Why is Quhuo Limited's (QH) stock soaring today?

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Why is Quhuo Limited's (QH) stock soaring today?

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 Why is Quhuo Limited's (QH) stock soaring today?
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Highlights:

  • The QH stock jumped more than 17 per cent on Monday morning.
  • It touched its 52-week low on September 8, 2022.
  • The company noted a 56 per cent jump in its fiscal 2021 revenue.

Quhuo Limited (NASDAQ: QH) have been among the top movers in the morning trading on September 12 while gaining attention from several investors.

The price of the QH stock jumped about 17 per cent in the morning session on Monday after it filed its annual report with the US Securities and Exchange Commission (SEC) over the weekend.

Meanwhile, the stock had been on the investors' radar after it said on August 31 that the firm had regained compliance with the Nasdaq's listing rule, the Minimum Bid Price Requirement.

Let's take a look at the annual report of Quhuo Limited and its other recent developments that may have helped gains in it.

What's in Quhuo Limited's Form 20-F?

As per the report, the Chinese technology-focused firm posted total revenue of RMB 4.02 billion or US$ 631.7 million for the fiscal year that ended on December 31, 2021. It noted a jump of 56 per cent year-over-year (YoY) in its annual revenue.

The company's revenue from on-demand delivery solutions rose 50.9 per cent YoY to RMB 3.82 billion or US$ 600.8 million for the 12 months that ended on December 31, 2021.

On the other hand, its mobility service solutions revenue rocketed 248.7 per cent YoY to RMB 110.2 million or US$ 17.3 million. Its housekeeping and other services revenue jumped 542.8 per cent YoY to RMB 79.7 million or US$ 12.5 million in the same period.

It reported its annual report with the SEC on September 10. The significant increase in revenue from all segments might have attracted several investors.

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However, the net loss of the workforce operational solution platform operator widened to RMB 191.23 million, or US$ 30 million for the year ended on December 31, 2021, against a loss of RMB 5.6 million in the year-ago period.

Bottom line

The QH stock rose 17.45 per cent to trade at US$ 3.23 at 9:45 am ET on September 12. More than 1.32 million shares of QH were exchanged at the time of drafting. 

At its current trading price, the QH stock was up about 17 per cent from its 52-week low of US$ 2.54 noted on September 8, 2022.

Quhuo said on September 7 that Mr Fan Yang had resigned from his position as a member of the company's board, effective September 7. However, the firm said that the resignation was not due to any disagreements between the company and Mr Yang.

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