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Ault Global Swings to Record Second-Quarter Profit as Revenue Surges 1,050%

Ault Global reports the largest quarterly profit in its history and a surge in revenue.
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Ault Global Holdings undefined jumped Monday after the company swung to a second-quarter profit and saw revenue surge more than 1,000%.

Shares of the Las Vegas company, which changed its name from DPW Holdings in January, rose 5% to $2.85.

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Ault Global reported net income of $42.2 million, the largest quarterly profit in company history, compared with a loss of $1.38 million a year ago.

Net income rose to 82 cents a share, up from a loss of 24 cents a share a year ago. Revenue totaled $62.1 million, up 1,050% from a year ago.

Revenue from cryptocurrency mining was $291,000 as the company resumed cryptocurrency mining operations with about 1,000 miners during March.

Revenue from lending and trading activities came to $58.5 million due to the allocation of capital to its subsidiary DP Lending.

Milton "Todd" Ault, III, the company's founder and executive chairman, said in a statement that the quarterly results "reflect the strength of our lending and trading activities at DP Lending."

"Quite simply, we are in the strongest position of our company’s 52-year history," he said. "We have grown assets to more than a quarter of a billion and are announcing a goal to grow assets to more than one billion dollar."

Revenue from lending and trading activities also included about $40 million in unrealized gains from the company’s investment in Alzamend Neuro  (ALZN) - Get Free Report, an early clinical-stage biopharmaceutical company focused on developing novel products for the treatment of neurodegenerative diseases and psychiatric disorders.

The company reported total assets of more than a quarter-of-a-billion dollars. Gross margins increased to 89.9%, compared with 37.1% a year ago due to favorable margins from the company's lending and trading activities

In April, Ault Global took a 6.4% stake in the apparel and swimwear company Naked Brand Group  (NAKD) - Get Free Report.