Business
Recon Technology, Ltd Reports Financial Results for the First Six Months of Fiscal Year 2024
BEIJING, June 28, 2024 /PRNewswire/ -- Recon Technology, Ltd (NASDAQ: RCON) ("Recon" or the "Company"), a China-based independent solutions integrator in the
About this update from Recon Technology, Ltd.
[{"type":"text","content":"BEIJING, June 28, 2024 /PRNewswire/ -- Recon Technology, Ltd (NASDAQ: RCON) (\"Recon\" or the \"Company\"), a China-based independent solutions integrator in the oilfield service and environmental protection, electric power and coal chemical industries, today announced its financial results for the first six months of fiscal year 2024.\n\nFirst Six Months of Fiscal 2024 Financial Highlights:\n- Total revenue was RMB45.3 million ($6.4 million) for the six months ended December 31, 2023, identical to the same period in 2022.\n- Gross profit decreased to RMB12.1 million ($1.7 million) for the six months ended December 31, 2023, from RMB13.1 million ($1.8 million) for the same period in 2022.\n- Gross margin decreased to 26.7% for the six months ended December 31, 2023 from 28.8% for the same period in 2022.\n- Net loss was RMB23.1 million ($3.3 million) for the six months ended December 31, 2023, a decrease of RMB6.8 million ($1.0 million) from net loss of RMB29.9 million ($4.2 million) for the same period of 2022.\nFor the Six Months Ended\nDecember 31,\n(in RMB millions, except earnings per share; differences due to rounding)\n2023\n2022\nIncrease /(Decrease)\nPercentage Change\nRevenue\nRMB\n45.3\nRMB\n45.6\nRMB\n0.3\n(0.7)\n%\nGross profit\n12.1\n13.1\n(1.0)\n(7.8)\n%\nGross margin\n26.7\n%\n28.8\n%\n(7.8)\n%\n/\nNet loss\n(23.1)\n(29.9)\n(6.8)\n22.6\n%\nNet loss per share – Basic and diluted\n(8.27)\n(15.46)\n(7.19)\n46.5\n%\nManagement Commentary\n\"We have had a good six months in all of our major businesses, especially our oilfield services business,\" said Mr. Shenping Yin, Founder and CEO of Recon. \"Although our revenues were flat compared to last year, the structural improvement of our business is essentially complete. Our onshore oil and gas fields service business has shown good signs of recovery, and we have also developed new customers in offshore fields. We have purchased land to begin construction of a chemical plant for the chemical recycling of plastic waste, and are continuing to work on the pre-approval procedures required to operate the plant, which are essential to ensure future compliance in China. We believe this facility will generate significant returns for our company and our shareholders in the future and is also an important way for us to meet our EGS obligations. We remain excited about fiscal 2024 a...