Ebang International Holdings Inc. (Nasdaq: EBON, the “Company,”
“we” or “our”), a global blockchain technology and Fintech company,
today announced its financial results for the fiscal year ended
December 31, 2023.
Operational and Financial Highlights for
Fiscal Year 2023
Total net revenues in the 2023
fiscal year decreased by 85.0% to US$4.9 million, from US$32.3
million in the 2022 fiscal year.
Gross loss in the 2023 fiscal
year was US$16.7 million, compared to a gross profit of US$15.4
million in the 2022 fiscal year.
Net loss in the 2023 fiscal
year was US$38.0 million, compared to US$45.8 million in the 2022
fiscal year.
Mr. Dong Hu, Chairman, and Chief Executive
Officer of the Company, commented, “Opportunities and challenges
have coexisted since 2023; however, the approval and listing of
spot Bitcoin ETFs have given us a glimpse of a promising future for
the cryptocurrency market. The strengthening of Fintech regulatory
systems and regimes has made our commitment to compliance
mechanisms unwavering. Despite the fluctuations in the industry and
the impact of the macroeconomic environment, we remain true to our
original aspiration, and strive to develop and improve our global
Fintech businesses. As for the 2023 fiscal year, our revenue
generated from our cryptocurrency exchange and cross-border payment
and foreign exchange businesses increased by approximately 36% as
compared to the 2022 fiscal year. In the future, we will continue
to promote innovation in products and technologies, make real-time
adjustments to business strategies in response to the constantly
changing market environments, streamline costs and expenses,
enhance capital utilization, and prepare for new opportunities in
the market.”
Financial Results for Fiscal Year
2023
Total net revenues in the 2023
fiscal year decreased by 85.0% to US$4.9 million, from US$32.3
million in the 2022 fiscal year, primarily due to: (1) the
bankruptcy of virtual currency banks in the United States and the
exposure of certain fraud incidents on international trading
platforms, which led market participants to become increasingly
cautious about cryptocurrency related products and services in
2023; and (2) the absence in 2023 of revenue derived from a
one-time payment corresponding to the recognition of RMB173.4
million in revenue in 2022 following our receipt of RMB173.4
million (approximately US$25.8 million), a one-time payment from
two former customers as a result of court mediations.
Cost of revenues in the 2023
fiscal year increased by 27.4% to US$21.6 million, from US$16.9
million in the 2022 fiscal year, which is primarily due to a VAT
recoverable impairment of US$16.7 million, which was recognized in
cost of revenue in the 2023 fiscal year as it is expected that VAT
will not be recovered in the foreseeable future; and offset by
decrease of inventory impairment from US$6.5 million in the 2022
fiscal year to US$0.3 million in the 2023 fiscal year.
Gross loss in the 2023 fiscal
year was US$16.7 million, compared to a gross profit of US$15.4
million in the 2022 fiscal year.
Total operating expenses in the
2023 fiscal year decreased by 41.7% to US$36.9 million, from
US$63.4 million in the 2022 fiscal year, primarily due to decreases
in both selling expenses and general and administrative
expenses.
- Selling expenses in the 2023 fiscal year
decreased by 3.2% to US$1.9 million, from US$2.0 million in the
2022 fiscal year, mainly due to decreased advertising and marketing
expenses related to our Fintech businesses.
- General and administrative expenses in the
2023 fiscal year decreased by 28.7% to US$29.0 million, from
US$40.7 million in the 2022 fiscal year, primarily due to decreases
in amortization expenses and stock-based compensation
expenses.
- Impairment of intangible assets in the 2023
fiscal year was US$3.7 million. The US$3.7 million was related to
an impairment loss charge on a financial license in the 2023 fiscal
year.
- Impairment of goodwill in the 2023 fiscal year
was US$2.3 million. The Company didn’t have impairment of goodwill
in the 2022 fiscal year. Impairment of goodwill in the 2023 fiscal
year represents the impairment loss charged on goodwill generated
from a business acquisition that closed in March 2022 as a result
of the annual goodwill impairment review.
Gain from disposal of
subsidiaries in the 2023 fiscal year was US$0.008 million,
compared to US$0.006 million in the 2022 fiscal year. Gain from
disposal of subsidiaries was primarily due to the disposal of
EBONEX PTE. LTD. during the 2023 fiscal year, and disposal of Ebang
Hongling and Wuhai Ebang during the 2022 fiscal year.
Loss from operations in the
2023 fiscal year was US$53.6 million, compared to loss from
operations of US$48.0 million in the 2022 fiscal year.
Interest income in the 2023
fiscal year was US$11.9 million, compared to US$4.4 million in the
2022 fiscal year. The increase was primarily due to the Company
utilizing more funds in the purchase of fixed deposits in the 2023
fiscal year.
Other income in the 2023 fiscal
year was US$1.1 million, compared to US$1.0 million in the 2022
fiscal year. Other income in the 2023 fiscal year was mainly due to
the Company taking possession of customer deposits collected from
previous years as a result of defaults by customers under their
respective contracts with the Company.
Net loss in the 2023 fiscal
year was US$38.0 million, compared to US$45.8 million in the 2022
fiscal year.
Net loss attributable to Ebang
International Holdings Inc. in the 2023 fiscal year was
US$36.8 million, compared to US$43.9 million in the 2022 fiscal
year.
Basic and diluted net loss per
share in the 2023 fiscal year was US$5.86, compared to
basic and diluted net loss per share of US$7.03 in the 2022 fiscal
year.
Cash and cash equivalents were
US$241.6 million as of December 31, 2023, compared with US$251.3
million as of December 31, 2022.
About Ebang International Holdings
Inc.
Ebang International Holdings Inc. is a global
blockchain technology and Fintech company with strong
application-specific integrated circuit (ASIC) chip design
capability. With years of industry experience and expertise, it has
become a global Bitcoin mining machine producer. Based on its deep
understanding of the Fintech industry and compliance with laws and
regulations in various jurisdictions, it has launched professional,
convenient and innovative Fintech service platforms. It strives to
expand into the upstream and downstream markets of the blockchain
and Fintech industries value chain to achieve diversified products
and services, and to explore future opportunities. For more
information, please visit https://ir.ebang.com/.
Forward-Looking Statements
This press release contains forward-looking
statements within the meaning of Section 21E of the Securities
Exchange Act of 1934, as amended, and as defined in the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements include, without limitation, the
Company’s development plans and business outlook, which can be
identified by terminology such as “may,” “will,” “expects,”
“anticipates,” “aims,” “potential,” “future,” “intends,” “plans,”
“believes,” “estimates,” “continue,” “likely to,” and other similar
expressions intended to identify forward-looking statements,
although not all forward-looking statements contain these
identifying words. Such statements are not historical facts, and
are based upon the Company’s current beliefs, plans and
expectations, and the current market and operating conditions.
Forward-looking statements include, but are not limited to,
statements regarding our future operating results and financial
position, our business strategy and plans, expectations relating to
our industry, the regulatory environment, market conditions, trends
and growth, expectations relating to customer behaviors and
preferences, our market position and potential market
opportunities, and our objectives for future operations.
Forward-looking statements involve inherent known or unknown risks,
uncertainties and other factors, all of which are difficult to
predict and many of which are beyond the Company’s control, which
may cause the Company’s actual results, performance and
achievements to differ materially from those contained in any
forward-looking statement. These risks and uncertainties include
our ability to successfully execute our business and growth
strategy and maintain future profitability, market acceptance of
our products and services, our ability to further penetrate our
existing customer base and expand our customer base, our ability to
develop new products and services, our ability to expand
internationally, the success of any acquisitions or investments
that we make, the efforts of increased competition in our markets,
our ability to stay in compliance with applicable laws and
regulations, market conditions across the blockchain, Fintech and
general market, political and economic conditions. Further
information regarding these and other risks, uncertainties or
factors is included in the Company’s filings with the U.S.
Securities and Exchange Commission. These forward-looking
statements are made only as of the date indicated, and the Company
undertakes no obligation to update or revise the information
contained in any forward-looking statements as a result of new
information, future events or otherwise, except as required under
applicable law.
Investor Relations ContactFor investor and
media inquiries, please contact:
Ebang International Holdings Inc.Email: ir@ebang.com
Ascent Investors Relations LLCTina XiaoPhone:
+1-646-932-7242Email: investors@ascent-ir.com
EBANG
INTERNATIONAL HOLDINGS INC. |
CONSOLIDATED
BALANCE SHEETS |
(Stated in
US dollars) |
|
|
|
|
|
|
|
December 31, 2023 |
|
|
December 31, 2022 |
|
ASSETS |
|
|
|
|
|
Current
assets: |
|
|
|
|
|
Cash and cash equivalents |
$ |
241,634,262 |
|
|
$ |
251,294,952 |
|
Restricted cash, current |
|
88,614 |
|
|
|
29,039 |
|
Short-term investments |
|
496,122 |
|
|
|
5,835,377 |
|
Accounts receivable, net |
|
946,514 |
|
|
|
3,334,727 |
|
Advances to suppliers |
|
1,071,137 |
|
|
|
1,178,168 |
|
Inventories, net |
|
198,846 |
|
|
|
440,064 |
|
Prepayments |
|
304,453 |
|
|
|
281,611 |
|
Other current assets, net |
|
5,691,679 |
|
|
|
6,711,422 |
|
Total current assets |
|
250,431,627 |
|
|
|
269,105,360 |
|
|
|
|
|
|
|
|
|
Non-current assets: |
|
|
|
|
|
|
|
Property, plant and equipment, net |
|
33,151,061 |
|
|
|
36,549,278 |
|
Intangible assets, net |
|
2,329,777 |
|
|
|
6,890,738 |
|
Operating lease right-of-use assets |
|
6,119,535 |
|
|
|
5,343,608 |
|
Operating lease right-of-use assets - related parties |
|
31,197 |
|
|
|
519,140 |
|
Restricted cash, non-current |
|
1,197,286 |
|
|
|
903,125 |
|
Goodwill |
|
- |
|
|
|
2,299,628 |
|
VAT recoverable |
|
4,061,079 |
|
|
|
21,132,898 |
|
Other assets |
|
918,086 |
|
|
|
1,421,309 |
|
Total non-current assets |
|
47,808,021 |
|
|
|
75,059,724 |
|
|
|
|
|
|
|
|
|
Total assets |
$ |
298,239,648 |
|
|
$ |
344,165,084 |
|
|
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
Accounts payable |
$ |
292,570 |
|
|
$ |
1,456,577 |
|
Accrued liabilities and other payables |
|
9,804,848 |
|
|
|
11,519,091 |
|
Operating lease liabilities, current |
|
1,764,259 |
|
|
|
1,217,604 |
|
Operating lease liabilities - related parties, current |
|
28,849 |
|
|
|
283,567 |
|
Advances from customers |
|
69,361 |
|
|
|
1,010,852 |
|
Total current liabilities |
|
11,959,887 |
|
|
|
15,487,691 |
|
|
|
|
|
|
|
|
|
Non-current liabilities: |
|
|
|
|
|
|
|
Operating lease liabilities, non-current |
|
4,880,844 |
|
|
|
5,755,973 |
|
Operating lease liabilities – related party, non-current |
|
2,348 |
|
|
|
- |
|
Deferred tax liabilities |
|
74,225 |
|
|
|
1,133,539 |
|
Total non-current liabilities |
|
4,957,417 |
|
|
|
6,889,512 |
|
|
|
|
|
|
|
|
|
Total liabilities |
|
16,917,304 |
|
|
|
22,377,203 |
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
Class A ordinary share, HKD0.03 par value, 11,112,474 shares
authorized, 4,989,746 and 4,725,019 shares issued, 4,726,424 and
4,700,852 shares outstanding as of December 31, 2023 and 2022,
respectively(1) (2) |
|
18,178 |
|
|
|
18,080 |
|
Class B ordinary share, HKD0.03 par value, 1,554,192 shares
authorized, issued and outstanding as of December 31, 2023 and
2022, respectively(1) |
|
5,978 |
|
|
|
5,978 |
|
Additional paid-in capital |
|
397,467,795 |
|
|
|
397,620,927 |
|
Statutory reserves |
|
11,079,649 |
|
|
|
11,079,649 |
|
Accumulated deficit |
|
(114,840,665 |
) |
|
|
(78,068,522 |
) |
Accumulated other comprehensive loss |
|
(13,887,088 |
) |
|
|
(11,724,531 |
) |
Total Ebang International Holdings Inc. shareholders’
equity |
|
279,843,847 |
|
|
|
318,931,581 |
|
|
|
|
|
|
|
|
|
Non-controlling interest |
|
1,478,497 |
|
|
|
2,856,300 |
|
|
|
|
|
|
|
|
|
Total equity |
|
281,322,344 |
|
|
|
321,787,881 |
|
|
|
|
|
|
|
|
|
Total liabilities and equity |
$ |
298,239,648 |
|
|
$ |
344,165,084 |
|
(1) |
Retrospectively adjusted for the effect of the Reverse Stock Split
effected on November 20, 2022. |
(2) |
As of December 31, 2023 and 2022, 263,322 and 24,167 (725,000
before the Reverse Stock Split) shares reserved for future issuance
upon the vesting of RSAs granted under the 2020 Plan were
considered issued but not outstanding, respectively. |
EBANG INTERNATIONAL HOLDINGS INC. |
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
INCOME (LOSS) |
(Stated in US dollars) |
|
|
For the year
ended December 31, 2023 |
|
|
For the year
ended December 31, 2022 |
|
|
For the year
ended December 31, 2021 |
|
Product revenue |
$ |
782,349 |
|
|
$ |
29,537,224 |
|
|
$ |
48,323,022 |
|
Service revenue |
|
4,072,832 |
|
|
|
2,790,895 |
|
|
|
3,127,225 |
|
Total
revenues |
|
4,855,181 |
|
|
|
32,328,119 |
|
|
|
51,450,247 |
|
Cost of revenues |
|
21,558,986 |
|
|
|
16,915,795 |
|
|
|
22,227,055 |
|
Gross profit
(loss) |
|
(16,703,805 |
) |
|
|
15,412,324 |
|
|
|
29,223,192 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses: |
|
|
|
|
|
|
|
|
|
|
|
Selling expenses |
|
1,893,607 |
|
|
|
1,956,120 |
|
|
|
1,418,586 |
|
General and administrative
expenses |
|
29,041,432 |
|
|
|
40,712,314 |
|
|
|
25,774,237 |
|
Impairment of intangible
assets |
|
3,708,247 |
|
|
|
20,738,130 |
|
|
|
- |
|
Impairment of goodwill |
|
2,299,628 |
|
|
|
- |
|
|
|
- |
|
Total operating
expenses |
|
36,942,914 |
|
|
|
63,406,564 |
|
|
|
27,192,823 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Gain on disposal of
subsidiaries |
|
(7,524 |
) |
|
|
(5,941 |
) |
|
|
- |
|
Income (loss) from
operations |
|
(53,639,195 |
) |
|
|
(47,988,299 |
) |
|
|
2,030,369 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expenses): |
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
11,941,453 |
|
|
|
4,362,832 |
|
|
|
1,779,672 |
|
Interest expenses |
|
- |
|
|
|
- |
|
|
|
(4,383 |
) |
Other income |
|
1,131,178 |
|
|
|
1,033,622 |
|
|
|
133,477 |
|
Gain (loss) from
investment |
|
356,996 |
|
|
|
(509,496 |
) |
|
|
(3,656,520 |
) |
Net gain on disposal of
cryptocurrencies |
|
744,803 |
|
|
|
- |
|
|
|
- |
|
Exchange gain (loss) |
|
456,647 |
|
|
|
(2,161,264 |
) |
|
|
1,780,087 |
|
Government grants |
|
62,600 |
|
|
|
81,911 |
|
|
|
434,604 |
|
Other expenses |
|
(119,531 |
) |
|
|
(649,476 |
) |
|
|
(108,328 |
) |
Total other
income |
|
14,574,146 |
|
|
|
2,158,129 |
|
|
|
358,609 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes benefit |
|
(39,065,049 |
) |
|
|
(45,830,170 |
) |
|
|
2,388,978 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes benefit |
|
(1,031,461 |
) |
|
|
(72,933 |
) |
|
|
(378,843 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss) |
|
(38,033,588 |
) |
|
|
(45,757,237 |
) |
|
|
2,767,821 |
|
Less: net loss attributable to
non-controlling interest |
|
(1,261,445 |
) |
|
|
(1,868,995 |
) |
|
|
(1,663,120 |
) |
Net income (loss)
attributable to Ebang International Holdings Inc. |
$ |
(36,772,143 |
) |
|
$ |
(43,888,242 |
) |
|
$ |
4,430,941 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive income
(loss) |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) |
$ |
(38,033,588 |
) |
|
$ |
(45,757,237 |
) |
|
$ |
2,767,821 |
|
Other comprehensive
income (loss): |
|
|
|
|
|
|
|
|
|
|
|
Foreign currency translation
adjustment |
|
(2,278,915 |
) |
|
|
(5,338,217 |
) |
|
|
953,073 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive
income (loss) |
|
(40,312,503 |
) |
|
|
(51,095,454 |
) |
|
|
3,720,894 |
|
Less: comprehensive loss
attributable to non-controlling interest |
|
(1,377,803 |
) |
|
|
(2,379,686 |
) |
|
|
(1,461,374 |
) |
Comprehensive income
(loss) attributable to Ebang International Holdings
Inc. |
$ |
(38,934,700 |
) |
|
$ |
(48,715,768 |
) |
|
$ |
5,182,268 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per
ordinary share attributable to Ebang International Holdings
Inc. |
|
|
|
|
|
|
|
|
|
|
|
Basic(1) |
$ |
(5.86 |
) |
|
$ |
(7.03 |
) |
|
$ |
0.75 |
|
Diluted(1) |
$ |
(5.86 |
) |
|
$ |
(7.03 |
) |
|
$ |
0.75 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
ordinary shares outstanding |
|
|
|
|
|
|
|
|
|
|
|
Basic(1) |
|
6,275,118 |
|
|
|
6,247,333 |
|
|
|
5,923,845 |
|
Diluted(1) |
|
6,275,118 |
|
|
|
6,247,333 |
|
|
|
5,928,858 |
|
(1) |
Retrospectively adjusted for the effect of the Reverse Stock Split
effected on November 20, 2022. |
Ebang (NASDAQ:EBON)
과거 데이터 주식 차트
부터 11월(11) 2024 으로 12월(12) 2024
Ebang (NASDAQ:EBON)
과거 데이터 주식 차트
부터 12월(12) 2023 으로 12월(12) 2024