WILMINGTON, DE — Onfolio Holdings Inc. (NASDAQ: ONFO, ONFOW) announced its second quarter financial results this week for the period ending June 30, 2024. The company reported a robust revenue growth of 32%, reaching $1.73 million compared to $1.31 million in the same period last year and $1.59 million in the first quarter of 2024.
Gross profit for the second quarter increased by 18% to $0.975 million from $0.82 million in the previous year and $1 million in the first quarter of 2024. Total operating expenses saw a significant reduction of 18%, totaling $1.73 million compared to $2.12 million in the prior year period and $1.67 million in the first quarter of 2024. The net loss to common shareholders also decreased by 36%, amounting to $0.86 million, down from $1.34 million last year and $0.63 million in the first quarter of 2024.
“The second quarter of 2024 saw our revenue and gross profit improve again, while we continued to make efforts to further reduce cash burn. Our cash used in operations for the quarter was $332,000, the lowest use of cash for operating activities since our IPO, compared to cash used in operations of $534,000 during the same period in 2023 and $400,000 in the first quarter of 2024,” stated Onfolio Holdings CEO Dominic Wells.
In June, Onfolio closed the acquisition of DDS Rank, the first acquisition funded through their Special Purpose Vehicle (SPV). This model allowed the company to acquire a profitable business with minimal use of its own cash. The financial impact of this acquisition will be reflected in the third quarter results.
“We continue to maintain an active acquisition pipeline, which includes some of the businesses we’ve referenced previously, and we expect our recently adopted SPV model to be able to play a part in any of our future acquisitions,” added Wells.
The company made further expense reductions in the second quarter, which will positively impact financials from the third quarter onward. Onfolio aims to reduce expenses, grow revenue, and make strategic acquisitions while exploring debt financing options to extend their runway and achieve profitability.
Wells concluded, “Our internal modeling indicates that we may be able to reach profitability without further acquisitions, as we continue to make progress with margin improvements.”
For investors, Onfolio’s strategic focus on revenue growth, expense reduction, and a robust acquisition strategy positions the company for continued success in the competitive market.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.