Ebang International Holdings Inc. Reports Unaudited Financial Results for the First Six Months of Fiscal Year 2022

HANGZHOU, China, Nov. 17, 2022 (GLOBE NEWSWIRE) — Ebang International Holdings Inc. (Nasdaq: EBON, the “Company,” “we” or “our”), a global blockchain technology company, today announced its unaudited financial results for the first six months of fiscal year 2022.

Operational and Financial Highlights for the First Six Months of Fiscal Year 2022 Total computing power sold in the first six months of 2022 was 0. 32 million Thash/s, representing a period-over-period decrease of 60. 00% from 0.

80 million Thash/s in the same period of 2021. Total net revenues in the first six months of 2022 were US$25. 06 million, representing a 36.

97% period-over-period increase from US$18. 30 million in the same period of 2021. Gross profit in the first six months of 2022 was US$14.

24 million compared to the gross profit of US$5. 64 million in the same period of 2021. Net loss in the first six months of 2022 was US$10.

92 million compared to US$4. 26 million in the same period of 2021. Mr.

Dong Hu, Chairman, Chief Executive Officer of the Company, commented, “The global COVID-19 pandemic and the continuous decline of price in cryptocurrency market has undeniably affected our daily operations. Facing these obstacles, we have actively expanded into new markets, including cryptocurrency exchange and cross-border payment businesses. Our Australian cryptocurrency exchange platform has also collaborated with Mastercard to become the first principal member in Australia for self-issuance of crypto-linked card and we believe expansion into these businesses will drive innovation in the crypto and payment space in Australia.

When challenges and opportunities coexist, we always adhere to and continue expanding our global business in a legal and compliant manner. We firmly believe in the future development and mainstream trends of Fintech. We expect to continue to maintain our competitive advantage in the industry and continue to make progress and explore opportunities, so that we can achieve more revenue growth in the future and attain our long-term strategic development goals.

” Unaudited Financial Results for the First Six Months of Fiscal Year 2022 Total net revenues in the first six months of 2022 were US$25. 06 million, representing a 36. 97% period-over-period increase from US$18.

30 million in the same period of 2021. The period-over-period increase in total net revenues were mainly attributed to the receipt of payment from a former customer. Cost of revenues in the first six months of 2022 was US$10.

82 million, representing a 14. 55% period-over-period decrease from US$12. 66 million in the same period of 2021.

The period-over-period decrease in cost of revenues was mainly due to the impact of the lower inventory cost related to the utilization of the impaired inventories in our production. Gross profit in the first six months of 2022 was US$14. 24 million, compared to the gross profit of US$5.

64 million in the same period of 2021. Total operating expenses in the first six months of 2022 were US$24. 59 million compared to US$10.

58 million in the same period of 2021. Selling expenses in the first six months of 2022 were US$1. 68 million compared to US$0.

59 million in the same period of 2021. The period-over-period increase in selling expenses was mainly caused by the increase of staff cost and advertising cost related to our cryptocurrency exchange business. General and administrative expenses in the first six months of 2022 were US$22.

90 million compared to US$9. 99 million in the same period of 2021. The period-over-period increase in general and administrative expenses was mainly due to the combined impact of the increase in share-based compensation expenses and the increase of administrative cost related to our cryptocurrency exchange business.

Loss from operations in the first six months of 2022 was US$10. 41 million compared to US$4. 95 million in the same period of 2021.

Interest income in the first six months of 2022 was US$1. 16 million compared to US$0. 12 million in the same period of 2021.

The period-over-period increase in interest income was mainly caused by the increase in the average cash balance from 2021 to 2022. Other expense in the first six months of 2022 was US$0. 39 million compared to US$1.

15 million in the same period of 2021. The period-over-period decrease in other expense was mainly caused by the loss on fair value changes from short term investment in the six months ended June 30, 2022. Net loss in the first six months of 2022 was US$10.

92 million compared to US$4. 26 million in the same period of 2021. Net loss attributable to Ebang International Holdings Inc.

in the first six months of 2022 was US$10. 08 million compared to US$3. 58 million in the same period of 2021.

Basic and diluted net loss per share in the first six months of 2022 were both US$0. 05 compared to US$0. 02 in the same period of 2021.

About Ebang International Holdings Inc. Ebang International Holdings Inc. is a blockchain technology company with strong application-specific integrated circuit (ASIC) chip design capability.

With years of industry experience and expertise in ASIC chip design, it has become a global bitcoin mining machine producer with steady access to wafer foundry capacity. With its licensed and registered entities in various jurisdictions, the Company intends to launch a professional, convenient and innovative digital asset financial service platform to expand into the upstream and the downstream of blockchain and cryptocurrency industry value chain. For more information, please visit https://ir.

ebang. com/. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.

S. Private Securities Litigation Reform Act of 1995. Certain statements contained herein are “forward-looking” statements within the meaning of the applicable securities laws and regulations.

Generally, these statements can be identified by the use of words such as “aim,” “anticipate,” “believe,” “commit,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “outlook,” “plan,” “potential,” “predict,” “project,” “remain,” “should,” “will,” “would,” and similar expressions intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements include, but are not limited to, statements regarding our future operating results and financial position, our business strategy and plans, expectations relating to our industry, the regulatory environment, market conditions, trends and growth, expectations relating to customer behaviors and preferences, our market position and potential market opportunities, and our objectives for future operations. Such statements are not historical facts, and are based upon the Company’s current beliefs, plans and expectations, and the current market and operating conditions.

Forward-looking statements involve inherent known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the Company’s control, which may cause the Company’s actual results, performance and achievements to differ materially from those contained in any forward-looking statement. These risks and uncertainties include our ability to successfully execute our business and growth strategy and maintain future profitability, market acceptance of our products and services, our ability to further penetrate our existing customer base and expand our customer base, our ability to develop new products and services, our ability to expand internationally, the success of any acquisitions or investments that we make, the efforts of increased competition in our markets, our ability to stay in compliance with applicable laws and regulations, market conditions across the cryptoeconomy and general market, political and economic conditions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the U.

S. Securities and Exchange Commission. These forward-looking statements are made only as of the date indicated, and the Company undertakes no obligation to update or revise the information contained in any forward-looking statements as a result of new information, future events or otherwise, except as required under applicable law.

Investor Relations Contact For investor and media inquiries, please contact: Ebang International Holdings Inc. Email: ir@ebang. com Ascent Investor Relations LLCMs.

Tina XiaoTel: (917) 609-0333Email: tina. xiao@ascent-ir. com EBANG INTERNATIONAL HOLDINGS INC.

CONDENSED CONSOLIDATED BALANCE SHEETS (Stated in US dollars) June 30,2022 December 31,2021 (Unaudited) ASSETS Current assets: Cash and cash equivalents $251,199,223 $239,872,316 Restricted cash, current 82,590 171,156 Short-term investments 13,484,594 35,443,246 Accounts receivable, net 6,008,361 9,872,746 Advances to suppliers 1,344,265 1,057,096 Inventories, net 384,576 7,137,538 Prepayments 11,285 283,776 Other current assets, net 6,773,980 4,994,271 Total current assets 279,288,874 298,832,145 Non-current assets: Restricted cash, non-current 812,293 883,130 Operating lease right-of-use assets 1,700,229 2,132,247 Operating lease right-of-use assets – related parties 802,939 1,136,775 Property, plant and equipment, net 35,684,820 33,329,610 Intangible assets, net 32,198,740 22,512,208 VAT recoverables 21,636,622 26,332,231 Goodwill 2,324,196 – Other assets 1,636,155 705,825 Total non-current assets 96,795,994 87,032,026 Total assets $376,084,868 $385,864,171 LIABILITIES AND EQUITY Current liabilities: Accounts payable $2,623,033 $3,387,836 Income taxes payable 9,173 13,272 Advances from customers 771,826 894,174 Accrued liabilities and other payables 11,602,918 8,962,716 Operating lease liabilities, current 756,948 851,936 Operating lease liabilities – related parties, current 570,315 595,424 Total current liabilities 16,334,213 14,705,358 Non-current liabilities: Operating lease liabilities, non-current 1,379,327 1,712,303 Operating lease liabilities, related parties, non-current – 288,563 Deferred tax liabilities 1,211,215 178,582 Total non-current liabilities 2,590,542 2,179,448 Total liabilities 18,924,755 16,884,806 Equity: Class A ordinary share, HKD0. 001 par value, 333,374,217 shares authorized, 140,750,554 and 139,209,554 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively 18,045 17,848 Class B ordinary share, HKD0. 001 par value, 46,625,783 shares authorized, 46,625,783 and 46,625,783 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively 5,978 5,978 Additional paid-in capital 396,674,385 393,717,189 Accumulated deficit (44,255,347) (34,180,280)Statutory reserves 11,079,649 11,079,649 Accumulated other comprehensive loss (11,285,487) (6,897,005)Total Ebang International Holdings Inc.

shareholders’ equity 352,237,223 363,743,379 Non-controlling interest 4,922,890 5,235,986 Total equity 357,160,113 368,979,365 Total liabilities and equity $376,084,868 $385,864,171 EBANG INTERNATIONAL HOLDINGS INC. UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONSAND COMPREHENSIVE LOSS(Stated in US dollars) For the six monthsended June 30, 2022 For thesix monthsended June 30, 2021 Product revenue $25,059,635 $15,310,854 Service revenue – 2,984,707 Total revenues 25,059,635 18,295,561 Cost of revenues 10,816,229 12,657,744 Gross profit 14,243,406 5,637,817 Operating expenses: Selling expenses 1,685,425 594,027 General and administrative expenses 22,901,323 9,989,018 Total operating expenses 24,586,748 10,583,045 Loss from operations (10,343,342) (4,945,228) Other income (expenses): Interest income 1,162,470 119,772 Interest expenses – (4,369)Other income 571,462 167,382 Exchange gain (loss) (1,932,890) 1,469,620 Government grants 2,505 21,678 Other expenses (390,051) (1,154,704)Total other income (expenses) (586,504) 619,379 Loss before income taxes benefit (10,929,846) (4,325,849) Income taxes benefit 10,683 69,964 Net loss (10,919,163) (4,255,885)Less: net loss attributable to non-controlling interest (844,096) (675,239)Net loss attributable to Ebang International Holdings Inc. $(10,075,067) $(3,580,646) Comprehensive loss Net loss $(10,919,163) $(4,255,885)Other comprehensive loss: Foreign currency translation adjustment (3,857,482) (515,015) Total comprehensive loss (14,776,645) (4,770,900)Less: comprehensive loss attributable to non-controlling interest (313,096) (582,039)Comprehensive loss attributable to Ebang International Holdings Inc.

$(14,463,549) $(4,188,861) Net loss per ordinary share attributable to Ebang International Holdings Inc. Basic $(0. 05) $(0.

02)Diluted $(0. 05) $(0. 02) Weighted average ordinary shares outstanding Basic 187,291,199 169,460,752 Diluted 187,291,199 169,460,752 The post Ebang International Holdings Inc.

Reports Unaudited Financial Results for the First Six Months of Fiscal Year 2022 appeared first on Crypto Reporter. .