CHARLOTTE, North Carolina, Aug. 21, 2023 (GLOBE NEWSWIRE) -- Cheetah Net Supply Chain Services Inc. (“Cheetah” or the “Company”) (Nasdaq CM: CTNT) announced today, based on a preliminary review, its unaudited revenue and results for the first half of 2023. The Company anticipates filing its Quarterly Report on Form 10-Q for the second quarter and six-month period ended June 30, 2023 by the deadline of September 14, 2023.
For the six months ended June 30, 2023, Cheetah sold a total of 175 luxury vehicles, 69% of which were sold directly to PRC-based parallel import dealers and the balance to U.S. parallel vehicle exporters for sale into the PRC. Gross profit increased by approximately 35% to an estimated $2.4 million, for a gross profit margin of 10.7%, compared with 5.3% for the prior year period due to higher average selling prices. Unit volume and revenue were lower than the first half of 2022. Cheetah expects to report a net profit for the first half of 2023, compared with a $0.5 million loss in the first half of 2022.
Cheetah’s Chairman and CEO Tony Liu commented: “Our improved performance this year compared with last year demonstrates the successful execution of our strategy to maximize the profit potential of each trade, which we believe is the most efficient way to allocate capital. During the first half of the year, we focused on selling more higher-priced vehicles, which drove an increase in the average selling price by nearly 13% to $128,214 and both significantly reduced cost of sales as a percentage of revenue and contributed to an improvement in net profit.”
The specific types and number of vehicles sold by Cheetah during the first half of 2023 together with the revenue per model and average selling price compared with 2022 are shown in the table below:
| Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | Average Selling Price Changes | |||||||||||||||||||||||
| No. | Sales Amount | Ave Selling Price | No. | Sales Amount | Ave Selling Price | Amount | % | ||||||||||||||||||
| Bentley | - | $ | - | $ | - | 1 | $ | 276,448 | $ | 276,448 | $ | - | % | ||||||||||||
| BMW X7 | 5 | 480,210 | 96,042 | 52 | 4,515,193 | 86,831 | 9,211 | 10.6 | % | ||||||||||||||||
| Porsche Cayenne | - | - | - | 17 | 1,530,837 | 90,049 | - | - | % | ||||||||||||||||
| Mercedes G550 | - | - | 7 | 1,332,738 | 190,391 | - | - | % | |||||||||||||||||
| Mercedes G63 | - | - | 8 | 1,917,066 | 239,633 | - | - | % | |||||||||||||||||
| Mercedes GLS 450 | 83 | 9,172,404 | 110,511 | 139 | 14,183,865 | 102,042 | 8,469 | 8.3 | % | ||||||||||||||||
| Mercedes Maybach | 12 | 2,877,516 | 239,793 | - | - | - | - | - | % | ||||||||||||||||
| MB S500 | - | - | - | 47 | 6,389,475 | 135,945 | - | - | % | ||||||||||||||||
| RAM Trucks | 14 | 1,698,061 | 121,290 | - | - | - | - | - | |||||||||||||||||
| Land Rover Range Rover | 10 | 1,614,422 | 161,442 | 1 | 162,039 | 162,039 | (597) | (0.4) | % | ||||||||||||||||
| Toyota Sequoia | 24 | 2,433,859 | 101,411 | - | - | - | - | - | |||||||||||||||||
| LEXUS LX570 | - | - | - | 3 | 318,503 | 106,168 | - | - | |||||||||||||||||
| LEXUS LX600 | 27 | 4,160,996 | 154,111 | 21 | 2,980,871 | 141,946 | 12,165 | 8.6 | % | ||||||||||||||||
| Total | 175 | $ | 22,437,468 | $ | 128,214 | 296 | $ | 33,607,035 | $ | 113,537 | $ | 14,677 | 12.9 | % | |||||||||||
Mr. Liu continued: “Going forward, we are maintaining a positive outlook for the parallel import business for the rest of 2023, while we put into action the next phase of our plan to develop logistics and warehouse capabilities that can facilitate our own parallel-import vehicle business and be offered as a standalone business to small and medium-sized parallel import dealers.”
Forward-Looking Statements
This press release contains certain forward-looking statements, including those relating to the anticipated timing of completion of the offering and other statements that are predictive in nature. Forward-looking statements are based on the Company’s current expectations and assumptions. The Private Securities Litigation Reform Act of 1995 provides a safe-harbor for forward-looking statements. These statements may be identified by the use of forward-looking expressions, including, but not limited to, “anticipate,” “believe,” “continue,” “estimate,” “expect,” “future,” “intend,” “may,” “outlook,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward-looking. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Important factors that could cause actual results to differ materially from those in the forward-looking statements are set forth in the Company’s filings with the SEC, including its registration statement on Form S-1, as amended, under the caption “Risk Factors.”
For more information, please contact:
Cheetah Net Supply Chain Service Inc.
Robert W. Cook
Chief Financial Officer
(704) 972-0209
robert.c@cheetah-net.com
LHA Investor Relations
Jody Burfening
(212)-838-3777
jburfening@lhai.com
