Taoping Targets FY26 Sales of Approximately US$27 Million from Smart Agriculture

Rhea-AI Summary

Taoping Inc. (NASDAQ: TAOP) announced ambitious sales targets for its smart agriculture business, aiming to achieve RMB 200 million (US$27 million) in annual sales by 2026. The company plans to expand its cooperation with Mengla County Agricultural Reclamation Group, increasing the planting area to 500 acres from the current 75 acres.

The expansion builds on a previously announced February 2025 initiative targeting 3,500 acres by 2027, with projected annual output of RMB 600 million (US$82.5 million). The company is implementing advanced technologies including drones, AI, big data, and IoT to enhance operational efficiency. Early 2025 trial vegetable crops have already shown promising results, leading to three additional land lease agreements.

Positive

• Significant expansion planned from 75 to 500 acres in smart agriculture operations
• Implementation of advanced technologies (drones, AI, big data, IoT) for operational efficiency
• Successful early trial results leading to three new land lease agreements
• Creation of several thousand flexible jobs
• Strong government support with land, policy, and technical resources

Negative

• Ambitious sales targets require substantial scaling from current operations
• Execution risks in managing rapid agricultural expansion
• Heavy dependence on partnership with local government entities

Insights

Financial Analyst

Taoping's expansion in smart agriculture signals diversification with concrete revenue targets, though execution challenges remain amid ambitious growth plans.

Taoping's strategic pivot into smart agriculture represents a significant diversification effort with tangible revenue projections. The company has set a target of RMB 200 million ($27 million) in annual sales from this segment by 2026, with plans to expand planting areas from 75 acres to 500 acres in the immediate term. The longer-term vision is even more ambitious, targeting 3,500 acres with projected annual output valued at RMB 600 million ($82.5 million) by 2027.

The expansion follows what management describes as successful trial crops in early 2025, which appears to have validated their agricultural business model. This strategic partnership with Mengla County entities provides Taoping with critical resources including land, policy support, and technical expertise – essential elements for scaling agricultural operations.

What's particularly noteworthy is Taoping's technology-driven approach, integrating drones, AI, big data, and IoT into agricultural operations. This tech-forward methodology could potentially create competitive advantages in production efficiency and crop yields, though implementation complexities shouldn't be underestimated.

While the revenue projections are promising, investors should note the significant scaling required – moving from 75 acres to 3,500 acres represents a 4,567% increase in land under management. Such rapid expansion carries substantial execution risks, including operational challenges in maintaining quality and efficiency at scale. The creation of "several thousand flexible jobs" also suggests significant labor management complexity ahead.

SHENZHEN, China, Aug. 4, 2025 /PRNewswire/ -- Taoping Inc. (Nasdaq: TAOP, the "Company"), a provider of innovative smart cloud platform services and solutions, today announced that it is targeting annual sales of approximately RMB 200 million (approximately US$27 million) in 2026 from an expanded cooperation in smart agriculture between its subsidiary, Taoping Industrial (Yunnan) Co., Ltd. ("Taoping Yunnan") and Mengla County Agricultural Reclamation Group Co., Ltd. and its subsidiary Mengla County Mengman Farm Co., Ltd (collectively, "Mengla").

Under the expanded cooperation, Taoping Yunnan and Mengla plan to increase the total planting area to 500 acres from the current nearly 75 acres, with the creation of several thousand flexible jobs. To achieve their ambitious goals, Taoping Yunnan and Mengla are leveraging advanced technologies, including enhanced drones, artificial intelligence (AI), big data and the Internet of Things, to enhance production and operational efficiency.

As previously announced in February 2025, the Company and the Government of Mengla County, Yunnan Province planned to promote high-quality development of the local agricultural industry and were targeting an expansion of their planting base in Mengla County, Xishuangbanna Prefecture, Yunnan Province to 3,500 acres, with 2027 projected annual output valued at RMB 600 million (US$82.5 million). 

Mr. Jianghuai Lin, Chairman and CEO of Taoping, said, "Our strategic partnership with Mengla has already delivered strong results. With their support in land, policy, and technical resources, our trial vegetable crops in early 2025 achieved excellent production and sales. These results validate the growth potential of our agricultural business and have led us to sign three additional land lease agreements with Mengla, significantly expanding our demonstration planting base and positioning us for accelerated revenue growth in this sector."

About Mengla County, Yunnan Province

Mengla County is located in the southeastern part of Yunnan Province, China, bordering Laos to the south. It is part of the Xishuangbanna Dai Autonomous Prefecture and is known for its tropical rainforest, rich biodiversity, and ethnic diversity, with significant Dai, Hani, and Yi populations. The county is home to parts of the Xishuangbanna National Nature Reserve, which protects endangered species like Asian elephants and gibbons. Mengla serves as an important trade hub between China and Laos, with the Mohan border crossing being a key point for cross-border commerce. The region's economy is driven by tourism, agriculture (notably tea and rubber plantations), and trade.

About Taoping Inc.

Taoping Inc. (Nasdaq: TAOP) has a long history of successfully leveraging technology in the development of innovative solutions to help customers in both the private and public sectors to more effectively communicate and market to their desired targets. The Company has built a far-reaching city partner ecosystem and comprehensive portfolio of high-value, high-traffic areas for its products, which are aligned together with Taoping's smart cloud platform, cloud services and solutions, new media and artificial intelligence. For more information about Taoping, please visit http://en.taop.com.  You can also follow us on X.

Safe Harbor Statement

This press release contains "forward-looking statements" that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, such as statements regarding our estimated future results of operations and financial position, our strategy and plans, and our objectives or goals, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. We have attempted to identify forward-looking statements by terminology including "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "should," or "will" or the negative of these terms or other comparable terminology. Our actual results may differ materially or perhaps significantly from those discussed herein, or implied by, these forward-looking statements. There are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including: our potential inability to achieve or sustain profitability or reasonably predict our future results, the effects of the global pandemic or other health crisis, the emergence of additional competing technologies, changes in domestic and foreign laws, regulations and taxes, uncertainties related to China's legal system and economic, political and social events in China, the volatility of the securities markets; and other risks including, but not limited to, those that we discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 20-F as well as in our other reports filed or furnished from time to time with the SEC. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.

 

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SOURCE Taoping Inc.

FAQ

What is Taoping's (NASDAQ:TAOP) revenue target for FY2026 from smart agriculture?

Taoping is targeting annual sales of approximately RMB 200 million (US$27 million) in 2026 from its smart agriculture business.

How many acres does Taoping plan to expand its agricultural operations to by 2026?

Taoping plans to increase its total planting area to 500 acres from the current 75 acres through its partnership with Mengla.

What technologies is Taoping (TAOP) using in its smart agriculture business?

Taoping is leveraging advanced technologies including enhanced drones, artificial intelligence (AI), big data, and the Internet of Things to enhance production and operational efficiency.

What is Taoping's longer-term agricultural expansion target for 2027?

Taoping is targeting an expansion to 3,500 acres by 2027, with projected annual output valued at RMB 600 million (US$82.5 million).

How successful have Taoping's initial agricultural trials been?

According to the company, their trial vegetable crops in early 2025 achieved excellent production and sales, leading to three additional land lease agreements with Mengla.