Senmiao Technology Ltd. (NASDAQ: AIHS) stock plunged by 0.89% at last close while the AIHS stock price declined by 8.87% in the after-hours trading session. Senmiao Technology Limited is a company that focuses on car transactions. The company primarily serves the ride-sharing market with sales, facilitation, purchase and financing, management, operating lease, guarantee, and other automotive transaction services. Customers in China are served by Senmiao Technology.

AIHS stock’ Financial Highlights

Senmiao Technology announced its financial results for the second quarter of fiscal 2022. The summary is stated below:

• For the second quarter of fiscal 2022, the total revenues were $2.9 million, up 105 percent from $1.4 million the previous year.
• Due to the decreased number of automotive sales and assisted new automobile purchases, the gross loss was $0.01 million for the fiscal second quarter ended September 30, 2021, compared to gross profit of $0.4 million in the prior-year period.
• For the second quarter of fiscal 2022, selling, general, and administrative expenses grew to $3.0 million, up from $2.7 million in the prior-year period.
• Senmiao’s ongoing operations had a net loss of $0.1 million in the fiscal second quarter of 2022 relative to a net loss of $2.6 million in the prior-year period.
• Senmiao had $1.8 million in cash and cash equivalents as of September 30, 2021, however, it was $4.4 million as of March 31, 2021.

Xi Wen, Chairman, CEO, and President of Senmiao commented that,

They were thrilled with the outcome, which was largely determined by greater operating lease revenues from automobile rentals and substantially higher revenue contributions from their online ride-hailing platform services business as a result of their new partnership deal with Meituan, which they believe not only provides Senmiao with an appealing opportunity to expand upon this partnership but also significantly more favorable terms on a going-forward basis. While they expect car rentals to continue to account for the majority of their revenues in the short term, they believe the online ride-hailing platform services business will begin to contribute more significantly in the future.