Cheetah Net Supply Chain Service Inc. Announces First Quarter 2026 Results and Provides Corporate Update
Rhea-AI Summary
Cheetah Net (Nasdaq: CTNT) reported Q1 2026 logistics and warehousing revenue of $92,700, down 80.7% from $479,799 a year earlier. Operating loss was $764,319 and net loss from continuing operations was $616,265, both narrower year over year as general and administrative expenses fell 23.0% to $770,004.
The company recorded other income of $152,454, mainly interest income. Cheetah flagged substantial doubts about its ability to continue as a going concern after a ~$0.6 million operating loss and ~$2.5 million operating cash outflow, despite $0.7 million cash, $7.1 million working capital, and $4.4 million loans receivable.
Cheetah completed a private placement in Q1 and an ATM financing in April 2026. It also agreed to acquire 100% of a Hong Kong industrial equipment trading company, targeting closing in May, which management believes can support its long-term growth strategy.
AI-generated analysis. Not financial advice.
Positive
- Operating loss reduced to $764,319, an improvement of $196,129 year over year
- Net loss from continuing operations narrowed by $137,644 to $616,265
- General and administrative expenses decreased 23.0% to $770,004
- Cost of revenue fell to $72,833 from $423,543, improving gross margin percentage
- Completed private placement and ATM financing, adding capital for strategic initiatives
- Signed Share Transfer Agreement to acquire Hong Kong industrial equipment trader
Negative
- Logistics and warehousing revenue declined 80.7% to $92,700
- Revenue from TWEW dropped 87.3% to $53,000 after tariff policy changes
- Revenue from Edward fell 36.5% to $39,700 ahead of planned sale
- Net operating loss of about $0.6 million in Q1 2026
- Net cash used in operating activities of approximately $2.5 million
- Company disclosed substantial doubt about its ability to continue as a going concern
- Other income decreased 28.1% to $152,454, mainly from lower rental income
News Market Reaction – CTNT
On the day this news was published, CTNT declined 11.45%, reflecting a significant negative market reaction. Argus tracked a trough of -17.4% from its starting point during tracking. Our momentum scanner triggered 20 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $574K from the company's valuation, bringing the market cap to $4.44M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
CTNT fell 7.72% while peers in its logistics/wholesale group showed mixed moves: GVH +11.45%, SGLY +3.07%, ATXG +3.94%, NCEW -1.7%, LSH -5.82%. Momentum data show CJMB up ~3.0% and GVH/BTOC down ~4.18%/3.85%, with sector commentary citing broader dynamics (median move about -4.0%). The lack of a clear, uniform direction among peers suggests CTNT’s drop likely reflects company‑specific earnings and financing developments rather than a clean sector‑wide move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 20 | Full-year 2025 results | Negative | -8.5% | Reported 2025 revenue $1.289M with $3.65M net loss and limited cash. |
| Nov 07 | Q3 2025 correction | Negative | -10.2% | Corrected Q3 2025 results showing $361,935 revenue and large operating loss. |
| Nov 07 | Q3 2025 results | Negative | -10.2% | Initial Q3 2025 release with big impairment and $1.314M net loss. |
| Aug 04 | Q2 2025 results | Negative | -3.2% | Q2 2025 revenue growth but ongoing net loss of $512,528. |
| May 05 | Q1 2025 results | Negative | -7.6% | Q1 2025 logistics revenue $479,799 with $753,909 net loss. |
Earnings releases have repeatedly coincided with negative price reactions, despite revenue growth and liquidity from loan receivables and offerings.
Over the past year, CTNT’s earnings updates have highlighted a transition to logistics and warehousing, with rising revenue but persistent operating and net losses. Prior releases on May 5, 2025, Aug 4, 2025, Nov 7, 2025, and Mar 20, 2026 all showed continuing losses and reliance on interest income and loan receivables for liquidity. Each of these earnings events triggered single‑day declines of roughly 3–10%, indicating a consistent pattern of negative market reactions to the company’s financial results, which aligns with today’s Q1 2026 update showing sharply lower revenue and ongoing losses.
Historical Comparison
In the last five earnings releases, CTNT’s shares moved on average -7.96% on day one. Today’s -7.72% reaction to Q1 2026 results closely tracks that pattern, reinforcing a history of negative responses to loss‑making financial updates.
Same‑tag earnings releases show CTNT’s evolution from exiting parallel‑import vehicles to focusing on logistics and warehousing. Revenue scaled from quarterly levels around the mid‑$300K–$480K range to full‑year $1.289M, but recurring operating and net losses, impairments, and tight cash persist, with interest income and loan receivables repeatedly highlighted to support liquidity.
Market Pulse Summary
The stock dropped -11.4% in the session following this news. A negative reaction despite cost cuts fits CTNT’s pattern: the last five earnings events averaged a -7.96% move, close to today’s -7.72%. Q1 2026 revenue fell to $92,700 from $479,799, and management flagged going‑concern doubts with about $0.7M in cash and roughly $2.5M used in operating cash flow. Recent ATM and private placements, plus acquisition plans, add dilution and execution risks that may have reinforced selling pressure.
Key Terms
private placement financing financial
atm financing financial
going concern financial
AI-generated analysis. Not financial advice.
IRVINE, Calif., May 14, 2026 (GLOBE NEWSWIRE) -- Cheetah Net Supply Chain Service Inc. (“Cheetah” or the “Company”) (Nasdaq: CTNT), a logistics and warehousing services provider, today reported results for the quarter ended March 31, 2026 and provided a corporate update.
For the quarter ended March 31, 2026, the Company reported revenue of
Tony Liu, Cheetah’s Chairman and CEO commented: “During the first quarter of 2026, our logistics and warehousing business continued to face pressure uncertainty in global trade, which affected cross-border logistics demand and customer activity. In response, we remained focused on cost discipline, operational efficiency, and preserving financial flexibility, while continuing to evaluate ways to reposition the Company for long-term growth.”
“During the quarter, we took important steps to strengthen our capital base and streamline our business structure. We completed a private placement financing transaction, which will help us fund certain future strategic initiatives. We will continue to streamline our logistics and warehousing business to better allocate resources toward higher-priority opportunities and enhance the Company’s overall operating structure.”
“We also completed an ATM financing in April and entered into a Share Transfer Agreement to acquire
First Quarter 2026 Financial Results
Continuing operations – logistics and warehousing business
For the three months ended March 31, 2026, the Company reported revenue of
Revenue from Edward decreased by
Revenue from TWEW decreased by
The Company also reported cost of revenue of
Gross profit for the three months ended March 31, 2026, was
General and administrative expenses for the Company’s continuing operations decreased by
Share-based compensation expenses were
Interest income from continuing operations was
Interest expense incurred from our continuing operations was
Other income, net was
The Company incurred a net loss of
Discontinued Operations- parallel-import vehicle business
On March 3, 2025, the Company discontinued its parallel-import vehicle business following a board resolution to that effect, as the Company fully exited its parallel-import vehicle business during the year ended December 31, 2024. The Company did not generate any income or incur any expenses from discontinued operations for the three months ended March 31, 2026.
Liquidity and Going Concern Considerations
The Company reported a net operating loss of approximately
As of March 31, 2026, the Company had cash and cash equivalents of approximately
As the Company continues its transition to the logistics and warehousing service business, the Company may continue to incur operating losses and generate negative cash flow.
Forward-Looking Statements
This press release contains certain forward-looking statements, including statements that are predictive in nature. Forward-looking statements are based on the Company’s current expectations and assumptions. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements. These statements may be identified by the use of forward-looking expressions, including, but not limited to, “anticipate,” “believe,” “continue,” “estimate,” “expect,” “future,” “intend,” “may,” “outlook,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters, but the absence of these words does not mean that a statement is not forward-looking. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Important factors that could cause actual results to differ materially from those in the forward-looking statements are set forth in the Company’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form 10-K, under the caption “Risk Factors.”
For more information, please contact:
Cheetah Net Supply Chain Service Inc.
Investor Relations
(949) 418-7804
ir@cheetah-net.com
| CHEETAH NET SUPPLY CHAIN SERVICE INC. CONSOLIDATED BALANCE SHEETS | ||||||||
| March 31, | December 31, | |||||||
| 2026 | 2025 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 713,948 | $ | 233,217 | ||||
| Accounts receivable, net | 1,650 | 6,540 | ||||||
| Loan receivable | 4,441,513 | 7,430,111 | ||||||
| Other receivables, net | 698,326 | 1,157,130 | ||||||
| Prepaid expenses and other current assets | 2,390,989 | 238,648 | ||||||
| Deposit on long-term investment | 40,131,287 | — | ||||||
| TOTAL CURRENT ASSETS | 48,377,713 | 9,065,646 | ||||||
| NONCURRENT ASSETS: | ||||||||
| Property, plant, and equipment, net | 348,986 | 358,868 | ||||||
| Operating lease right-of-use assets | 1,023,424 | 1,165,517 | ||||||
| Intangibles, net | 769,060 | 792,571 | ||||||
| Goodwill | 475,862 | 475,862 | ||||||
| TOTAL NONCURRENT ASSETS | 2,617,332 | 2,792,818 | ||||||
| TOTAL ASSETS | $ | 50,995,045 | $ | 11,858,464 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable | $ | 6,778 | $ | 32,762 | ||||
| Current portion of long-term debt | 36,814 | 35,902 | ||||||
| Loans payable from premium finance | 33,353 | 82,650 | ||||||
| Due to a related party | 6,713 | 5,204 | ||||||
| Operating lease liabilities, current | 620,594 | 594,407 | ||||||
| Accrued liabilities and other current liabilities | 415,256 | 594,693 | ||||||
| TOTAL CURRENT LIABILITIES | 1,119,508 | 1,345,618 | ||||||
| NONCURRENT LIABILITIES: | ||||||||
| Long-term debt, net of current portion | 562,399 | 572,653 | ||||||
| Operating lease liabilities, net of current portion | 419,634 | 584,606 | ||||||
| TOTAL NONCURRENT LIABILITIES | 982,033 | 1,157,259 | ||||||
| TOTAL LIABILITIES | $ | 2,101,541 | $ | 2,502,877 | ||||
| COMMITMENTS AND CONTINGENCIES (Note 16) | — | — | ||||||
| STOCKHOLDERS’ EQUITY | ||||||||
| Common stock, | ||||||||
| Class A common stock, | 18 | 1 | ||||||
| Class B common stock, | — | — | ||||||
| Additional paid-in capital | 57,840,065 | 17,685,900 | ||||||
| (Accumulated deficit) Retained earnings | (8,946,579 | ) | (8,330,314 | ) | ||||
| TOTAL STOCKHOLDERS’ EQUITY | 48,893,504 | 9,355,587 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 50,995,045 | $ | 11,858,464 | ||||
| CHEETAH NET SUPPLY CHAIN SERVICE INC. CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||
| For the Three Months Ended March 31, | ||||||||
| 2026 | 2025 | |||||||
| REVENUE | $ | 92,700 | $ | 479,799 | ||||
| COST OF REVENUE | 72,833 | 423,543 | ||||||
| GROSS PROFIT | 19,867 | 56,256 | ||||||
| OPERATING EXPENSES | ||||||||
| General and administrative expenses | 770,004 | 1,000,519 | ||||||
| Share-based compensation expenses | 14,182 | 16,185 | ||||||
| TOTAL OPERATING EXPENSES | 784,186 | 1,016,704 | ||||||
| LOSS FROM OPERATIONS | (764,319 | ) | (960,448 | ) | ||||
| OTHER INCOME (EXPENSES) | ||||||||
| Interest income | 151,142 | 208,090 | ||||||
| Interest expenses | (7,700 | ) | (8,812 | ) | ||||
| Other income | 9,012 | 12,616 | ||||||
| OTHER INCOME (EXPENSES), NET | 152,454 | 211,894 | ||||||
| LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | (611,865 | ) | (748,554 | ) | ||||
| Income tax (benefits) | 4,400 | 5,355 | ||||||
| LOSS FROM CONTINUING OPERATIONS | (616,265 | ) | (753,909 | ) | ||||
| NET LOSS | $ | (616,265 | ) | $ | (753,909 | ) | ||
| Loss from continuing operations per ordinary share - basic and diluted | $ | (4.53 | ) | $ | (46.84 | ) | ||
| Loss from discontinued operations per ordinary share - basic and diluted | $ | 0.00 | $ | 0.00 | ||||
| Loss per share - basic and diluted | $ | (4.53 | ) | $ | (46.84 | ) | ||
| Weighted average shares - basic and diluted | 136,029 | 16,096 | ||||||
| CHEETAH NET SUPPLY CHAIN SERVICE INC. CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||||
| Three Months Ended March 31, | |||||||||||||||
| 2026 | 2025 | ||||||||||||||
| Net cash provided by (used in) operating activities | $ | (616,265 | ) | $ | (753,909 | ) | |||||||||
| Cash outflows from operations-continuing operations | (2,457,939 | ) | (772,374 | ) | |||||||||||
| Cash inflows from operations-discontinued operations | — | 2,540,500 | |||||||||||||
| Net cash used in investing activities | (37,142,689 | ) | (3,026,400 | ) | |||||||||||
| Cash outflows from investing activities-continuing operations | (37,142,689 | ) | (3,026,400 | ) | |||||||||||
| Net cash provided by (used in) financing activities | (40,081,359 | ) | (68,539 | ) | |||||||||||
| Cash inflows (outflows) from financing activities-continuing operations | (40,081,359 | ) | (68,539 | ) | |||||||||||
| Net increase (decrease) in cash | $ | 480,731 | $ | (1,326,813 | ) | ||||||||||
