22.8 C
New York
Monday, September 27, 2021

SOS Limited (NYSE:SOS) Revenue Jumps 333%

SOS Limited (NYSE:SOS) (the “Company” or “SOS” formerly China Rapid Finance), announced today its audited financial results for the full year ended December 31, 2020.

In 2020, the Company completed its transition out of the P2P business and into the insurance marketing and other business when it injected the business carried out by SOS Information Technology Co., Ltd. and disposed all the subsidiaries related to the P2P business.

Fiscal Year 2020 Financial Highlights Comparing to SOS Information Technology Co., Ltd.

  • Total revenue was $50.3 million, representing a 333.6% increase over total revenue in the fiscal year ended 2019:
    • Insurance marketing revenue was $49.2 million, representing a 325.2% increase over last year’s insurance marketing revenue.
    • Revenues from three segments, Customer Hotline, Bank Card Call Center, and SaaS Services were $0.9 million, $0.08 million, and $0.06 million respectively.
  • Gross profit increased by 513.5% to $13.0 million compared to the fiscal year ended 2019. Gross margin increased by 7.5% to 25.8% compared to the fiscal year ended 2019.
  • Operating income was $10.1 million, representing an increase of 475.4% from the fiscal year ended 2019.
  • Net profit in 2020 was $4.4 million, or $0.0135 basis per share, compared to a net income in 2019 of $1.5 million, or $0.025 basis per share
  • As of December 31, 2020, Cash and cash equivalents were $3.7 million.

Mr. Yandai Wang, CEO and Chairman of SOS, commented, “SOS exited a challenging year with exceptional full-year operational and financial results that exceeded our expectations. I am very proud of our management team’s ability to plan and execute strategies for a profitable year upon completion of our business transition in 2020. We will continue to leverage our data mining and analysis platforms, with a goal of developing a robust pipeline for insurance marketing and -related service products. With a strong financial position, the entire SOS team is focused on the execution and delivery of the Company’s strategic growth plan in marketing data business, Blockchain-based insurance and security management business, and cryptocurrency mining with the goal of significantly increasing shareholder value.”

Results of Operations Comparing to Historical XRF Results

For the year ended December 31, 2020, the Company achieved revenue of $50.3 million with net income of $4.4 million as compared with $37.4 million revenue of the pre-transition Company and net loss of $9.9 million in 2019, representing an increase of 34.5% in revenue and attaining a net profit of $4.4 million. These comparisons are based on a non-GAAP approach of comparing the Company’s 2020 audited revenue and net profit against the audited revenue and net loss of China Rapid Finance of 2019 fiscal year.

Non-GAAP Financial Measures

This press release contains financial information prepared in accordance with U.S. generally accepting accounting principles (“GAAP”) that have been extracted without material adjustment from audited GAAP financial statements and/or extracted or derived from unaudited accounting records that have been used to prepare GAAP financial statements. This press release also contains certain non-GAAP financial measures which have not been and will not be audited. These non-GAAP financial measures are not recognized measures of financial performance or liquidity under GAAP, but are measures used by The Company’s management to monitor the underlying performance of The Company’s business and operations. These non-GAAP measures may not be indicative of The Company’s historical operating results nor are such measures meant to be predicative of future results. These measures and ratios may not be comparable to those used by other companies under the same or similar names. As such, undue reliance should not be placed on these non-GAAP financial measures.

About SOS Limited

SOS is an emerging blockchain-based and big data-driven marketing and solution provider as well as cryptocurrency mining operator. The core infrastructure of SOS’ marketing data, technology and solutions to insurance and emergency rescue services is built on big data, blockchain-based technology, cloud computing, AI, satellite, and 5G network, etc. SOS has created a cloud “software as a service (SaaS)” platform for emergency rescue services, with three major product categories: basic cloud, cooperative cloud, and information cloud. This system provides innovative marketing solutions to clients such as insurance companies, financial institutions, medical institutions, healthcare providers, auto manufacturers, security providers, senior living assistance providers, and other service providers in the emergency rescue services industry.

SOS has obtained a national high-tech enterprise certification and the title of “Big Data Star Enterprise,” awarded by Gui’an New District Government. Staying on the forefront of digital technology innovation, the Company has registered 99 software copyrights and 2 patents. For more information, please visit: http://www.sosyun.com/.

S. Jack Heffernan Ph.Dhttps://www.knightsbridgelaw.com
S. Jack Heffernan Ph.D. Economist at Knightsbridge holds a Ph.D. in Economics and brings with him over 25 years of trading experience in Asia and hands on experience in Venture Capital, he has been involved in several start ups that have seen market capitalization over $500m and 1 that reach a peak market cap of $15b. He has managed and overseen start ups in Crypto, Mining, Shipping, Technology and Financial Services.

Related Articles

Stay Connected

- Advertisement -spot_img

Latest Articles