Exhibit
99.1
Gamehaus
Holdings Inc. Announces Unaudited Financial Results for the Second Quarter of Fiscal 2026 Ended December 31, 2025
SHANGHAI,
March 23, 2026 /PRNewswire/ — Gamehaus Holdings Inc. (“Gamehaus” or the “Company”) (Nasdaq: GMHS), a technology-driven
mobile game publisher, today announced its unaudited financial results for the second quarter of fiscal year 2026 ended December 31,
2025.
Second
Quarter of Fiscal Year 2026 Financial Highlights
| ● |
Total
revenue was US$26.3 million, representing a 7.8% decrease from US$28.5 million in the second quarter of fiscal year 2025. In-app
purchases contributed US$23.9 million, while advertising revenue reached US$2.4 million. |
| ● |
Total
operating costs and expenses were US$25.4 million, representing a 10.1% reduction from US$28.3 million in the second quarter of fiscal
year 2025. |
| ● |
Net
income was US$0.9 million, representing a 151.2% increase from US$0.4 million in the second quarter of fiscal year 2025. |
Second
Quarter of Fiscal Year 2026 Operating Highlights
| in thousands, except percentages | |
For the Three Months Ended December 31, | |
| | |
2025 | | |
2024 | |
| Average MAUs1 | |
| 2,760 | | |
| 3,832 | |
| Average DAUs2 | |
| 499 | | |
| 716 | |
| ARPDAU3 | |
| 0.566 | | |
| 0.440 | |
| Average DPUs4 | |
| 13 | | |
| 15 | |
| Average Daily Payer Conversion Rate5 | |
| 2.5 | % | |
| 2.1 | % |
| Average 7D Retention Rate6 | |
| 8.7 | % | |
| 10.2 | % |
1
Average Monthly Active Users, or Average MAUs, is defined as the number of individual users who play a game during a particular
month.
2
Average Daily Active Users, or Average DAUs, is defined as the number of individual users who play a game on a particular day.
3
Average Revenue Per Daily Active User, or ARPDAU, is calculated by dividing revenue generated during a specific period by the Average
DAU for that period, then further dividing by the number of days in the period.
4
Average Daily Paying Users, or Average DPUs, is defined as the number of individuals who made a purchase in a game during a particular
day.
5
Average Daily Payer Conversion Rate is calculated by dividing Average DPUs for a specific period by the Average DAUs for that period.
6
Average Day Seven Retention Rate is calculated by dividing the number of new users who continue using the app on the seventh day
after installation for a specific period by the total number of new users for that period.
Mr.
Feng Xie, founder and chairman of Gamehaus, commented: “We are pleased with our second quarter results, which demonstrate continued
progress in our transition toward a more efficient and sustainable operating model. Revenue of $26.3 million came in near the upper end
of ourrevenue forecast for the second quarter, and more importantly, net income grew approximately 151% period-over-period while operating
margin expanded to 3.3% from 0.8% in the year-ago period. These improvements reflect the cumulative impact of the disciplined adjustments
we have made across our cost structure, user acquisition strategy, and product portfolio over the past several quarters. Looking ahead,
we are advancing a diversified product pipeline across both RPG and Puzzle genres, with multiple titles moving into active development
and scheduled launches. We remain focused on strengthening our platform capabilities and leveraging AI-driven efficiencies to position
us for our next phase of growth.”
Second
Quarter of Fiscal Year 2026 Unaudited Financial Results
Revenue
Total
revenue was US$26.3 million in the second quarter of fiscal year 2026, decreasing 7.8% from US$28.5 million in the second quarter of
fiscal year 2025. The decline primarily resulted from the Company’s reduction in user acquisition spending, which was a strategic
move to optimize resource allocation and redirect investment toward the development of new game categories and upcoming projects, as
well as their subsequent launch and promotion, aiming to strengthen the Company’s game portfolio and support sustainable long-term
growth.
Advertising
costs decreased by 18.9% in the second quarter of fiscal year 2026 compared to the second quarter of fiscal year 2025, resulted in reduced
traffic and user acquisition, which in turn affected revenue performance. In-app purchase revenue decreased 6.4% to US$23.9 million in
the second quarter of fiscal year 2026 from US$25.5 million in the second quarter of fiscal year 2025, while advertising revenue was
US$2.4 million in the second quarter of fiscal year 2026, compared to US$3.0 million in the second quarter of fiscal year 2025. These
headwinds were partially offset by enhanced in-game content and live-ops features, which continued to drive engagement and monetization
among the Company’s existing player base.
Additionally,
the Company is actively expanding its pipeline of games, with new titles in the Puzzle and RPG genres currently in the development and
testing phase. The Company strategically allocated marketing budgets to support these products and intends to launch extensive promotional
campaigns upon their commercial release.
Operating
Costs and Expenses
Total
operating costs and expenses were US$25.4 million in the second quarter of fiscal year 2026, representing a 10.1% reduction from US$28.3
million in the second quarter of fiscal year 2025.
| ● |
Cost
of revenue decreased by 10.2% to US$12.2 million in the second quarter of fiscal year 2026, from US$13.5 million in the second quarter
of fiscal year 2025. The decrease was primarily due to lower platform fees and reduced profit-sharing payments to game developers. |
| ● |
Research
and development expenses increased 7.5% to US$2.1 million in the second quarter of fiscal year 2026, from US$2.0 million in the second
quarter of fiscal year 2025. The increase was mainly attributable to the Company’s strategic collaborations with multiple developers
throughout the development and testing phases. |
| ● |
Selling
and marketing expenses decreased by 18.4% to US$9.7 million in the second quarter of fiscal year 2026, from US$11.9 million in the
second quarter of fiscal year 2025. The reduction was primarily driven by a US$2.1 million decline in advertising costs related to
player acquisition and retention, consistent with the Company’s strategy to scale back promotional spending amid volatile ad
performance across major platforms and to optimize efficiency for mature titles. |
| ● |
General
and administrative expenses were US$1.4 million in the second quarter of fiscal year 2026, representing an increase of 65.5% from
US$0.9 million in the second quarter of fiscal year 2025. The increase was primarily attributable to higher salary expenses primarily
associated with the Company’s efforts to improvecorporate governance, financial reporting, and investor relations capabilities
as a public company, as well as the strengthening of the management team and key functional roles as part of its strategic workforce
planning to support business expansion and long-term growth. |
Operating
Income
Operating
income was US$0.9 million in the second quarter of fiscal year 2026, compared to US$0.2 million in the second quarter of fiscal year
2025. Operating margin was 3.3% in the second quarter of fiscal year 2026, compared to 0.8% in the second quarter of fiscal year 2025.
Other
Income, Net
Other
income, net, which mainly included the Company’s non-operating income and expenses, interest income and expenses, investment income
(loss), and other income and expenses, was US$0.1 million in the second quarter of fiscal year 2026, compared to US$0.2 million in the
second quarter of fiscal year 2025.
Net
Income
Net
income was US$0.9 million for the second quarter of fiscal year 2026, compared to US$0.4 million in the second quarter of fiscal year
2025. Net income attributable to Gamehaus Holdings Inc.’s shareholders per ordinary share was US$0.02 for the second quarter of
fiscal year 2026, compared to US$0.01 in the second quarter of fiscal year 2025.
Cash
and Cash Equivalents
Cash
and cash equivalents were US$17.4 million as of December 31, 2025, compared to US$15.2 million as of June 30, 2025, which the Company
believes is sufficient to meet its current liquidity and working capital needs for the next 12 months.
Business
Outlook
For
the third quarter of fiscal year 2026 ending March 31, 2026, the Company expects its total revenue to be in the range of approximately
US$24 million to US$26 million. This forecast reflects the Company’s current and preliminary view of its expected financial performance,
business situation and market condition, which is subject to change.
Recent
Development
Share
Repurchase Plan Update
In
August 2025, the board of directors of the Company approved a share repurchase plan, pursuant to which the aggregate value of Class A
ordinary shares authorized for repurchase under the plan through August 28, 2026 shall not exceed US$5 million. Repurchases may be made
from time to time through open market transactions at prevailing market prices, in privately negotiated transactions, in block trades,
and/or through other legally permissible means, including through the use of trading plans, intended to qualify under Rule 10b-18 under
the Securities Exchange Act of 1934, as amended, in accordance with applicable securities laws and other restrictions and subject to
market conditions and in accordance with applicable federal securities laws. The timing and actual amount of repurchases will be determined
at the discretion of the Company’s management, based on factors including share price, trading volume, market conditions, business
outlook, and capital allocation priorities.
As
of December 31, 2025, the Company had repurchased approximately 370,000 of its Class A ordinary shares for approximately US$459,000.
Conference
Call Information
The
management team of Gamehaus will host a conference call at 08:00 A.M. Eastern Time on Monday, March 23, 2026 (08:00 P.M. Beijing/Hong
Kong time on the same day) to discuss the financial results. In advance of the conference call, all participants must use the following
link to complete the online registration process. Upon registering, each participant will receive access details for this conference
including a conference passcode, a unique PIN number (personal access code), dial-in numbers, and an e-mail with detailed instructions
to join the conference call.
Participant
Online Registration: https://dpregister.com/sreg/10207119/10368ff0a4d
A
live and archived webcast of the conference call will be available on the Company’s Investor Relations website at https://ir.gamehaus.com/.
About
Gamehaus
Gamehaus
Holdings Inc. is a technology-driven global mobile game publisher dedicated to bridging creative studios and players worldwide. With
a portfolio spanning mid-core and casual games, Gamehaus delivers full-stack publishing support across market insights, user growth,
live-ops, data analytics and monetization optimization. With a vision to be the go-to partner for creative teams, the company specializes
in combining global publishing reach with AI- and data-powered solutions to help partners build lasting success. For more information,
please visit https://ir.gamehaus.com.
Forward-Looking
Statements
Certain
statements in this announcement are forward-looking statements, including, but not limited to, the Company’s business plan and
outlook. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current
expectations and projections about future events that may affect its financial condition, results of operations, business strategy and
financial needs. Investors can find many (but not all) of these statements by the use of words such as “approximates,” “believes,”
“hopes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,”
“plans,” “will,” “would,” “should,” “could,” “may”, or other
similar expressions in this press release. The Company undertakes no obligation to update or revise publicly any forward-looking statements
to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the
Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations
will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results
due to various risks and uncertainties, including but not limited to those described under the “Risk Factors” section in
the Company’s annual report on Form 20-F filed with the U.S. Securities and Exchange Commission.
Investor
Relations Contact
Gamehaus
Holdings Inc.
Investor
Relations Team
Email:
IR@Gamehaus.com
The
Blueshirt Group
Mr.
Jack Wang
Email:
Gamehaus@TheBlueshirtGroup.co
GAMEHAUS
HOLDINGS INC. AND ITS SUBSIDIARIES
UNAUDITED
CONDENSED CONSOLIDATED BALANCE SHEETS
(Amount
in USD dollars, except for number of shares or otherwise noted)
| | |
As of | |
| | |
December 31, 2025 | | |
June 30, 2025 | |
| | |
(Unaudited) | | |
(Audited) | |
| ASSETS | |
| | | |
| | |
| CURRENT ASSETS: | |
| | | |
| | |
| Cash and cash equivalents | |
$ | 17,355,214 | | |
$ | 15,234,745 | |
| Short-term investments | |
| 2,609,549 | | |
| 1,345,154 | |
| Accounts receivable | |
| 9,876,025 | | |
| 10,423,418 | |
| Advanced to suppliers | |
| 9,737,823 | | |
| 9,442,382 | |
| Prepaid expenses and other current assets | |
| 3,599,492 | | |
| 3,128,788 | |
| TOTAL CURRENT ASSETS | |
| 43,178,103 | | |
| 39,574,487 | |
| | |
| | | |
| | |
| NON-CURRENT ASSETS: | |
| | | |
| | |
| Plant and equipment, net | |
| 142,139 | | |
| 124,503 | |
| Intangible assets, net | |
| 4,619,603 | | |
| 5,001,523 | |
| Right-of-use assets, net | |
| 332,610 | | |
| 512,647 | |
| Equity investments | |
| 1,951,542 | | |
| 1,995,021 | |
| TOTAL NON-CURRENT ASSETS | |
| 7,045,894 | | |
| 7,633,694 | |
| TOTAL ASSETS | |
$ | 50,223,997 | | |
$ | 47,208,181 | |
| | |
| | | |
| | |
| LIABILITIES | |
| | | |
| | |
| CURRENT LIABILITIES: | |
| | | |
| | |
| Short-term borrowing | |
$ | 286,000 | | |
$ | - | |
| Accounts payable | |
| 10,112,213 | | |
| 10,752,234 | |
| Contract liabilities | |
| 1,711,540 | | |
| 1,871,120 | |
| Accrued expenses and other current liabilities | |
| 1,473,620 | | |
| 903,252 | |
| Lease liabilities | |
| 262,856 | | |
| 463,064 | |
| Taxes payable | |
| 75,570 | | |
| 51,599 | |
| TOTAL CURRENT LIABILITIES | |
| 13,921,799 | | |
| 14,041,269 | |
| | |
| | | |
| | |
| NON-CURRENT LIABILITY: | |
| | | |
| | |
| Lease liabilities | |
| 33,090 | | |
| 58,517 | |
| TOTAL NON-CURRENT LIABILITY | |
| 33,090 | | |
| 58,517 | |
| TOTAL LIABILITIES | |
$ | 13,954,889 | | |
$ | 14,099,786 | |
| | |
| | | |
| | |
| SHAREHOLDERS’ EQUITY: | |
| | | |
| | |
| Class A ordinary shares (par value of $0.0001 per share; 900,000,000 shares authorized, 49,520,156 and 37,971,245 shares issued and outstanding as of December 31, 2025 and June 30, 2025, respectively) | |
| 4,952 | | |
| 3,797 | |
| Class B ordinary shares (par value of $0.0001 per share; 100,000,000 shares authorized, 7,799,057 and 15,598,113 shares issued and outstanding as of December 31, 2025 and June 30, 2025, respectively) | |
| 780 | | |
| 1,560 | |
| Additional paid-in capital | |
| 10,953,826 | | |
| 10,954,201 | |
| Treasury Stock | |
| (458,738 | ) | |
| - | |
| Retained earnings | |
| 26,435,808 | | |
| 23,543,001 | |
| Accumulated other comprehensive loss | |
| (423,266 | ) | |
| (1,276,222 | ) |
| TOTAL GAMEHAUS HOLDING INC’S SHAREHOLDERS’ EQUITY | |
| 36,513,362 | | |
| 33,226,337 | |
| Non-controlling interests | |
| (244,254 | ) | |
| (117,942 | ) |
| TOTAL SHAREHOLDERS’ EQUITY | |
| 36,269,108 | | |
| 33,108,395 | |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | |
$ | 50,223,997 | | |
$ | 47,208,181 | |
GAMEHAUS
HOLDINGS INC. AND ITS SUBSIDIARIES
UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
AND
COMPREHENSIVE INCOME
(Amount
in USD dollars, except for number of shares or otherwise noted)
| | |
For the Three Months Ended December 31, | | |
For the Six Months Ended December 31, | |
| | |
2025 | | |
2024 | | |
2025 | | |
2024 | |
| | |
(Unaudited) | | |
(Unaudited) | | |
(Unaudited) | | |
(Unaudited) | |
| REVENUE | |
$ | 26,295,028 | | |
| 28,518,928 | | |
$ | 54,033,904 | | |
$ | 58,488,446 | |
| OPERATING COST AND EXPENSES | |
| | | |
| | | |
| | | |
| | |
| Cost of revenue | |
| (12,155,827 | ) | |
| (13,542,268 | ) | |
| (25,438,752 | ) | |
| (27,565,976 | ) |
| Research and development expenses | |
| (2,131,820 | ) | |
| (1,983,658 | ) | |
| (3,311,498 | ) | |
| (2,985,550 | ) |
| Selling and marketing expenses | |
| (9,728,443 | ) | |
| (11,914,898 | ) | |
| (20,570,983 | ) | |
| (24,450,883 | ) |
| General and administrative expenses | |
| (1,408,092 | ) | |
| (850,824 | ) | |
| (2,841,247 | ) | |
| (1,763,336 | ) |
| OPERATING INCOME | |
$ | 870,846 | | |
$ | 227,280 | | |
$ | 1,871,424 | | |
$ | 1,722,701 | |
| | |
| | | |
| | | |
| | | |
| | |
| OTHER INCOME (EXPENSES): | |
| | | |
| | | |
| | | |
| | |
| Investment income (loss), net | |
| (122,761 | ) | |
| 24,668 | | |
| 557,325 | | |
| 5,225 | |
| Interest income | |
| 160,652 | | |
| 124,896 | | |
| 335,284 | | |
| 279,386 | |
| Other income, net | |
| 32,755 | | |
| 65,102 | | |
| 40,399 | | |
| 52,161 | |
| Total other income, net | |
| 70,646 | | |
| 214,666 | | |
| 933,008 | | |
| 336,772 | |
| | |
| | | |
| | | |
| | | |
| | |
| INCOME BEFORE INCOME TAXES | |
| 941,492 | | |
| 441,946 | | |
| 2,804,432 | | |
| 2,059,473 | |
| | |
| | | |
| | | |
| | | |
| | |
| INCOME TAXES EXPENSES | |
| (25,792 | ) | |
| (77,406 | ) | |
| (38,270 | ) | |
| (128,236 | ) |
| NET INCOME | |
| 915,700 | | |
| 364,540 | | |
| 2,766,162 | | |
| 1,931,237 | |
| Less: net loss attributable to non-controlling interests | |
| (63,206 | ) | |
| (38,950 | ) | |
| (126,645 | ) | |
| (29,502 | ) |
| NET INCOME ATTRIBUTABLE TO GAMEHAUS HOLDINGS INC’S SHAREHOLDERS | |
| 978,906 | | |
| 403,490 | | |
| 2,892,807 | | |
| 1,960,739 | |
| | |
| | | |
| | | |
| | | |
| | |
| OTHER COMPREHENSIVE INCOME | |
| | | |
| | | |
| | | |
| | |
| Net income | |
| 915,700 | | |
| 364,540 | | |
| 2,766,162 | | |
| 1,931,237 | |
| Foreign currency translation adjustment, net of tax | |
| 1,172,520 | | |
| 1,428,152 | | |
| 853,289 | | |
| (180,335 | ) |
| TOTAL COMPREHENSIVE INCOME | |
$ | 2,088,220 | | |
$ | 1,792,692 | | |
$ | 3,619,451 | | |
$ | 1,750,902 | |
| Less: total comprehensive loss attributable to non-controlling interests | |
| (62,927 | ) | |
| (38,304 | ) | |
| (126,312 | ) | |
| (28,495 | ) |
| TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO GAMEHAUS HOLDINGS INC’S SHAREHOLDERS | |
| 2,151,147 | | |
| 1,830,996 | | |
| 3,745,763 | | |
| 1,779,397 | |
| | |
| | | |
| | | |
| | | |
| | |
| BASIC AND DILUTED EARNINGS PER SHARE: | |
| | | |
| | | |
| | | |
| | |
| Net income attributable to Gamehaus Holdings Inc’s shareholders per share | |
| | | |
| | | |
| | | |
| | |
| Basic and diluted | |
$ | 0.02 | | |
$ | 0.01 | | |
$ | 0.05 | | |
$ | 0.04 | |
| | |
| | | |
| | | |
| | | |
| | |
| Weighted average shares outstanding used in calculating basic and diluted income per share | |
| | | |
| | | |
| | | |
| | |
| Basic and diluted | |
$ | 53,310,709 | | |
$ | 50,000,000 | | |
$ | 53,437,778 | | |
$ | 50,000,000 | |
*
Presented on a retroactive basis to reflect the reverse recapitalization.
