Core Viewpoint - CDT Environmental Technology Investment Holdings Limited reported a significant decline in revenue and net income for the first half of fiscal year 2024, primarily due to the economic downturn in China and delays in project execution [2][4]. Financial Performance - Revenues decreased by approximately $2.8 million, or 18.1%, to approximately $12.7 million for the six months ended June 30, 2024, compared to approximately $15.5 million for the same period in 2023 [3]. - Gross profit decreased by approximately $0.3 million, or 6.7%, to approximately $4.5 million, with a gross profit percentage of 35.5% for the first half of 2024, up from 31.2% in 2023 [3]. - Net income decreased by approximately $0.4 million, or 21.6%, to approximately $1.4 million, or $0.14 per share, for the six months ended June 30, 2024, down from approximately $1.8 million, or $0.22 per share, in 2023 [3][10]. Business Developments - The decrease in revenue was attributed to fewer projects in progress or completed in 2024, with only one new project compared to two in the same period of 2023 [3]. - The company maintained a gross margin of 35.5%, driven by cost reduction initiatives and restructuring efforts [4]. - Management expects full-year 2024 revenue to be in the range of $30.2 to $32.7 million, with net income projected between $6.5 to $7.9 million, reflecting a significant downward revision from previous guidance [5]. Strategic Outlook - The company aims to navigate economic challenges by focusing on customer service and productivity while investing in future opportunities related to water conservation and environmental regulations [4]. - CDT is committed to enhancing operational efficiency and sustaining growth despite the current economic pressures [4].
CDT Environmental Technology Reports 2024 Unaudited Interim Financial Results and Provides Business Updates