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Chanson International Holding Announces First Half of Fiscal Year 2024 Financial Results
CHSNChanson International (CHSN) Prnewswire·2024-09-27 20:05

Core Viewpoint - Chanson International Holding reported a decline in revenue for the first half of fiscal year 2024, but maintained gross margins above 40% through cost control and operational efficiency measures. The company remains optimistic about its long-term growth strategy, focusing on expansion in both the United States and China [2][3]. Financial Summary - Total revenue for the first half of fiscal year 2024 was 7.5million,adecreaseof14.47.5 million, a decrease of 14.4% from 8.8 million in the same period last year [3][4]. - Gross profit was 3.1million,down27.83.1 million, down 27.8% from 4.3 million year-over-year, with a gross margin of 41.5%, down from 49.2% [3][8]. - Net income was 0.02million,comparedto0.02 million, compared to 0.3 million for the same period last year, resulting in basic and diluted earnings per share of 0.002,downfrom0.002, down from 0.027 [3][10][11]. Revenue Breakdown China Stores - Revenue from China Stores was 6.5million,adecreaseof7.36.5 million, a decrease of 7.3% from 7.0 million last year, primarily due to lower sales of bakery products and other items [5]. - Bakery product revenue was 5.9million,down7.35.9 million, down 7.3% from 6.4 million, attributed to reduced consumer spending and economic pressures [5]. - Revenue from seasonal products decreased by 16.4% to 0.36million,whilebeverageproductrevenueincreasedby14.80.36 million, while beverage product revenue increased by 14.8% to 0.22 million, driven by a focus on coffee beverages [5]. United States Stores - Revenue from U.S. Stores was 1.0million,asignificantdecreaseof42.21.0 million, a significant decrease of 42.2% from 1.8 million last year, mainly due to lower beverage sales and eat-in services [6]. - Bakery product revenue remained stable at 0.24million,withaslightincreaseof2.60.24 million, with a slight increase of 2.6% from 0.23 million, while beverage product revenue fell by 37.2% to 0.6million[6][7].OperatingExpenses−Totaloperatingexpenseswere0.6 million [6][7]. Operating Expenses - Total operating expenses were 3.7 million, down from 4.2millionyear−over−year.Sellingexpensesdecreasedby8.74.2 million year-over-year. Selling expenses decreased by 8.7% to 2.2 million, while general and administrative expenses fell by 17.9% to 1.5million[9].CashFlowandBalanceSheet−AsofJune30,2024,thecompanyhadcashreservesof1.5 million [9]. Cash Flow and Balance Sheet - As of June 30, 2024, the company had cash reserves of 4.1 million, up from 1.5millionattheendof2023[11].−Netcashprovidedbyoperatingactivitieswas1.5 million at the end of 2023 [11]. - Net cash provided by operating activities was 0.8 million, compared to 0.6millionforthesameperiodlastyear[12].−Thecompanyreportednetcashprovidedbyinvestingactivitiesof0.6 million for the same period last year [12]. - The company reported net cash provided by investing activities of 1.4 million, a significant improvement from net cash used of $11.3 million last year [12].