Executive Summary
Dalrada Financial Corporation (DFCO) reported Q2 2024 results with a mixed signal set. Revenue reached $6.08 million, up 15.7% year-over-year but down 43.5% sequentially, indicating a marked quarter-to-quarter deceleration despite strengthening annualized activity. Gross profit was $1.78 million, yielding a gross margin of 29.28%, versus prior periods suggesting ongoing cost structure pressures. Despite some top-line growth, the company posted a substantial operating loss of $4.23 million and a net loss of $5.41 million for the quarter, with an EPS of -$0.0601. EBITDA deteriorated to -$5.00 million, reflecting continued fixed-cost absorption and decentralized segments that have not yet achieved scale.
Key Performance Indicators
QoQ: -43.48% | YoY:15.70%
QoQ: -10.95% | YoY:-22.56%
QoQ: 34.36% | YoY:-118.82%
QoQ: 35.31% | YoY:-105.12%
Key Insights
Revenue: $6,077,762; YoY +15.70%; QoQ -43.48%
Gross Profit: $1,779,630; Gross Margin 29.28%; YoY Margin Change -22.56%; QoQ -10.95%
Operating Income: -$4,225,670; Operating Margin -69.53%; YoY Margin Change +11.64%; QoQ +55.90%
Net Income: -$5,406,198; Net Margin -89.05%; YoY -118.82%; QoQ +34.36%
EPS: -$0.0601; EPS Diluted: -$0.0601; YoY -105.12%; QoQ +35.31%...
Financial Highlights
Revenue: $6,077,762; YoY +15.70%; QoQ -43.48%
Gross Profit: $1,779,630; Gross Margin 29.28%; YoY Margin Change -22.56%; QoQ -10.95%
Operating Income: -$4,225,670; Operating Margin -69.53%; YoY Margin Change +11.64%; QoQ +55.90%
Net Income: -$5,406,198; Net Margin -89.05%; YoY -118.82%; QoQ +34.36%
EPS: -$0.0601; EPS Diluted: -$0.0601; YoY -105.12%; QoQ +35.31%
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
6.08M |
15.70% |
-43.48% |
| Gross Profit |
1.78M |
-22.56% |
-10.95% |
| Operating Income |
-4.23M |
11.64% |
55.90% |
| Net Income |
-5.41M |
-118.82% |
34.36% |
| EPS |
-0.06 |
-105.12% |
35.31% |
Key Financial Ratios
operatingProfitMargin
-69.5%
operatingCashFlowPerShare
$-0.02
freeCashFlowPerShare
$-0.02
Management Commentary
No earnings-call transcript for QQ2 2024 was provided in the dataset. As a result, there are no management quotes or themes to extract at this time. If a transcript becomes available, the highlights would typically cover strategy updates, progress on multi-segment initiatives (engineering, health IT, energy solutions, education), cost-control measures, and near-term revenue catalysts.
Forward Guidance
No formal forward-looking guidance was disclosed in the QQ2 2024 filing. Given the reported losses, negative equity, and liquidity indicators, the near-term outlook hinges on: (1) stabilization of operating expenses, particularly SG&A and other fixed costs; (2) select revenue growth initiatives across the company’s diversified lines (clean energy, healthcare tech, education services, and related consulting); (3) working capital optimization to reduce cash conversion cycle length; (4) access to external financing or balance-sheet actions to support liquidity. Investors should monitor any communications from management regarding cost-reduction plans, potential asset dispositions, or strategic pivots that could restore balance sheet resilience.