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Everyone loves a good turnaround story. But in these economically uncertain times for China, they may love profits even more.
That may explain investor reaction to the latest earnings report from Cango Inc. (
Cango's Car Trading Platform Racks Up Users, But Investors Want Profits
Summary
- Cango’s revenue fell sharply in the third quarter on a weak macro environment and its own transforming business model, as its loss also narrowed sharply on cost controls.
- The company launched its U-Car used car platform during the quarter, and said its business transformation to car trading services provider is now ‘effectively complete’.
- Despite the big revenue drop, the company’s bottom line improved significantly as it reined in its overall operating costs and expenses by 27%.
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