Ambow Education Holding Ltd. (NYSE American: AMBO) Announces Third Quarter and First Nine Months of 2026 Financial Results
Lower operating cash use and liabilities accompanied wider losses and increased spending on product launches and marketing.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Ambow Education Holding (NYSE American: AMBO) reported third-quarter revenue of $1.7 million, with both business lines growing year over year. Quarterly net loss attributable to ordinary shareholders widened to $773 thousand from $613 thousand, while gross margin fell to 30.6% from 35.7%.
For the nine months ended September 30, 2026, revenue reached $6.853 million, versus $6.482 million a year earlier. A $495 thousand shareholder net loss replaced $1.271 million in income; the prior period included a $1.492 million lease-settlement gain. Selling, marketing and research spending increased by $489 thousand, while general and administrative expenses declined by $236 thousand. Operating cash use fell to $0.7 million from $1.4 million. At September 30, cash, restricted cash and short-term investments totaled $6.1 million, and liabilities were $10.4 million, down from $12.5 million at year-end.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointThird-quarter revenue increased to $1.7 million from $1.4 million year over year.
- Moderate pointNine-month operating cash use decreased to $0.7 million from $1.4 million year over year.
- Moderate pointCash and equivalents increased to $2.404 million from $831 thousand at December 31, 2025.
- Moderate pointTotal liabilities declined to $10.430 million from $12.546 million at December 31, 2025.
- Minor pointThird-quarter education revenue rose to $1.258 million from $1.074 million year over year.
8 minor points
- Minor pointThird-quarter HybriU revenue rose to $403 thousand from $328 thousand year over year.
- Minor pointNine-month revenue increased to $6.853 million from $6.482 million year over year.
- Minor pointNine-month education revenue increased to $5.332 million from $4.976 million year over year.
- Minor pointNine-month HybriU revenue increased to $1.521 million from $1.506 million year over year.
- Minor pointThird-quarter gross profit increased to $509 thousand from $501 thousand year over year.
- Minor pointNine-month gross profit increased to $3.425 million from $3.312 million year over year.
- Minor pointThird-quarter general and administrative expenses declined to $666 thousand from $706 thousand year over year.
- Minor pointNine-month general and administrative expenses declined to $2.112 million from $2.348 million year over year.
Negative
- Moderate pointThird-quarter shareholder net loss widened to $773 thousand from $613 thousand year over year.
- Moderate pointNine-month shareholder results shifted to a $495 thousand loss from $1.271 million income a year earlier.
- Moderate pointThird-quarter gross margin fell to 30.6% from 35.7% year over year.
- Moderate pointThird-quarter selling and marketing expenses increased to $399 thousand from $279 thousand year over year.
- Moderate pointThird-quarter research and development expenses increased to $221 thousand from $145 thousand year over year.
- Moderate pointNine-month selling and marketing expenses increased to $1.018 million from $778 thousand year over year.
- Moderate pointNine-month research and development expenses increased to $597 thousand from $348 thousand year over year.
8 minor points
- Minor pointThird-quarter basic and diluted loss per ADS widened to $0.2700 from $0.2140 year over year.
- Minor pointNine-month basic and diluted ADS results shifted to a $0.1740 loss from $0.4440 income a year earlier.
- Minor pointPrior-year nine-month income included a $1.492 million lease-settlement gain; no such gain occurred in 2026.
- Minor pointThird-quarter operating loss widened to $777 thousand from $629 thousand year over year.
- Minor pointNine-month operating loss widened to $463 thousand from $162 thousand year over year.
- Minor pointNine-month gross margin fell to 50.0% from 51.1%, as academic costs outpaced revenue growth.
- Minor pointSecond-quarter construction-in-progress impairment added a $161 thousand non-cash charge to nine-month expenses.
- Minor pointNet assets declined to $7.850 million from $8.250 million at December 31, 2025.
News Explained
At
Key Figures
- Third-quarter revenue
- $1.7 million, up 21.4%
- Third quarter 2026 versus $1.4 million in the prior-year quarter
- Third-quarter gross margin
- 30.6%
- Third quarter 2026 versus 35.7% in the third quarter of 2025
- Third-quarter net loss
- $0.8 million, or $0.27 per ADS
- Third quarter 2026; compared with a $0.6 million net loss and $0.21 per ADS in 2025
- Nine-month revenue
- $6.9 million, up 6.2%
- First nine months of 2026 versus $6.5 million in the prior-year period
- Nine-month net income (loss)
- $0.5 million net loss
- First nine months of 2026 versus $1.3 million net income in 2025
- Operating cash used
- $0.7 million
- First nine months of 2026 versus $1.4 million in 2025
- Cash resources
- $6.1 million
- Cash, restricted cash and short-term investments as of September 30, 2026
Previous Earnings Reports
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First-half revenue rose, while second-quarter revenue and earnings declined amid weaker HybriU sales.
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First-quarter revenue, gross profit, operating income and net income increased year over year.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
form 10-q regulatory
ads financial
restricted cash financial
working capital financial
impairment loss financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Both business lines grew in the quarter; investment in HybriU product launches and go-to-market increased ahead of CES 2027; net cash used in operating activities cut in half year to date
Key Facts At-a-Glance
- Who: Ambow Education Holding Ltd. (NYSE American: AMBO), an AI-driven technology company delivering phygital intelligence solutions for education, enterprise collaboration and live events.
- What: Unaudited financial and operating results for the three-month and nine-month periods ended September 30, 2026.
- When: Reported November 10, 2026; Quarterly Report on Form 10-Q filed with the SEC the same day.
- Revenue: Third quarter net revenues increased
21.4% to$1.7 million from$1.4 million , with educational programs and services and HybriU licensing and sales both up year over year; nine-month net revenues increased6.2% to$6.9 million from$6.5 million . - Growth Investment: Combined selling and marketing and research and development expenses increased by
$0.5 million year over year to$1.6 million for the first nine months of 2026, reflecting continued investment in HybriU product launches, partner channel development, and NewSchool student recruitment initiatives. - Cost Discipline: General and administrative expenses decreased
8.7% to$2.1 million for the first nine months of 2026; net cash used in operating activities decreased by half to$0.7 million from$1.4 million . - Balance Sheet: Cash, restricted cash and short-term investments totaled
$6.1 million , with positive working capital of$3.9 million and net assets of$7.9 million as of September 30, 2026; total liabilities decreased to$10.4 million from$12.5 million as of December 31, 2025.
CUPERTINO, Calif., Nov. 10, 2026 (GLOBE NEWSWIRE) -- Ambow Education Holding Ltd. (“Ambow” or the “Company”) (NYSE American: AMBO), an AI-driven technology company delivering phygital intelligence solutions for education, enterprise collaboration and live events, today announced its unaudited financial and operating results for the three-month and nine-month periods ended September 30, 2026.
Third Quarter and First Nine Months 2026 and Recent Financial and Operating Highlights
Growth
- Net revenues for the third quarter of 2026 increased
21.4% year over year to$1.7 million , with both business lines contributing. Educational programs and services revenue increased to$1.3 million from$1.1 million , and HybriU licensing and sales revenue increased to$0.4 million from$0.3 million . - Net revenues for the first nine months of 2026 increased
6.2% year over year to$6.9 million , led by educational programs and services, which increased to$5.3 million from$5.0 million .
Subsequent Event
- Subsequent to quarter end, Ambow announced that HybriU will exhibit at CES 2027, January 6 through 9, 2027, at Booth #10308 in the Las Vegas Convention Center North Hall, where the Company will demonstrate a working phygital classroom, meeting room and event environment to the channel partners, integrators, enterprises and institutions that deploy and use HybriU.
“Both of our business lines contributed to revenue growth in the third quarter, reflecting continued progress in our education services and technology businesses,” said Dr. Jin Huang, Chief Executive Officer and Chair of the Board of Ambow Education Holding Ltd.
“During the quarter, we increased combined selling and marketing and research and development expenses by
These strategic investments were supported by continued improvements in operating efficiency. Year to date, net cash used in operating activities decreased by approximately
Third Quarter 2026 Financial Results
Net revenues for the third quarter of 2026 increased by
Gross profit for the third quarter of 2026 was
Operating expenses for the third quarter of 2026 increased by
Operating loss for the third quarter of 2026 was
Net loss attributable to ordinary shareholders for the third quarter of 2026 was
First Nine Months 2026 Financial Results
Net revenues for the first nine months of 2026 increased by
Gross profit for the first nine months of 2026 increased by
Operating expenses for the first nine months of 2026 increased by
Operating loss for the first nine months of 2026 was
Net loss attributable to ordinary shareholders for the first nine months of 2026 was
Balance Sheet and Liquidity
As of September 30, 2026, Ambow maintained cash resources of
Total liabilities decreased to
The Company’s financial and operating results for the third quarter and first nine months of 2026 are also available in its Quarterly Report on Form 10-Q, filed with the U.S. Securities and Exchange Commission (the “SEC”) at www.sec.gov.
About Ambow Education Holding Ltd.
Ambow Education Holding Ltd. (NYSE American: AMBO) is an AI-driven technology company delivering phygital intelligence solutions for education, enterprise collaboration and live events.
Founded in 2000 and headquartered in Cupertino, California, Ambow develops technologies that connect physical environments, artificial intelligence, digital systems, workflows and institutional knowledge.
Through HybriU, Ambow enables institutions and professionals to capture, organize, activate and reuse knowledge generated across classrooms, meetings and events, creating intelligence assets that can become more valuable over time.
For more information, visit www.ambow.com and www.hybriu.com.
Follow Ambow on X: @Ambow_Education
Follow Ambow on LinkedIn: Ambow Education Group
Safe Harbor Statement
This press release contains statements of a forward-looking nature. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about Ambow and the industry. Additional information regarding these and other risks is included in the Company’s filings with the SEC. All information provided in this press release is as of the date hereof, and Ambow undertakes no obligation to update any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although Ambow believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results.
Investor and Media Contact
Ambow Education Holding Ltd.
Email: ir@ambow.com
| AMBOW EDUCATION HOLDING LTD. | ||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
| (All amounts in thousands, except for share and per share data) | ||||||||
| As of December 31, | As of September 30, | |||||||
| 2025 | 2026 | |||||||
| | (Audited) | (Unaudited) | ||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalent | $ | 831 | $ | 2,404 | ||||
| Restricted cash | 7,260 | 2,700 | ||||||
| Short-term investments | — | 1,000 | ||||||
| Accounts receivable, net | 2,288 | 929 | ||||||
| Inventory | 80 | 380 | ||||||
| Prepaid and other current assets, net | 410 | 456 | ||||||
| Total current assets | 10,869 | 7,869 | ||||||
| Non-current assets: | ||||||||
| Property and equipment, net | 1,984 | 1,747 | ||||||
| Intangible assets, net | 1,662 | 3,302 | ||||||
| Other non-current assets, net | 969 | 834 | ||||||
| Operating lease right-of-use asset | 5,312 | 4,528 | ||||||
| Total non-current assets | 9,927 | 10,411 | ||||||
| Total assets | $ | 20,796 | $ | 18,280 | ||||
| LIABILITIES | ||||||||
| Current liabilities: | ||||||||
| Short-term borrowings | $ | 500 | $ | 500 | ||||
| Accounts payable | 1,609 | 902 | ||||||
| Accrued and other liabilities | 1,542 | 1,060 | ||||||
| Income taxes payable, current | 1 | 1 | ||||||
| Operating lease liability, current | 1,285 | 1,506 | ||||||
| Total current liabilities | 4,937 | 3,969 | ||||||
| Non-current liabilities: | ||||||||
| Long-term borrowings | 2,700 | 2,700 | ||||||
| Other non-current liabilities | 167 | — | ||||||
| Operating lease liability, non-current | 4,742 | 3,761 | ||||||
| Total non-current liabilities | 7,609 | 6,461 | ||||||
| Total liabilities | $ | 12,546 | $ | 10,430 | ||||
| Commitments and contingencies | — | — | ||||||
| EQUITY | ||||||||
| Class A Ordinary shares | ||||||||
| ( | 146 | 146 | ||||||
| Class C Ordinary shares | ||||||||
| ( | 13 | 13 | ||||||
| Additional paid-in capital | 517,185 | 517,280 | ||||||
| Accumulated deficit | (508,966 | ) | (509,461 | ) | ||||
| Accumulated other comprehensive loss | (128 | ) | (128 | ) | ||||
| Total equity | 8,250 | 7,850 | ||||||
| Total liabilities and equity | $ | 20,796 | $ | 18,280 | ||||
| AMBOW EDUCATION HOLDING LTD. | ||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | ||||||||||||||||
| (All amounts in thousands, except for share and per share data) | ||||||||||||||||
| (Unaudited) | ||||||||||||||||
| For the nine months ended September 30, | For the three months ended September 30, | |||||||||||||||
| 2025 | 2026 | 2025 | 2026 | |||||||||||||
| NET REVENUES | ||||||||||||||||
| - Educational program and services | $ | 4,976 | $ | 5,332 | $ | 1,074 | $ | 1,258 | ||||||||
| - HybriU licensing and sales | 1,506 | 1,521 | 328 | 403 | ||||||||||||
| Total net revenues | 6,482 | 6,853 | 1,402 | 1,661 | ||||||||||||
| COST OF REVENUES | ||||||||||||||||
| - Educational program and services | (2,950 | ) | (3,428 | ) | (901 | ) | (1,152 | ) | ||||||||
| - HybriU licensing and sales | (220 | ) | — | — | — | |||||||||||
| Total cost of revenues | (3,170 | ) | (3,428 | ) | (901 | ) | (1,152 | ) | ||||||||
| GROSS PROFIT | 3,312 | 3,425 | 501 | 509 | ||||||||||||
| OPERATING EXPENSES | ||||||||||||||||
| Selling and marketing | (778 | ) | (1,018 | ) | (279 | ) | (399 | ) | ||||||||
| General and administrative | (2,348 | ) | (2,112 | ) | (706 | ) | (666 | ) | ||||||||
| Research and development | (348 | ) | (597 | ) | (145 | ) | (221 | ) | ||||||||
| Impairment loss | — | (161 | ) | — | — | |||||||||||
| Total operating expenses | (3,474 | ) | (3,888 | ) | (1,130 | ) | (1,286 | ) | ||||||||
| OPERATING LOSS | (162 | ) | (463 | ) | (629 | ) | (777 | ) | ||||||||
| OTHER (EXPENSE) INCOME | ||||||||||||||||
| Interest income (expenses), net | 35 | 2 | 76 | (9 | ) | |||||||||||
| Other (expenses) income, net | (45 | ) | (6 | ) | (58 | ) | 27 | |||||||||
| Gain on lease settlement | 1,492 | — | — | — | ||||||||||||
| Total other income (expenses), net | 1,482 | (4 | ) | 18 | 18 | |||||||||||
| INCOME (LOSS) BEFORE INCOME TAX AND NON-CONTROLLING INTERESTS | 1,320 | (467 | ) | (611 | ) | (759 | ) | |||||||||
| Income tax expenses | (49 | ) | (28 | ) | (2 | ) | (14 | ) | ||||||||
| NET INCOME (LOSS) | $ | 1,271 | $ | (495 | ) | $ | (613 | ) | $ | (773 | ) | |||||
| NET INCOME (LOSS) ATTRIBUTABLE TO ORDINARY SHAREHOLDERS | $ | 1,271 | $ | (495 | ) | $ | (613 | ) | $ | (773 | ) | |||||
| OTHER COMPREHENSIVE INCOME, NET OF TAX | ||||||||||||||||
| Other comprehensive income | — | — | — | — | ||||||||||||
| TOTAL COMPREHENSIVE INCOME (LOSS) | 1,271 | (495 | ) | (613 | ) | (773 | ) | |||||||||
| Basic income (loss) per share | $ | 0.0222 | $ | (0.0087 | ) | $ | (0.0107 | ) | $ | (0.0135 | ) | |||||
| Diluted income (loss) per share | $ | 0.0222 | $ | (0.0087 | ) | $ | (0.0107 | ) | $ | (0.0135 | ) | |||||
| Basic income (loss) per ADS | $ | 0.4440 | $ | (0.1740 | ) | $ | (0.2140 | ) | $ | (0.2700 | ) | |||||
| Diluted income (loss) per ADS | $ | 0.4440 | $ | (0.1740 | ) | $ | (0.2140 | ) | $ | (0.2700 | ) | |||||
| Weighted average shares used in calculating basic net income (loss) per share | 57,127,524 | 57,127,524 | 57,127,524 | 57,127,524 | ||||||||||||
| Weighted average shares used in calculating diluted net income (loss) per share | 57,377,554 | 57,127,524 | 57,127,524 | 57,127,524 | ||||||||||||
| Share-based compensation expense included in: | ||||||||||||||||
| - Selling and marketing | — | 8 | — | 3 | ||||||||||||
| - General and administrative | — | 37 | — | 12 | ||||||||||||
| - Research and development | — | 50 | — | 17 | ||||||||||||
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Ambow's third-quarter 2026 revenue and earnings?
Ambow reported $1.7 million in revenue and a $773 thousand net loss attributable to ordinary shareholders for the quarter ended September 30, 2026. Revenue was $1.4 million a year earlier, when the shareholder net loss was $613 thousand. Basic and diluted loss per ADS was $0.2700, versus $0.2140.
How much of Ambow's September 2026 cash resources was restricted?
Ambow held $2.7 million in restricted cash at September 30, 2026. Its $6.1 million of cash resources also included $2.4 million in cash and equivalents and $1.0 million in short-term time deposits. During the first nine months, $4.6 million of restricted cash was released.
What spending drove Ambow's higher expenses in the first nine months of 2026?
Combined selling and marketing and research and development expenses increased by $489 thousand, directed toward HybriU product launches, go-to-market programs and NewSchool enrollment. Quarterly spending supported the commercial launches of HybriU Events On Demand and the AI-Driven Adaptive Course Generator, along with preparations for CES 2027.