CANAAN INC Reports Q4 Revenue Beat, But Misses on GAAP EPS Estimates
November 29, 2023
🌧️Trending News
Despite missing estimates on its GAAP EPS of -$0.47, which was $0.19 lower than expected, the company reported a strong revenue of $33.3M that beat estimates by $3.01M. CANAAN INC ($NASDAQ:CAN) is a global leader in high performance computing solutions that offer superior performance, reliability and scalability. The company has grown steadily over the years, and its products are now used by leading global companies, institutions, and governments.
Earnings
CANAAN INC recently reported its earnings report for FY2023 Q1 ending March 31 2021, with total revenue of 61.19M USD and net income of 0.18M USD. This marks a 71.3% decrease in total revenue and 99.7% decrease in net income compared to the same period last year. In the last three years, CANAAN INC’s total revenue has dropped from 61.19M USD to 55.23M USD. While CANAAN INC was able to beat its revenue estimates, it missed on GAAP earnings per share estimates.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Canaan Inc. More…
| Total Revenues | Net Income | Net Margin |
| 488.15 | -78.97 | -21.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Canaan Inc. More…
| Operations | Investing | Financing |
| -245.92 | -4.4 | -52.98 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Canaan Inc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 633.7 | 85.58 | 3.25 |
Key Ratios Snapshot
Some of the financial key ratios for Canaan Inc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 33.3% | 98.8% | -16.9% |
| FCF Margin | ROE | ROA |
| -53.2% | -8.9% | -8.2% |
Price History
On Tuesday, CANAAN INC reported their fourth quarter revenue and earnings, beating analyst estimates for revenue but missing on GAAP EPS estimates. The company’s share price opened at $1.7 and closed at $1.7, up 1.8% from the prior closing price. This marked the second consecutive quarter of declining profits for the company. Investors will be watching to see how the company’s performance improves in the coming quarters. Live Quote…
Analysis
GoodWhale recently conducted an analysis of CANAAN INC‘s wellbeing and the results are quite interesting. According to our star chart, CANAAN INC is classified as a ‘rhino’, meaning that the company has achieved moderate growth in terms of revenue or earnings. Therefore, investors who are looking for steady returns over the long term may be interested in CANAAN INC. In terms of financial health, CANAAN INC scored 7 out of 10, which denotes a company that is more than capable to pay off debt and fund future operations. This is largely attributed to its strong cash flows and debt repayment capabilities. Moreover, CANAAN INC demonstrated strength in terms of assets, medium success in terms of growth, profitability and weak in terms of dividend. Thus, CANAAN INC seems like a viable option for those investors who intend to focus on long-term capital appreciation. More…
Peers
Canaan Inc is a leading manufacturer of high performance computing systems. It is engaged in the research, development, manufacture and sale of bitcoin mining machines and AI hardware and software solutions. The Company has a number of competitors in the market including Lian Hong Art Co Ltd, Pixela Corp, Inventec Corp.
– Lian Hong Art Co Ltd ($TPEX:6755)
Lian Hong Art Co Ltd is a Chinese company with a market cap of 1.25 billion as of 2022. The company’s return on equity is 1.06%. The company is engaged in the business of art and antiques. It is one of the largest art and antiques dealers in China. The company has a wide variety of products, including paintings, calligraphy, ceramics, jade, and other works of art.
– Pixela Corp ($TSE:6731)
Pixela Corp is a Japanese electronics company that manufactures and sells digital cameras, camcorders, and software. The company has a market cap of 2.08B as of 2022 and a ROE of -51.73%. Pixela Corp was founded in 1981 and is headquartered in Tokyo, Japan.
– Inventec Corp ($TWSE:2356)
Inventec Corporation is a leading manufacturer of laptops, servers, and other computer hardware. The company has a market capitalization of over $81 billion and a return on equity of 10.9%. Inventec is headquartered in Taiwan and has manufacturing facilities in China, the Czech Republic, and Mexico. The company employs over 30,000 people worldwide. Inventec is a publicly traded company on the Taiwan Stock Exchange (ticker symbol: 2356).
Summary
CANAAN INC is a company listed on the NASDAQ, with its shares trading under the ticker symbol CAN. The company reported its quarterly results, and while its GAAP EPADS came in at -$0.47, this was $0.19 worse than expected.
However, their revenue of $33.3M beat estimates by $3.01M. Investors are encouraged to pay attention to Canaan Inc and consider investing in the stock given the positive surprise in revenue. Analysts will be closely examining the company’s performance over the next few quarters to assess its potential for long-term growth.
