YouNow 1H19 review: Revenue is up, but there is 'substantial doubt' about the company’s solvency

Quick Take

  • YouNow released 1H19 financials which showed a 74% decrease in operating revenues since 1H17 likely caused by a steep decline in viewership for its namesake live streaming service
  • Although the company has tried to taper its expenses, operating losses have eaten through the vast majority of the $21 million raised through the company’s SAFT sales of its Props tokens
  • Management noted that daily in-app purchases had increased 32% since the integration of Props in July, but it’s uncertain how sustainable this growth will be with total visitors down 16% in September
  • Given these considerations, the company filings noted “substantial doubt about the Company’s ability to continue as a going concern within one year” unless it raised additional capital
On Wednesday, the live streaming company, YouNow, released its financials for 1H19, which showed the company’s deteriorating financial condition. Despite raising $21 million from SAFT sales for its Props token back in late 2017, the company now finds itself with only $3.4 million in cash and $2.3 million in cryptocurrencies (BTC and ETH) after a […]

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