Shares of Canaan fell 0.72% to $2.08 on the Nasdaq Stock Exchange, at the time of writing. The stock has tumbled more than 80% since listing on the exchange last November. Then, it traded at a high of $13.
Canaan chief executive officer Nangeng Zhang commented: “During the second quarter of 2020, the Covid-19 pandemic continued to impact the lives of people around the world and the Bitcoin halving event also caused significant volatility in bitcoin prices.” Zhang added:
We are confident that our…pipeline of next-generation products will continue to sustain our growth momentum in the future.
In the review quarter, research and development expenses declined to $3.7 million from $5.9 million previously, said the firm, which manufactures the Avalon range of ASIC bitcoin mining chips.
Canaan reported cash and cash equivalents of $22.2 million for the June quarter, down from $37.3 million in Q1. The company said the decline is a result of higher short-term investments, which amounted to a total of $49.2 million by the end of June.
For the second quarter running, Canaan did not issue guidance for the next three trading months, citing “continued uncertainty from the rapidly changing global environment related to the Covid-19 pandemic and corresponding economic downturn.”
What do you think about Canaan’s continuing losses? Let us know in the comments section below.
The post Canaan Cuts Losses for Second Successive Quarter, Down To $2.4M in Q2; Demand Remains Weak appeared first on Bitcoin News.
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