Business
Senmiao Technology Announces Financial Results for Fiscal Year Ended March 31, 2020
Online Ride-hailing Related Automobile Business Continues to Expand CHENGDU, China, July 9, 2020 /PRNewswire/ -- Senmiao Technology Limited (NASDAQ: AIHS)
About this update from Senmiao Technology Limited
[{"type":"text","content":"Online Ride-hailing Related Automobile Business Continues to Expand\n\n\nCHENGDU, China, July 9, 2020 /PRNewswire/ -- Senmiao Technology Limited (NASDAQ: AIHS) (\"Senmiao\"), a provider of automobile transaction and related services targeting the ride-hailing industry in China, today announced its financial results for its full fiscal year ended March 31, 2020.\nFiscal Year 2020 Highlights\nRevenue from automobile transaction and related services business increased by 514% year-over-year to $15,655,575 from $2,551,107; Revenue from sales of automobiles expanded to $11,536,691, up 535% from $1,815,425 in the prior year; Gross profit from automobile transaction and related services business increased by 357% year-over-year to $3,375,337 from $738,920; Number of facilitated new automobile purchase increased by 323% year-over-year to 1,315 from 311; In Fiscal Year 2020, there were over 2,300 new drivers joining Senmiao's online ride-sharing business\"Although we faced a significantly weaker operating environment as a result of COVID-19 in our fiscal fourth quarter after maintaining profitability through the first nine months, we grew our streamlined automobile transaction and related services revenue by five-fold\" commented Xi Wen, Chairman, Chief Executive Officer and President of Senmiao. \"We continue to believe in the huge long-term market opportunity resulting from the rapid development of the online ride-hailing service industry in China. Our near-term strategic business focus has shifted from the facilitation of automobile transactions and financing to providing more rentals of automobiles, and we are also streamlining expenses while the business environment improves. We are also actively exploring opportunities for new capital, such as our recently announced US$7 million financing transaction into our auto business operating entity in China, that will increase our ability to weather the downturn resulting from COVID-19 as well as competition and continue to expand our business in southwestern China. To summarize, we believe we are executing on our goal in becoming an outstanding and leading provider of automobile transaction and related services to the growing online ride-hailing eco-system in China.\"\nRevenues\nTotal revenue from Senmiao's automobile transaction and related services business (the \"Auto Business\") was $1...