ChinaNet Online Holdings Reports First Quarter 2020 Unaudited Financial Results

BEIJING, China, June 29, 2020 (GLOBE NEWSWIRE) — ChinaNet Online Holdings, Inc. (Nasdaq: CNET) (“ChinaNet” or the “Company”), an integrated online advertising, precision marketing, and data-analysis and management services platform, today announced its unaudited financial results for the first fiscal quarter of 2020.
First Fiscal Quarter 2020 Financial HighlightsRevenues generated from Ecommerce O2O advertising and marketing services and revenues generated from technical solution services were $0.5 million and $0.6 million, respectively, compared to nil in the first fiscal quarter of 2019.
 Gross margin improved to 20.5% from 5.2% in the first fiscal quarter of 2019.Mr. Handong Cheng, Chairman, and Chief Executive Officer of ChinaNet, stated: “The outbreak of COVID-19 and related policies implemented by local governments significantly impacted both our business schedules as well as our suppliers’ and customers’ business schedules in the first fiscal quarter of 2020. Nevertheless, despite this momentary setback, we continued to lay the groundwork for our initiatives in healthcare industry advertising, blockchain technology development, and the integration of artificial intelligence with data analytics. Looking ahead, we believe that the combination of these efforts and the prudent cost control measures we have implemented in response to the epidemic will help to ensure that we develop new lines of profitable business, cultivate sustainable value for our shareholders over the long term, and emerge from this current period of uncertainty on the right foot. With the start of new stream of revenues, we expect to see more blockchain technology related services and solutions provided in the second half of the year with the addition of these revenues for the growth of the Company. We believe that all fundamentals have been properly placed for the Company’s change.”First Fiscal Quarter 2020 Financial Results