Wed, May 15, 4:45 PM (72 days ago)
Kun Peng International Ltd. reported its financial results for the quarter ended March 31, 2024. The company experienced a net loss of $597,435, slightly higher than the $592,021 loss in the same period in 2023. Revenues increased to $364,508 from $318,951, driven by new revenue streams including commission, equipment service, technical service, and training revenues. Gross profit improved to $265,052 from $246,915, although the gross margin decreased slightly to 72.7% from 77.4%. Operating expenses were reduced to $848,683 from $947,904, primarily due to decreases in both general and administrative expenses and selling expenses. The company also reported an income tax expense of $13,364 for the quarter. Cash and cash equivalents decreased significantly to $21,540 from $457,580 at the end of September 2023, primarily due to cash outflows from operating activities. The company faces substantial doubt about its ability to continue as a going concern due to significant negative working capital and cash outflows. Management plans to increase sales, reduce costs, and seek additional financing to address liquidity needs. The company continues to monitor its financial position and explore options to improve its financial health.