Surgepays (NASDAQ:SURG) stock is falling hard on Wednesday after the financial technology and telecom company announced its earnings for the second quarter of 2024.
The bad news from this earnings report includes the company’s diluted EPS of -66 cents. That’s nowhere close to the -7 cents per share Wall Street was expecting. It’s also significantly worse than then 40 cents per share from the same period of the year prior.
Surgepays’ revenue of $15.09 million also isn’t helping matters today. This is below the $15.15 million in revenue that analysts were expecting. It’s also a massive 58% drop year-over-year compared to $35.89 million.
Surgepays chairman and CEO Brian Cox said the following in the earnings report:
“The second quarter of 2024 begins a transition phase for SurgePays. ACP funding has run out and there is no guarantee it will return. Fortunately, in the first quarter we shored up our balance sheet and began implementing growth initiatives outside of the ACP program to continue to pursue our strategic goal of being one of the country’s largest providers of prepaid wireless and underbanked financial technology services.”
What’s Next for SURG Stock?
Cox notes that the company is currently in a transition phase. This will see it undertake several actions throughout 2024 to improve its fiscal performance. He believes this will result in the company reporting profits again by the end of the year.
SURG stock is down 20.6% as of Wednesday morning.
There are even more stock market stories ready to go today!
We have all of the news that traders need to know about on Wednesday! That includes what’s happening with shares of TC BioPharm (NASDAQ:TCBP) stock, Viracta Therapeutics (NASDAQ:VIRX) stock and Digital Ally (NASDAQ:DGLY) stock today. You can catch up on all of these matters at the links below!
More Stock Market News for Wednesday
- Why Is TC BioPharm (TCBP) Stock Down 46% Today?
- Why Is Viracta Therapeutics (VIRX) Stock Up 42% Today?
- Why Is Digital Ally (DGLY) Stock Up 82% Today?
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
