HONG
KONG, March 25, 2025 /PRNewswire/ -- Nano Labs
Ltd (Nasdaq: NA) ("we," the "Company" or "Nano Labs"), a leading fabless integrated
circuit design company and product solution provider in
China, today announced its
unaudited financial results as of December
31, 2024 and for the six months ended December 31, 2024.
Second Half of 2024 Financial Highlights
- Net revenue was RMB15.9 million
(US$2.2 million) for the second half
of 2024, compared to RMB26.1 million
in the same period of 2023.
- Gross profit was RMB11.6 million
(US$1.6 million) for the second half
of 2024, compared to a gross loss of RMB40.6
million in the same period of 2023.
- Loss from operations was RMB39.8
million (US$5.5 million) for
the second half of 2024, compared to a loss from operations of
RMB124.4 million in the same period
of 2023.
- Net loss was RMB60.4 million
(US$8.4 million) for the second half
of 2024, compared to a net loss of RMB120.0
million in the same period of 2023.
- Net loss per share (both basic and diluted) was RMB6.01 (US$0.84)
for the second half of 2024, compared to a net loss per share (both
basic and diluted) of RMB19.12 in the
same period of 2023.
Mr. Jianping Kong, Chairman and
Chief Executive Officer of the Company, commented, "The year 2024
brings many opportunities as the Company expanded its business. We
have formally established Bitcoin value investment as
a new business sector and adopting Bitcoin as our
primary reserve asset. As of the date of this press release, the
Company holds about 400 BTC with a total purchase price of around
$40 million.
Furthermore, in December 2024, we
released upgraded complete machine equipped with the Cuckoo 3.0
iteration chip, which shows enhanced performance that achieves
world-leading standard. This important improvement provides us with
a key advantage to grow our market share. With the accelerated
evolution of AI, we plan to create AI applications within the
Web3.0 ecosystem and focus on integrating AI with Web3.0
technologies.
Through our visionary strategic planning and persistent
execution, we remain committed to deepening our expertise in the
Web3.0 domain. We believe we are able to create great value and
deliver strong results for our supporters."
Mr. Bing Chen, Chief Financial Officer of the Company,
commented, "for the second half of 2024, our net revenue was
RMB15.9 million (US$2.2 million). In addition, the net loss was
RMB60.4 million (US$8.4 million) for the six months ended
December 31, 2024, compared to a net
loss of RMB120.0 million in the same
period of 2023. We are confident that we are able to to deliver
exceptional value creation and present a satisfactory performance
report to our stakeholders."
Second Half of 2024 Financial Results
Net Revenues
Net revenue was RMB15.9 million
(US$2.2 million) for the second half
of 2024, compared to RMB26.1 million
for the same period of 2023. The decrease in net revenues was
primarily due to the decrease in sales volume of iPollo V
Series.
Cost of Revenues
Cost of revenues was RMB4.3
million (US$0.6 million) for
the second half of 2024, compared to RMB66.6
million for the same period of 2023. The change was mainly
due to the decrease in sales volume and less inventory write-down
recorded.
Operating Expenses
Total operating expenses decreased by 38.7% to RMB51.4 million (US$7.1
million) for the second half of 2024 from RMB83.8 million for the same period of 2023.
- Selling and marketing expenses decreased by 17.7% to
RMB4.8 million (US$0.7 million) for the second half of 2024, from
RMB5.8 million for the same period of
2023. The decrease in selling and marketing expenses was primarily
due to the decrease in employee salary expenses.
- General and administrative expenses increased by 13.5% to
RMB25.4 million (US$3.5 million) for the second half of 2024, from
RMB22.4 million for the same period
of 2023. The increase in general and administrative expenses was
primarily due to the increase in depreciation expenses.
- Research and development expenses decreased by 61.9% to
RMB21.2 million (US$3.0 million) for the second half of 2024, from
RMB55.6 million for the same period
of 2023. The decrease in research and development expenses was
primarily due to the decrease in salary expenses, material fees,
and equipment fees.
Loss from Operations
Loss from operations was RMB39.8
million (US$5.5 million) for
the second half of 2024, compared with loss from operations of
RMB124.4 million for the same period
of 2023.
Finance Expenses
Finance expenses was RMB2.0
million (US$0.3 million) for
the second half of 2024, compared with finance income of
RMB0.7 million for the same period of
2023.
Interest Expenses
Interest expenses was RMB4.9
million (US$0.7 million) for
the second half of 2024, compared with nil for the same period of
2023. The change was due to the completion of construction in
progress and cease of interest capitalization during the first half
of 2024.
Change in fair value of
cryptocurrencies
Change in fair value of cryptocurrencies was
RMB 15.7 million (US$2.2 million) loss for the second half of 2024,
compared with nil for the same period of 2023.
Net Loss
Net loss was RMB60.4 million
(US$8.4 million) for the second half
of 2024, compared with RMB120.0
million in the same period of 2023.
Basic and Diluted Loss Per Ordinary Share attributable to
Nano Labs Ltd
Basic and diluted loss per share was RMB6.01 (US$0.84)
for the second half of 2024, compared with basic and diluted loss
per share of RMB19.12 for the same
period of 2023.
Cash and Cash Equivalents
As of December 31, 2024, the
Company had cash and cash equivalents of RMB32.4 million (US$4.5
million), compared with RMB48.2
million as of December 31,
2023.
Exchange Rate
This press release contains translations of certain Renminbi
(RMB) amounts into U.S. dollars (US$) solely for the convenience of
the reader. Unless otherwise specified, all translations of
Renminbi amounts into U.S. dollar amounts in this press release are
made at RMB7.1884 to US$1.00, the central parity rate on December 31, 2024 published by the People's Bank
of China.
Non-GAAP Financial Measures
In evaluating our business, we consider and use adjusted net
income/(loss) as an additional non-GAAP measure to review and
assess our operating performance. The presentation of the non-GAAP
financial measure is not intended to be considered in isolation or
as a substitute for the financial information prepared and
presented in accordance with U.S. GAAP. We define adjusted net
income/(loss) as net income/(loss) excluding share-based
compensation expense.
We present the non-GAAP financial measure because they are used
by our management to evaluate our operating performance and
formulate business plans. Non-GAAP financial measures enable our
management to assess our operating results without considering the
impact of non-cash charges and non-operating items. We also believe
that the use of the non-GAAP measure facilitates investors'
assessment of our operating performance.
The non-GAAP financial measure is not defined under U.S. GAAP
and is not presented in accordance with U.S. GAAP. The non-GAAP
financial measure has limitations as analytical tools. One of the
key limitations of using the non-GAAP financial measure is that
they do not reflect all items of income and expense that affect our
operations. Share-based compensation expenses have been and may
continue to be incurred in our business and are not reflected in
the presentation of adjusted net income/(loss). Further, the
non-GAAP measure may differ from the non-GAAP information used by
other companies, including peer companies, and therefore their
comparability may be limited.
Conference Call
The Company will host an earnings conference call to discuss its
financial results at 8:30 am U.S.
Eastern Time (8:30 pm Beijing Time)
on March 25, 2025.
For participants who wish to join the call, please access the
link provided below to complete the online registration
process.
Registration Link:
https://s1.c-conf.com/diamondpass/10046219-hj76t5.html
Upon registration, participants will receive the dial-in number
and unique PIN, which can be used to join the conference call. If
participants register and forget their PIN or lose their
registration confirmation email, they may simply re-register and
receive a new PIN. All participants are encouraged to dial in 15
minutes prior to the start time.
A live and archived webcast of the conference call will be
accessible on the Company's investor relations website at:
https://ir.nano.cn/.
A telephone replay of the call will be available until
1 April 2025 via the following
dial-in details:
Dial-in Numbers:
|
US/Canada:
|
1855 883
1031
|
|
Hong Kong:
|
800 930 639
|
|
China:
|
400 1209
216
|
|
Replay PIN:
|
10046219
|
About Nano Labs Ltd
Nano Labs Ltd is a leading fabless integrated circuit ("IC")
design company and product solution provider in China. Nano
Labs is committed to the development of high throughput
computing ("HTC") chips, high performance computing ("HPC") chips,
distributed computing and storage solutions, smart network
interface cards ("NICs") vision computing chips and distributed
rendering. Nano Labs has built a
comprehensive flow processing unit ("FPU") architecture which
offers solution that integrates the features of both HTC and HPC.
Nano Lab's Cuckoo series are one of
the first near-memory HTC chips available in the market*. For more
information, please visit the Company's website at: ir.nano.cn.
*According to an industry report prepared by Frost &
Sullivan.
Forward-Looking Statements
This report 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. These forward-looking statements include,
without limitation, the Company's plan to appeal the Staff's
determination, which can be identified by terminology such as
"may," "will," "expect," "anticipate," "aim," "estimate," "intend,"
"plan," "believe," "potential," "continue," "is/are likely to" or
other similar expressions. Such statements are based upon
management's current expectations and current market and operating
conditions, and relate to events that involve 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 or
achievements to differ materially from those in the forward-looking
statements. Further information regarding these and other risks,
uncertainties or factors is included in the Company's filings with
the Securities and Exchange Commission. The Company does not
undertake any obligation to update any forward-looking statement as
a result of new information, future events or otherwise, except as
required under law.
For investor and media inquiries, please contact:
Nano Labs Ltd
Email: ir@nano.cn
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
|
Consolidated
Balance Sheets
|
|
(Unaudited)
|
|
|
|
|
|
|
|
As of
December 31,
|
|
As of December
31,
|
|
2023
|
|
2024
|
|
RMB
|
|
RMB
|
|
US$
|
|
ASSETS
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
48,164,664
|
|
32,431,081
|
|
4,511,585
|
|
Restricted
cash
|
417,990
|
|
418,722
|
|
58,250
|
|
Accounts receivable,
net
|
1,739,065
|
|
572,803
|
|
79,683
|
|
Inventories,
net
|
12,874,986
|
|
29,866,418
|
|
4,154,807
|
|
Prepayments
|
24,386,010
|
|
4,606,066
|
|
640,764
|
|
Other current
assets
|
37,908,092
|
|
55,858,433
|
|
7,770,635
|
|
Cryptocurrencies
|
-
|
|
242,889,085
|
|
33,789,033
|
|
Total current
assets
|
125,490,807
|
|
366,642,608
|
|
51,004,757
|
|
Non-current
assets:
|
|
|
|
|
|
|
Property, plant and
equipment, net
|
169,653,582
|
|
197,341,915
|
|
27,452,829
|
|
Intangible asset,
net
|
47,731,288
|
|
46,745,444
|
|
6,502,900
|
|
Operating lease
right-of-use assets
|
7,424,554
|
|
5,203,525
|
|
723,878
|
|
Total non-current
assets
|
224,809,424
|
|
249,290,884
|
|
34,679,607
|
|
|
|
|
|
|
|
TOTAL
ASSETS
|
350,300,231
|
|
615,933,492
|
|
85,684,364
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS'
EQUITY (DEFICIT)
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
Short-term
debts
|
20,000,000
|
|
18,000,000
|
|
2,504,034
|
|
Current portion of
long-term debts
|
3,410,000
|
|
5,350,000
|
|
744,255
|
|
Accounts
payable
|
16,875,586
|
|
18,101,451
|
|
2,518,147
|
|
Advance from
customers
|
107,826,617
|
|
98,895,905
|
|
13,757,708
|
|
Operating lease
liabilities, current
|
3,479,752
|
|
1,914,109
|
|
266,277
|
|
Other current
liabilities
|
90,978,171
|
|
67,163,217
|
|
9,343,278
|
|
Total current
liabilities
|
242,570,126
|
|
209,424,682
|
|
29,133,699
|
|
Non-current
liabilities:
|
|
|
|
|
|
|
Long-term
debts
|
120,260,783
|
|
170,683,636
|
|
23,744,315
|
|
Operating lease
liabilities, non-current
|
3,730,672
|
|
2,917,350
|
|
405,841
|
|
Total non-current
liabilities
|
123,991,455
|
|
173,600,986
|
|
24,150,156
|
|
Total
liabilities
|
366,561,581
|
|
383,025,668
|
|
53,283,855
|
|
Shareholders' equity
(deficit):
|
|
|
|
|
|
|
Class A ordinary
shares ($0.002 par
value; 12,141,093 and 14,141,093 shares
authorized as of December 31, 2023 and
2024, respectively; 4,192,730 and
13,273,596 shares issued as of December
31, 2023 and 2024, respectively;
3,724,236 and 12,815,143 shares
outstanding as of December 31, 2023 and
2024, respectively)*
|
50,106
|
|
176,842
|
|
24,601
|
|
Class B ordinary
shares ($0.002 par
value; 2,858,909 shares authorized;
2,858,909 shares issued and outstanding
as of December 31, 2023 and 2024)*
|
36,894
|
|
36,894
|
|
5,132
|
|
Additional paid-in
capital
|
428,310,028
|
|
780,499,664
|
|
108,577,662
|
|
Accumulated
deficit
|
(452,031,693)
|
|
(565,218,741)
|
|
(78,629,283)
|
|
Statutory
reserves
|
6,647,109
|
|
6,647,109
|
|
924,699
|
|
Accumulated other
comprehensive income
|
2,254,558
|
|
8,647,353
|
|
1,202,959
|
|
Total Nano Labs Ltd
shareholders' equity
(deficit)
|
(14,732,998)
|
|
230,789,121
|
|
32,105,770
|
|
Noncontrolling
interests
|
(1,528,352)
|
|
2,118,703
|
|
294,739
|
|
Total shareholders'
equity (deficit)
|
(16,261,350)
|
|
232,907,824
|
|
32,400,509
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
AND
SHAREHOLDERS' EQUITY (DEFICIT)
|
350,300,231
|
|
615,933,492
|
|
85,684,364
|
|
|
|
*After giving effect of
the 2-for-1 and 10-for-1 reverse stock split effective on January
31, 2024 and November 3,
2024, respectively
|
|
Consolidated
Statements of Operations and Comprehensive Income
(Loss)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
For the six months
ended December 31,
|
|
|
2023
|
|
2024
|
|
|
RMB
|
|
RMB
|
|
US$
|
|
Net
revenues
|
26,066,660
|
|
15,856,436
|
|
2,205,837
|
|
Cost of
revenues
|
66,617,485
|
|
4,284,184
|
|
595,986
|
|
Gross profit
(loss)
|
(40,550,825)
|
|
11,572,252
|
|
1,609,851
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
Selling and marketing
expenses
|
5,830,986
|
|
4,801,639
|
|
667,970
|
|
General and
administrative expenses
|
22,360,766
|
|
25,379,491
|
|
3,530,618
|
|
Research and
development expenses
|
55,648,133
|
|
21,210,897
|
|
2,950,712
|
|
Total operating
expenses
|
83,839,885
|
|
51,392,027
|
|
7,149,300
|
|
|
|
|
|
|
|
|
Loss from operations
|
(124,390,710)
|
|
(39,819,775)
|
|
(5,539,449)
|
|
|
|
|
|
|
|
|
Other expenses
(income):
|
|
|
|
|
|
|
Finance expenses (income)
|
(680,536)
|
|
1,994,310
|
|
277,434
|
|
Interest
expenses
|
-
|
|
4,903,728
|
|
682,172
|
|
Interest
income
|
(153,112)
|
|
(407,669)
|
|
(56,712)
|
|
Change in fair value
of cryptocurrencies
|
-
|
|
15,744,170
|
|
2,190,219
|
|
Other
income
|
(3,507,095)
|
|
(1,660,935)
|
|
(231,058)
|
|
Total other expenses
(income)
|
(4,340,743)
|
|
20,573,604
|
|
2,862,055
|
|
|
|
|
|
|
|
|
Loss before income tax
provision
|
(120,049,967)
|
|
(60,393,379)
|
|
(8,401,504)
|
|
Income tax
provision
|
(17,394)
|
|
-
|
|
-
|
|
Net
loss
|
(120,032,573)
|
|
(60,393,379)
|
|
(8,401,504)
|
|
Less: net loss
attributable to noncontrolling interests
|
(1,528,282)
|
|
(4,440,071)
|
|
(617,672)
|
|
Net loss
attributable to Nano Labs Ltd
|
(118,504,291)
|
|
(55,953,308)
|
|
(7,783,832)
|
|
|
|
|
|
|
|
|
Comprehensive income
(loss):
|
|
|
|
|
|
|
Net loss
|
(120,032,573)
|
|
(60,393,379)
|
|
(8,401,504)
|
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
(1,616,096)
|
|
1,591,571
|
|
221,408
|
|
Comprehensive
Loss
|
(121,648,669)
|
|
(58,801,808)
|
|
(8,180,096)
|
|
Comprehensive loss
attributable to noncontrolling interests
|
(1,528,352)
|
|
(4,440,489)
|
|
(617,730)
|
|
Comprehensive loss
attributable to Nano Labs Ltd
|
(120,120,317)
|
|
(54,361,319)
|
|
(7,562,366)
|
|
|
|
|
|
|
|
|
Net loss per
ordinary share attributable to Nano Labs
Ltd
|
|
|
|
|
|
|
Basic*
|
(19.12)
|
|
(6.01)
|
|
(0.84)
|
|
Diluted*
|
(19.12)
|
|
(6.01)
|
|
(0.84)
|
|
|
|
|
|
|
|
|
Weighted average
number of shares used in per share
calculation:
|
|
|
|
|
|
|
Basic*
|
6,197,066
|
|
9,316,203
|
|
9,316,203
|
|
Diluted*
|
6,197,066
|
|
9,316,203
|
|
9,316,203
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*After giving effect of
the 2-for-1 and 10-for-1 reverse stock split effective on January
31, 2024 and November 3,
2024, respectively
|
|
Non-GAAP
Reconciliation
|
|
(Unaudited)
|
|
|
For the Six Months
Ended December 31,
|
|
2023
|
|
2024
|
|
RMB
|
|
RMB
|
US$
|
|
Net
loss
|
(120,032,573)
|
|
(60,393,379)
|
(8,401,504)
|
|
Add:
|
|
|
|
|
|
Share-based
compensation expenses
|
580,813
|
|
116,013
|
16,139
|
|
Non-GAAP adjusted
net loss
|
(119,451,760)
|
|
(60,277,366)
|
(8,385,365)
|
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SOURCE Nano Labs Ltd
