SHENZHEN, China, Jan. 1, 2025 /PRNewswire/ -- MingZhu Logistics Holdings Limited ("MingZhu" or the "Company") (Nasdaq: YGMZ), an elite provider of logistics and transportation services to businesses, today announced its unaudited financial results for the six months ended June 30, 2024.
Mr. Jinlong Yang, CEO of MingZhu, commented, "After the severe negative impact of the COVID downturn, our focus has been on rebuilding our core logistics business. This process has demanded substantial resources, including significant investments and dedicated personnel to meet customer needs. Unfortunately, the additional costs, coupled with higher interest rates, have been amplified by lower sales during the six months ending June 30, 2024, resulting in an increased net loss. Moving forward, our priorities are twofold. First, we are committed to returning sales growth in our core logistics business while reducing operating expenses to improve profitability. While this will take time, we are encouraged by early signs of progress despite uncertainties from rising global tensions. Second, we are prioritizing long-term business diversification to position the company for future success in an evolving market. Our team brings extensive expertise in operating across China, where we have built a reputation as a trusted partner in safely and efficiently transporting goods. We've successfully expanded into adjacent opportunities, such as premium liquor distribution, leveraging our logistics infrastructure and partnerships. Looking ahead, we plan to explore additional opportunities that capitalize on our established infrastructure, dedicated ecosystem, and deep local connections to create value for our shareholders."
Operating Results for the Six Months Ended June 30, 2024
Revenue for the six months ended June 30, 2024, decreased by $33.2 million or 59.2%, to $22.9 million from $56.1 million for the same period as last year.
Total costs decreased by $31.9 million, or 58.6%, to $22.6 for the six months ended June 30, 2024 as compared to $54.4 million for the six months ended June 30, 2023.
Net loss totaled approximately $9.8 million for the six months ended June 30, 2024, as compared to a net loss of approximately $0.9 million for the six months ended June 30, 2023, representing an increase of $8.9 million.
Balance Sheet and Cash Flow
Cash and cash equivalents dropped by $4.0 million to $1.3 million as of June 30, 2024, as we only need to maintain such a smaller balance of cash when our revenues and costs declined.
About MingZhu Logistics Holdings Limited (NASDAQ: YGMZ)
Established in 2002 and headquartered in Shenzhen, China, MingZhu Logistics Holdings Limited is a 4A-rated professional trucking service provider. Based on the Company's regional logistics terminals in Guangdong Province and Xinjiang Autonomous Region, MingZhu Logistics Holdings offers tailored solutions to our clients to deliver their goods through our network density and broad geographic coverage across the country by a combination of self-owned fleets tractors and trailers and subcontractors' fleets. For more information, please visit ir.szygmz.com.
Forward-Looking Statements
The statements in this press release regarding the Company's future expectations, plans and prospects constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements regarding plans, goals, objectives, strategies, future events, expected performance, assumptions and any other statements of fact that have not occurred. Any statements that contain the words "may", "will", "want", "should", "believe", "expect", "anticipate", "estimate", "calculate" or similar statements that are not factual in nature are to be considered forward-looking statements. Actual results may differ materially from historical results or from those expressed in these forward-looking statements as a result of a variety of factors. These factors include, but are not limited to, the Company's strategic objectives, the Company's future plans, market demand and user acceptance of the Company's products or services, technological advances, economic trends, the growth of the trucking services market in China, the Company's reputation and brand, the impact of industry competition and bidding, relevant policies and regulations, fluctuations in China's macroeconomic conditions, and the risks and assumptions disclosed in the Company's reports provided to the CSRC (China Security Regulatory Commission). For these and other related reasons, we advise investors not to place any reliance on these forward-looking statements, and we urge investors to review the Company's relevant SEC filings for additional factors that may affect the Company's future results of operations. The Company undertakes no obligation to publicly revise these forward-looking statements subsequent to the filing of these documents as a result of changes in particular events or circumstances.
