TD Holdings Shares Increase Over 35% Pre-Market: Why It Happened

By Amit Chowdhry ● Aug 18, 2021
  • The shares of TD Holdings, Inc. (Nasdaq: GLG) increased by over 35% pre-market. This is why it happened.

The shares of TD Holdings, Inc. (Nasdaq: GLG) – a commodities trading service provider in China – increased by over 35% pre-market. Investors are responding positively to the company’s financial results for the second quarter ended June 30, 2021.

Financial Highlights

For the quarter ended June 30, 2021

— Total revenue was $59.84 million, consisting of $59.51 million from sales of commodities products, and $0.33 million from supply chain management services for the quarter ended June 30, 2021, an increase of 2981% from $1.94 million for the same quarter ended June 30, 2020.

— Net income from continuing operation was $0.36 million, as compared with net loss from continuing operations of $5.17 million for the same quarter ended June 30, 2020. Net income was $0.36 million, as compared with net loss of $5.46 million for the same quarter ended June 30, 2020.

— Basic and diluted earnings per share from continuing operations was nil, compared with basic and diluted loss per share from continuing operations of $0.11 for the same quarter ended June 30, 2020.

For the six months ended June 30, 2021

— Total revenue was $89.42 million, consisting of $88.95 million from sales of commodities products, and $0.47 million from supply chain management services for the six months ended June 30, 2021, an increase of 2740% from $3.15 million for the same period ended June 30, 2020.

— Net loss from continuing operation was $1.18 million, as compared with net loss from continuing operations of $5.26 million for the same period ended June 30, 2020. Net loss was $1.18 million, as compared with net loss of $5.82 million for the same period ended June 30, 2020.

— Basic and diluted loss per share from continuing operations was $0.01, compared with basic and diluted loss per share from continuing operations of $0.17 for the same period ended June 30, 2020.

KEY QUOTE:

“We are pleased to report our financial results for the second quarter of fiscal year 2021. Despite the setbacks caused by the COVID-19 outbreak and having just started our commodities trading business in late 2019, our revenue increased by 2981% to $59.84 million for the second quarter of fiscal year 2021 as compared to the second quarter of fiscal year 2020. The growth figure demonstrates that we are optimally situated to capture the opportunities in the market. We remain focused on driving momentum in our business, and we recently announced that we plan to commence our commodity trading business in Yangpu Economic Development Zone and launch a blockchain payment and settlement platform for online commodity trading in Yangzhou Economic & Technological Development Zone in China. Looking forward, we will strengthen the Company’s competitive position over the long-term, including developing our global commodity e-commerce platform, building our own digital cloud warehouse, improving our trading settlement and payment system, creating a supply chain financial ecosystem as well as acquiring large-scale overseas minerals. With the visibility and validation afforded as a Nasdaq listed company, we can now confidently focus on building profitable revenue growth and creating value for our shareholders.”

— Renmei Ouyang, the Chief Executive Officer of TD Holdings

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