Micromobility.com (MCOM) Q2 2024 earnings summary

Executive summary

• Revenue for Q2 2024 was $787K, down 77% year-over-year, with a net loss of $1.6M, a significant improvement from a $34.2M loss in Q2 2023.

• The company exited unprofitable markets and saw a sharp decline in both mobility and media revenues, partially offset by related party revenues.

• Cost reductions were achieved through workforce cuts, reduced marketing, and renegotiated contracts, but legal contingencies and asset impairments remained significant.

• The company remains reliant on external financing and faces substantial doubt about its ability to continue as a going concern.

Financial highlights

• Total revenue for Q2 2024 was $787K, down from $3.5M in Q2 2023; six-month revenue was $1.4M, down from $7.4M.

• Net loss for Q2 2024 was $1.6M, compared to $34.2M in Q2 2023; six-month net loss was $6.1M, down from $53.8M.

• Operating expenses fell 93% year-over-year, driven by lower cost of revenue, G&A, and sales/marketing.

• Cash and cash equivalents at June 30, 2024, were $162K, down from $128K at year-end 2023.

• Financial liabilities increased to $16.9M, up 10% from December 2023, mainly due to a related party promissory note.

Outlook and guidance

• The company plans to continue funding operations through debt and equity financing, with no assurance of success.

• Additional revenues from related party agreements are expected in the second half of 2024.