The Company expects to turn profitable in 2023
HAIKOU,
China, Sept. 9, 2022 /PRNewswire/ -- JX
Luxventure Limited (Nasdaq: LLL) (the "Company"), a company
delivering comprehensive products solutions to global
high-net-worth families serviced by our business customers with
business segments covering tourism, duty-free cross-border
merchandise, eCommerce and B2B SAAS solutions, and menswear, today
announced financial results for the six months ended June 30, 2022.
Financial Highlights for the Sixth Months of 2022
- Delivered strong top-line growth year over year. Total revenue
for the six months ended June 30,
2022 was $52.3 million
compared to $12.7 million for the six
months ended June 30, 2021, an
increase of 312% from last year.
- Total revenue from the travel and duty-free cross-border
merchandize business segments for the first half of 2022 were
$51.5 million, compared to
$10.2 million for the same period
last year.
- Net cash used in operating activities for the six months ended
June 30, 2022, was reduced by
$0.2 million, a 6.6% improvement
compared to the same period last year.
- Continued duty-free product portfolio expansion. In the six
months ended June 30, 2022, the
Company expanded its duty-free cross border merchandise portfolio
to include the pet food sector and has signed a US$100 million related contract expected to be
completed by end of 2023.
- Travel and cross-border merchandize business segments are
expecting to reach profitability on an adjusted basis in 2022.
The Company is expected to turn profitable in 2023 as the global
travel industry started to rebound from the impact of the Covid-19
pandemic and the Company has made material improvements and ongoing
investments in its business and products.
Ms. Sun "Ice" Lei, Chief Executive Officer of the Company
commented: "We hit the ground running and delivered a strong
revenue growth in the first half of 2022. This is the third
financial reports in a row which we delivered robust growth.
We are pleased with the implementation of our turnaround strategy
while our menswear business continues its recovery from Covid.
Our duty-free cross-border team has been moving quickly to
identify high quality and in-demand foreign products to introduce
to the consumer market in China.
In addition, our travel team was able to establish more tangible
partnerships with our partners in the airlines, high-end hotels and
lifestyle experience industries to create value for our
shareholders. We now partner with 17 major airlines, which
represents 51% of airline operators in China.
Our differentiated product offerings and leading market position
helped driving our record revenue in the first half of 2022. As we
anticipate the steady demand for premium and foreign made consumer
products in China, and the rebound
of the premium travel experiences globally, we continue to pivot
our operation to focus on the two business segments. Through our
operation streamline effort, financial discipline, ownership
mindset and innovative product offerings, we are taking the steps
toward to the Company's sustainable profitability.
While we are on the journey to transform our company, we remain
committed to be in full compliance with all the U.S. Securities and
Exchange Commission (the "SEC") and Nasdaq listing requirements. We
are confident that we will continue to be a strong and compliant
public listed company years ahead."
Recent initiatives
- Started providing technology consulting services and solutions
for NFT-based virtual host to be used on live stream platforms. The
newly established eCommerce solution segment provides a technology
driven global B2B trading platform for its business customers. Its
solution products include cross-border cloud-based warehouse,
digital payment systems, supply chain and logistics management,
etc. The Company has been engaged by travel agencies and online
platforms to provide solutions and support operational efficiency
improvement.
- Executed major whole-sale contracts with large travel agencies
in China in the amount of
$20 million. Combined with the
Company's continuous effort to expand its partnership with regional
and international airlines, the Company is poised to benefit from
the post-pandemic travel.
- Expanded the Company's duty-free cross-border product portfolio
to include high end pet food products and luxury foreign
automobiles. These products are expected to significantly improve
the Company's revenue and generate high gross margins.
The Company today filed its six months result report on Form 6-K
for the six months ended June 30,
2022 (the "June 2022 Report") with the SEC. The
June 2022 Report can be accessed on
the SEC's website at http://www.sec.gov.
About JX Luxventure Limited
Headquartered in Haikou, China, JX Luxventure Limited is a a company
delivering comprehensive products solutions to global
high-net-worth families serviced by our business customers with
business segments covering tourism, duty-free cross-border
merchandise, eCommerce and B2B SAAS solutions, and
menswear.To learn more about the Company, please visit its
corporate website at en.jxluxventure.com.
Safe Harbor Statement
This press release may contain certain "forward-looking
statements" relating to the business of JX Luxventure Limited, and
its subsidiary companies. All statements, other than statements of
historical fact included herein, are "forward-looking statements"
in nature within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements, often
identified by the use of forward-looking terminology such as
"believes," "expects" or similar expressions, involve known and
unknown risks and uncertainties. Although the Company believes that
the expectations reflected in these forward-looking statements are
reasonable, they do involve assumptions, risks and uncertainties,
and these expectations may prove to be incorrect. Investors should
not place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company's
actual results could differ materially from those anticipated in
these forward-looking statements due to a variety of factors,
including those discussed in the Company's periodic reports filed
with the Securities and Exchange Commission and available on its
website (http://www.sec.gov). All forward-looking statements
attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by these factors. Other than
as required under the securities laws, the Company does not assume
a duty to update these forward-looking statements.
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SOURCE JX Luxventure Limited
