Fuse Group Holding Inc (FUST) Q2 2024 Earnings Report

Fuse Group Holding Inc (FUST) reported QQ2 2024 results that show a strong sequential top-line uptick but a continuation of negative profitability and fragile liquidity. Revenue rose to $99.786k from the Q1 level of $20.0k, delivering a QoQ growth of approximately 398.93%. However, operating and net income remained negative: operating loss of $15.06k and net loss of $16.72k for the quarter, with EBITDA of negative $15.062k and an EPS of -$0.0003. The quarter’s gross margin is listed at 100% (gross profit of $99.786k against revenue of $99.786k), but that appears to reflect the absence of recognized cost of revenue in the disclosed figures rather than a conventional profitability profile. Cash flow from operations was negative at $-17.596k, contributing to a cash balance that declined from $56.417k at period-start to $38.047k at quarter-end. The balance sheet signals material distress: total liabilities of $319.653k far exceed total assets of $62.031k, producing negative equity of roughly $-257.622k. Liquidity ratios are weak (current and quick ratios around 0.256x; cash ratio ~0.225x), and the company carries a substantial debt burden (total debt $172.283k; long-term debt $150.6k; net debt $134.236k). In the absence of an earnings call transcript in the provided data, there is no management quote to anchor the narrative. The narrative suggests an early-stage revenue ramp with poor profitability and a fragile capital structure, making near-term upside contingent on cost control, working capital discipline, and potential debt refinancing or equity support. Investors should weigh the near-term cash burn and balance-sheet fragility against the potential for sustained top-line expansion if the firm secures more stable client engagement in mining-adjacent advisory work.