Fang Holdings Limited (SFUN - Free Report) reported second-quarter 2019 non-GAAP net loss of 2 cents per share. Total revenues came in at $67.6 million.
Revenues in Detail
Marketing services revenues of $32.5 million increased 19.3% from the year-ago quarter on the back of Fang's efforts in customer development.
Listing services revenues of $19.2 million decreased 26% due to lower number of paying members.
Revenues from leads generation services came in at $10.8 million compared with $2.8 million in the prior-year quarter on the back of increased effectiveness of service and customer development.
Revenues from value-added services came in at $1.7 million, up 19.9% from the prior-year quarter.
Financial services revenues of $2.6 million declined 3.2% from the year-ago quarter.
Revenues from e-commerce services decreased 75.7% year over year to $0.8 million.
Gross profit decreased 8% from the year-ago quarter to $59.3 million. Operating income from continuing operations came in at $29.0 million in the reported quarter against operating loss of $9.6 million in the prior-year quarter, owing to a decline in operating expenses.
Operating expenses of $30.3 million decreased 53% year over year due to lower bad debt and staff costs. Selling expenses of $16.1 million increased 12.5% year over year. General and administrative expenses decreased to $15.7 million from $50.7 million in the year-ago quarter due to a decline in bad debt and staff cost.
Fang Holdings exited second-quarter 2019 with cash and cash equivalents, restricted cash (current and non-current) and short-term investments of $500.6 million compared with $477.1 million at the end of the prior quarter. Long-term loan was $119.5 million compared with $122.47 million at the end of the prior quarter.
Zacks Rank & Stocks to Consider
Currently, Fang Holdings carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some better-ranked stocks in the broader Zacks Business Services sector are Huron Consulting (HURN - Free Report) , Accenture (ACN - Free Report) and Fiserv (FISV - Free Report) , each carrying a Zacks Rank #2 (Buy). Long-term expected EPS (three to five years) growth rate for Huron Consulting, Accenture and Fiserv is 13.5%, 10.3% and 12%, respectively.
Legalizing THIS Could Be Even Bigger than Marijuana
Americans spend an estimated $150 billion in this industry every year… more than twice as much as they spend on marijuana.
Now that 8 states have fully-legalized it (with several more states following close behind), Zacks has identified 5 stocks that could soar in response to the powerful demand. One industry insider described the future as “mind-blowing” – and early investors can still get in ahead of the surge.
See these 5 “sin stocks” now >>