NIP Group Inc. Reports First Half 2024 Unaudited Financial Results

Financial Performance - Total net revenues for the first half of 2024 increased by 2% to $39.3 million compared to$38.6 million in the same period of 2023 [7][8] - Net loss narrowed significantly to $4.7 million in H1 2024 from$11.3 million in H1 2023, a 59% improvement [3][6] - Adjusted EBITDA improved slightly to negative $2.6 million in H1 2024 from negative$2.7 million in H1 2023 [3][20] Revenue Breakdown - Event production revenues surged 376.5% YoY to $8.7 million in H1 2024, driven by increased event hosting [1][9] - Esports teams operation revenues decreased 10.8$8.8 million due to shift from PC/console to mobile game revenue [9] - Talent management service revenues declined 18.6% to $21.9 million as the company transitioned to higher-performance platforms [9] Cost Structure - Total operating expenses reduced by 49$2.8 million, representing 7.1% of net revenues [17] - General and administrative expenses dropped 56.6% to $4.7 million, primarily due to reduced share-based compensation [18] Strategic Developments - Completed IPO on NASDAQ in July 2024, raising$20.25 million [4][29] - Entered game publishing market in September 2024 to create integrated digital entertainment ecosystem [4][29] - Acquired Young Will in October 2024, strengthening talent management with 115 million social media followers [4][29] - Formed strategic partnership with Homeinns Hotels Group for esports-themed hospitality services [4][29] Operational Highlights - Cash and cash equivalents stood at $6.8 million as of June 30, 2024 [21] - Gross profit margin improved slightly to 6.0$0.9 million, though margin declined to 10.5% due to front-loaded investments [16] Geographic Expansion - Signed term sheet with Abu Dhabi Investment Office, marking entry into Middle East market [4][5] - Operations currently span Sweden, China, Abu Dhabi, and Brazil [31]