STOCK TITAN
  1. Home
  2. Sec-filings
  3. CHAI
  4. [6-K] Core AI Holdings, Inc. Current Report (Foreign Issuer)

Core AI Holdings (CHAI) nears breakeven on ads and AI shift

Filing Impact
(Neutral)
Filing Sentiment
(Neutral)
Form Type
6-K

Rhea-AI Filing Summary

Core AI Holdings, Inc. (CHAI) reported strong operating momentum for the quarter ended June 30, 2026, with revenue rising 56% year-over-year to $22.4 million, driven mainly by higher advertising revenue from its mobile games after optimizing advertising placements and user acquisition strategies.

Cost of providing services increased 52% to $22.4 million, but gross loss narrowed sharply to about $11,000 from roughly $397,000, a 97% reduction that brought gross margin close to breakeven. Management links this to improved advertising efficiency and monetization.

Core AI is advancing a strategy to evolve from AI-enabled gaming into a broader AI technology and infrastructure platform, entering four joint venture agreements in the first half of 2026 to pursue high-performance computing and AI data centers in domestic and international markets, including Malaysia, while also expanding products like HomeGPT. Liquidity strengthened meaningfully: cash and cash equivalents were about $12.0 million as of June 30, 2026 versus $1.9 million at December 31, 2025, supported by roughly $5.5 million of operating cash flow and $4.6 million in net proceeds from a private placement. The company cautions that its data-center joint ventures remain at an early stage, with no projects yet presented and no financing commitments secured.

Positive

  • Q2 2026 revenue grew 56% year-over-year to $22.4 million, reflecting stronger advertising performance in the mobile gaming business.
  • Gross loss improved by 97% to roughly $11,000, bringing gross margin close to breakeven as revenue outpaced cost growth.
  • Cash and cash equivalents increased to $12.0 million from $1.9 million over six months, aided by positive operating cash flow of $5.5 million and a $4.6 million private placement.
  • Entered four joint venture agreements to develop high-performance computing and AI data centers, supporting the shift toward AI infrastructure.

Negative

  • Data-center joint ventures are still at an early stage, with no projects yet presented for approval and no financing commitments secured as of June 30, 2026.
  • Gross margin, while much improved, remained slightly negative, with the company still reporting a small gross loss in Q2 2026.
Q2 2026 Revenue $22.4 million Revenue for the second quarter of 2026 increased 56% year-over-year
Q2 2025 Revenue $14.3 million Comparative revenue for the second quarter of 2025
Q2 2026 Cost of Providing Services $22.4 million Increased 52% year-over-year in the second quarter of 2026
Q2 2026 Gross Loss $11,000 (approximately) Improved from a gross loss of about $397,000 in Q2 2025
Q2 2025 Gross Loss $397,000 (approximately) Gross loss for the second quarter of 2025
Cash and Cash Equivalents $12.0 million Balance as of June 30, 2026
Cash and Cash Equivalents $1.9 million Balance at December 31, 2025
Operating Cash Flow (First Six Months 2026) $5.5 million (approximately) Operating cash flow generated during the first six months of 2026
gross margin financial
"Gross margin approached breakeven during the quarter as revenue increased"
Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.
high-performance computing technical
"joint venture agreements focused on the development of HPC and AI data centers"
A cluster of very powerful computers, special chips and fast networks designed to tackle huge, complex calculations far faster than a normal PC — like replacing a single delivery van with a synchronized fleet to move a city’s worth of packages. For investors, high-performance computing matters because it enables faster product development, more accurate simulations and data analysis, and new revenue streams for hardware, software and services, making firms that supply or use it potentially more competitive and scalable.
joint venture financial
"entered into four joint venture agreements focused on the development"
A joint venture is when two or more companies team up to work on a specific project or business idea, sharing both the risks and the rewards. It’s like friends starting a lemonade stand together—each contributes resources and they split the profits, making it easier to succeed than going alone.
operating cash flow financial
"The Company generated approximately $5.5 million of operating cash flow"
Operating cash flow is the amount of money a company earns from its main business activities, like selling products or services. It shows how well the company can generate cash to pay bills, invest in growth, or return money to shareholders. This figure helps investors understand if the company’s core operations are healthy and sustainable.
private placement financial
"received approximately $4.6 million in net proceeds from a private placement"
A private placement is a sale of securities directly to a selected group of investors, typically institutions or accredited investors, instead of through a public offering. It lets a company raise money faster and with fewer regulatory steps; for existing shareholders it matters because the newly issued shares, often sold at a discount, increase the share count and can dilute their ownership.
AI-native infrastructure technical
"leveraging the AI expertise and AI-native infrastructure developed"
Q2 2026 Revenue $22.4 million Increased 56% year-over-year from $14.3 million
Q2 2026 Gross Loss Approximately $11,000 Improved from approximately $397,000, a 97% reduction in gross loss
Cost of Providing Services Q2 2026 $22.4 million Increased 52% year-over-year
Cash and Cash Equivalents $12.0 million as of June 30, 2026 Up from approximately $1.9 million at December 31, 2025
Operating Cash Flow (First Six Months 2026) Approximately $5.5 million Positive operating cash generation in the first half of 2026
Private Placement Proceeds Approximately $4.6 million Net proceeds received during the first six months of 2026

FAQ

How did Core AI Holdings (CHAI) perform financially in Q2 2026?
Core AI reported Q2 2026 revenue of $22.4 million, up 56% from $14.3 million a year earlier. Cost of providing services rose 52% to $22.4 million, and gross loss narrowed to about $11,000 from roughly $397,000, bringing gross margin close to breakeven.

What drove Core AI Holdings (CHAI) revenue growth in Q2 2026?
The 56% year-over-year revenue increase to $22.4 million was primarily due to higher advertising revenue from the company’s mobile games, following optimization of advertising placements and user acquisition strategies implemented earlier in 2026.

How did Core AI Holdings (CHAI) gross margin change in Q2 2026?
Gross loss improved to about $11,000 in Q2 2026 from roughly $397,000 in Q2 2025, a 97% reduction. Revenue grew faster than the cost of providing services, so gross margin approached breakeven, though it remained slightly negative.

What is Core AI Holdings (CHAI) liquidity position as of June 30, 2026?
As of June 30, 2026, Core AI held about $12.0 million in cash and cash equivalents, compared with approximately $1.9 million at December 31, 2025. The company generated about $5.5 million of operating cash flow and received around $4.6 million in net private placement proceeds.

What strategic AI infrastructure steps is Core AI Holdings (CHAI) taking?
In the first half of 2026, Core AI entered four joint venture agreements to pursue high-performance computing and AI data centers in domestic and international markets, including Malaysia. These initiatives are part of building a diversified AI technology and infrastructure platform.

How advanced are Core AI Holdings (CHAI) data-center joint ventures?
The company states its data-center joint ventures are in an early stage. As of June 30, 2026, no projects had been presented to the joint ventures for approval and no financing commitments had been secured.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google
Add on Google
Form 6-K: How Foreign Companies Report to the SEC →

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER

 

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

For the Month of: August 2026

 

Commission File Number: 001-39557

 

Core AI Holdings, Inc.

(Translation of registrant’s name into English)

 

25 SE 2nd Ave. Ste 550 Miami, FL 33131

(Address of principal executive office)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

 

☒ Form 20-F ☐ Form 40-F

 

 

 

 
 

 

On August 28, 2026, Core AI Holdings, Inc., a British Columbia, Canada corporation (the “Company”), issued a press release announcing its second quarter of 2026 financial results.

 

A copy of the press release is included with this Report of Foreign Private Issuer on Form 6-K (the “Report”) as Exhibit 99.1.

 

The information contained in and the document furnished with this Report shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.

 

Forward Looking Statements

 

This Report and the exhibit furnished herewith contain forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Because these forward-looking statements and their implications are neither historical facts nor assurances of future performance and are based on the Company’s current expectations, they are subject to various risks and uncertainties and changes in circumstances that are difficult to predict and may be outside of the Company’s control, and actual results, performance or achievements of the Company could differ materially from those described in or implied by the statements in this Report. The forward-looking statements contained or implied in this Report are subject to other risks and uncertainties, including those discussed under the heading “Risk Factors” in the Company’s Annual Report on Form 20-F filed with the Securities and Exchange Commission (the “SEC”) on May 15, 2026, and in any subsequent filings with the SEC. Except as otherwise required by law, the Company undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Any references and links to websites and social media have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this Report. The Company is not responsible for the contents of third-party websites.

 

2
 

 

EXHIBIT INDEX

 

Exhibit No.   Description
99.1*   Press release dated August 28, 2026

 

*Furnished not filed.

 

3
 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Date: August 28, 2026 CORE AI HOLDINGS, INC.
     
  By: /s/ Aitan Zacharin
  Name: Aitan Zacharin
  Title: Chief Executive Officer

 

4

 

Exhibit 99.1

 

 

Core AI Holdings Reports 56% Q2 Revenue Growth and Significant Improvement in Gross Margin

 

MIAMI, FL — August 28, 2026 — Core AI Holdings, Inc. (Nasdaq: CHAI) (“Core AI” or the “Company”), a global AI technology and infrastructure company, today announced financial results for the three and six months ended June 30, 2026, highlighting significant year-over-year revenue growth in the second quarter, substantial improvement in gross margin, increased operating cash generation, and continued execution of the Company’s strategic expansion into AI infrastructure and high-performance computing.

 

Revenue for the second quarter of 2026 increased 56% year-over-year to $22.4 million, compared to $14.3 million for the second quarter of 2025. The increase was primarily attributable to higher advertising revenue generated from the Company’s mobile games following the optimization of its advertising placements and user acquisition strategies during the first quarter of 2026.

 

Gross loss improved dramatically to approximately $11,000 in the second quarter of 2026, compared to a gross loss of approximately $397,000 in the second quarter of 2025, representing a 97% reduction in gross loss. Gross margin approached breakeven during the quarter as revenue increased at a higher rate than the related cost of providing services. Management believes the improvement reflects continued optimization of the Company’s advertising and user acquisition strategies and progress toward achieving a positive gross margin.

 

Key Q2 2026 Financial Highlights

 

●Second-quarter revenue increased 56% year-over-year to $22.4 million, compared to $14.3 million in Q2 2025.

 

●Gross loss narrowed 97% to approximately $11,000, compared to $397,000 in Q2 2025, bringing gross margin close to breakeven.

 

●Six-month revenue was $26.1 million, compared to $28.9 million for the first six months of 2025, with the year-to-date comparison impacted by lower revenue during the first quarter as the Company optimized customer acquisition and advertising spending.

 

●Six-month gross loss was $3.1 million, compared to $626,000 in the prior-year period, primarily reflecting the temporary impact of higher customer acquisition costs during Q1 2026. Q2 performance substantially offset that impact, with gross loss narrowing to approximately $11,000.

 

●Net loss was $1.6 million in Q2 2026, compared to $758,000 in Q2 2025.

 

●Net cash provided by operating activities was $5.5 million during the first six months of 2026, compared to $2.4 million of cash used in operating activities during the corresponding period of 2025.

 

●Cash and cash equivalents increased to $12.0 million as of June 30, 2026, compared to $1.9 million at December 31, 2025.

 

●The Company entered into four joint venture agreements for the development of HPC and AI data centers during the first half of 2026, as well as a memorandum of understanding to pursue data center development opportunities in Malaysia.

 

Continued Operating Improvement

 

The second quarter represented a meaningful improvement in the Company’s underlying operating performance. Following a deliberate reduction in advertising and user acquisition activity during the first quarter in response to higher customer acquisition costs and lower returns on certain advertising placements, the Company significantly increased those activities during the second quarter after optimizing its advertising and marketing strategies.

 

As a result, second-quarter revenue increased at a substantially faster rate than the associated cost of providing services. While cost of providing services increased 52% year-over-year to $22.4 million, the corresponding 56% increase in revenue drove gross loss down by 97% and brought the Company’s gross margin close to breakeven.

 

 

 

 

Management believes the continued improvement in gross margin, combined with the significant increase in quarterly revenue, demonstrates progress toward achieving positive gross margin as the Company continues to refine its advertising, user acquisition and monetization strategies.

 

“Our second quarter demonstrated meaningful progress in both revenue growth and operating efficiency,” said Aitan Zacharin, Chief Executive Officer of Core AI Holdings. “Revenue increased 56% year-over-year, while our gross loss declined by 97% and approached breakeven. These results reflect the impact of the operational adjustments we made to our advertising and user acquisition strategy and our focus on improving the quality and efficiency of our growth.”

 

Advancing Core AI’s Strategic Expansion

 

During the first half of 2026, Core AI continued to expand beyond its established AI-enabled gaming operations and advance its strategy of becoming a global AI technology and infrastructure company.

 

The Company is leveraging the AI expertise and AI-native infrastructure developed through its Core Gaming business together with its capital markets capabilities to pursue opportunities in the rapidly expanding market for high-performance computing and AI data centers. During the first half of 2026, Core AI entered into four joint venture agreements focused on the development of HPC and AI data centers in domestic and international markets, including in Malaysia.

 

The Company also intends to expand its AI capabilities into additional areas, including AI-powered digital marketing and AI-driven media production. Core AI has further advanced the strategic positioning of HomeGPT as an AI-powered residential decision layer, expanding the platform beyond home visualization toward planning, renovation and residential purchasing decisions.

 

“Our objective is to build Core AI into a diversified AI technology and infrastructure platform,” Zacharin added. “We are executing across multiple layers of the AI ecosystem, from AI-powered applications and digital platforms to the development of HPC and AI infrastructure. The four data-center joint ventures and additional international initiatives established during the first half of the year represent important steps in that strategy.”

 

The Company believes that the combination of its existing AI-enabled consumer technology platform, growing operating capabilities, and strategic partnerships provides a foundation from which it can pursue opportunities across AI applications, digital services and new AI infrastructure opportunities.

 

Financial Position

 

As of June 30, 2026, Core AI had approximately $12.0 million in cash and cash equivalents, compared to approximately $1.9 million at December 31, 2025. The Company generated approximately $5.5 million of operating cash flow during the first six months of 2026 and received approximately $4.6 million in net proceeds from a private placement during the period.

 

“We entered the second half of 2026 with substantially greater liquidity and a significantly broader strategic platform than we had at the beginning of the year,” Zacharin said. “Our focus now is on disciplined execution—continuing to improve the economics of our existing businesses while advancing our AI infrastructure initiatives and converting our strategic relationships into tangible opportunities.”

 

The Company cautions that its data-center joint ventures and related initiatives remain in their early stages. As of June 30, 2026, no projects had yet been presented to the joint ventures for approval and no financing commitments had been secured.

 

 

 

 

About Core AI Holdings, Inc.

 

Core AI Holdings, Inc. (NASDAQ: CHAI) is a global AI technology and infrastructure company focused on identifying, developing, and scaling AI-driven businesses that leverage next-generation technologies to address large, high-growth market opportunities. Core AI’s mission is to harness artificial intelligence to create transformative, scalable solutions across multiple verticals and drive long-term shareholder value.

 

Through its subsidiary, Core Gaming, the Company operates an AI-driven mobile game development and publishing business. Core Gaming uses AI tools and proprietary analytics to develop, distribute and monetize casual mobile games serving users worldwide. The Company is also expanding into AI infrastructure through strategic joint ventures and collaborations focused on the development of high-performance computing and AI data centers.

 

Core AI Investor Relations

 

ir@coregaming.co

 

Forward-Looking Statements

 

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s strategic initiatives, anticipated benefits of its joint ventures and collaborations, the development of HPC and AI data centers, potential AI-related services, market opportunities, infrastructure demand, project pipeline, business expansion, operating improvements, future gross margins, financing capabilities and execution strategy. These forward-looking statements are based on Core AI’s current expectations and assumptions and are subject to risks, uncertainties and changes in circumstances that may cause actual results to differ materially, including the Company’s ability to execute its strategic initiatives; the ability of its joint venture partners to identify and develop projects; the parties’ ability to obtain financing; customer demand; market conditions; power availability; supply chain conditions; labor availability; project timing; competition; technology development; financing conditions; regulatory matters; and other risks described under “Risk Factors” in Core AI’s Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission on May 15, 2026, and in subsequent SEC filings. The Company’s joint venture arrangements are in early stages, and there can be no assurance that they will result in the successful development or operation of any data centers. Except as required by law, Core AI undertakes no obligation to update these forward-looking statements.

 

 

Source: View Original Filing on SEC EDGAR

Filing Exhibits & Attachments

1 document

Press Releases