Taoping Shares Are Trading Higher On Blockchain, Cloud Computing Announcement, FY21 Guidance - Taoping (NASDAQ:TAOP)

Taoping Inc TAOP reported an FY20 revenue decline of 20% year-on-year to $11.0 million. The pandemic and slowdown of the Chinese out-of-home advertising market in 2020 led to the decline.
Gross margin contracted 1,220 basis points to 35.7% from lower margin product sales.
Operating loss more than quadrupled to $17.4 million, mainly due to a $10 million increase in credit loss allowance.
Net loss rose five-fold to $17.7 million. The loss per share was $2.49.
The company generated $1.8 million in operating cash flow. It held $1.1 million in cash and equivalents.
Tapping's up-grading of the Taoping Smart Cloud Platform in the second half of 2020 and optimizing the performance of ad publishing, data monitoring, publication management, transaction system, and API interface docking led to sales recovery from the first half of 2020, stated Chair and CEO Jianghuai Lin.
The company has also decided to expand its business scope in 2021 and tap into blockchain and cloud computing industries, Lin added.
The acquisitions of Taoping New Media and Render Lake were expected to close in May 2021.
FY21 Guidance: Revenue guidance lies between $40 million and $50 million, operating income lies between $8 million and $10 million, including the contributions from Taoping New Media, Render Lake, and new revenue streams developed in 2021.
Price action: TAOP shares traded higher by 6.66% at $7.57 on the last check Friday.