Senmiao Technology Limited (AIHS) experienced a decrease of 2.77% in the aftermarket. However, the last trading session closed at $0.6788 with an increase of 6.08%.
The signing of Cooperation Agreement with Xintianjie Culture Media Co., Ltd
On 12th October 2021, AIHS announced that it has signed a new joint declaration with Sichuan Xintianjie Culture Media Co., Ltd. It is an organization that focuses on outdoor media, and SME brand management consultancy strategic planning. AIHS and Xintianjie will work together on online ride-hailing vehicle services based on 5G+blockchain digital streaming media.
Furthermore, AIHS will be in charge of supplying Xintianjie with ride-hailing cars and platforms. Senmiao will generate income and integrate ride-hailing-related media, e-commerce, and marketing tactics for drivers and passengers. This owed to Xintianjie’s screen devices, construction, and intelligent media support for smart devices, and technical systems.
Ride-Hailing Platform Operating Metrics
On 15th September 2021, AIHS released the operating stats for its own online ride-hailing platform for the month of August 2021. Senmiao’s platform reported 530,000 completed orders in August 2021, compared to over 1.7 million in July 2021. According to a news statement, the drop was due to a new contract signed by the Company. Online ride-hailing requests and orders will be performed on Meituan’s platform using AIHS’s network of cars and drivers for a predetermined monthly charge, according to the new collaboration agreement.
Under the new cooperation model, AIHS leased cars and offered associated services to roughly 1,200 Chengdu drivers who conducted their online ride-hailing companies through the main platform in August 2021. AIHS also launched its services in Guangzhou with Gaode Maps, with over 55,000 orders processed and over 48,000 new drivers registered in the city for the month.
Fiscal 2022 First Quarter Financial Results by AIHS
AIHS announced fiscal 2022 first-quarter financial results on 16th August 2021. Total sales were $1.9 million, up from $1.1 million the previous year. It was largely due to higher operating lease income from car rentals. AIHS has changed its attention to this market in direct reaction to the COVID-19 epidemic. Moreover, some factors resulted in a net loss from continuing operations of $7.4 million. Those factors include the increased cost of sales, operating expenditures, and other expenses linked to the development.
