YSX Tech Co., Ltd Announces Unaudited Financial Results for the Six Months Ended September 30, 2025
Rhea-AI Summary
YSX Tech (NASDAQ: YSXT) reported unaudited results for the six months ended September 30, 2025: revenue $41.0M (+20.2%), net income $2.7M (+39.0%), and gross profit $4.0M. Auto insurance aftermarket services drove growth with ~3.0M service calls (+42.8%). Cash was ~$0.3M and working capital ~$32.4M.
Positive
- Total revenue +20.2% to $41.0 million
- Net income +39.0% to $2.7 million
- Auto aftermarket revenue +39.5% to $39.4 million
- Service volume +42.8% to ~3.0 million calls
Negative
- Cost of revenue +21.4% to $37.0 million
- Other scenario-based services revenue -71.3% to $1.6 million
- Software and IT services revenue -86.6% to $0.4 million
- Cash and cash equivalents only ~$0.3 million as of Sept 30, 2025
Key Figures
Market Reality Check
Peers on Argus
YSXT gained 11.32% while key peers in Specialty Business Services were flat to down (e.g., DLHC -0.53%, TISI -2.42%), pointing to stock-specific reaction to earnings.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jul 31 | Full-year earnings | Neutral | -0.3% | FY 2025 revenue up but net income and gross margin declined versus prior year. |
| Feb 24 | Interim earnings | Neutral | +1.4% | H1 2024 revenue and volume rose while net income and margins weakened. |
Past earnings for YSXT prompted only small share-price moves despite mixed fundamentals. Today’s stronger positive reaction to improved net income breaks from that historically muted pattern.
Recent earnings history shows YSXT growing revenue but facing margin pressure. In Feb 2024, H1 2024 revenue rose, yet net income fell and margins compressed. In Jul 2025, FY 2025 revenue again increased, but net income declined and gross margin narrowed. The current H1 2025 results mark a shift, with both revenue and net income rising. Compared with these earlier mixed outcomes, today’s announcement highlights improved profitability alongside continued scale in auto insurance aftermarket services.
Historical Comparison
In the past year, YSXT’s earnings headlines moved the stock by an average of 0.89%. Today’s 11.32% gain represents a materially stronger reaction than prior earnings updates.
Across recent earnings, YSXT consistently expanded auto insurance aftermarket revenue but previously saw net income and margins under pressure. The latest H1 2025 results show revenue growth accompanied by a 39.0% net income increase, indicating improving profitability versus earlier mixed outcomes.
Market Pulse Summary
This announcement highlights solid top-line growth to $41.0 million and a 39.0% increase in net income to $2.7 million, driven largely by auto insurance aftermarket services and a 42.8% rise in service volume. However, gross margin slipped and smaller segments contracted sharply. Regulatory filings show cash of roughly $0.3 million and significant prior operating cash outflows, set against shareholders’ equity above $30 million. Investors may watch future margins, cash flow trends, and execution on new partnerships.
Key Terms
variable interest entities regulatory
auto insurance aftermarket value-added services technical
supply chain finance financial
initial public offering financial
AI-generated analysis. Not financial advice.
GUANGZHOU, China, Feb. 03, 2026 (GLOBE NEWSWIRE) -- YSX TECH. CO., LTD (NASDAQ: “YSXT”) (the “Company”), a Cayman Islands exempted company that, through its variable interest entities in China, provides comprehensive business solutions mainly for insurance companies and brokerages in China, today announced its unaudited financial results for the six months ended September 30, 2025.
Financial Highlights for the Six Months Ended September 30, 2025
- Total revenue increased by
20.2% to approximately$41.0 million , compared to approximately$34.1 million for the same period in the prior year. - Gross profit increased by
10.6% to approximately$4.0 million , compared to approximately$3.6 million for the same period in the prior year. - Net income increased by
39.0% to approximately$2.7 million , compared to approximately$1.9 million for the same period in the prior year. - Total volume for auto insurance aftermarket value-added services increased by
42.8% to approximately 3.0 million service calls for the same period in the prior year.
| 2025 | 2024 | Variance | |||||||||||||||||
| In USD million except percentages, differences due to rounding. | Amount | % of revenue | Amount | % of revenue | % | ||||||||||||||
| Total Revenue | $ | 41.0 | 100.0 | % | $ | 34.1 | 100.0 | % | 20.2 | % | |||||||||
| Cost of revenues | (37.0 | ) | (90.3 | )% | (30.5 | ) | (89.4 | )% | 21.4 | % | |||||||||
| Gross profit | 4.0 | 9.7 | % | 3.6 | 10.6 | % | 10.6 | % | |||||||||||
| Total operating expenses | 1.1 | 2.6 | % | 1.2 | 3.6 | % | (14.2 | )% | |||||||||||
| Income from operations | 2.9 | 7.9 | % | 2.4 | 6.9 | % | 23.7 | % | |||||||||||
| Net income | $ | 2.7 | 6.5 | % | 1.9 | 5.7 | % | 39.0 | % | ||||||||||
“We are pleased to report our growth in both revenue and net income for the six months ended September 30, 2025,” said Mr. Jie Xiao, the CEO of the Company. “Our strategic focus on deepening relationships with insurance brokerages has yielded positive results, driving a
“We believe that the results demonstrate the scalability of our platform and the strength of our insurer and brokerage partnerships. New contract acquisitions and greater utilization of value-added services, including, inspections, risk screening, rescue and maintenance services also facilitated our growth during the reporting period.
“Looking ahead, the Company is focused on converting recent strategic initiatives into revenue and margin gains. New commercial collaborations, including the strategic alliance aimed at enhancing auto insurance and supply chain finance capabilities with Huijian Information Technology Co., Ltd., as well as our previously announced partnership with a car distributor targeted at building a technology-oriented physical automotive service platform, are expected to expand our market presence, broaden insurance and financing solutions, and generate additional cross‑selling opportunities for both the Company and our partners,” Mr. Xiao added.
Financial Results for the Six Months Ended September 30, 2025
Revenue
Total revenue was approximately
- Auto Insurance Aftermarket Value-Added Services
Revenue increased by39.5% to approximately$39.4 million , accounting for96.0% of the Company’s total revenue. The increase was fueled by growth in service volume by approximately 899,096 service calls, or42.8% , from about 2.1 million calls in the six months ended September 30, 2024 to about 3.0 million calls in the six months ended September 30, 2025. In particular, revenue from vehicle driving risk screening services increased by40.7% to approximately$35.7 million , and revenue from vehicle maintenance and other value-added services increased by61.1% to approximately$1.4 million .
- Other Scenario-Based Customized Services
Revenue decreased by71.3% to approximately$1.6 million in the six months ended September 30, 2025, primarily due to a reduction in the number of customers of the services from 17 customers in the six months ended September 30, 2024 to five customers in the six months ended September 30, 2025.
- Software Development and Information Technology Services
Revenue decreased by86.6% to approximately$400,000 from approximately$0.3 million , reflecting decreases in both customer count and average service price.
Cost of Revenue
Total cost of revenue for the six months ended September 30, 2025 increased by
Gross Profit and Margin
Gross profit increased by
Operating Expenses
Total operating expenses decreased by
- Selling expenses decreased by
11.8% to approximately$600,000 , primarily due to lower salary and benefit expenses. - General and administrative expenses decreased by
16.4% to approximately$0.9 million . This reduction was largely driven by a35.5% decrease in professional and consulting fees following the completion of the Company's initial public offering, partially offset by increased office and salary expenses related to the Company’s business expansion. - Research and development expenses increased by
5.0% to approximately$0.12 million , reflecting the Company’s continued investment in software optimization.
Net Income
As a result of the foregoing, net income was approximately
Liquidity
As of September 30, 2025, the Company had cash and cash equivalents of approximately
About YSX TECH. CO., LTD
YSX TECH. CO., LTD is a Cayman Islands exempted company that, through its variable interest entities in China, provides comprehensive business solutions mainly for insurance companies and brokerages in China. The Company possesses in-depth knowledge of the Chinese insurance industry accumulated from years of servicing customers, and specializes in auto insurance aftermarket value-added services, software development and information technology services, as well as other scenario-based customized services, such as products and customer development services. For more information please visit: https://ir.ysxtechcay.com and https://www.ysxnet.com.
Forward-Looking Statement
This press release contains forward-looking statements. 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 uncertainties related to market conditions and other factors discussed in the Company’s filings with the United States Securities and Exchange Commission, which are available for review at www.sec.gov. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.
For more information, please contact:
YSX Tech. Co., Ltd
marketing@ysxnet.com
+86 (20) 2984 2002
Investor Relations
WFS Investor Relations Inc.
Email: services@wealthfsllc.com
Phone: +1 628 283 9214
| YSX TECH. CO., LTD AND ITS SUBSIDIARIES CONSOLIDATED BALANCE SHEETS | ||||||||
| As of | ||||||||
| September 30, 2025 | March 31, 2025 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| Current Assets | ||||||||
| Cash | $ | 319,103 | $ | 7,105,085 | ||||
| Accounts receivable, net of credit loss of | 26,060,151 | 17,606,279 | ||||||
| Accounts receivable, net, related parties | 9,517,048 | 5,381,535 | ||||||
| Advances to vendors | 9,007,720 | 9,400,197 | ||||||
| Due from related parties | 717,836 | 198,611 | ||||||
| Other current assets | 1,379,450 | 929,680 | ||||||
| Total current assets | 47,001,308 | 40,621,387 | ||||||
| Property and equipment, net | 165,415 | 194,878 | ||||||
| Right-of-use operating lease assets | 392,163 | 144,535 | ||||||
| Deferred tax assets | 235,086 | 140,377 | ||||||
| Total non-current assets | 792,664 | 479,790 | ||||||
| TOTAL ASSETS | 47,793,972 | 41,101,177 | ||||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Current liabilities | ||||||||
| Short-term bank loans | 4,743,644 | 4,131,354 | ||||||
| Current portion of long-term loans | 98,328 | 578,775 | ||||||
| Accounts payable | 3,669,874 | 2,258,129 | ||||||
| Deferred revenue | 1,523 | 1,007 | ||||||
| Taxes payable | 3,947,648 | 3,274,881 | ||||||
| Due to related parties | 173,712 | 141,235 | ||||||
| Operating lease liabilities, current | 134,994 | 93,719 | ||||||
| Accrued expense and other current liabilities | 1,795,567 | 1,651,681 | ||||||
| Total current liabilities | 14,565,290 | 12,130,781 | ||||||
| Operating lease liabilities, non-current | 285,360 | 66,926 | ||||||
| Long-term loans | 2,107,038 | 1,281,574 | ||||||
| Total non-current liabilities | 2,392,398 | 1,348,500 | ||||||
| Total liabilities | 16,957,688 | 13,479,281 | ||||||
| Commitments and contingencies | ||||||||
| Shareholders’ equity | ||||||||
| Ordinary shares, | ||||||||
| Class A ordinary shares, | 2,226 | 2,226 | ||||||
| Class B ordinary shares, | 118 | 118 | ||||||
| Additional paid-in capital | 10,420,096 | 10,420,096 | ||||||
| Statutory reserve | 1,145,692 | 908,214 | ||||||
| Retained earnings | 20,017,480 | 17,575,571 | ||||||
| Accumulated other comprehensive loss | (749,328 | ) | (1,284,329 | ) | ||||
| Total shareholders’ equity | 30,836,284 | 27,621,896 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 47,793,972 | $ | 41,101,177 | ||||
| YSX TECH. CO., LTD AND ITS SUBSIDIARIES UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||
| For the six months ended September 30, | ||||||||
| 2025 | 2024 | |||||||
| Revenue | ||||||||
| Revenue | $ | 29,263,334 | $ | 24,747,746 | ||||
| Revenue, related parties | 11,728,470 | 9,346,622 | ||||||
| Total revenue | 40,991,804 | 34,094,368 | ||||||
| Cost of revenue | 37,010,330 | 30,493,854 | ||||||
| Gross profit | 3,981,474 | 3,600,514 | ||||||
| Operating expenses: | ||||||||
| Selling and marketing | 58,604 | 66,471 | ||||||
| General and administrative | 889,714 | 1,064,198 | ||||||
| Research and development | 119,339 | 113,652 | ||||||
| Total operating expenses | 1,067,657 | 1,244,321 | ||||||
| Income from operations | 2,913,817 | 2,356,193 | ||||||
| Other income (expenses) | ||||||||
| Interest expense | (114,206 | ) | (62,438 | ) | ||||
| Interest income | 195 | 654 | ||||||
| Investment income | — | 20,282 | ||||||
| Other income | 452,162 | 64,598 | ||||||
| Other non-operating expenses | (66,239 | ) | (17,393 | ) | ||||
| Total other income (expenses), net | 271,912 | 5,703 | ||||||
| Income before income tax provisions | 3,185,729 | 2,361,896 | ||||||
| Provision for income taxes | 506,342 | 434,701 | ||||||
| Net income | 2,679,387 | 1,927,195 | ||||||
| Other comprehensive income | ||||||||
| Foreign currency translation adjustment | 535,001 | 603,745 | ||||||
| Comprehensive income | $ | 3,214,388 | $ | 2,530,940 | ||||
| Earnings per share- basic and diluted | $ | 0.11 | $ | 0.09 | ||||
| Weighted average number of ordinary shares- basic and diluted | 23,437,500 | 22,000,000 | ||||||
FAQ
What were YSXT results for the six months ended September 30, 2025?
How did YSXT's auto insurance aftermarket business perform in H1 2025?
Why did YSXT's gross margin decline in the six months ended September 30, 2025?
What declines did YSXT report in other business lines for H1 2025?
Is YSXT's liquidity sufficient through the next 12 months?
