Good day, and welcome to the Remark Holdings Second Quarter 2024 Financial Results Call. All participants will be in a listen-only mode. [Operator Instructions] After today’s presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the call over to Fay Tian.

Please go ahead..

Thank you, Nick. Good afternoon, everyone, and welcome to Remark Holdings' second quarter 2021 financial results conference call. I am Fay Tian, Vice President of Investor Relations for remarks. On the call with me this afternoon is Kai-Shing Tao, Remark's Chairman and Chief Executive Officer; and Mr. Todd Brown, Vice President of Finance.

In just a moment, Mr. Tao will provide an update on our businesses and Mr. Brown will recap our second quarter 2024 financial results. Following these remarks, we'll open the call to questions. But before I turn the call over to Mr.

Tao, I would like to take this opportunity to remind you that some of the statements made today may be forward-looking statements. These statements involve risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements.

Any forward-looking statements reflect Remark Holdings' current views and Remark Holdings expressly disclaims any obligation to update or revise any forward-looking statements after the date hereof.

This disclaimer is only a summary of Remark Holdings' statutory forward-looking statements disclaimer, which is included in full in its filings with the SEC. I will now turn the call over to Remark's Chairman and Chief Executive Officer, Mr. Tao, so he can provide additional information to Remark's businesses and recent developments.

Please go ahead, Shing..

one, personalized guest services -- experiences through AI-driven recommendations and tailored services; two, intelligent chat bots for seamless guest interactions and support; three, predictive analytics for optimized room allocation, pricing and revenue management; and four, automated workflows and process optimization for improved operational efficiency.

Remark AI's proprietary AI platform will be integrated with its existing systems to provide a unified and intuitive interface for staff and guests alike.

The partnership will also facilitate the development of new AI powered application and services, further solidifying their position -- further solidifying our position as a pioneer in the hospitality sector.

Todd?.

Thank you, Shing, and thank you to everybody for joining us on today's call. As we have previously noted, we have been working to expand our business in the U.S. And during the second quarter of 2024, we were able to complete the first Clark County School District project which resulted in $3.7 million of revenue for the second quarter of 2024.

As Shing noted earlier, this has already led to an additional order and other opportunities for us in the U.S. Our operating loss of $3.2 million during the second quarter of 2024, reflected a decrease of about $0.8 million from an operating loss of $4 million during the second quarter of 2023.

During that second quarter of 2023, we had recorded an impairment of approximately $0.4 million related to certain prepaid expense amounts that were deemed unrecoverable.

The absence of any impairments during the second quarter of 2024, and contributed to the decrease in operating loss as did the $0.2 million decrease in payroll-related expenses reported as part of tech.

For the second quarter of 2024, we are reporting a net loss of $5.3 million or $0.12 per diluted share compared to a net loss of $5.9 million or $0.42 per diluted share during the same quarter of 2023.

Interest expense during the second quarter of 2024 did not significantly change from the amount that we reported during the same period of 2023, while finance costs also remained relatively flat.

Finance cost is related to the establishment of and remeasurement of our obligations to issue common stock, which arise as a result of our transactions with Ionic Ventures LLC, which consists of draws on an equity line of credit.

At June 30, 2024, our cash balance totaled was $0.4 million, which compares to a cash balance of $0.1 million on December 31, 2023. We used $6.1 million of cash and operating activities during this second quarter of 2024.

Lastly, in August of 2024, we were able to resolve all outstanding events of default regarding our debt agreement with Mudrick Capital Management by entering into an agreement with Mudrick to exchange the existing non-convertible notes we had issued to them for convertible debentures.

And with that, I will turn the call over to the moderator to begin the question-and-answer portion of this call..

Operator:.

Thank you, Nick. Thank you, everyone for participating in Remark Holdings' second quarter 2024 fiscal financial results conference call. A replay will be available in approximately 4 hours through the same link issued in our August 19's press release. Have a good afternoon. Thank you..

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect..