Thu, Aug 15, 10:06 AM (152 days ago)
SharpLink Gaming, Inc. reported a significant decline in revenue and net loss for Q2 2024 compared to the same period in 2023. Revenues fell by 27% to $981,272, primarily due to market conditions and customer loss. Gross profit decreased by 30.2% to $280,130, with a slight margin drop to 28.5%. Operating expenses were reduced by 30.5%, leading to a net loss from continuing operations of $916,664, down 61.9% year-over-year. Notably, net income from discontinued operations surged to $453,705, reflecting a gain from the sale of business units for $22.5 million in January 2024. Cash flow from operations showed a net outflow of $20.95 million for the six months ended June 30, 2024, influenced by the aforementioned sale and debt repayments. The company ended Q2 2024 with $2.44 million in cash. SharpLink faces challenges in meeting Nasdaq's minimum bid price requirement, with a compliance deadline set for January 2025. The company is also exploring strategic alternatives for future growth amid ongoing market uncertainties.