Phunware Shares Fell Over 10% Pre-Market: Why It Happened

By Amit Chowdhry ● Aug 13, 2021
  • The shares of Phunware, Inc. (NASDAQ: PHUN) fell by over 10% pre-market. This is why it happened.

The shares of Phunware, Inc. (NASDAQ: PHUN) – a fully integrated enterprise cloud platform for mobile that provides products, solutions, data, and services for brands worldwide – fell by over 10% pre-market. Investors are responding negatively to the company’s second-quarter 2021 financial results.

Q2 2021 Summary Financial Results:

— Net Revenues for the quarter totaled $1.4 million

— Multiscreen-as-a-Service (MaaS) Platform Subscriptions and Services Revenues were $1.2 million

— Net Loss was $(8.3) million

— Net Loss per Share was $(0.12)

— Non-GAAP Adjusted EBITDA loss was $(2.7) million

KEY QUOTES:

“We were extremely encouraged by the continued operational momentum for our business during Q2 despite the ongoing pandemic, as we further accelerated our MaaS platform vision and adoption across a number of key fronts including new product introduction and indirect channel expansion. Not only have we formally rolled out our entire blockchain-enabled Mobile Loyalty Ecosystem specific to PhunToken, PhunCoin and PhunWallet on a direct-to-consumer basis as promised, but we have also executed a brand new, global, multi-year distribution agreement with an anchor Fortune 500 distribution partner for our indirect channel. Looking ahead, I am confident that the near-term and long-term opportunities for our business are promising, as we enter the second half of the year with a solid balance sheet, a growing pipeline of customers and a robust slate of enterprise cloud solutions for mobile.”

— Alan S. Knitowski, President, CEO and Co-Founder of Phunware

“We are pleased with the efforts our team has made to build the pipeline and drive new customer and partner relationships in the face of continued headwinds from the COVID-19 pandemic. These relationships take time to build, but we are pleased to see that total backlog is trending up quarter over quarter and we are working hard to build off that momentum into the second half of 2021. Phunware is well-positioned for success as we continue to reduce liabilities, eliminate debt and focus efforts on both organic and inorganic growth opportunities.”

— Matt Aune, CFO of Phunware

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.