Big Tree Cloud Holdings Limited Announces AI Business Expansion, Key Management Appointments and Changes

Rhea-AI Summary

Big Tree Cloud (NASDAQ: DSY) announced an expansion into new AI business lines, senior management changes, and strategic talent appointments on January 2, 2026. The company said it will restructure relevant teams, appointed Xiaoxuan Zhu as director and Co-CEO alongside Wenquan Zhu, and noted the resignation of director Yumao Huang (director since March 2024). The company named Hu Huang Director of Technology for its AI Ecosystem Division and signed a strategic cooperation letter of intent with AI expert Canming Wang (top‑50 Kaggle competitor).

The company emphasized strategic planning, AI project execution, talent recruitment, and operational optimization to support long‑term growth.

Positive

• Xiaoxuan Zhu appointed Co-CEO and director (effective Jan 2, 2026)
• Hu Huang named Director of Technology, 19 years industry experience
• Signed letter of intent with Canming Wang, top‑50 Kaggle competitor
• Company announced expansion into new AI business lines

Negative

• Director Yumao Huang resigned (served since March 2024)
• Company announced a team restructuring, implying internal transition

Key Figures

Net loss US$32.5 million Year ended June 30, 2025 (Form 20-F)

Operating cash flow US$6.5 million outflow Year ended June 30, 2025 (Form 20-F)

Registered direct offering $5.0 million Gross proceeds from offering closed Sep 30, 2025

Shares sold in offering 8,064,516 ordinary shares Registered direct offering around Sep 30, 2025

Prospectus offer price $0.04 per Ordinary Share Prospectus supplement filed Sep 30, 2025

Estimated net proceeds $4.47 million After fees and expenses in Sep 30, 2025 offering

Total debt $5,096,485 As disclosed in Sep 30, 2025 prospectus supplement

AI experience 19 years Technology leader’s experience in technology service systems

Market Reality Check

$0.2950 Last Close

Volume Volume 121,168 is below the 20-day average of 150,125, suggesting limited pre-news positioning. normal

Technical Shares at $0.2725 are trading below the 200-day MA of $1.07 and near the 52-week low of $0.24.

Peers on Argus

DSY was down 2.68% pre-news while peers were mixed: GROV +0.92%, ACU +1.21%, EWCZ +0.84%, UG +0.24%, WALD -3.59%, indicating stock-specific pressures rather than a sector move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 21	Nasdaq deficiency notice	Negative	-3.0%	Nasdaq minimum bid price noncompliance notice and potential delisting risk.
Oct 30	Annual report filing	Neutral	-1.9%	Filing of Form 20-F for fiscal year ended June 30, 2025.
Sep 30	Offering closing	Negative	-2.8%	Closing of <b>$5.0M</b> registered direct equity financing.
Sep 29	Offering pricing	Negative	-16.4%	Pricing of <b>$5.0M</b> registered direct offering at <b>$0.62</b> per share.
Jul 14	Nasdaq compliance regained	Positive	+5.8%	Regained compliance with Nasdaq MVPHS listing standard of <b>$15,000,000</b>.

Pattern Detected

Recent history shows DSY selling off on dilution and compliance setbacks, while positive listing-status news drew a favorable reaction, suggesting sensitivity to capital structure and Nasdaq listing risk.

Recent Company History

Over the past six months, Big Tree Cloud navigated multiple capital and listing milestones. A $5.0 million registered direct offering at $0.62 per share in late September 2025 led to share-price declines. In July 2025, the company regained compliance with Nasdaq’s $15,000,000 MVPHS requirement, which was followed by a 5.82% gain. However, a later Nasdaq notice in November 2025 on minimum bid price deficiency saw shares fall 3.04%. Routine filings, including the 2025 Form 20‑F, were met with modest negative reactions.

Market Pulse Summary

This announcement highlights Big Tree Cloud’s move into new AI business lines and the appointment of leaders to oversee strategic planning and technical infrastructure. In the past year, the company disclosed a US$32.5 million net loss, negative operating cash flow, and conducted a $5.0 million equity offering, underscoring balance sheet and dilution considerations. Investors may watch how the AI initiatives translate into operating metrics alongside ongoing Nasdaq listing compliance requirements and capital-raising history.

Key Terms

ai ecosystem division technical

"Mr. Hu Huang will serve as Director of the Technology Department of the AI Ecosystem Division"

An AI ecosystem division is a dedicated business unit within a company that builds and coordinates the tools, services, partnerships and products around artificial intelligence—like a neighborhood planner bringing together roads, shops and utilities so residents can live and work together. For investors it signals where a firm is concentrating AI-related revenue, talent and partnerships; its success affects future growth, recurring sales and competitive advantage, as well as the costs and risks of scaling AI offerings.

data science technical

"Kaggle, the world's largest data science community and AI model competition platform"

Data science uses tools from statistics and programming to collect, clean and analyze large amounts of information so people can spot patterns, test ideas and make predictions. For investors, it’s like turning a stack of receipts into a clear map: it helps identify sales trends, customer behavior and risks more quickly and reliably, so companies that apply data science can make decisions that affect revenue, costs and future value.

artificial intelligence technical

"strong technical depth in data science and artificial intelligence."

Artificial intelligence is the ability of computers and machines to perform tasks that typically require human thinking, such as understanding language, recognizing patterns, or making decisions. For investors, it matters because AI can enhance efficiency, uncover new insights, and enable smarter strategies, potentially impacting the value and performance of companies that develop or utilize this technology.

AI-generated analysis. Not financial advice.

SHENZHEN, China, Jan. 2, 2026 /PRNewswire/ -- Big Tree Cloud Holdings Limited (the "Company", or "Big Tree Cloud") (NASDAQ: DSY) today announced its expansion into new AI business lines and the appointment of key talents to support its long-term growth strategy.

Due to business adjustments, the Company has decided to restructure the relevant teams. Mr. Yumao Huang has stepped down from the Board of Directors (the "Board"). Mr. Huang has served as a director of the Company since March 2024. His resignation is not a result of any disagreement with management of the Company or the Board, and there is no matter relating to his resignation that needs to be brought to the attention of the Company's shareholders.

Ms. Xiaoxuan Zhu will serve as a director to the Board and Co-Chief Executive Officer of the Company, along with Mr. Wenquan Zhu. Ms. Zhu holds a Bachelor of Laws in Sociology from Peking University and is pursuing her Master's degree in Management at The University of Chicago Booth School of Business. She previously interned at the Corporate Planning Department of Guangdong Dashuyun Investment Holding Group Co., Ltd., a subsidiary of the Company, supporting corporate planning and corporate social responsibility initiatives. Ms. Zhu will focus on the Company's overall strategic planning, AI-related project planning and execution, talent architecture design, and cross-functional coordination to build a scalable, technology-driven business operations system.

Mr. Hu Huang will serve as Director of the Technology Department of the AI Ecosystem Division, where he will be responsible for strengthening the Company's AI technical infrastructure and supporting the scaling of AI-driven operations. Mr. Huang has 19 years of extensive experience in building technology service systems for leading technology companies and has previously held key positions at VIPKID, Alibaba Group, and JD.com.

The Company has signed a strategic cooperation letter of intent with Mr. Canming Wang, an expert in AI technology, as part of its AI business planning. Mr. Wang is ranked among the top 50 competitors globally on Kaggle, the world's largest data science community and AI model competition platform. He has achieved an outstanding record of 7 gold medals, 39 silver medals, and 18 bronze medals, demonstrating strong technical depth in data science and artificial intelligence.

Mr. Wenquan Zhu, Chairman of the Board and Co-Chief Executive Officer of the Company, stated: "Driven by deep insights into technological trends and the future of the industry, we are actively expanding our AI business. Our aim is to seize opportunities in the next wave of technological and industrial transformation, achieving long-term, sustainable value creation. To this end, we will focus on operational optimization, strategic execution, and prudent capital allocation. We are also actively recruiting top talent in the AI field to provide robust support for our business development."

About Big Tree Cloud

Founded in 2020, Big Tree Cloud is positioned as an international capital platform focused on industrial integration and strategic investment in China's personal care industry. The Company is committed to empowering industries through capital operations. Currently, Big Tree Cloud is accelerating its expansion into the AI sector. This new business line aims to capture the growing market demand for AI skills, injecting fresh momentum into the Company's development.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the U.S. federal securities laws. These statements involve risks and uncertainties and relate to, among other things, the Company's future business development, growth strategies, and operational plans. Actual results may differ materially from those expressed or implied in such forward-looking statements. The Company undertakes no obligation to update any forward-looking statements, except as required by law.

Investor Relations Contact
Ting Yan
Phone: +86 15986815865
Email: yanting@bigtreeclouds.com 

View original content:https://www.prnewswire.com/news-releases/big-tree-cloud-holdings-limited-announces-ai-business-expansion-key-management-appointments-and-changes-302651724.html

SOURCE Big Tree Cloud Holdings Limited

FAQ

What did Big Tree Cloud (DSY) announce on January 2, 2026?

Big Tree Cloud announced expansion into new AI business lines, management appointments, and team restructuring.

Who is the new Co-CEO and director of Big Tree Cloud (DSY)?

Xiaoxuan Zhu was appointed Co-CEO and director, joining Co-CEO Wenquan Zhu.

Why did director Yumao Huang leave Big Tree Cloud (DSY)?

The company said Mr. Yumao Huang resigned due to business adjustments and not due to any disagreement.

What AI hiring or partnerships did Big Tree Cloud (DSY) announce?

The company named Hu Huang Director of Technology and signed an LOI with AI expert Canming Wang.

How will Big Tree Cloud (DSY) use new management for its AI strategy?

Management will focus on strategic planning, AI project execution, talent architecture, and cross‑functional coordination.

Does Big Tree Cloud (DSY) report financial guidance or revenue from the AI expansion?

No financial figures or guidance were disclosed in the announcement.