Lottery service provider 500.com saw its net loss narrow in 19Q3, due mainly to a year-on-year reduction in operating expenses.
Net revenues decreased 67.4 percent year-n-year to RMB9.8 million, with revenues consisting mainly from the company’s online lottery betting and online casino in Europe through TMG.
The company said the revenue decline was due mainly to website migration in connection with the conversion of TMG’s Swedish license, which caused users to re-register, and the cessation of sports information services in China in March 2019.
Operating expenses were cut across the board, reaching RMB79 million, down 41.8 percent year-on-year. This was due mainly to operating expenses such as a decrease in share-based compensation expenses associated with share options granted to the Company’s employees, a decrease in marketing and promotion expenses for TMG, a decrease in consulting expenses, and other operational expenses.
The company reported a net loss of RMB95.8 million, compared to a net loss of RMB96.5 million in 18Q3.