Shares of consumer-focused technology solutions provider Qudian (NYSE:QD) are in focus today after the company announced first-quarter numbers.
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Amid a challenging business environment, the company’s Q1 revenue fell 89.1% year-over-year to $3.2 million. Earnings per American depository share or EPDAS at $0.26 was a stark contrast to the $0.08 net loss per ADS a year ago. Qudian’s winding down of its QD Food business is now complete as the company focuses on a business transition. It is now setting its sights on capitalizing on new business and investment avenues.
As a result of the winding down of its loan book business and QD Food business, the company’s operating costs decreased drastically with sales and marketing expenses dropping 88.6% and General and administrative expenses dropping 56.8% during the quarter.
The company had a cash pile of $728.2 million at the end of March 2023. Despite challenging business conditions, Qudian shares have surged nearly 91.5% so far this year.
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