Jiuzi Holdings, Inc. (JZXN) stock soared 12.65% in the current-market trading session at the price of $2.76 after it entered into a strategic cooperation agreement with Shaanxi Tongjia Auto. Jiuzi Holdings is a Chinese company with thirty-one operating franchise stores and one company-owned store. It sells battery-operated electric vehicles and sources New Energy Vehicles (NEVs) through twenty manufacturers.
Strategic Cooperation Agreement with Shaanxi Tongjia Auto Co., Ltd.
On 29th September 2021, JZXN published that it had entered into a strategic agreement with Shaanxi Tongjia Auto Co., Ltd. Under the deal, Tongjia will deliver 2000 new energy vehicles to Jiuzi Holdings. It includes Electric OX II, the company’s best-selling electric delivery vehicle. Initially, JZXN, through its subsidiary Hangzhou Zhitongche Technology, will give an RMB20 million loan to Tongjia’s licensed dealers. Both companies will utilize their resources to mutually create a clean, safe, and effective industrial production chain to meet clients’ needs. Few months back, the company announced cooperative agreements with Chongqing Ruichi Automobile Industry Co., Ltd. and Hemei Auto Holdings Co., Ltd.
CEO of JZXN, Mr. Shuibo Zhang, remarked that they are pleased to initiate this strategic partnership with Tongjia Auto Co., Ltd. Tongjia is the leading new energy vehicles producer and retailer in Northwest China. It has started working on new energy vehicles production and made remarkable progress in developing new vehicle models. They believe that this collaboration will have positive impact on the new energy vehicle industry in coming years, he added.
JZXN Published First-Half 2021 Financial Results
On 5th August 2021, JZXN announced its financial results for the six months ended on 30th April 2021. For the six months ended 30th April 2021, net revenues grew by 260.88% or $3.33 million to $4.61 million from $1.28 million during the same period of 2020. Net income was $1.31 million for the six months ended 30th April 2021. The net loss was $0.03 million for the six months ended on 30th April 2020.
For the six months ended 30th April 2021, gross profit and gross profit margin were $3.12 million and 67.75%. The gross profit and gross profit margin were $0.49 million and 38.05% for the six months ended 30th April 2020. JZXN reported income from operations of $1.81 million for the six months ended on 30th April 2021. For the six months ended on 30th April 2020, the operating loss was $0.04 million.