HeartCore Reports Second Quarter 2024 Financial Results

Core Insights - HeartCore Enterprises, Inc. reported a net loss of approximately $2.2 million for Q2 2024, compared to a net loss of $1.0 million in the same period last year, indicating a decline in financial performance [6][9] - The company experienced a revenue decrease to $4.1 million in Q2 2024 from $5.1 million in Q2 2023, primarily due to a 10% depreciation of the Japanese yen and reduced maintenance services [4][8] - HeartCore's organic software business grew by over 20% in Q2 2024, and the company anticipates 30% organic growth for the full year [3][4] Operational Highlights - HeartCore partnered with INCUDATA Corp. to enhance digital marketing strategies and collaborated with Hitachi Systems to offer a combined package of services [2] - The company authorized a second dividend payment of $0.02 per share and disbursed its first dividend payment of the same amount on May 3, 2024 [2] - HeartCore signed its 14th Go IPO client and hosted a seminar on U.S. exchange listing strategies for Japanese companies [2][3] Financial Performance - For the first half of 2024, revenues totaled $9.1 million, down from $13.8 million in the same period last year, largely due to decreased revenues from Go IPO consulting services [8][9] - Gross profit for Q2 2024 was $0.8 million, a decrease from $1.5 million in Q2 2023, attributed to the same factors affecting revenue [5] - Operating expenses decreased to $2.3 million in Q2 2024 from $3.0 million in Q2 2023, primarily due to lower selling and administrative expenses [5][9] Cash Position - As of June 30, 2024, HeartCore had cash and cash equivalents of $3.8 million, a significant increase from $1.0 million on December 31, 2023 [7] - The company reported a net cash flow used in operating activities of approximately $1.46 million for the first half of 2024 [18]