Baiya International Group Inc. Announces First Half of Fiscal Year 2025 Financial Results

Rhea-AI Summary

Baiya International Group (NASDAQ:BIYA), a cloud-based HR technology company, reported mixed financial results for H1 2025. Net revenues increased 6.9% to $7.3 million, with gross profit growing 49.2% to $0.7 million. However, the company recorded a significant net loss of $4.7 million, compared to $0.06 million in the same period last year.

The company's entrusted recruitment service saw substantial growth of 833.5% to $0.4 million, while project outsourcing revenue grew 2.2% to $6.9 million. Gross margin improved to 10.0% from 7.2%. Operating expenses surged 985% to $5.5 million, primarily due to increased professional fees, stock compensation, and legal expenses. Cash position decreased to $0.9 million from $1.7 million as of December 31, 2024.

Positive

• Net revenues increased 6.9% to $7.3 million year-over-year
• Gross profit grew 49.2% to $0.7 million with margin expansion to 10.0%
• Entrusted recruitment service revenue surged 833.5% to $0.4 million
• Project outsourcing service revenue increased 2.2% to $6.9 million
• Secured $6.0 million in financing activities during H1 2025

Negative

• Net loss significantly widened to $4.7 million from $0.06 million year-over-year
• Operating expenses surged 985% to $5.5 million
• Cash position declined to $0.9 million from $1.7 million in December 2024
• Net cash used in operating activities was $6.4 million compared to $0.1 million provided last year
• Basic and diluted loss per share increased to $0.385 from $0.006

Insights

Financial Analyst

BIYA reports mixed H1 2025 results with revenue growth of 6.9% but a significant net loss increase to $4.7 million amid heavy operational investments.

Baiya International Group's first-half fiscal 2025 results present a complex financial picture with both positive and concerning indicators. Revenue grew 6.9% to $7.3 million, driven by an impressive 833.5% surge in entrusted recruitment services (reaching $0.4 million) and a modest 2.2% increase in project outsourcing services (to $6.9 million). The company's gross profit jumped 49.2% to $0.7 million with margin expansion from 7.2% to 10.0%, signaling improved operational efficiency.

However, these improvements are overshadowed by alarming expenditure growth. Operating expenses ballooned by 985% to $5.5 million, primarily from a 1,433.4% increase in G&A expenses to $5.0 million. This explosion in costs stemmed from increased professional fees ($1.9 million), stock compensation ($1.7 million), legal expenses ($0.5 million), and various operational costs. The result was a dramatic widening of net loss to $4.7 million compared to just $0.06 million in the same period last year, with loss per share deteriorating from $0.006 to $0.385.

The cash position has weakened considerably, declining from $1.7 million to $0.9 million in just six months. Operating activities consumed $6.4 million in cash (versus generating $0.1 million last year), while the company raised $6.0 million through financing activities. This burn rate raises serious liquidity concerns if not addressed quickly. The planned acquisition of STARFISH TECHNOLOGY-FZE and its UpTop.Meme platform signals a strategic pivot toward digital finance that may diversify revenue streams but adds execution risk during an already challenging financial period.

SHENZHEN, China, Sept. 30, 2025 /PRNewswire/ -- Baiya International Group Inc. ("BIYA" or the "Company") (Nasdaq: BIYA), a human resource ("HR") technology company utilizing its cloud-based internet platform to provide one-stop crowdsourcing recruitment and SaaS-enabled HR solutions, today announced its unaudited financial results for the first half of fiscal year 2025 ended June 30, 2025.

Ms. Siyu Yang, Chief Executive Officer of BIYA, commented, "We are pleased to report a 6.9% increase in net revenues for the first half of fiscal year 2025, reaching $7.3 million. Gross profit grew by 49.2% to $0.7 million, and gross margin expanded to 10.0% from 7.2% in the same period last year. This growth was supported by the strong rebound of entrusted recruitment services, which benefited from China's gradually recovering labor market, as well as contributions from project outsourcing services with our major customers in the logistics and express delivery sectors."

Ms. Yang continued, "In line with our long-term strategy, we will continue to enhance the Gongwuyuan Platform to strengthen our SaaS-enabled HR technology solutions and better serve the flexible employment marketplace. At the same time, we are broadening our growth trajectory through strategic initiatives such as our proposed acquisition of STARFISH TECHNOLOGY-FZE and the integration of its UpTop.Meme platform, which could position BIYA to participate in the global wave of digital finance and innovation. Looking ahead, we will remain focused on deepening client relationships, advancing platform development, and exploring new growth opportunities, with the goal of delivering value to our shareholders."

First Half of Fiscal Year 2025 Financial Summary

• Net revenues were $7.3 million for the first half of fiscal year 2025, an increase of 6.9% from $6.8 million for the same period last year.
• Gross profit was $0.7 million for the first half of fiscal year 2025, an increase of 49.2% from $0.5 million for the same period last year.
• Gross margin was 10.0% for the first half of fiscal year 2025, increased from 7.2% for the same period last year. 
• Net loss was $4.7 million for the first half of fiscal year 2025, compared to $0.06 million for the same period last year.
• Basic and diluted net loss per common share were $0.385 for the first half of fiscal year 2025, compared to $0.006 for the same period last year.

First Half of Fiscal Year 2025 Financial Results

Net Revenues

Net revenues were $7.3 million for the first half of fiscal year 2025, an increase of 6.9% from $6.8 million for the same period last year.

• Revenue from entrusted recruitment service was $0.4 million for the first half of fiscal year 2025, an increase of 833.5% from $0.04 million for the same period last year. The increase was primarily attributed to China's economy's gradually recovery, and accordingly, the Company's entrusted recruitment services started to gradually bounce back due to increased labor demand.
• Revenue from project outsourcing service was $6.9 million for the first half of fiscal year 2025, an increase of 2.2% from $6.8 million for the same period last year. The increase was primarily due to the outsourcing revenues from the Company's major customers, $0.8 million increase from Zhaoqing Branch of China Postal Group Limited, $0.2 million increased from Songjia Precision Technology (Dongguan) Co., Ltd. and $0.2 million increased from China Postal Express & Logistics Co., Ltd., which was partly offset by $1.0 million decreased from Zhongshan Branch of China Postal Group Limited.
• The Company did not generate revenue from other services for the first half of fiscal year 2025. Revenue from other services was $2,089 for the same period last year.

Cost of Revenues

Total cost of revenue was $6.5 million for the first half of fiscal year 2025, an increase of 3.7% from $6.3 million for the same period last year.

Gross Profit and Gross Margin

Gross profit was $0.7 million for the first half of fiscal year 2025, an increase of 49.2% from $0.5 million for the same period last year. The increase was mainly due to the $0.2 million increase in gross profit from project outsourcing service and $80,009 increase in gross profit from entrusted recruitment service, which was partly offset by the $1,884 decrease in gross profit from other services.

Gross margin was 10.0% for the first half of fiscal year 2025, increased from 7.2% for the same period last year.

Operating Expenses

Total operating expenses were $5.5 million for the first half of fiscal year 2025, an increase of 985.0% from $0.5 million for the same period last year. The change was mainly due to an increase of $4.7 million in general and administrative expenses and an increase of $325,755 in selling expenses, which were partly offset by a decrease of $64,728 in research and development expenses.

• Selling expenses were $360,797 for the first half of fiscal year 2025, an increase of 929.6% from $35,042 for the same period last year. The increase was primarily due to the $260,533 increase in advertising and promotion expense and $67,690 increase in meal and entertainment expense, which was partly offset by $4,344 decrease in travel expenses.
• General and administrative expenses were $5.0 million for the first half of fiscal year 2025, an increase of 1,433.4% from $0.3 million for the same period last year. The increase was mainly due to increased professional fee by $1.9 million, increased telecom service expense by $0.2 million, increased HR service fee by $0.1 million, increased stock compensation expenses by $1.7 million, increased legal expenses by $0.5 million increased audit fee by $0.1 million, increased travel expense by $0.1 million and increased payroll expense by $14,455.
• Research and development expenses were $0.08 million for the first half of fiscal year 2025, a decrease of 46.1% from $0.1 million for the same period last year.  

Net Loss

Net loss was $4.7 million for the first half of fiscal year 2025, compared to $0.06 million for the same period last year. The increase mainly resulted from increased operating expenses by $4.9 million, which was partly offset by decreased other expenses by $42,811 and increased gross profit by $0.2 million for the first half of fiscal year 2025.

Basic and Diluted Net Loss per Common Share

Basic and diluted net loss per common share were $0.385 for the first half of fiscal year 2025, compared to $0.006 for the same period last year.

Financial Condition

As of June 30, 2025, the Company had cash of $0.9 million, compared to $1.7 million as of December 31, 2024.

Net cash used in operating activities for the first half of fiscal year 2025 was $6.4 million, compared to net cash provided by operating activities of $0.1 million for the same period last year.

Net cash used in investing activities for the first half of fiscal year 2025 was $0.3 million. There were no cash outflows from investing activities for the same period last year.

Net cash provided by financing activities for the first half of fiscal year 2025 was $6.0 million, compared to $1.2 million for the same period last year.

About Baiya International Group Inc. ("Baiya")

Baiya has evolved from a job matching service provider into a cloud-based internet platform to provide one-stop crowdsourcing recruitment and SaaS-enabled HR solutions on the Gongwuyuan Platform to supplement its offline job matching services and started to position itself as a SaaS-enabled HR technology company by introducing its Gongwuyuan Platform in the flexible employment marketplace. Baiya has been and will continue to strategically develop and improve the Gongwuyuan Platform with product features that work together with its traditional offline service model to improve the job matching and HR related services in the flexible employment marketplace. For more information, please visit the Company's website: https://www.baiyainc.com/investors-overview.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain statements in this announcement are "forward-looking statements" as defined under the federal securities laws, including, but not limited to, statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Forward-looking statements can be identified by terms such as "believe", "plan", "expect", "intend", "should", "seek", "estimate", "will", "aim" and "anticipate", or other similar expressions in this press release. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the United States Securities and Exchange Commission ("SEC").

For further information, please contact:

Baiya International Group Inc.
Investor Relations Department
Phone: +86 0769-88785888
Email: info@biyainc.com

Investor Relations Inquiries:

Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com 

 

BAIYA INTERNATIONAL GROUP INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in U.S. Dollars, except for the number of shares)
		As of June 30, 2025 (Unaudited)				As of December 31, 2024
ASSETS
CURRENT ASSETS
Cash		$	909,699			$	1,668,291
Accounts receivable, net			2,035,232				1,648,073
Advance to suppliers, net			42,233				-
Due from related parties			1,922,295				40,549
Deferred IPO costs			-				889,160
Prepaid expense and other current assets, net			21,443,545				177,325
Loan receivable from third party - current			97,720				-
Total current assets			26,450,724				4,423,398
NON-CURRENT ASSETS
Property and equipment, net			1,908				1,872
Right-of-use asset, net			80,156				49,356
Loan receivable from third parties, non-current			703,491				443,787
Other non-current assets			-				33,017
Total noncurrent assets			785,555				528,032
TOTAL ASSETS		$	27,236,279			$	4,951,430
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable		$	2,046,618			$	1,662,594
Loan payable to third parties			132,620				164,399
Advance from customers			149,709				29,675
Accrued liabilities and other payables			1,924,468				2,057,865
Taxes payable			256,553				146,239
Due to related parties			127,673				170,855
Lease liabilities			72,246				8,422
Loan payables, current			28,639				117,345
Total current liabilities			4,738,526				4,357,394
NON-CURRENT LIABILITIES
Lease liabilities			9,187				43,972
Loan payable to third parties, non-current			-				-
Loan payables, non-current			-				-
Total non-current liabilities			9,187				43,972
TOTAL LIABILITIES			4,747,713				4,401,366
COMMITMENTS AND CONTINGENCIES
STOCKHOLDER'S EQUITY
Preferred shares, par value $0.0001, 100,000,000 shares authorized, nil shares issued       and outstanding as of June 30, 2025 and December 31, 2024, respectively			-				-
Class A Common shares, par value $0.0001, 1,600,000,000 shares authorized,      19,998,496 and 10,000,000 shares issued and outstanding as of June 30, 2025 and      December 31, 2024, respectively			1,999				1,000
Class B Common shares, par value $0.0001, 100,000,000 shares authorized,      1,600,000 and nil shares issued and outstanding as of June 30, 2025 and       December 31, 2024, respectively			160				-
Additional paid-in capital			28,447,180				1,796,285
Statutory Reserve			380,901				380,901
Accumulated other comprehensive loss			(203,635)				(221,139)
Accumulated deficit			(6,214,056)				(1,456,778)
Total Company shareholders' equity			22,412,549				500,269
Non-controlling interest			76,017				49,795
Total shareholders' equity			22,488,566				550,064
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY		$	27,236,279			$	4,951,430

 

BAIYA INTERNATIONAL GROUP INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Expressed in U.S. Dollars, except for the number of shares)
(Unaudited)
		For the Six Months Ended June 30,
		2025				2024
Net revenues		$	7,261,545			$	6,791,902
Cost of revenues			6,535,524				6,305,256
Gross profit			726,021				486,646
Operating expenses
Selling expenses			360,797				35,042
General and administrative expenses			5,015,210				327,064
Research and development expenses			75,605				140,333
Total operating expenses			5,451,612				502,439
Loss from operations			(4,725,591)				(15,793)
Other income (expenses)
Interest income (expense), net			4,502				(24,268)
Other income (expenses), net			5,156				(8,885)
Other income (expenses), net			9,658				(33,153)
Loss before income tax			(4,715,933)				(48,946)
Less: income tax expense			19,769				12,807
Net loss			(4,735,702)				(61,753)
Less: net income / (loss) attributable to non-controlling interests			21,576				(2,187)
Net loss attributable to common shareholders of Baiya International Group Inc.		$	(4,757,278)			$	(59,566)
Comprehensive income / (loss)
Other comprehensive loss
Foreign currency translation gain / (loss) attributable to the Company			17,504				(14,759)
Foreign currency translation gain / (loss) attributable to noncontrolling interest			4,646				(846)
Total other comprehensive income / (loss)			22,150				(15,605)
Comprehensive loss attributable to the Company			(4,739,774)				(74,325)
Comprehensive income / (loss) attributable to noncontrolling interest			26,222				(3,033)
Total comprehensive loss			(4,713,552)				(77,358)
Net loss per common share
Basic and diluted		$	(0.385)			$	(0.006)
Weighted average number of common shares outstanding
Basic and diluted			12,368,833				10,000,000

 

BAIYA INTERNATIONAL GROUP INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in U.S. Dollars, except for the number of shares)
(Unaudited)
		For the Six Months Ended June 30,
		2025				2024
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss		$	(4,735,702)			$	(61,753)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation expense			-				442
Allowances for credit losses			(26,235)				-
Amortization of operating lease right-of-use assets			11,511				7,026
Stock compensation expense			1,736,736				-
Non-cash other income			-				(6,565)
Changes in operating assets and liabilities:
Accounts receivable, net			(351,542)				1,073,828
Advance to suppliers, net			(21,000)				(255,274)
Prepaid expense and other current assets			(3,395,362)				(87,503)
Accounts payable			348,184				(667,480)
Advance from customers			118,015				-
Accrued liabilities and other payables			(163,103)				111,947
Taxes payable			106,228				33,659
Other payables, non-current			-				(20,790)
Lease liability			(13,307)				(5,129)
Net cash (used in) provided by operating activities			(6,385,577)				122,408
CASH FLOWS FROM INVESTING ACTIVITIES
Loan to third party			(344,750)				-
Net cash used in investing activities			(344,750)				-
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from loans - bank			-				55,286
Due to related parties			-				1,715,817
Repayments to loans - bank			(89,827)				(489,636)
Loan to related parties			(1,910,636)				-
Repayment to third party loan			(34,475)				-
Deferred IPO costs			-				(40,000)
Net proceeds from issuance of common stock for IPO			7,995,267				-
Net cash provided by financing activities			5,960,329				1,241,467
EFFECT OF EXCHANGE RATE CHANGES ON CASH			11,406				(10,562)
NET (DECREASE) INCREASE IN CASH			(758,592)				1,353,313
CASH, BEGINNING OF PERIOD			1,668,291				31,973
CASH, END OF PERIOD		$	909,699			$	1,385,286
Supplemental disclosure information of cash flow:
Cash paid for income tax		$	-			$	-
Cash paid for interest		$	33,679			$	24,309
Supplemental non-cash information:
Right of use assets obtained in exchange for operating lease liability		$	71,398			$	57,642

 

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SOURCE Baiya International Group Inc.

FAQ

What were BIYA's key financial results for H1 2025?

BIYA reported net revenues of $7.3 million (up 6.9%), gross profit of $0.7 million (up 49.2%), and a net loss of $4.7 million. Gross margin improved to 10.0% from 7.2%.

Why did BIYA's net loss increase significantly in H1 2025?

The increased net loss was primarily due to a 985% surge in operating expenses to $5.5 million, driven by higher professional fees ($1.9M), stock compensation ($1.7M), and legal expenses ($0.5M).

How did BIYA's recruitment services perform in H1 2025?

BIYA's entrusted recruitment service revenue grew 833.5% to $0.4 million due to China's economic recovery, while project outsourcing revenue increased 2.2% to $6.9 million.

What is BIYA's current cash position and cash flow status?

As of June 30, 2025, BIYA had $0.9 million in cash, down from $1.7 million in December 2024. The company used $6.4 million in operating activities but received $6.0 million from financing activities.

What strategic initiatives is BIYA pursuing for growth?

BIYA is enhancing its Gongwuyuan Platform for HR technology solutions and pursuing strategic initiatives including the proposed acquisition of STARFISH TECHNOLOGY-FZE and integration of its UpTop.Meme platform.