Shares of Uxin Limited (UXIN) rallied in the current market following the announcement of the unaudited second quarter of the fiscal year 2022 financial results. UXIN stock price saw a rise of 5.95% to reach $1.78 a share at the time of this writing. The stock was gloomy in the previous trade and went down by 1.75% at closing. Let’s discuss the recent events of this stock in detail.

Second Quarter of Fiscal Year 2022 Financial Results:

• According to the financial results for the quarter ended September 30, 2021, UXIN stock generated RMB345.9 million in revenue. In the same quarter of last year, the revenue was RMB76.4 million.
• Other revenue of the Uxin stock is RMB8.3 million in the recently reported quarter as compared to RMB15.1 million in the same prior-year quarter.
• Cost of revenues in the second quarter of fiscal 2022 was RMB331.3 million. In the same quarter of last year, UXIN stock reported RMB93.5 million in cost of the revenue.
• The Gross margin in the reported quarter for the company was 4.2% as compared to negative 22.4% in the same prior-year period.
• UXIN spent RMB85.9 million in operating expenses in the second quarter of the fiscal year 2022. The general and administrative expenses were RMB34.9 million and research and development expenses were RMB8.2 million. The company spent RMB44.1 million in sales and marketing expenses.
• UXIN stock suffered a loss of RMB45.9 million from continuing operations in the three months ended September 30, 2021. This compares to an RMB162.6 million loss in the same tenure of the previous year.
• Non-GAAP adjusted loss from continuing operations of the company was RMB43.2 million in the recently reported quarter. This loss was RMB178.3 million in the same quarter of the previous year.
• UXIN stock suffered a net loss of RMB1,714.6 million in the second quarter of the fiscal year 2022 as compared to RMB258.9 million in the same tenure of the previous year.
• The company reported RMB56.9 million non-GAAP adjusted net loss in the recently reported quarter.

A comment on the performance of UXIN stock:

The company’s financial results reflect that the revenue has shown positive progress as compared to the previous year. The gross margin significantly improved in the recently reported quarter. Though China’s economic activity is still feeling the heat due to Covid-19 and in response to this condition, the company has signed the shares subscription agreements with NIO Capital and Joy Capital. According to this agreement, both investors will likely to invest US$315 million in the company. Moreover, UXIN has signed several operating payable waiver agreements with suppliers.

Wrap Up:

Investors are liking the unaudited financial results of the fiscal year 2022 of the UXIN stock. The company has projected RMB480 million to RMB500 million revenues for the three months ending December 31, 2021.