Moxian, Inc. (NASDAQ: MOXC) Leveraging High Gross
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Moxian, Inc. (NASDAQ: MOXC) offers investors a high risk-high reward opportunity in China’s online-to-offline (O2O) marketplace, and the key is the high gross margin percentages of the company’s revenues, according to the SeeThruEquity (http://nnw.fm/dee5W) research report on the company. Shenzhen, China-based Moxian has a gross margin of 77.4% — second-highest of all of its significantly higher market cap competitors, the report says.
MOXC is a development stage company that’s currently executing its marketing strategy of converting its two O2O platforms from unpaid to paid. Moxian+ is a business platform which is already serving, at no charge, some 30,000 small market enterprises (SMEs). Its other app is Moxian User, a consumer app which already has some 300,000 users. The marketing effort is to convert the free users on both apps to paid, then gain more revenues from paid subscriptions, mobile advertising, transaction and licensing fees and OEM and distribution fees.
SeeThruEquity notes that MOXC believes it can achieve a revenue total of $25 million in 2018. The company anticipates revenue of $11 million in 2017. Key to achieving its profit goals is MOXC’s high profit margins from its own sales and mobile advertising, as the company believes it would realize lower margins from third party transactions.
Within the O2O market, MOXC may face formidable competitors which are significantly larger in terms of market cap, but MOXC boosts high profit margins. As previously indicated, its 77.4% gross margin percentage is the second-highest in a field that includes seven other firms. SeeThruEquity believes that Moxian will invest in technology, sales and marketing to differentiate its products in this market. It is seen as also leveraging the existing customer base of its merchant partners.
For more information, visit www.Moxian.com
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