TEN Holdings Reports Declining Financial Results for 2024

LANGHORNE, Pa., March 28, 2025 /PRNewswire/ — TEN Holdings, Inc. (Nasdaq: XHLD), a provider of event planning, production, and broadcasting services, announced today its financial results for the full year 2024, reflecting a notable decline in performance.

Total revenues for TEN Holdings decreased 5.8%, dropping to $3.5 million from $3.7 million in 2023. Additionally, the company’s net loss widened significantly to $2.97 million, compared to the $1.69 million loss recorded the previous year. Loss per share increased to $0.12 from $0.07.

Key financial metrics released by the company illustrate a concerning trend. Revenues from the virtual and hybrid business segment fell by approximately $306,000, primarily due to the absence of a previously successful event in 2023. However, revenues from physical events increased approximately $91,000, attributed to a corporate restructuring.

“Fiscal year 2024 was a building year for our business, as we worked to develop a pipeline of new strategies and markets,” said Randolph Wilson Jones III, CEO of TEN Holdings. “We invested in research and development and capital expenditures to prepare to execute on our growth initiatives.”

Despite the company’s ambitious growth initiatives, including the development of a new platform-as-a-service (PaaS) model and improvements to the Xyvid Pro Platform, financial indicators suggest significant challenges ahead. Operating expenses also surged, with selling, general and administrative (SG&A) expenses rising 13.7% to $5.39 million, and research and development costs reaching $128,891.

Most notably, the company’s cash reserves diminished sharply to approximately $48,000 at year-end, a dramatic decline from $357,000 in 2023. This reduction raises concerns over TEN Holdings’ ability to sustain its operations amid growing cash burn.

As the company pivots to a recurrent revenue model from its traditional project-based services, it faces an unsustainable cost structure where SG&A expenses exceed overall revenues. TEN Holdings recorded a gross margin decline from 85.1% to 81.4%, compounding financial pressures.

Despite these setbacks, Jones is optimistic about the business’s future. “By focusing on enhancing customer relationships and integrating the PaaS model, we believe we can leverage our strengths to drive shareholder value,” he stated.

While nine out of TEN Holdings’ top ten revenue-generating customers returned in 2024, the overall revenue trajectory indicates a company that must adapt quickly to ongoing financial strain. Management’s commitment to executing its strategic initiatives will be critical in overcoming the challenges posed by the current economic landscape.

The completed IPO on February 18, 2025, is expected to provide necessary capital infusion, although the impact will not be reflected in 2024 financials. As the company looks to future milestones, the pressing concern remains its ability to maintain operational viability while transitioning to a sustainable business model.