Nasdaq-listed online sports lottery operator 500.com lost $11.3m in Q3 thanks to China’s ongoing suspension of online lottery sales.
On Thursday, 500.com reported nil sports lottery revenue, the sixth straight quarter that the company has failed to earn a thin dime from its main reason for being. The net result was a net loss of RMB 75.3m ($11.3m), nearly three times the sum the company lost in Q2.
500.com has been in the dumps since March 2015, when China ordered a temporary suspension of online lottery sales after uncovering rampant corruption at provincial lottery administration centers. Rumors circulated earlier this year that Beijing was preparing to resume online sales but so far no concrete action has been taken.
As of September 30, 500.com had cash and equivalents on hand totaling $67.4m, about one-third less than it had at the end of Q2. 500.com CEO Zhengming Pan reiterated his belief that his company will be allowed to resume online lottery sales once China’s Ministry of Finance gives the okay, but he offered no guidance on when this might occur.