MicroCloud Hologram Inc. Expects Net Profit for the First Half of 2025 to Exceed $33 Million

Rhea-AI Summary

MicroCloud Hologram Inc. (NASDAQ: HOLO) has announced a significant financial turnaround, projecting net profits exceeding $33 million for H1 2025, compared to a $17 million loss in H1 2024. The company, currently holding a $421 million cash reserve, plans major investments in emerging technologies.

HOLO intends to allocate up to $200 million for investments in Bitcoin and other cryptocurrencies, while planning to invest over $400 million in cutting-edge sectors including blockchain, quantum computing, quantum holography, and AI/AR technology development. The company specializes in holographic technology services, including LiDAR solutions, digital twin technology, and advanced driver assistance systems.

Positive

• Significant turnaround with projected H1 2025 net profit exceeding $33 million vs $17 million loss in H1 2024
• Strong cash position with $421 million in reserves
• Strategic investment plans in high-growth technology sectors
• Diversification into cryptocurrency investments with up to $200 million allocation

Negative

• High-risk investment strategy with significant exposure to volatile cryptocurrency markets
• Large capital commitment of over $400 million may strain cash reserves
• Potential deviation from core holographic technology business
• Exposure to regulatory risks in cryptocurrency investments

Insights

Financial Analyst

MicroCloud's dramatic financial turnaround and controversial Bitcoin investment plan create a high-risk, high-reward scenario for investors.

MicroCloud Hologram's preliminary results for H1 2025 reveal a remarkable turnaround - from a $17 million loss in H1 2024 to an expected $33+ million profit. This 294% swing signals a dramatic operational improvement, though investors should note these are still preliminary figures.

The company's substantial $421 million cash reserve provides significant financial flexibility, but their investment plans raise serious questions. The decision to allocate up to $200 million (nearly 48% of total cash) into Bitcoin and cryptocurrency derivatives represents an extremely aggressive allocation into highly volatile assets. This is an unusually large crypto position for a technology service provider focused on holographic technology.

This investment strategy creates a dual-company profile: half technology developer and half crypto investment fund. The company frames this as providing "solid financial support" for R&D, but it effectively transforms HOLO's risk profile. Shareholders are now exposed not just to holographic technology market dynamics but to cryptocurrency volatility as well.

The company's pivot toward quantum computing, quantum holography, and AI appears to be supported by its cash position, but the cryptocurrency allocation potentially diverts significant resources from their core technological development. While the profit turnaround is impressive, the substantial allocation to speculative digital assets fundamentally alters the investment thesis for this company and introduces a new dimension of risk.

SHENZHEN, China, Aug. 13, 2025 (GLOBE NEWSWIRE) -- MicroCloud Hologram Inc. (NASDAQ: HOLO), (“HOLO” or the "Company"), a technology service provider, announced its preliminary financial results for the first half of 2025 . HOLO anticipates a significant turnaround to profitability for the first half of 2025 compared to the same period last year. The company expects net profit for the first half of 2025 to exceed $33 million, compared to a net loss of approximately $17 million in the first half of 2024. The anticipated profit of over $33 million for the first half of 2025 is expected to have a positive impact on the company’s full-year net profit for 2025.

HOLO currently holds a cash reserve of $421 million. The company plans to put its $421 million cash reserve into derivatives and technology development in cutting-edge fields such as Bitcoin-related blockchain, quantum computing, quantum holography, and artificial intelligence AR. This time’s allocated funds, not exceeding $200 million, are primarily used for investing in Bitcoin or other cryptocurrencies with market influence and growth potential, as well as related securities derivatives. The realization of these investment returns not only validates the company’s precise judgment of digital asset value but also provides solid financial support for its technology research and development and business expansion.

About MicroCloud Hologram Inc.

MicroCloud is committed to providing leading holographic technology services to its customers worldwide. MicroCloud’s holographic technology services include high-precision holographic light detection and ranging (“LiDAR”) solutions, based on holographic technology, exclusive holographic LiDAR point cloud algorithms architecture design, breakthrough technical holographic imaging solutions, holographic LiDAR sensor chip design and holographic vehicle intelligent vision technology to service customers that provide reliable holographic advanced driver assistance systems (“ADAS”). MicroCloud also provides holographic digital twin technology services for customers and has built a proprietary holographic digital twin technology resource library. MicroCloud’s holographic digital twin technology resource library captures shapes and objects in 3D holographic form by utilizing a combination of MicroCloud’s holographic digital twin software, digital content, spatial data-driven data science, holographic digital cloud algorithm, and holographic 3D capture technology. MicroCloud focuses on the development of quantum computing and quantum holography, and plans to invest over $400 million in cutting-edge technology sectors, including Bitcoin-related blockchain development, quantum computing technology development, quantum holography development, and the development of derivatives and technologies in artificial intelligence and augmented reality (AR).

For more information, please visit http://ir.mcholo.com/ 

Safe Harbor Statement

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as “may,” “will,” “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate,” or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company’s expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company’s goals and strategies; the Company’s future business development; product and service demand and acceptance; changes in technology; economic conditions; reputation and brand; the impact of competition and pricing; government regulations; fluctuations in general economic; financial condition and results of operations; the expected growth of the holographic industry and business conditions in China and the international markets the Company plans to serve and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the Securities and Exchange Commission (“SEC”), including the Company’s most recently filed Annual Report on Form 10-K and current report on Form 6-K and its subsequent filings. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company’s filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

Contacts
MicroCloud Hologram Inc.
Email: IR@mcvrar.com

FAQ

What is MicroCloud Hologram's (HOLO) projected net profit for H1 2025?

MicroCloud Hologram projects net profits exceeding $33 million for the first half of 2025, compared to a $17 million loss in H1 2024.

How much cash does HOLO currently have and how will they use it?

HOLO has $421 million in cash reserves, planning to invest up to $200 million in cryptocurrencies and over $400 million in cutting-edge technologies including blockchain, quantum computing, and AI/AR.

What are MicroCloud Hologram's main business activities?

MicroCloud Hologram provides holographic technology services including LiDAR solutions, digital twin technology, holographic sensor chip design, and holographic vehicle intelligent vision technology for ADAS systems.

How much is HOLO planning to invest in cryptocurrency and blockchain?

HOLO plans to invest up to $200 million in Bitcoin and other cryptocurrencies with market influence and growth potential, along with related securities derivatives.

What is the expected impact of HOLO's H1 2025 performance on full-year results?

The anticipated profit of over $33 million for H1 2025 is expected to have a positive impact on the company's full-year net profit for 2025.