AiRWA Inc (YYAI) Q2 2024 Earnings Report

Revenue and profitability
- QQ2 2024 revenue: 361,544 USD; YoY revenue change: -84.25%; QoQ revenue change: -48.71%
- Four-quarter trend (from the provided data): Q2 2024 361,544; Q1 2024 704,899; Q4 2023 912,341; Q3 2023 2,069,559
- Gross profit: -70,884 USD; gross margin: -19.60%
- Operating income: -1,367,896 USD; operating margin: -3.78%
- EBITDA: -1,362,982 USD; EBITDA margin: -3.77%
- Net income: -1,366,144 USD; net margin: -3.78%
- EPS: -0.24 (diluted: -0.24); Weighted average shares outstanding: 5,778,787

Liquidity and balance sheet
- Total cash and short-term investments: 18,142,969 USD (cash 1,642,969; short-term investments 16,500,000)
- Net debt: 1,018,167 USD; total debt: 2,661,136 USD
- Total assets: 21,583,761 USD; total liabilities: 13,542,980 USD; total stockholders’ equity: 8,040,781 USD
- Retained earnings: -172,973,917 USD; accumulated other comprehensive income (loss): 90,584 USD
- Current ratio: 1.446; quick ratio: 1.360; cash ratio: 0.121
- Working capital dynamics (QQ2 2024): change in working capital 1,446,430 USD; accounts receivable 171,017; inventory 493,851; accounts payable -369,615; other working capital 1,151,177; net cash provided by operating activities 75,372 USD

Cash flow and efficiency
- Net cash from operating activities: 75,372 USD; free cash flow: 75,372 USD
- Cash flow from financing activities: -68,630 USD; foreign exchange impact: -75,056 USD; net change in cash: -68,314 USD; ending cash: 1,642,969 USD
- Inventory turnover and days outstanding indicate a high working capital burden: days of inventory outstanding 242.88; days sales outstanding 21.72; days payables outstanding 956.84; cash conversion cycle: -692.24 days
- Revenue efficiency metrics (per-share basis): operating cash flow per share 0.013; free cash flow per share 0.013

Valuation and multiples
- Price-to-sales: 59.78x; price-to-book: 2.69x; enterprise value multiple: -16.60x; price-to-operating cash flows ratio: 286.75x (indicative of a cash-rich balance sheet with negative profitability)
- Price/earnings: -3.96x; price/FCF: not meaningful given negative earnings in prior periods; market capitalization implied by current share count and price is not provided in the data

Management commentary is not available in the provided data set. No earnings call transcript content was supplied for extraction of quotes or thematic highlights. As a result, no direct quotes or management themes can be cited beyond the numerical results presented in QQ2 2024.

The QQ2 2024 results depict a company at an early stage of commercialization with a difficult near-term profitability path but a substantial cash cushion that can fund product development and market entry initiatives. The investment thesis hinges on converting the current liquidity into meaningful top-line growth and sustainable gross-margin expansion. Absent explicit guidance or catalysts, the stock remains high-risk with a potential for dramatic volatility tied to product rollout and channel partners. The absence of peers in the dataset limits relative benchmarking; investors should pay close attention to management updates on GTM strategy, unit economics improvements, and any strategic partnerships that could drive accelerated revenue growth and margin recovery. Given the current data, a cautious stance is warranted until there is clear evidence of revenue stabilization and meaningful operating leverage.