- The stock price of Blue Hat Interactive Entertainment Technology (Nasdaq: BHAT) increased 6.25% (from $1.12 to $1.19) pre-market. This is why it happened.
The stock price of Blue Hat Interactive Entertainment Technology (Nasdaq: BHAT) – a leading producer, developer and operator of augmented reality interactive entertainment games, toys, and educational materials in China – increased 6.25% (from $1.12 to $1.19) pre-market. Investors are responding positively to the company announcing its unaudited financial results for the quarter ended March 31, 2021.
These are the highlights:
— Total revenues of US$9.9 million, compared to US$2.2 million in the first quarter of 2020, driven by increased sales across all lines of business particularly the mobile games and communication services businesses, which saw strong growth following the strategic acquisitions of Xunpusen Technology Co., Ltd. (“Xunpusen”) in late 2020 and Fuzhou Csfctech Co., Ltd. (“Csfctech”) and its two subsidiaries in January 2021
— Gross profit of US$4.1 million, up 143.8% from US$1.7 million in the first quarter of 2020
— Income from operations of US$1.7 million, up 96.7% from US$0.9 million in the first quarter of 2020
— Net income of US$1.2 million, up 62.0% from US$0.8 million in the first quarter of 2020
— US$14.7 million in cash and cash equivalents at March 31, 2021
“We were pleased with the strong performance across all of our business segments, which resulted in phenomenal top line growth driven by US$5.3 million in contributions from our new IDC business and by a US$2.4 million increase in contributions from mobile games following our acquisition of 51% of Csfctech and its two subsidiaries in January 2021. We achieved 62.0% growth on the bottom line to US$1.2 million during the period and anticipate margins will improve over the course of 2021 as our businesses continue to grow and the expenses normalize from initial highs. We recently announced the official launch of our new AR+ series curriculum, which is an upgrade from our original Augmented Reality Immersive Classes (“ARIC”) and has been developed and tested over the past six months. We expect the five urban partnerships that we have signed for the AR+ series curriculum will accelerate the future growth of our AR education business. We are beginning to see tangible results from this development that has strengthened the foundation of our business over the course of the past year, and we anticipate it will provide us with significant long-term growth potential for our product and service offerings.”
— Xiaodong Chen, CEO of Blue Hat
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