Treasure Global Inc Announces Preliminary Pro Forma Results for the Fiscal Year Ended June 30, 2024

Rhea-AI Summary

Treasure Global Inc (NASDAQ: TGL) has announced preliminary pro forma results for the fiscal year ended June 30, 2024. The company expects to report total revenue of approximately $22.1 million. The preliminary pro forma loss from operations is anticipated to be around $5.6 million, representing a significant improvement with a reduction of about $4.6 million compared to fiscal year 2023. This decrease is attributed to effective cost management and operational efficiencies.

The preliminary pro forma net loss attributable to common stockholders is expected to be approximately $6.2 million, a decrease of around $5.5 million compared to the previous fiscal year. These results are subject to completion of the audit for the transition period from April 1, 2024, to June 30, 2024, and the company's year-end closing process.

Positive

• Revenue expected to reach $22.1 million for fiscal year 2024
• Loss from operations decreased by approximately $4.6 million compared to fiscal year 2023
• Net loss attributable to common stockholders decreased by about $5.5 million year-over-year
• Effective cost management strategies and operational efficiencies implemented

Negative

• Company still operating at a loss with $5.6 million loss from operations
• Net loss attributable to common stockholders of $6.2 million

Financial Analyst

Treasure Global's preliminary pro forma results for FY2024 show mixed signals. While the revenue of $22.1 million indicates the company's ability to generate sales, the focus should be on the significant reduction in losses. The decrease in operating loss by $4.6 million and net loss by $5.5 million are positive indicators of improving financial health. This suggests that cost-cutting measures and operational efficiencies are yielding results.

However, investors should note that the company is still operating at a loss, with a pro forma net loss of $6.2 million. The lack of comparative revenue figures makes it difficult to assess top-line growth. Additionally, the preliminary nature of these results and pending audit completion introduce an element of uncertainty. Investors should wait for the final audited results to make informed decisions.

Tech Industry Analyst

As a tech solutions provider, Treasure Global's financial improvements are encouraging but not groundbreaking. The reduction in losses suggests better cost management, which is important in the tech sector where scalability often determines success. However, without details on user growth, product innovations, or market share, it's challenging to gauge the company's competitive position.

The $22.1 million revenue for a NASDAQ-listed tech company is relatively modest, indicating Treasure Global is still in its growth phase. Investors should seek information on the company's product pipeline, customer acquisition costs and retention rates to better understand its growth potential and long-term viability in the competitive tech solutions market.

Preliminary pro forma revenue is expected to reach approximately $22.1 million.
Preliminary pro forma loss from operations is expected to decrease by approximately $4.6 million.
Preliminary pro forma net loss attributable to common stockholders is expected to decrease by approximately $5.5 million

NEW YORK and KUALA LUMPUR, Malaysia, Aug. 12, 2024 (GLOBE NEWSWIRE) -- Treasure Global Inc (NASDAQ: TGL) (“Treasure Global” or the “Company”), a leading technology solutions provider, today announced its preliminary pro forma results for the fiscal year ended June 30, 2024.

On a preliminary and pro forma basis, the Company anticipates reporting total fiscal year 2024 revenue of approximately $22.1 million.

The preliminary pro forma loss from operations for fiscal year 2024 is expected to be approximately $5.6 million. This represents a significant improvement, with a reduction of approximately $4.6 million compared to the loss from operations reported in fiscal year 2023. The decrease is attributed to effective cost management strategies and operational efficiencies implemented throughout the year, underscoring the Company’s ongoing commitment to enhancing profitability and operational performance.

The preliminary pro forma net loss attributable to common stockholders is expected to total approximately $6.2 million, a decrease of around $5.5 million compared to the net loss for fiscal year 2023. The reduction in net loss reflects the Company’s efforts to improve financial performance despite ongoing growth initiatives and integration costs.

The financial results reported herein are preliminary and subject to completion of the audit for the transition period from April 1, 2024, to June 30, 2024, as well as the Company’s year-end closing process. As such, these preliminary results may change and may not necessarily reflect the results for any future period.

About Treasure Global Inc:

Treasure Global is a leading Malaysian solutions provider developing innovative technology platforms. Treasure Global has developed the ZCITY App, a unique digital ecosystem that transforms and simplifies the e-payment experience for consumers, while simultaneously allowing them to earn rewards. As of August 9, 2024, ZCITY App boasts over 2.7 million registered users.

For more information, please visit https://treasureglobal.co.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, customer acceptance of new products, the effects of the spread of the coronavirus (COVID-19) and future measures taken by authorities in the countries wherein the Company has supply chain partners, the demand for the Company’s products and the Company’s customers’ economic condition, the impact of competitive products and pricing, successfully managing and, general economic conditions and other risk factors detailed in the Company’s filings with the United States Securities and Exchange Commission. The forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake any responsibility to update the forward-looking statements in this release, except in accordance with applicable law.

For further information, please contact:

Investor and Media Contact
ir_us@treasuregroup.co

FAQ

What is Treasure Global's (TGL) expected revenue for fiscal year 2024?

Treasure Global Inc (TGL) expects to report total revenue of approximately $22.1 million for the fiscal year ended June 30, 2024, based on preliminary pro forma results.

How much did Treasure Global (TGL) reduce its loss from operations in fiscal year 2024?

Treasure Global (TGL) reduced its loss from operations by approximately $4.6 million in fiscal year 2024 compared to fiscal year 2023, with an expected loss of $5.6 million.

What is the expected net loss for Treasure Global (TGL) in fiscal year 2024?

Treasure Global (TGL) expects a preliminary pro forma net loss attributable to common stockholders of approximately $6.2 million for fiscal year 2024, a decrease of around $5.5 million from the previous year.

Are Treasure Global's (TGL) fiscal year 2024 results final?

No, the results are preliminary and subject to completion of the audit for the transition period from April 1, 2024, to June 30, 2024, as well as the company's year-end closing process.