High-Trend International Group Announces Nearly 98% Revenue Growth for Fiscal Year 2025 and Stronger Balance Sheet
Rhea-AI Summary
High-Trend International Group (NASDAQ: HTCO) reported fiscal 2025 results for year ended October 31, 2025, with total revenue of approximately $214.4 million, up ~98% YoY, driven by expanded coal transportation and fleet deployment.
Ocean freight revenue rose to $214.0 million (+103% YoY) and total voyage days increased to 7,470. Operating cash flow turned positive at $4.6 million and cash and cash equivalents grew to $10.1 million. The company reported a net loss of $20.1 million, largely from $21.9 million of share-based compensation; prior-year convertible-note fair-value losses did not recur. Equity and cash positions strengthened versus fiscal 2024.
Positive
- Total revenue +98% year-over-year to $214.4 million
- Ocean freight revenue +103% year-over-year to $214.0 million
- Total voyage days rose to 7,470 in fiscal 2025
- Operating cash flow turned positive at $4.6 million
- Cash and cash equivalents increased to $10.1 million
Negative
- Net loss of $20.1 million in fiscal 2025
- Share-based compensation of $21.9 million materially drove losses
- Accumulated deficit widened to $51.4 million on balance sheet
Key Figures
Market Reality Check
Peers on Argus
HTCO was down 4.28% pre-news. Several marine shipping peers were also lower, including GLBS (-1.73%), PSHG (-3.1%), USEA (-1.6%) and EDRY (-0.15%), while CTRM rose 0.48%, suggesting a mostly sector-wide soft tone.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 12 | Executive appointment | Positive | +5.0% | Appointment of CCMO to lead capital markets and strategic financing efforts. |
| Nov 07 | Strategic financing | Neutral | -0.5% | Up to $20M financing facility with initial $3M tranche for digital initiatives. |
| Oct 30 | Policy tailwind | Positive | +16.6% | U.S.-China Section 301 tariff suspension viewed as direct operational benefit. |
| Oct 23 | Operational response | Neutral | -12.0% | Route and vessel adjustments to manage new U.S.-China port fee policy. |
| Aug 28 | Share repurchase plan | Positive | -4.1% | Announcement of up to $5M Class A share buyback through Aug 2027. |
Recent HTCO news has produced mixed reactions, with some positive catalysts drawing strong gains and others, including buyback and financing items, seeing muted or negative follow-through.
Over the past six months, HTCO has combined strategic actions with capital markets activity. A tariff suspension on Oct 30, 2025 drove a strong 16.65% gain, while an operational response to new port fees on Oct 23, 2025 coincided with a -12.02% move. A $5.0 million buyback announcement on Aug 28, 2025 and a November financing agreement produced modest or negative reactions. The January 2026 CCMO appointment saw a 5% rise. Today’s earnings fit into a narrative of operational scaling alongside ongoing capital structure evolution.
Regulatory & Risk Context
HTCO has an active Form F-3 shelf (filed Nov 24, 2025) allowing offerings of up to $400,000,000 in various securities, with proceeds earmarked for working capital, corporate purposes, possible debt actions and acquisitions. The shelf had no recorded usage in the provided data, but it represents capacity for future capital raises.
Market Pulse Summary
This announcement highlights a sharp scale-up in HTCO’s shipping operations, with fiscal 2025 revenue reaching US$214.4 million and voyage days climbing to 7,470. Operating cash flow turned positive at US$4.6 million, yet the company still reported a US$20.1 million net loss driven by US$21.9 million in share-based compensation. Investors may track how management balances growth, equity incentives, and use of its $400,000,000 shelf while working toward sustained profitability.
Key Terms
convertible notes financial
operating cash flow financial
non-controlling interest financial
operating lease right-of-use assets financial
deferred tax liability financial
AI-generated analysis. Not financial advice.
- Total revenue soared
98% year-over-year to approximatelyUS in fiscal year 2025$214.4 million - Ocean freight revenue jumped
103% year-over-year, with total voyage days more than doubling - Operating cash flow turned positive at approximately
US $4.6 million - Cash and cash equivalents increased to approximately
US as of October 31, 2025$10.1 million
Revenue and volume growth
For the fiscal year ended October 31, 2025, High-Trend's total revenue increased to approximately
Ocean freight revenue increased to approximately
Stronger cash position
The Company generated net cash provided by operating activities of approximately
Net loss primarily driven by non-cash items
High-Trend reported a net loss of approximately
By contrast, non-cash losses related to the Company's convertible notes that significantly impacted the prior year did not recur in fiscal 2025. In fiscal 2024, the Company recorded a non-cash loss of approximately
Management commentary
"Our fiscal 2025 results clearly demonstrate that High-Trend has successfully scaled its core shipping business, nearly doubling revenue year-over-year while strengthening our cash position and book value per share," said Christopher Nixon Cox, Chairman of High-Trend International Group. "Although we reported a net loss in 2025, this was primarily driven by non-cash share-based compensation, as we chose to incentivize management and partners with equity rather than cash. From a cash perspective, our operations delivered positive cash flow and a significantly stronger balance sheet."
He continued, "Looking ahead, we intend to continue focusing on high-demand trade lanes and disciplined cost management, while optimizing our capital structure and equity-based incentives to align long-term shareholder value with operational performance."
HIGH-TREND INTERNATIONAL GROUP AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENT OF OPERATIONS | ||||||||||||
For the years ended October 31, | ||||||||||||
2025 | 2024 | 2023 | ||||||||||
Revenue | ||||||||||||
Ocean freight revenue | $ | 213,993,072 | $ | 105,387,225 | $ | 94,523,562 | ||||||
Vessel service revenue and others | 422,840 | 2,789,458 | 733,976 | |||||||||
Total revenue | 214,415,912 | 108,176,683 | 95,257,538 | |||||||||
Cost of revenues | 207,612,961 | 100,076,361 | 107,142,741 | |||||||||
Gross profit (loss) | 6,802,951 | 8,100,322 | (11,885,203) | |||||||||
Operating expenses: | ||||||||||||
Share-based compensation | 21,922,261 | 1,200,562 | - | |||||||||
General and administrative expenses | 4,792,925 | 4,595,206 | 3,742,728 | |||||||||
Total operating expenses | 26,715,186 | 5,795,768 | 3,742,728 | |||||||||
(Loss) income from operations | (19,912,235) | 2,304,554 | (15,627,931) | |||||||||
Other income (expense) | ||||||||||||
Interest income | 60,833 | 3,444 | 7,738 | |||||||||
Interest expense | (45,935) | (90,203) | (112,022) | |||||||||
Change in fair value of convertible notes | - | (23,213,031) | - | |||||||||
Loss on settlement of convertible notes | - | (306,793) | - | |||||||||
Other income (expense), net | (203,984) | 91,318 | (42,947) | |||||||||
Total other expense, net | (189,086) | (23,515,265) | (147,231) | |||||||||
Loss before income taxes | (20,101,321) | (21,210,711) | (15,775,162) | |||||||||
Provision for income taxes | 9,106 | 4,139 | 2,542 | |||||||||
Net loss | (20,110,427) | (21,214,850) | (15,777,704) | |||||||||
Less: Net income (loss) attributable to non-controlling interests | 1,352,335 | 2,382,846 | (6,445,680) | |||||||||
Net loss attributable to the Company | $ | (21,462,762) | $ | (23,597,696) | $ | (9,332,024) | ||||||
Loss per share attributable to the Company - Basic and diluted* | $ | (4.18) | $ | (10.02) | $ | (4.45) | ||||||
Weighted average shares outstanding - Basic and diluted* | 5,470,715 | 2,354,185 | 2,096,971 | |||||||||
* | Retroactively restated for twenty-five-for-one share consolidation on July 16, 2025. |
HIGH-TREND INTERNATIONAL GROUP AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
As of | ||||||||
2025 | 2024 | |||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 10,140,032 | $ | 6,862,970 | ||||
Accounts receivable | 8,651,612 | 7,582,530 | ||||||
Prepayments, prepaid expenses and other current assets | 8,481,387 | 8,078,301 | ||||||
Deferred compensation expense | 1,587,603 | 3,338,719 | ||||||
Due from related parties | 1,428,808 | 3,472 | ||||||
Total Current Assets | 30,289,442 | 25,865,992 | ||||||
Property and equipment, net | 4,767 | 201 | ||||||
Prepayments, prepaid expenses and other non-current assets | 830,389 | 869,779 | ||||||
Deferred compensation expense- non-current | 1,130,476 | 2,447,180 | ||||||
Operating lease right-of-use assets, net | 104,129 | 23,407 | ||||||
Total Assets | $ | 32,359,203 | $ | 29,206,559 | ||||
LIABILITIES AND EQUITY | ||||||||
Current Liabilities: | ||||||||
Current maturity of long-term bank loan | $ | - | $ | 580,076 | ||||
Accounts payable | 1,106,686 | 731,042 | ||||||
Advances from customers | 7,427,910 | 5,784,425 | ||||||
Accrued expenses and other liabilities | 11,018,723 | 6,924,302 | ||||||
Operating lease liability-current | 77,596 | 23,407 | ||||||
Due to related parties | 91,059 | 5,502,907 | ||||||
Taxes payable | 9,213 | 7,756 | ||||||
Total Current Liabilities | 19,731,187 | 19,553,915 | ||||||
Long-term bank loans | - | 916,923 | ||||||
Operating lease liability-noncurrent | 26,533 | - | ||||||
Deferred tax liability | - | 107 | ||||||
Total Liabilities | 19,757,720 | 20,470,945 | ||||||
COMMITMENTS AND CONTINGENCIES (Note 13) | ||||||||
Equity: | ||||||||
Class A Ordinary Shares, | 16,583 | 11,790 | ||||||
Class B Ordinary Shares, | 250 | - | ||||||
Additional paid-in capital | 59,279,198 | 33,904,575 | ||||||
Accumulated deficit | (51,419,154) | (28,553,022) | ||||||
Total Shareholders' Equity | 7,876,877 | 5,363,343 | ||||||
Non-controlling interest | 4,724,606 | 3,372,271 | ||||||
Total Equity | 12,601,483 | 8,735,614 | ||||||
Total Liabilities and Equity | $ | 32,359,203 | $ | 29,206,559 | ||||
* | Retroactively restated for twenty-five-for-one share consolidation on July 16, 2025. Shares and per share data are presented on a retroactive basis to give effect to the reverse recapitalization |
About High-Trend International Group
High-Trend International Group is a global ocean technology company with core businesses in international shipping and marine carbon neutrality.
Forward-Looking Statements
This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are made under the safe harbor provisions of the
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SOURCE High-Trend International Group
FAQ
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