Nisun International Enterprise Development Group Co., Ltd Reports Full Year 2024 Financial Results
PR Newswire
SHANGHAI, April 29, 2025
Highlights Positive Earnings Per Share and Substantial Cash Position of $11.11/share Amidst Challenging Economic Environment
SHANGHAI, April 29, 2025 /PRNewswire/ -- Nisun International Enterprise Development Group Co., Ltd ("Nisun International" or the "Company") $(NISN)$, a technology and industry-driven financing solutions provider and an integrated supply chain solutions provider, today announced its financial results for the full year ended December 31, 2024.
Recent Achievements and Highlights (as reported in the 20-F):
-- Reported total revenue of $340.2 million for the year ended December 31,
2024.
-- Achieved net income of $5.9 million and positive earnings per share of
$1.43 for the year ended December 31, 2024, including non-cash expenses
of $9.2 million related to share-based compensation and $5.0 million
related to provisions for bad debts.
-- Maintained a substantial cash, cash equivalents, and restricted cash
balance of $45.0 million as of December 31, 2024.
-- Continued investment in technology, talent, content, brand recognition,
customer base expansion, and other initiatives.
-- Successfully navigated challenges posed by the economic slowdown in 2024
by scaling down bulk trading volume to minimize losses.
Management Commentary
Mr. Xin Liu, Chief Executive Officer of Nisun International, commented on the results, "The 2024 fiscal year presented a challenging operating environment, primarily due to the economic slowdown in China. This broad economic shift led to a more cautious approach from individual investors who fund SME financings, prompting SMEs themselves to reduce their corporate finance activities to minimize risk. As a provider of technology-driven customized financing solutions to SMEs, this environment directly impacted our SME financing solutions revenue, which saw a decline. Similarly, the economic slowdown and the high volatility in commodity market prices affected our supply chain trading revenues, particularly in bulk trading, where we strategically scaled down volume to manage potential losses."
Mr. Liu continued, "Despite these headwinds affecting our financial performance in 2024, we remain focused on our long-term strategy and believe we are well-positioned for future growth. Our comprehensive technology-driven integrated supply chain financing solutions services, launched in January 2020, and our supply chain trading business, launched in July 2021 by leveraging our high-quality customer base and resources from supply chain financing solutions, are integral to our future. In the second half of 2024, we expanded our supply chain financing business into the gold industry, resulting in a $1.9 million increase in supply chain financing revenue compared to the first half of the year. We are actively building a solid pipeline of demand from our supply chain management and commodity trading customers. We believe this focus on integrated solutions will generate much higher margin technology financing solutions business in the future once investor risk appetite recovers and market conditions improve. Our substantial cash position also provides a solid foundation as we navigate the current economic climate and invest for the future."
Full Year 2024 Financial Results Summary
For the year ended December 31, 2024, Nisun International reported total revenue of $340.2 million, a decrease of approximately 12% from $386.7 million in the prior year. The decline was primarily attributable to decreases in revenue from SME financing solutions services and supply chain trading, driven by the economic slowdown and market volatility.
Cost of revenue for the year ended December 31, 2024, was $309.3 million, down 11% from $346.7 million in 2023, primarily reflecting the reduction in supply chain trading volume.
Gross profit was $30.9 million in 2024, a decrease of 23% from $39.9 million in 2023. The decline in gross profit was mainly due to the decrease in revenue, impacting SME financing services, supply chain financing solution services, and the supply chain trading business.
Income from operations for 2024 was $3.6 million, a decrease of 81% from $18.8 million in 2023.
Net income for fiscal year 2024 was $5.9 million, compared to $17.7 million for fiscal year 2023.
Net income per share for fiscal year 2024 was $1.43, compared to $4.46 for fiscal year 2023.
As of December 31, 2024, the Company had cash, cash equivalents, and restricted cash of $45.0 million. Net cash used in operating activities was approximately $75.7 million in 2024, primarily reflecting higher advance deposits to key suppliers and other working-capital investments that position Nisun international to secure inventory and fulfill expanding customer demand. Management views this outflow as a strategic deployment of capital that lays the groundwork for future revenue growth and higher-margin opportunities as market conditions improve.
About Nisun International Enterprise Development Group Co., Ltd.
Nisun International Enterprise Development Group Co., Ltd (NASDAQ: NISN) is a technology-driven, integrated supply chain solutions provider focused on transforming the corporate finance industry. Leveraging its industry experience, Nisun International is dedicated to providing professional supply chain solutions to Chinese and foreign enterprises and financial institutions. Through its subsidiaries, Nisun International provides users with professional solutions for technology supply chain management, technology asset routing, and digital transformation of tech and finance institutions, enabling the industry to strengthen and grow. At the same time, Nisun International continues to deepen the field of industry segmentation through industrial and financial integration. Focusing on industry-finance linkages, Nisun International aims to serve the upstream and downstream of the industrial supply chain while also assisting with supply-side sub-sector reform. For more information, please visit http://ir.nisun-international.com/
Cautionary Note Regarding Forward-Looking Statements
This press release contains information about Nisun International's view of its future expectations, plans and prospects that constitute forward-looking statements. Actual results may differ materially from historical results or those indicated by these forward-looking statements as a result of a variety of factors including, but not limited to, risks and uncertainties associated with its ability to raise additional funding, its ability to maintain and grow its business, variability of operating results, its ability to maintain and enhance its brand, its development and introduction of new products and services, the successful integration of acquired companies, technologies and assets into its portfolio of products and services, marketing and other business development initiatives, competition in the industry, general government regulation, economic conditions, dependence on key personnel, the ability to attract, hire and retain personnel who possess the technical skills and experience necessary to meet the requirements of its clients, and its ability to protect its intellectual property. Nisun International encourages you to review other factors that may affect its future results in Nisun International's registration statement and in its other filings with the Securities and Exchange Commission. Nisun International assumes no obligation to update or revise its forward-looking statements as a result of new information, future events or otherwise, except as expressly required by applicable law.
NISUN INTERNATIONAL ENTERPRISE DEVELOPMENT GROUP CO., LTD AND
SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(EXPRESSED IN US DOLLARS)
December 31, December 31,
2024 2023
------------- -------------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 45,021,759 $ 114,454,844
Restricted cash - 197,096
Short-term investments 6,882,714 12,788,629
Accounts receivable, net 54,444,438 21,120,795
Derivative asset 1,996,340 -
Advance to suppliers, net 92,304,699 38,602,304
Receivables from supply chain
solutions 23,978,130 59,167,029
Inventories 806,821 30,953,583
Due from related party 1,665 -
Prepaid expenses and other
current assets 25,892,681 16,018,778
------------ ------------
TOTAL CURRENT ASSETS 251,329,247 293,303,058
------------ ------------
NON-CURRENT ASSETS:
Property and equipment, net 358,038 881,276
Intangible assets, net 205,032 882,828
Right-of-use assets, net 1,608,591 2,384,590
Equity investments 457,417 368,528
Goodwill 17,050,800 17,659,983
Deferred tax assets, net 412,161 418,571
------------ ------------
TOTAL NON-CURRENT ASSETS 20,092,039 22,595,776
------------ ------------
TOTAL ASSETS $ 271,421,286 $ 315,898,834
============ ============
LIABILITIES
CURRENT LIABILITIES:
Accounts payable $ 34,630,781 $ 45,463,753
Short-term bank loans 5,274,478 1,971,859
Accrued expenses and other
current liabilities 2,930,782 7,245,358
Operating lease liabilities -
current 948,561 861,087
Payables to supply chain
solutions 4,229,793 12,947,708
Advances from customers 7,528,352 38,153,915
Taxes payable 3,642,427 4,145,920
Liabilities of financial
guarantee 21,725 22,335
Due to related parties - current 267,149 274,652
------------ ------------
TOTAL CURRENT LIABILITIES 59,474,048 111,086,587
NON-CURRENT LIABILITIES
Operating lease liabilities --
non-current 818,128 1,643,076
Deferred tax liabilities - 114,650
------------ ------------
TOTAL NON-CURRENT LIABILITIES 818,128 1,757,726
------------ ------------
TOTAL LIABILITIES 60,292,176 112,844,313
------------ ------------
SHAREHOLDERS' EQUITY*:
Class A common stock, $0.01 par
value, 30,000,000 and
30,000,000 shares
authorized, 4,725,096 and
4,017,596 shares issued,
and 4,538,358 and 3,952,198
shares outstanding as of
December 31, 2024 and 2023,
respectively 47,251 40,176
Class B common stock, $0.01 par
value, 1,000,000 shares
authorized, no shares
issued and outstanding as of
December 31, 2024 and 2023 - -
Treasury shares (1,253,012) (261,592)
Additional paid-in capital 139,712,207 130,535,082
Retained earnings 72,517,990 68,395,637
Statutory reserves 13,229,313 11,564,250
Accumulated other comprehensive
loss (17,491,069) (11,474,682)
------------ ------------
COMMON SHAREHOLDERS' EQUITY 206,762,680 198,798,871
Non-controlling interests 4,366,430 4,255,650
------------ ------------
TOTAL SHAREHOLDERS' EQUITY 211,129,110 203,054,521
------------ ------------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY $ 271,421,286 $ 315,898,834
============ ============
* The financial statements give retroactive effect to the May 18, 2023
one-for-ten reverse share split.
NISUN INTERNATIONAL ENTERPRISE DEVELOPMENT GROUP CO., LTD AND
SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS)
INCOME
(EXPRESSED IN US DOLLARS)
For the Year Ended December 31,
----------------------------------------------
2024 2023 2022
-------------- -------------- --------------
REVENUES:
Revenue
generated from
services:
Small and Medium
Enterprise
financing
solutions $ 84,320,613 $ 101,823,899 $ 87,269,959
Supply Chain
financing
solutions 5,712,543 6,153,645 3,542,592
------------- ------------- -------------
Total revenue
generated
from
services 90,033,156 107,977,544 90,812,551
Revenue
generated from
sales:
Supply chain
trading
business 250,186,390 278,693,355 143,361,714
------------- ------------- -------------
Total revenues 340,219,546 386,670,899 234,174,265
COST OF REVENUE:
Cost of revenue -
services (58,819,396) (68,154,833) (55,472,076)
Cost of revenue -
sales (249,887,524) (278,002,800) (140,880,063)
Business and
sales related
taxes (600,605) (527,336) (772,830)
------------- ------------- -------------
Total cost of
revenue (309,307,525) (346,684,969) (197,124,969)
------------- ------------- -------------
GROSS PROFIT 30,912,021 39,985,930 37,049,296
------------- ------------- -------------
OPERATING
EXPENSES:
Selling expenses (1,504,002) (1,525,692) (1,977,617)
General and
administrative
expenses (19,247,560) (10,859,011) (10,511,542)
Research and
development
expenses (1,414,437) (1,093,457) (1,563,718)
Bad debt expense (5,037,951) (2,215,016) (4,509,634)
Goodwill
Impairment Loss (128,577) (5,488,816) (777,329)
------------- ------------- -------------
Total
operating
expenses (27,332,527) (21,181,992) (19,339,840)
------------- ------------- -------------
INCOME FROM
OPERATIONS 3,579,494 18,803,938 17,709,456
------------- ------------- -------------
OTHER INCOME:
Interest and
investment
income 1,662,646 2,557,588 2,790,768
Other income ,
net 320,955 2,159,301 2,021,688
------------- ------------- -------------
Total other
income, net 1,983,601 4,716,889 4,812,456
------------- ------------- -------------
INCOME BEFORE
PROVISION FOR
INCOME TAXES 5,563,095 23,520,827 22,521,912
PROVISION FOR
INCOME TAXES (4,527,081) (5,817,147) (4,741,854)
------------- ------------- -------------
NET INCOME FROM
CONTINUING
OPERATIONS 1,036,014 17,703,680 17,780,058
DISCONTINUED
OPERATIONS:
GAIN FROM
DISCONTINUED
OPERATIONS 4,863,777 - -
------------- ------------- -------------
NET (LOSS) FROM
DISPOSAL OF
SUBSIDIARIES
IN DISCONTINUED
OPERATIONS,
NET OF TAX 4,863,777 - -
------------- ------------- -------------
NET INCOME 5,899,791 17,703,680 17,780,058
Net income
attributable to
non-controlling
interests (112,375) (125,942) (159,246)
------------- ------------- -------------
NET INCOME -
Nisun
International's
shareholders $ 5,787,416 $ 17,577,738 $ 17,620,812
OTHER
COMPREHENSIVE
INCOME (LOSS)
Foreign currency
translation
loss (6,017,982) (4,536,797) (12,576,380)
------------- ------------- -------------
COMPREHENSIVE
(LOSS) INCOME (230,566) 13,040,941 5,044,432
Comprehensive
loss
attributable to
non-controlling
interests 1,595 65 6,231
------------- ------------- -------------
COMPREHENSIVE
(LOSS) INCOME $ (228,971) $ 13,041,006 $ 5,050,663
============= ============= =============
BASIC AND
DILUTED EARNINGS
PER COMMON
SHARE:
NET EARNINGS PER
COMMON SHARE $ 1.43 $ 4.46 $ 4.42
============= ============= =============
Weighted average
number of shares
outstanding-
basic and
diluted* 4,053,108 3,943,793 3,986,359
============= ============= =============
* The financial statements give retroactive effect to the May 18, 2023
one-for-ten reverse share split.
NISUN INTERNATIONAL ENTERPRISE DEVELOPMENT GROUP CO., LTD AND
SUBSIDIARIES
CONDENSED STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2024, 2023 and 2022
(EXPRESSED IN US DOLLARS)
2024 2023 2022
------------- -------------- -------------
CASH FLOWS FROM
OPERATING ACTIVITIES:
Net income $ 5,899,791 $ 17,703,680 $ 17,780,058
Adjustments to
reconcile net income
to net cash
provided by (used
in) operating
activities:
Depreciation and
amortization 1,719,709 2,238,222 2,113,732
Stock-based
compensation - - 125,630
Shares issued for
compensation 9,184,200 31,808 185,000
Bad debt expense 5,037,951 2,215,016 4,509,634
Impairment of
goodwill 128,577 5,488,816 777,329
Loss on disposition
of property and
equipment 217,351 - 1,385
Income from
investments (36,604) (365,359) (541,578)
Deferred tax
(benefit) expense (118,220) (710,672) 271,907
Derivative asset (182,232) - -
Repurchase Treasury
shares 64,080 - -
Changes in
operating assets
and liabilities:
Accounts
receivable (34,574,649) (3,086,600) (2,075,274)
Advance to
suppliers, net (56,157,685) 7,282,068 (39,859,386)
Prepaid expenses
and other current
assets (8,653,076) (5,511,142) (4,734,501)
Receivables from
supply chain
solutions 33,997,219 (18,651,357) 11,372,841
Inventories 29,767,783 (246,818) (25,530,993)
Accounts payable (11,218,937) 5,722,300 7,693,011
Advance from
customers (35,241,476) 16,986,750 19,085,377
Taxes payable (395,174) 1,478,316 (5,574,048)
Other payables (5,604,548) 3,232,387 -
Payable to supply
chain solutions (9,165,567) 4,096,141 (15,198,883)
Operating lease
liabilities (730,895) (834,381) (855,242)
Accrued expenses
and other current
liabilities 374,477 (1,569,395) 1,501,078
------------ ------------- ------------
NET CASH (USED IN)
PROVIDED BY OPERATING
ACTIVITIES (75,687,925) 35,499,780 (28,952,923)
------------ ------------- ------------
CASH FLOWS FROM
INVESTING ACTIVITIES:
Acquisition of
property and
equipment (26,677) (503,957) (652,585)
Purchase of
intangible assets (4,326) (44,029) (74,710)
Cash paid in
connection with
acquisition, net of
cash
received - - (530,322)
Proceeds from sale
of short-term
investments 44,830,237 103,458,984 78,595,280
Proceeds from sale
of Derivative
asset 487,609 - -
Proceeds from sale
of Long-term
investment - 7,061,233 -
Proceeds from
investment in debt
securities - 14,366,013 -
Proceeds from
disposal of
property and
equipment 159,086 - -
Purchase of
short-term
investments (39,050,962) (104,365,028) (51,567,746)
Purchase of
Derivative asset (1,735,531) - -
Purchase of
Long-term
investments - - (7,430,511)
Purchase of equity
investees (125,074) - -
Sale of a business,
net of cash and
cash equivalents
sold 434,174 71,514 -
Repayments from
loans to third
parties 2,516,772 - -
Loans to third
parties (1,474,264) (229,161) (501,905)
------------ ------------- ------------
NET CASH PROVIDED BY
INVESTING ACTIVITIES 6,011,044 19,815,569 17,837,501
------------ ------------- ------------
CASH FLOWS FROM
FINANCING ACTIVITIES:
Proceeds from
short-term bank
loans 5,350,399 1,553,471 445,831
Proceeds from
third-party loans - 1,977,145 36,770,626
Repayment of
short-term bank
loans (2,116,345) (29,961) (1,239,983)
Repayment of
third-party loans (2,918,399) (2,277,954) (41,491,973)
Proceeds from related
parties - - (10,097)
Repayment of loan
from related
parties - (8,028,965) (2,500,000)
Purchase of treasury
shares (1,055,500) 94,252 (355,844)
Capital contribution
from non-controlling
interest - (35,290) 37,116
------------ ------------- ------------
NET CASH USED IN
FINANCING ACTIVITIES (739,845) (6,747,302) (8,344,324)
------------ ------------- ------------
EFFECT OF EXCHANGE RATE
CHANGE ON CASH AND
CASH EQUIVALENTS 786,545 (1,234,680) (4,848,722)
------------ ------------- ------------
NET (DECREASE) INCREASE
IN CASH AND CASH
EQUIVALENTS (69,630,181) 47,333,367 (24,308,468)
------------ ------------- ------------
CASH AND CASH
EQUIVALENTS AND
RESTRICTED CASH FROM
CONTINUING
OPERATIONS-BEGINNING 114,651,940 67,318,573 91,627,041
------------ ------------- ------------
CASH AND CASH
EQUIVALENTS AND
RESTRICTED CASH FROM
CONTINUING
OPERATIONS-ENDING $ 45,021,759 $ 114,651,940 $ 67,318,573
============ ============= ============
SUPPLEMENTAL CASH FLOW
DISCLOSURES:
Cash paid for income
taxes $ 5,673,350 $ 4,530,963 $ 10,385,495
============ ============= ============
Cash paid for
interest $ 170,745 $ 29,961 $ 496,932
============ ============= ============
SUPPLEMENTAL DISCLOSURE
OF NON-CASH
ACTIVITIES:
Repayment payable
for business
disposition - 279,037 -
============ ============= ============
Receivable from
disposal of
subsidiary $ - $ - $ 289,973
============ ============= ============
Lease liabilities
arising from
obtaining right-
of-use
assets 402,209 295,220 4,070,163
============ ============= ============
Issuance of shares
for share-based
compensation $ 700,000 $ - $ -
============ ============= ============
CASH AND CASH
EQUIVALENTS FROM
CONTINUING OPERATIONS
ARE COMPRISED OF THE
FOLLOWING:
Cash and cash
equivalents $ 45,021,759 $ 114,454,844 $ 63,901,329
Restricted cash - 197,096 3,417,244
------------ ------------- ------------
Total cash, cash
equivalents and
restricted cash $ 45,021,759 $ 114,651,940 $ 67,318,573
============ ============= ============
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SOURCE Nisun International Enterprise Development Group Co., Ltd
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April 29, 2025 16:00 ET (20:00 GMT)