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Remark Holdings Remark Holdings Announces Fiscal Second Quarter 2021 Financial Results August 23 , 2021 Second Quarter 2021 Revenue Increased 75 % to $ 4.0 Million Compared to Second Quarter 2020 LAS VEGAS , Aug. 23 , 2021 / PRNewswire / -- Remark Holdings , Inc. ( NASDAQ : MARK ) , a diversified global technology company with leading artificial intelligence ( " Al " ) solutions and digital media properties , today announced financial results for its fiscal second quarter ended June 30 , 2021 . Management Commentary Our second quarter was highlighted by a near doubling of revenue coming from the United States " Our second quarter was highlighted by a near doubling of revenue coming from the United States , driven by our Al data intelligence platform , " noted Kai - Shing Tao , Chairman and Chief Executive Officer of Remark Holdings . " Momentum from our Chinese operations continued despite periodic regional lockdowns associated with COVID - 19 and a slowdown in business activities due to the 100th Anniversary of the CCP , growing quarterly revenue in 2021 by more than 40 % compared with the same period of last year . In the first six months of 2021 , we have almost achieved our full - year 2020 revenue , and we expect additional significant growth in the second half of the year . " Second Quarter 2021 Business Highlights • During the second quarter , Remark continued to build its data intelligence business using its Al Data Intelligence Platform . Based on initial success , the company is looking forward to the start of the fall sports season and to additional growth opportunities with other online sports gaming and iGaming businesses . • China Mobile continues to implement Remark's KanKan Al Platform and Smart Queueing System throughout their retail locations . Additionally , Remark is developing an Artificial Intelligence of Things project to intelligently manage in - store ambient environmental equipment . • Remark is also preparing to bid on the second phase of China Mobile's Smart Community business . The company would provide its Al solution to enforce COVID - 19 protection rules for communities by enforcing health codes , conducting real - time temperature checks , ensuring mask wearing , allowing access only to residents or authorized persons , controlling vehicle access , and helping to protect the elderly and children . • Remark's Digital Marketing Platform ( " DMP " ) was deployed with Bank of China at their Guangzhou branch and China Construction Bank's Yunnan branch during the second quarter , providing additional large opportunities across multiple banks and other retailers . The design phase for Lotus Supermarket's DMP in the Changhe shopping center , Xi'an City , has been completed and is expected to be deployed later this year . . During the second quarter , Smart Campus solutions were deployed across more than three dozen campuses bringing total installations to more than 300 campuses . Sales efforts and new partnerships are targeting continued expansion of the Smart Campus solution to several new provinces . Fiscal Second Quarter 2021 Financial Results • Revenue for the fiscal second quarter of 2021 totaled $ 4.0 million , up from $ 2.3 million during fiscal second quarter of 2020 . o Revenue from the U.S. nearly doubled , and contributed $ 2.6 million compared to $ 1.3 million , as the company derived a substantial increase in revenue from an Al data intelligence project that ramped up during the quarter , and while additional revenue came from sales of thermal imaging equipment to a health care provider . o Revenue from China grew by $ 0.4 million to $ 1.4 million due to the execution of ongoing projects , including the continued roll out of bank branch conversions to smart branches , and the recognition of revenue from projects with school districts . • Gross profit improved to $ 1.8 million in the second quarter of 2021 from $ 1.1 million in the second quarter of 2020 , commensurate with increased revenue . The overall gross profit margin for the second quarter of 2021 was 43.9 % . • The company incurred an operating loss of $ 2.5 million in the second quarter of 2021 compared to an operating loss of $ 2.8 million in the comparable quarter of 2020. An increase in general and administrative expense of $ 0.6 million , when netted against $ 0.3 million of decreases in other operating expense categories , partially offset the improved gross profit , and were the primary reason for the operating loss . • Net loss totaled $ 1.6 million , or $ 0.02 per diluted share in the second quarter ended June 30 , 2021 , compared to a net loss of $ 9.8 million , or $ 0.11 per diluted share in the second quarter ended June 30 , 2020. The decrease in the company's stock price between December 31 , 2020 and June 30 , 2021 led to a $ 1.3 million gain on the change in liability associated with certain outstanding warrants . In the second quarter of 2020 , the company recorded a $ 6.3 million loss on the change in the fair value of warrant liability due to stock price changes during that period of the prior year . • At June 30 , 2021 , the cash balance totaled $ 0.1 million , compared to a cash balance of $ 0.9 million at December 31 , 2020. Proceeds of $ 4.8 million from a short - term debt issuance and $ 0.8 million from stock option exercises were offset by