MLGO
MicroAlgo Inc
Q2 2024 Report
MicroAlgo Inc (MLGO) Q2 2024 Financial Analysis: Navigating Challenges with Improved Profitability...
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Executive Summary
In Q3 2023, MicroAlgo Inc (Ticker: MLGO) reported a revenue of $21.67 million, marking a 7.06% increase from the previous quarter. However, the company faced substantial challenges, with a net loss of over $15.83 million and an EPS of -$3.34, representing significant year-on-year and quarter-on-quarter declines. Management emphasized ongoing investment in research and development to enhance their algorithm solutions, even amidst market headwinds in the technology sector. Investors should be alert to the company's liquidity position bolstered by cash reserves while remaining cautious of persistent losses that may hinder growth prospects.
Key Performance Indicators
Revenue
21.67M
QoQ: 7.06% | YoY:N/A
Gross Profit
6.40M
29.50% margin
QoQ: -4.13% | YoY:N/A
Operating Income
-7.65M
QoQ: -391.45% | YoY:-7 546.80%
Net Income
-15.83M
QoQ: -286.59% | YoY:-3 753.08%
EPS
-3.34
QoQ: -259.14% | YoY:-563.89%
Revenue Trend
Margin Analysis
Key Insights
- **Revenue:** $21.67 million, up 7.06% QoQ, indicating potential growth amidst developing market conditions.
- **Net Loss:** $15.83 million, a drastic deterioration compared to -$4.09 million in Q2 2023.
- **Operating Income:** -$7.65 million, with an alarming 391.45% increase in quarterly losses, reflecting operational inefficiencies.
- **Cash at End of Period:** $43.45 million, providing a cushion amidst losses but should be continuously monitored.
- **Current Ratio:** 4.79, highlighting excellent liquidity, yet a need for effective cash utilization.