||||||||||||
|
* |
Shares and per share data are presented on a retroactive basis to reflect the nominal share issuance on |
|
FLY-E GROUP, INC. |
||||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||
|
(Expressed in U.S. dollars, except for the number of shares) |
||||||||
|
For the Six Months Ended |
||||||||
|
2024 |
2023 |
|||||||
|
Cash flows from operating activities |
||||||||
|
Net (loss) income |
$ |
(1,322,356) |
$ |
1,186,999 |
||||
|
Adjustments to reconcile net (loss) income to net cash (used in) provided |
||||||||
|
Depreciation expense |
180,910 |
190,559 |
||||||
|
Amortization expense |
8,846 |
— |
||||||
|
Deferred income taxes (benefits) expenses |
(462,740) |
189,600 |
||||||
|
Amortization of operating lease right-of-use assets |
1,676,991 |
1,221,280 |
||||||
|
Inventories reserve |
330,823 |
159,851 |
||||||
|
Changes in operating assets and liabilities: |
||||||||
|
Accounts receivable |
(154,034) |
(463,949) |
||||||
|
Accounts receivable – related parties |
235,029 |
(203,069) |
||||||
|
Inventories |
(3,562,871) |
(1,672,986) |
||||||
|
Prepayments and other receivables |
(1,864,681) |
5,223 |
||||||
|
Prepayments for operation services to related parties |
(180,000) |
— |
||||||
|
Security deposits |
(55,598) |
(78,191) |
||||||
|
Accounts payable |
(815,667) |
1,813,644 |
||||||
|
Accrued expenses and other payables |
(380,183) |
33,873 |
||||||
|
Operating lease liabilities |
(1,516,198) |
(1,132,114) |
||||||
|
Taxes payable |
(1,530,416) |
343,148 |
||||||
|
Net cash (used in) provided by operating activities |
(9,412,145) |
1,593,868 |
||||||
|
Cash flows from investing activities |
||||||||
|
Purchases of equipment |
(1,575,936) |
(526,214) |
||||||
|
Purchase of Software from a related party |
(500,000) |
— |
||||||
|
Prepayment for purchasing software from a related party |
(801,980) |
— |
||||||
|
Repayment from a related party |
510,381 |
— |
||||||
|
Advance to a related party |
(477,933) |
— |
||||||
|
Net cash used in investing activities |
(2,845,468) |
(526,214) |
||||||
|
Cash flows from financing activities |
||||||||
|
Advance to a related party |
— |
(99,500) |
||||||
|
Borrowing from loan payables |
3,737,500 |
400,000 |
||||||
|
Repayments of loan payables |
(391,308) |
(335,374) |
||||||
|
Repayments on other payables – related parties |
(92,229) |
(198,615) |
||||||
|
Payments of related party loan |
— |
(120,000) |
||||||
|
Capital Contributions from Stockholders |
— |
136,370 |
||||||
|
Payments of IPO cost |
(282,403) |
(100,000) |
||||||
|
Net proceeds from issuance of common stock – IPO |
9,154,500 |
— |
||||||
|
Net cash provided by (used in) financing activities |
12,126,060 |
(317,119) |
||||||
|
Net changes in cash |
(131,553) |
750,535 |
||||||
|
Effect of exchange rate changes on cash |
2,974 |
— |
||||||
|
Cash at beginning of the period |
1,403,514 |
358,894 |
||||||
|
Cash at the end of the period |
$ |
1,274,935 |
$ |
1,109,429 |
||||
|
Supplemental disclosure of cash flow information |
||||||||
|
Cash paid for interest expense |
$ |
91,877 |
$ |
50,592 |
||||
|
Cash paid for income taxes |
$ |
1,940,595 |
$ |
185,347 |
||||
|
Supplemental disclosure of non-cash investing and financing activities |
||||||||
|
Settlement of accounts payable by related parties |
$ |
— |
$ |
50,000 |
||||
|
Settlement of accounts payable by capital contribution |
$ |
— |
$ |
2,263,630 |
||||
|
Purchase of vehicle funded by loan |
$ |
219,668 |
$ |
34,974 |
||||
|
Purchase of office funded by loan |
$ |
1,800,000 |
$ |
— |
||||
|
Purchase software and office by using previous prepayments |
$ |
1,975,000 |
$ |
— |
||||
|
Deferred IPO cost recognized as additional paid-in capital |
$ |
502,198 |
$ |
— |
||||
|
Termination of operating lease right-of-use assets and operating lease liabilities |
$ |
(280,087) |
$ |
— |
||||
|
Right-of-use assets obtained in exchange for operating lease liabilities |
$ |
1,394,682 |
$ |
2,523,012 |
||||
The following table sets forth the components of our EBITDA for the three months ended September 30, 2024 and 2023, with reconciliations to the nearest GAAP financial measures provided below:
|
For the Three Months Ended September 30, |
||||||||||||||||
|
2024 |
2023 |
Change |
Percentage |
|||||||||||||
|
(Loss) Income from Operations |
$ |
(1,142,848) |
$ |
746,556 |
$ |
(1,889,404) |
(253.1) |
% |
||||||||
|
Income Tax (Benefit) Expense |
(165,935) |
360,879 |
(526,814) |
(146.0) |
% |
|||||||||||
|
Depreciation |
85,859 |
126,891 |
(41,032) |
(32.3) |
% |
|||||||||||
|
Interest Expenses |
23,795 |
17,969 |
5,826 |
32.4 |
% |
|||||||||||
|
Amortization |
7,895 |
— |
7,895 |
100.0 |
% |
|||||||||||
|
EBITDA |
$ |
(1,191,234) |
$ |
1,252,295 |
$ |
(2,443,529) |
(195.1) |
% |
||||||||
|
Percentage of Revenue |
(17.5) |
% |
14.3 |
% |
(31.7) |
% |
||||||||||
The following table sets forth the components of our EBITDA for the six months ended September 30, 2024 and 2023, with reconciliations to the nearest GAAP financial measures provided below:
|
For the Six Months Ended September 30, |
||||||||||||||||
|
2024 |
2023 |
Change |
Percentage |
|||||||||||||
|
(Loss) Income from Operations |
$ |
(1,322,356) |
$ |
1,186,999 |
$ |
(2,509,355) |
(211.4) |
% |
||||||||
|
Income Tax provision |
(93,490) |
644,279 |
(737,769) |
(114.5) |
% |
|||||||||||
|
Depreciation |
180,910 |
190,559 |
(9,649) |
(5.1) |
% |
|||||||||||
|
Interest Expenses |
91,877 |
50,592 |
41,285 |
81.6 |
% |
|||||||||||
|
Amortization |
8,846 |
— |
8,846 |
100.0 |
% |
|||||||||||
|
EBITDA |
$ |
(1,134,213) |
$ |
2,072,429 |
$ |
(3,206,642) |
(154.7) |
% |
||||||||
|
Percentage of Revenue |
(7.7) |
% |
12.5 |
% |
(20.2) |
% |
||||||||||
View original content:https://www.prnewswire.com/news-releases/fly-e-group-announces-second-quarter-and-first-half-of-fiscal-year-2025-financial-results-302312140.html
SOURCE Fly-E Group, Inc.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
FDA Approves Cannabis Trial For Veterans With PTSD After Years Of Delays
After years of regulatory delays, the U.S. Food and Drug Administration (FDA) has approved Phase 2 of a clinical trial to assess the efficacy of smoked medical cannabis in treating post-traumatic stress disorder (PTSD) among military veterans.
Funded by Michigan’s Veteran Marijuana Research Grant Program, the study is poised to be a critical step in understanding how cannabis impacts PTSD symptoms, Marijuana Moment reported.
See Also: Healing Heroes: Planet 13’s Initiative For Florida Veterans And First Responders
The trial, spearheaded by the Multidisciplinary Association for Psychedelic Studies (MAPS), will be a randomized, placebo-controlled investigation involving 320 veterans diagnosed with moderate to severe PTSD.
Participants will self-titrate doses of high-THC cannabis flower or a placebo, mirroring real-world consumption patterns. MAPS aims to evaluate both the benefits and risks of inhaled cannabis for PTSD treatment.
A Long Road To Approval
The FDA’s approval comes after a protracted process marked by five partial clinical hold letters that temporarily stalled the study. MAPS responded to the final hold in August 2024 with a Formal Dispute Resolution Request (FDRR), challenging the FDA on several issues, including concerns over THC dosage, smoking as a delivery method and enrolling cannabis-naïve participants.
“After three years of negotiations with the FDA, this decision opens the door to future research into cannabis as a medical treatment, offering hope to millions,” MAPS said in a statement.
MAPS principal investigator Dr. Sue Sisley said, “In the absence of high-quality data related to cannabis, much of the information available to patients and regulators is rooted in prohibition and focused only on potential risks, without consideration of potential benefits.”
Funding And Future Implications
The Michigan program funding the trial uses tax revenue from legal cannabis sales, mirroring a growing trend of states leveraging marijuana taxes to support medical research. In 2021, Michigan allocated $13 million to MAPS for this study, with additional funds directed toward other cannabis-related research initiatives.
“Veterans are in dire need of treatments that can ease their challenging symptoms of PTSD,” stated Rick Doblin, founder and president of MAPS. “This study will generate data that doctors, like myself, can use to develop treatment plans to help people manage their PTSD symptoms.”
Read Next:
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Reedy & Company Selects AppFolio to Drive Ongoing Performance
SANTA BARBARA, Calif., Nov. 20, 2024 (GLOBE NEWSWIRE) — AppFolio, Inc. APPF, the technology leader powering the future of the real estate industry, announced Reedy & Company, a leading Memphis-based property management company has signed a five-year contract and is fully integrated with AppFolio’s suite of products to support its entire portfolio.
Reedy & Company manages a diverse portfolio of more than 3,500 properties including multi-family, single-family, affordable housing and commercial units across Tennessee, Mississippi and Arkansas. After identifying the need for a robust, scalable solution to support its growing real estate portfolio and evaluating a number of leading property management software companies, the team selected AppFolio Property Manager Max to manage its real estate portfolio due to its industry-leading innovation and AI capabilities.
“We chose AppFolio for its innovative property management solutions that align perfectly with our commitment to operational excellence and enhancing resident and owner experiences. Its comprehensive technology platform replaced five other solutions we had previously been using. By leveraging AppFolio’s advanced automation, data analytics, and AI-driven tools, we expect to streamline our workflows, improve communication, and gain valuable insights that will significantly impact our operations,” said Grant Hubbard, Vice President at Reedy & Company.
“With a diverse portfolio and plans to utilize key features such as Leasing CRM, Leasing Signals, and Database API, we are confident that the transition to AppFolio Property Manager will enhance our ability to manage our growing number of units efficiently while continuing to provide exceptional service to our residents and owners,” Hubbard continued.
“Reedy & Company exemplifies the type of multifaceted property management company that we look for in a customer,” said Katelyn Graumann, Vice President of Customer Success and Growth at AppFolio. “Our customers continue to see great value in our one powerful platform and AI-powered offerings that set the standard for innovation within the industry and help them grow their businesses.”
Over the past year, AppFolio has continued to innovate aggressively to provide the most comprehensive property management software platform on the market. This includes the announcement of FolioSpace, a next-generation resident experience that redefines how property managers and renters connect throughout the entire resident journey, along with new capabilities for Realm-X, its embedded generative AI that provides intelligent, real-time assistance by combining the latest foundation models with industry-specific context.
About AppFolio, Inc.
AppFolio is the technology leader powering the future of the real estate industry. Our innovative platform and trusted partnership enable our customers to connect communities, increase operational efficiency, and grow their business.
For more information about AppFolio, visit appfolio.com.
For more information, please contact:
Mission North for AppFolio
appfolio@missionnorth.com
About Reedy & Company
Reedy & Company, based in Memphis, Tennessee, is a premier property management firm dedicated to creating value for property owners and delivering exceptional living experiences for residents. With a firm commitment to integrity, accountability, and excellence, Reedy & Company has become a trusted partner for investors seeking both tenant satisfaction and asset growth.
For more information, visit reedyandcompany.com
For more information, please contact:
Reedy & Company
press@reedyandcompany.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/277508f7-43dd-4686-aae2-3f8eba9be144
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S&P Global Market Intelligence Report Finds Commercial Real Estate Lenders Feeling Stress but Weathering the Storm
NEW YORK, Nov. 20, 2024 /PRNewswire/ — Changes in post-pandemic behavior and a larger debt service due to higher interest rates presents challenges to the viability of many commercial real estate borrowers. While those headwinds will lead to higher defaults, stress will differ across asset classes and could take longer to play out than many think. The newly published report, Commercial Real Estate Outlook: Weathering the Storm, is part of S&P Global Market Intelligence’s Big Picture 2025 Outlook Report Series.
In this new report, S&P Global Market Intelligence’s Financial Institutions Research Team discusses how insurers, banks and their regulators are responding to concerns over potential stress in the commercial real estate (CRE) market. The report includes details on recent investment activity from life insurers in the CRE market and expectations for future loss content banks will record from the CRE segment. The report also highlights how publicly traded real estate investment trusts (REITs) can offer some insight into market conditions since they trade daily.
“Commercial real estate borrowers’ mettle will be tested over the coming year as they seek to refinance loans coming due. Many borrowers will find credit less available or at least significantly more expensive, leading to more defaults, particularly in the office segment, but not all CRE loans face the same fate,” said Nathan Stovall, director of financial institutions research at S&P Global Market Intelligence. “Any pain should not be great enough to spur deleveraging in the financial system and threaten the US economy.”
Key highlights from the report include:
- Banks with elevated CRE exposures have faced scrutiny from regulators and investors. Banks will feel some pain in their CRE books, particularly as borrowers seeking to refinance maturing credits find it more difficult to access credit, or they will at least face a significantly higher debt service given the increase in interest rates.
- S&P Global Market Intelligence’s analysis of property records nationwide found that approximately $950 billion of CRE mortgages were set to mature in 2024 and carried rates nearly 200 basis points below those originated this year.
- Office REITs continue to trade at vast discounts to their estimated net asset value estimates, but valuations have improved from the low point in 2023.
- Despite asset quality concerns, life insurers holdings of mortgage loans have continued to reach record highs in 2024.
To request a copy of Commercial Real Estate Outlook: Weathering the Storm, please contact press.mi@spglobal.com.
S&P Global Market Intelligence’s opinions, quotes, and credit-related and other analyses are statements of opinion as of the date they are expressed and not statements of fact or recommendation to purchase, hold, or sell any securities or to make any investment decisions, and do not address the suitability of any security.
About S&P Global Market Intelligence
At S&P Global Market Intelligence, we understand the importance of accurate, deep and insightful information. Our team of experts delivers unrivaled insights and leading data and technology solutions, partnering with customers to expand their perspective, operate with confidence, and make decisions with conviction.
S&P Global Market Intelligence is a division of S&P Global SPGI. S&P Global is the world’s foremost provider of credit ratings, benchmarks, analytics and workflow solutions in the global capital, commodity and automotive markets. With every one of our offerings, we help many of the world’s leading organizations navigate the economic landscape so they can plan for tomorrow, today. For more information, visit www.spglobal.com/marketintelligence.
Media Contact
Katherine Smith
S&P Global Market Intelligence
+1 781-301-9311
katherine.smith@spglobal.com or press.mi@spglobal.com
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SOURCE S&P Global Market Intelligence
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Snowflake Q3 Earnings: Revenue Beat, EPS Beat, Guidance Raise, AI Acquisition, Anthropic Partnership And More
Snowflake Inc SNOW reported third-quarter financial results after the market close on Wednesday. Here’s a rundown of the report.
Q3 Earnings: Snowflake reported third-quarter revenue of $942.09 million, beating the consensus estimate of $896.99 million. The data cloud company reported adjusted earnings of 20 cents per share, beating analyst estimates of 15 cents per share, according to Benzinga Pro.
Total revenue was up 28% year-over-year. Product revenue came in at $900.3 million, up 29% year-over-year. Net revenue retention rate was 127% in the quarter.
Remaining performance obligations totaled $5.7 billion, up 55% year-over-year. Snowflake said it ended the quarter with 542 customers with trailing 12-month product revenue greater than $1 million.
“Our obsessive drive to produce product cohesion and ease of use has built Snowflake into the easiest and most cost-effective enterprise data platform. That is what’s leading us to win new logo after new logo, expand within our customer base, and displace our competition over and over again,” said Sridhar Ramaswamy, CEO of Snowflake.
Don’t Miss: Walmart Posts Q3 Sales Beat, Raises Guidance: Analysts Expect Strong Earnings Growth Ahead
Outlook: Snowflake expects fourth-quarter product revenue in the range of $906 million to $911 million, up approximately 23% year-over-year. The company also raised its full-year product revenue guidance from $3.356 billion to $3.43 billion, representing 29% year-over-year growth.
Management will hold a call to further discuss the quarter with analysts and investors at 5 p.m. ET.
What Else: Snowflake announced it signed a definitive agreement to acquire enterprise AI company Datavolo. Snowflake expects the acquisition to help the company simplify data engineering workloads and deliver data interoperability and extensibility, a building block for effective enterprise AI.
Snowflake also announced a strategic multi-year partnership with AI data cloud company Anthropic, which is backed by Amazon.com Inc AMZN. The partnership is expected to help enable global enterprises develop and scale easy, efficient and trusted AI products.
Snowflake said Anthropic’s newest Claude 3.5 models will be available to leverage within Snowflake Cortex AI on Amazon Web Services.
“Our partnership with Anthropic represents a massive leap forward in expanding on our promise to provide thousands of global customers with easy, efficient, and trusted AI for a holistic set of enterprise use cases,” said Christian Kleinerman, executive vice president of Product at Snowflake.
“By bringing Anthropic’s industry-leading models to customers’ enterprise data where it already lives, within the security and governance boundaries of the AI Data Cloud, we will unleash new ways for businesses to harness this data for agentic use cases, coding assistants, document chatbots, unstructured data analytics, and more.”
SNOW Price Action: Snowflake shares were down about 34% year-to-date heading into the print. The stock was up 18.65% in after-hours, trading at $153.23 at the time of publication Wednesday, according to Benzinga Pro.
Photo: Shutterstock.
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Behind the Scenes of Spotify Technology's Latest Options Trends
Investors with a lot of money to spend have taken a bullish stance on Spotify Technology SPOT.
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don’t know. But when something this big happens with SPOT, it often means somebody knows something is about to happen.
So how do we know what these investors just did?
Today, Benzinga‘s options scanner spotted 25 uncommon options trades for Spotify Technology.
This isn’t normal.
The overall sentiment of these big-money traders is split between 68% bullish and 16%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $163,255, and 20 are calls, for a total amount of $809,694.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $180.0 to $720.0 for Spotify Technology over the last 3 months.
Insights into Volume & Open Interest
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Spotify Technology’s options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Spotify Technology’s whale activity within a strike price range from $180.0 to $720.0 in the last 30 days.
Spotify Technology Call and Put Volume: 30-Day Overview
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SPOT | CALL | TRADE | BULLISH | 01/15/27 | $57.8 | $48.9 | $54.35 | $720.00 | $119.5K | 2 | 0 |
| SPOT | CALL | TRADE | NEUTRAL | 12/20/24 | $142.9 | $137.4 | $140.5 | $330.00 | $70.2K | 420 | 0 |
| SPOT | CALL | TRADE | BULLISH | 06/20/25 | $12.1 | $11.7 | $12.1 | $650.00 | $60.5K | 81 | 50 |
| SPOT | CALL | SWEEP | BULLISH | 11/29/24 | $5.45 | $5.0 | $5.45 | $480.00 | $52.8K | 176 | 232 |
| SPOT | CALL | SWEEP | BULLISH | 12/06/24 | $9.45 | $9.25 | $9.25 | $480.00 | $43.4K | 155 | 48 |
About Spotify Technology
Spotify is the leading global music streaming service provider, with over 600 million monthly active users and 250 million paying subscribers, with the latter comprising the firm’s premium segment. most of the firm’s revenue and nearly all its gross profit come from the subscribers, who pay a monthly fee to access a very comprehensive music library that consists of most of the most popular songs ever recorded, including all from the major record labels. The firm also sells separate audiobook subscriptions and integrates podcasts within its standard music app. Podcast content is not exclusive and is typically free to access on other platforms. Ad-supported users can access a similar music catalog but cannot customize a similar on-demand experience.
Spotify Technology’s Current Market Status
- With a volume of 1,737,074, the price of SPOT is up 1.71% at $471.76.
- RSI indicators hint that the underlying stock may be overbought.
- Next earnings are expected to be released in 76 days.
Professional Analyst Ratings for Spotify Technology
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $500.0.
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* Consistent in their evaluation, an analyst from Morgan Stanley keeps a Overweight rating on Spotify Technology with a target price of $460.
* Consistent in their evaluation, an analyst from B of A Securities keeps a Buy rating on Spotify Technology with a target price of $515.
* Consistent in their evaluation, an analyst from Keybanc keeps a Overweight rating on Spotify Technology with a target price of $520.
* An analyst from JP Morgan persists with their Overweight rating on Spotify Technology, maintaining a target price of $530.
* An analyst from Barclays has decided to maintain their Overweight rating on Spotify Technology, which currently sits at a price target of $475.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Spotify Technology options trades with real-time alerts from Benzinga Pro.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Bridget Ross At LeMaitre Vascular Decides to Exercises Options Worth $276K
On November 19, it was revealed in an SEC filing that Bridget Ross, Board Member at LeMaitre Vascular LMAT executed a significant exercise of company stock options.
What Happened: Ross, Board Member at LeMaitre Vascular, exercised stock options for 3,750 shares of LMAT stock. This information was disclosed in a Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday. The exercise price of the options was $30.0 per share.
LeMaitre Vascular shares are trading, exhibiting down of 0.0% and priced at $103.74 during Wednesday’s morning. This values Ross’s 3,750 shares at $276,525.
Get to Know LeMaitre Vascular Better
LeMaitre Vascular Inc manufactures and distributes medical devices for the treatment of peripheral vascular disease. Its products are used during open vascular surgery and address several anatomical areas, such as the carotid, lower extremities, upper extremities, and aorta. The firm’s lower extremities product line contributes towards the proportion of revenue, followed by the carotid product line. LeMaitre’s surgical devices include angioscopes, balloon catheters, carotid shunts, phlebectomy devices, vascular grafts, vascular patches, and vessel closure systems. LeMaitre generates the majority of its revenue in the United States.
LeMaitre Vascular: A Financial Overview
Revenue Growth: Over the 3 months period, LeMaitre Vascular showcased positive performance, achieving a revenue growth rate of 15.63% as of 30 September, 2024. This reflects a substantial increase in the company’s top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.
Insights into Profitability:
-
Gross Margin: The company maintains a high gross margin of 67.82%, indicating strong cost management and profitability compared to its peers.
-
Earnings per Share (EPS): With an EPS below industry norms, LeMaitre Vascular exhibits below-average bottom-line performance with a current EPS of 0.5.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.06.
Evaluating Valuation:
-
Price to Earnings (P/E) Ratio: The Price to Earnings ratio of 57.0 is lower than the industry average, indicating potential undervaluation for the stock.
-
Price to Sales (P/S) Ratio: The current P/S ratio of 11.03 is above industry norms, reflecting an elevated valuation for LeMaitre Vascular’s stock and potential overvaluation based on sales performance.
-
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): At 36.2, LeMaitre Vascular’s EV/EBITDA ratio reflects a below-par valuation compared to industry averages signalling undervaluation
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
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Uncovering the Importance of Insider Activity
While insider transactions provide valuable information, they should be part of a broader analysis in making investment decisions.
Within the legal framework, an “insider” is defined as any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.
However, insider sells may not always signal a bearish view and can be influenced by various factors.
The Insider’s Guide to Important Transaction Codes
When dissecting transactions, the focal point for investors is often those occurring in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of LeMaitre Vascular’s Insider Trades.
Insider Buying Alert: Profit from C-Suite Moves
Benzinga Edge reveals every insider trade in real-time. Don’t miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.
This article was generated by Benzinga’s automated content engine and reviewed by an editor.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Nvidia Beats Q3 Revenue, EPS Estimates, Supply Constraints Ding Stock: Huang Says 'Age Of AI Is In Full Steam'
NVIDA Corporation NVDA continued its streak of beating expectations with third-quarter revenue and earnings per share coming in ahead of Street estimates Wednesday
Nvidia’s Key Q3 Numbers: Nvidia reported third-quarter revenue of $35.1 billion, up 94% year-over-year, which beat a Street consensus estimate of $33.12 billion, according to data from Benzinga Pro.
The company reported earnings per share of 81 cents, which beat Street consensus estimate of 75 cents per share.
The company has beaten analyst estimates for revenue in nine straight quarters.
The company has beaten analyst estimates for earnings per share in eight straight quarters.
Analysts and Benzinga readers predicted Nvidia would meet or exceed third-quarter expectations ahead of the report.
“What’s your boldest prediction for Nvidia’s earnings report on Wednesday?” Benzinga asked readers.
The results were:
- Meets expectations: 45%
- Blowout beat: 42%
- Misses expectations: 13%
The majority of Benzinga readers expected the company to meet or beat the estimates from analysts. While more readers expected the company to meet estimates, 42% believed the company will beat estimates Wednesday.
Read Also: Nvidia Stock Historically Drops In December After Q3 Earnings
Nvidia’s Q3 Performance By Segment: The data center business posted a quarterly record for revenue in the third quarter.
Here is a look at the revenue performance by operating business segment.
| Segment | Revenue | Year-over-Year change | Quarter-over-Quarter change |
| Data Center | $30.8 billion | +112% | +17% |
| Gaming & AI PC | $3.3 billion | +15% | +14% |
| Professional Vizualization | $486 million | +17% | +7% |
| Auto | $449 million | +72% | +30% |
“The age of AI is in full steam, propelling a global shift to NVIDIA computing,” Nvidia CEO Jensen Huang said.
“Demand for Hopper and anticipation for Blackwell — in full production — are incredible as foundation model makers scale pretraining, post-training and inference.
Huang said countries have “awakened to the importance” of AI.
“AI is transforming every industry, company and country. Enterprises are adopting agentic AI to revolutionize workflows. Industrial robotics investments are surging with breakthroughs in physical AI.”
Nvidia Q4 Outlook: Nvidia said it expects fourth-quarter revenue to be $37.5 billion plus or minus 2%.
The company said Blackwell production shipments are scheduled to begin in the fourth quarter of 2025 and will ramp into fiscal 2026. Nvidia said Hopper and Blackwell are seeing “certain supply constraints.”
Demand for Blackwell is expected to exceed supply for several quarters in fiscal 2026, the company said.
What’s Next: With the chance of an earnings beat, Benzinga recently asked readers about their expectations for the stock if Nvidia blows out earnings estimates.
“If Nvidia shatters expectations, how high could its stock go by the end of 2024?” Benzinga asked.
The results were:
- $150 to $180: 55%
- $180 to $200: 26%
- Above $200: 18%
Benzinga readers predicted the stock will hit new all-time highs if third-quarter results come in ahead of analyst estimates.
If the stock goes higher, CEO Huang would continue to benefit as one of the key shareholders of the stock. Huang’s wealth has soared to $128 billion in 2024, ranking 11th in the world according to Bloomberg.
Huang has added $84.3 billion to his wealth and is around $17 billion away from cracking the top 10 richest people in the world milestone. If shares continue to trade higher to the end of the year, this milestone could be within reach.
NVDA Price Action: Nvidia stock is down 2.7% to $141.93 in after-hours trading Wednesday versus a 52-week trading range of $45.01 to $149.76. The stock closed Wednesday down 0.8% to $145.89. Nvidia stock was up over 200% year-to-date ahead of Wednesday’s earnings report
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Nvidia CEO Jensen Huang. Photo courtesy of Nvidia.
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