Tomahawk, WI 06/25/2014 (Basicsmedia) – China Finance Online Co. (ADR) (NASDAQ:JRJC) is one of the leading web based financial services company. It mainly provides its services to Chinese retail investors who are into the online trading of stocks, commodities, wealth management and investment in mutual funds. The company came up with its first quarter unaudited financial results ended on March 31, 2014.

The performance

China Finance Online Co. (ADR) (NASDAQ:JRJC) reported the net revenues at $23.2 million that is a huge rise of 321% on a year-on-year basis. It reported the net revenues of $5.5 million in the same period last year. The gross profits also showed an impressive run coming at $17.8 million as compared to $3.6 million in the same quarter last year. It was the rise of 389%. The net loss declined from $4.3 million from the first quarter of 2013 to $2 million in the first quarter of 2014.

The categories of net revenues

The company derives it net revenues from three different segments. The first segment from where the revenue comes is the financial services that include the brokerage related and metal trading revenues from Hong-Kong. The second segment is the advisory business that provides financial information to the individual as well as institutional customers. And the last segment is advertising.  Out of the total revenues of $23.2 million,  the first segment of financial services contributed 78% of revenues, the second segment of advisory business contributed 14% of revenues, and the last one advertising revenues contributed 8% of the total revenues.

Outperformance of financial services

China Finance Online Co. (ADR) (NASDAQ:JRJC)’s revenues from the financial services showed an impressive rise but the other two segments revenues declined from the first quarter in 2013. Also, it reported the total cash and cash equivalents at $32.1 million. Overall, the revenues of the financial services managed to offset the decline in the revenues from the advertising and advisory services.

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