Blue Hat Soars 8% on Teaming Up With Mobile Operators

Revenue increased 26.7% to $30.2 million for the full year compared with $23.8 million in 2019.
Benjamin WangApr 21,2021,20:30

Blue Hat Interactive Entertainment Technology (Nasdaq: BHAT) announced that the company's controlling subsidiary Xunpusen Technology Co., Ltd. has achieved a total transaction volume of 31 million yuan ($4.77 million) in direct deals with China's top three mobile operators.

Xiaodong Chen, the chief executive officer of Blue Hat, stated, "We are pleased with the initial results of our cooperation with China's top three mobile operators following our strategic deployment of Xunpusen. The InternetPlus model of value-added services under data collection and operation creates favorable conditions that bode well for a strong, long-term cooperation in the future and sets a solid foundation for expansion through signing new agreements. ”

The maker of augmented reality games said revenue increased 26.7% to $30.2 million for the full year compared with $23.8 million in 2019.

Chen added, “We believe that this will help the business continue to grow, which we anticipate will bring more stable and sustainable profit to the Company and enable it to continue to explore additional growth opportunities."

In 2020, the company completed the acquisition of Xunpusen, launched the new communication services and IDC business, and announced several partnerships with reputable companies like China Mobile and Kingsoft Cloud.

Blue Hat attributed the improvement to increased sales of interactive toys (animation series) and contributions from the new information services and communication services businesses. The company recorded revenues from sales of interactive toys (animation series) increased 900% to $2.0 million, which was primarily driven by revenue contributions from education courseware sold to kindergartens throughout 2020.

Last week, the company announced that its entry into a two-year licensing agreement with Tencent QQ, an instant messaging and social platform for PC and mobile users. Under the agreement, Blue Hat will use the intellectual property of the QQ penguin logo and QQ emoji on its toy products and related marketing materials, effective March 1, 2021.

Shares of Blue Hat rose 7.69% today, closing at $1.12.

Topics:Blue Hat; China; U.S.