May 26 (SeeNews) - Romanian online retailer and smartphone producer iHunt [BSE:HUNT] said on Friday that its net profit plummeted by 95% on the year to 52,512 lei ($11,368/10,592 euro) in the first three months of 2023.
The company’s turnover fell by an annual 16% to 10.6 million lei in the first quarter of 2023, iHunt said in an unaudited financial report filed with the Bucharest Stock Exchange.
“Although the bottom line of profitability records a steep decline at a time of reorientation on the financing of business development and of the pressure of unfavourable exchange rates, operationally, the company reflects a good strategic orientation in volatile market conditions,” iHunt said in the report.
The company’s performance is set against the backdrop of a global smartphone market that registered an annual decline for a fifth consecutive quarter, iHunt’s report shows.
Total revenues decreased by 16% on the year to 10.9 million lei during January-September, with the company’s operating income falling by an annual 15.7% to 10.6 million lei.
Total expenses fell 8.5% on the year to 10.85 million lei in the three-month period, of which operating expenses constituted 9.65 million lei, down by an annual 13.1%.
The company’s total assets inched down to 56.4 million lei at end-March from 56.8 million lei at end-2022. Total debts reached 35 million lei, edging down by 1.4% since the end of 2022.
In 2022, iHunt booked a net profit of 4.5 million lei, down 39.3% on the year, according to an annual financial report filed with the Bucharest Stock Exchange in April.
Founded in 2015 as a direct importer of mobile phones and accessories from China, iHunt Technology Import Export sells the products both through its online store and through over 200 physical stores.
iHunt shares traded 7.24% lower at 0.397 lei as at 1122 CET on Friday on the Bucharest bourse.
(1 euro=4.9578 lei)