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      Lion Group Holding Ltd. (LGHL) Stock Surged 6.67% Pre-Market, Here’s Why - Stocks Telegraph

      By Iqra Jamal

      Published on

      October 4, 2021

      12:40 PM UTC

      Last Updated on

      October 4, 2021

      12:44 PM UTC

      Lion Group Holding Ltd. (LGHL) Stock Surged 6.67% Pre-Market, Here’s Why - Stocks Telegraph

      Lion Group Holding Ltd. (LGHL) stock soared 6.67% in the pre-market trading session at the price of $1.60 despite no fundamental reason. The last reported news on the company’s website was its unaudited first half of 2021 financial results. LGHL is a state-of-the-art trading platform. It delivers a vast range of products and services including total return service trading, CFD trading, insurance, and securities brokerages.

      LGHL Published First Half 2021 Financial Results

      On 30th September 2021, LGHL published its unaudited financial results for the six months that ended on 30th June 2021.

      CEO of LGHL, Mr. Chunning (Wilson) Wang, remarked that their various business sectors had been greatly impacted by the COVID-19 pandemic. The adverse effect of COVID-19 has reduced their trade and investment. Although their expansion plans have been delayed, their business in Vietnam is currently in operation. They’ve started generating revenue from their TRS trading business since July 2020.

      The surge of cryptocurrency trading activities in 2021 has distracted their potential CFD trading customers. This trend has stimulated their investment in bitcoin mining equipment as a new source of revenue generation. The company holds licenses to carry out proprietary trading in crypto-commodities through the Dubai Multi Commodities Center, he added.

      First Half 2021 Financial Highlights

      LGHL reported total revenues of $3.6 million in the first half that ended on 30th June 2021. It represents a year-over-year drop of 44% from $6.4 million in the first half ended 30th June 2020. In the first half of 2021, total operating expenses were $11.3 million. It represents a year-over-year gain of 178% from $4.1 million in the first half of 2020. LGHL reported a net loss of $10.1 million in the first half of 2021. In the first half of 2020, net income was $2.8 million.

      Diluted net loss per ADS was $0.47 in the first half of 2021. The company reported a diluted net income per ADS of $0.37 in the first half of 2020. As of 30th June 2021, cash and restricted cash were $15.7 million. The cash and cash restricted were $4.8 million as of 31st December 2020 and $9.6 million as of 30th June 2020. Net cash from operating activities was $24.3 million in the first half ended 30th June 2021. As of 31st June 2021, LGHL reported net cash of $4.5 million from investing activities. Net cash used in financing activities was $39.7 million.

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