AGTech Revenue Falls 8%
AGTech Holdings Ltd. (HKEX: 08279), which provides technology and services in the lottery and mobile games market in China, reported Monday its interim results for the six months ended June 30.
The company said revenue for the six months was HK$43.9 million, representing a decrease of approximately 8% year-over-year. Revenue contributions were mainly derived from lottery hardware, lottery games, and systems, provision of lottery distribution and ancillary services, games and entertainment business in China.
AGTech added that the decrease in revenue for this period was primarily caused by lowered sales of lottery hardware of HK$6.6 million and a decrease of approximately HK$1 million in revenue from games and entertainment division, partially offset by an increase of HK$4.6 million from the lottery games and systems. The drop in the hardware business was due to slower tendering processes and hardware deliveries in several provinces due to the Covid-19 outbreak.
AGTech Holdings reported an operating loss of HK$105.6 million, narrowed by 12.1% from a year ago.
AGTech's Hardware division primarily supplies the Sports Lottery and the Welfare Lottery and has hardware deployed in multiple provinces, cities, and municipalities across China.
The company said it continues to operate the lottery channel on mobile Taobao and mobile Alipay of Alibaba Holding Group Ltd. (NYSE: BABA; HKEX: 9988) to serve as a one-stop platform on lottery related information for existing and potential customers.