Stock News Recap: Remark Holdings, Inc. (NASDAQ: MARK)

Remark Holdings, Inc. (NASDAQ: MARK) stock observed trading -32.30% off 52-week high price. On the other end, the stock has been noted 864.00% away from low price over the last 52-weeks. The stock disclosed a move of 160.53% away from 50 day moving average and 220.72% away from 200 day moving average. Moving closer, we can see that shares have been trading 39.76% off 20-day moving average.

Remark Holdings, Inc. (MARK) recently reported financial results for its fiscal first quarter ended March 31, 2020.

First Quarter 2020 Financial Results

Revenue for the first quarter of 2020 was $0.4M, down from $1.2M during the first quarter of 2019. The company’s business was adversely influenced by several factors including January’s Chinese New Year celebrations, the trade war between the U.S. and China, the COVID-19-related quarantines and working capital constraints, which factors combined to negatively affect revenue by preventing personnel in China from continuing project roll outs and by delaying project testing and customization work on larger projects. The result was a slight decrease in the Company’s Technology & Data Intelligence business section instead of predictable revenue growth.

Additionally, Advertising and Other revenue reduced by nearly $0.7M Because of certain Remark Entertainment contracts that were not renewed as the company scaled back such business, and Because of a decline in e-commerce revenue resulting from the combined effects of the COVID-19 pandemic changing consumer behavior and a decision by the company to sell certain inventory at lower prices.

Total cost and expense for the first quarter of 2020 was $3.9M, a decrease from the $7.1M stated in the same period of 2019. The decrease is primarily attributable to a $1.6M decline in the cost of revenue resulting from fewer project completions, while a $1.0M decrease in payroll and related expense as well as in stock-based compensation expense as headcount declined also contributed. The fewer project completions and headcount declines were heavily influenced by the trade war between the U.S. and China, the COVID-19 pandemic and working capital constraints.

Operating loss declined to $3.5M in the first quarter of 2020 from $5.9M in the first quarter of 2019 commensurate with the cost and expense declines.

Loss from continuing operations totaled $2.4M, or $0.05 per diluted share, in the first quarter ended March 31, 2020, contrast to a net loss from continuing operations of $7.7M, or $0.20 per diluted share in the first quarter ended March 31, 2019.

At March 31, 2020, the cash and cash equivalents balance was $1.6M, contrast to a cash position of $0.3M at December 31, 2019. Cash increased primarily Because of proceeds from ordinary stock issuances, which proceeds offset operating losses, as well as from the timing of payments related to elements of working capital.

“We remain extremely optimistic about our current business prospects as we have been installing our solutions throughout the U.S. for a diverse group of consumers. We are happy to be helping the country safely get back to normal,” concluded Mr. Tao.

USA based company Remark Holdings, Inc. moved with change of -8.71% to $2.41 with the total traded volume of 21276134 shares in recent session versus to an average volume of 30879.7K. MARK’s shares are at 322.73% for the quarter and driving a 141.00% return over the course of the past year and is now at 367.96% since this point in 2018.

 

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