Tuya (NYSE: TUYA) boosts Q1 2026 profit and margins on 8.3% revenue growth
Rhea-AI Filing Summary
Tuya Inc. reported stronger results for the first quarter of 2026, with revenue rising 8.3% year over year to US$80.9 million and net profit increasing to US$15.8 million. Net margin expanded to 19.5%, reflecting better efficiency and a more optimized cost structure.
The company moved from a small operating loss to an operating profit of US$7.5 million, with operating margin improving to 9.2%. Non-GAAP operating margin reached 10.0%. Tuya ended March 31, 2026 with US$1,017.1 million in cash and liquid investments and generated US$6.4 million of operating cash flow, while continuing to invest in AI-driven applications and its global developer ecosystem.
Positive
- Profitability strengthened: Q1 2026 net profit rose to US$15.8 million with net margin expanding to 19.5%, while operating margin turned positive at 9.2%, showing improved leverage and cost control.
- Robust balance sheet: Cash, time deposits and treasury securities totaled US$1,017.1 million as of March 31, 2026, supporting continued investment in AI and global expansion.
Negative
- Quality of earnings mixed: Non-GAAP net profit declined from US$19.3 million to US$16.4 million and operating cash flow fell from US$9.4 million to US$6.4 million, indicating profit growth did not fully translate into cash or adjusted earnings.
Insights
Tuya delivered higher profit and margins on moderate revenue growth.
Tuya grew Q1 2026 revenue 8.3% to US$80.9 million, but profit rose faster. Net profit reached US$15.8 million with net margin of 19.5%, up from 14.8%, helped by lower operating expenses and higher operating leverage.
Operating margin improved from negative to 9.2%, and non-GAAP operating margin was 10.0%, indicating the core business is now consistently profitable. However, non-GAAP net profit declined from US$19.3 million to US$16.4 million, mainly due to lower financial income and interest rate movements.
Cash and liquid investments were US$1,017.1 million as of March 31, 2026, providing ample flexibility for AI and global expansion initiatives. Net cash from operating activities was US$6.4 million in the quarter, down from US$9.4 million a year earlier, so future disclosures will be useful to see whether cash generation tracks earnings momentum.
Key Figures
Key Terms
non-GAAP financial
Platform-as-a-Service financial
operating margin financial
net margin financial
ADS financial
AI developer platform technical
Earnings Snapshot
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 May 2026
Commission File Number: 001-40210
Tuya Inc.
10/F, Building A, Huace Center
Xihu District, Hangzhou City
Zhejiang, 310012
People’s Republic of China
(Address of principal executive offices)
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 x Form 40-F ¨
EXPLANATORY NOTE
We submitted a next day disclosure return form dated May 11, 2026 to The Stock Exchange of Hong Kong Limited in relation to the changes in our issued share capital and/or share buybacks. For details, please refer to the exhibits to this current report on Form 6-K.
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EXHIBIT INDEX
| Exhibit No. | Description | |
| 99.1 | Press Release | |
| 99.2 | Next Day Disclosure Return Dated May 11, 2026 |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Tuya Inc. | |||
| By | : | /s/ Yi (Alex) Yang | |
| Name | : | Yi (Alex) Yang | |
| Title | : | Chief Financial Officer | |
Date: May 11, 2026
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Exhibit 99.1
Tuya Reports First Quarter 2026 Unaudited Financial Results
SANTA CLARA, Calif., May 11, 2026/PRNewswire/－ Tuya Inc. (“Tuya” or the “Company”) (NYSE: TUYA; HKEX: 2391), a global leading AI cloud platform service provider, today announced its unaudited financial results for the first quarter ended March 31, 2026.
First Quarter 2026 Financial Highlights
| · | Total revenue was US$80.9 million, up approximately 8.3% year-over-year (1Q2025: US$74.7 million). |
| · | Platform-as-a-service (“PaaS”) revenue was US$59.0 million, up approximately 9.8% year-over-year (1Q2025: US$53.7 million). |
| · | AI application & others1 (formerly known as Software-as-a-service (“SaaS”) and others) revenue was US$11.6 million, up approximately 16.9% year-over-year (1Q2025: US$10.0 million). |
| · | Smart home & robot product2 (formerly known as Smart solution) revenue was US$10.2 million, down approximately 6.9% year-over-year (1Q2025: US$11.0 million). |
| · | Overall gross margin was 46.9%, down 1.6 percentage points year-over-year (1Q2025: 48.5%). Gross margin of PaaS was 46.1% (1Q2025: 48.4%). |
| · | Operating margin was 9.2%, improved by 11.1 percentage points year-over-year (1Q2025: negative 1.9%). Non-GAAP operating margin was 10.0% (1Q2025: 9.1%). |
| · | Net margin was 19.5%, improved by 4.7 percentage points year-over-year (1Q2025: 14.8%). Non-GAAP net margin was 20.3% (1Q2025: 25.8%). |
| · | Net profits were US$15.8 million (1Q2025: US$11.0 million). Non-GAAP net profits were US$16.4 million (1Q2025: US$19.3 million). |
| · | Net cash generated from operating activities was US$6.4 million (1Q2025: US$9.4 million). |
| · | Total cash and cash equivalents, time deposits and treasury securities recorded as short-term and long-term investments were US$1,017.1 million as of March 31, 2026, compared to US$1,017.3 million as of December 31, 2025. |
| 1. | Commencing from the current reporting period, the Group has renamed the revenue stream previously presented as Software-as-a-service (“SaaS”) and others to “AI Application & others.” This change reflects the Group’s strategic direction to fully integrate AI capabilities into all software products within this business stream. The Group will focus on providing various subscription-based value-added services powered by large-scale AI models in this stream, such as AI Guardian and Energy Butler. |
| 2. | Commencing from the current reporting period, the Group has renamed the revenue stream previously presented as “Smart solution” to “Smart home & robot product.” This change aligns with the Group’s business orientation for this stream, where product offerings will be focused on AI-enabled consumer electronics and home robotics, including AI-powered security systems, AI energy management solutions, and home companion robots. |
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For further information on the non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”
First Quarter 2026 Operating Highlights
| · | Premium PaaS customers1 for the trailing 12 months ended March 31, 2026 were 306 (1Q2025: 287). In the first quarter of 2026, the Company’s premium PaaS customers contributed approximately 89.3% of its PaaS revenue (1Q2025: approximately 88.7%). |
| · | Registered AI developers were over 1,970,000 as of March 31, 2026, up 9.4% from approximately 1,801,000 developers as of December 31, 2025. |
| 1. | The Company defines a premium PaaS customer as a customer as of a given date that contributed more than US$100,000 of PaaS revenue during the immediately preceding 12-month period. |
Mr. Xueji (Jerry) Wang, Founder and Chief Executive Officer of Tuya, commented, “In the first quarter, despite ongoing external uncertainties and certain regional disruptions, we continued to demonstrate solid growth momentum and strong execution capabilities. Since the fourth quarter, we have benefited from a continued recovery in downstream demand, supporting the ongoing expansion of our business scale. Total revenue increased by 8.3% year over year, with the growth rate further improving from the previous quarter, and we maintained positive growth for multiple consecutive quarters. Our gross margin remained at a healthy level, underscoring the continued enhancement of our product value proposition and platform competitiveness.
Strategically, we continue to pursue AI-driven development, harnessing AI capabilities to accelerate the deployment of application-level solutions and scenario-based products, with implementation across multiple scenarios. We continued to iterate our developer tools and platform capabilities, enabling global developers to access and apply the most advanced AI technologies at lower cost and with greater efficiency. This is reflected in the continued growth of our AI-related business revenue, highlighting our steady progress in commercialization and accelerated deployment. Meanwhile, demand for AI-native applications in consumer scenarios continued to rise, driving the scaled application of Physical AI in real-life settings. At the same time, we are expanding the global rollout of validated solutions and further strengthening our developer ecosystem, working with industry partners to jointly explore the long-term opportunities in the AI application market. Looking ahead, supported by our resilient business model and solid financial foundation, we remain focused on AI application innovation, global solution expansion and developer ecosystem development, continuously enhancing our long-term value creation capabilities.
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Mr. Yi (Alex) Yang, Director and Chief Financial Officer of Tuya, added, “In the first quarter, we delivered total revenue of US$80.9 million, representing a year-over-year increase of 8.3%, with PaaS revenue growing by 9.8%, as our overall business continued its steady recovery. AI application & others revenue continued to outperform, increasing by 16.9% year over year and serving as an important driver of our structural growth, driven by continued expansion of cloud-based software offerings with AI application functions and application-level commercialization.
Meanwhile, profitability continued to improve, with GAAP operating margin reaching 9.2% and non-GAAP operating margin standing at 10.0%, demonstrating continued operating leverage and disciplined cost management. Net margin expanded to 19.5%, supported by enhanced efficiency and an optimized expense structure. We maintained a solid balance sheet, with over US$1.0 billion in cash and liquid investments, providing flexibility to support continued investment in AI and global expansion. Overall, our performance reflects the resilience of our core platform business, continued optimization of our revenue mix, and steady progress in translating AI capabilities into scalable commercial outcomes.”
First Quarter 2026 Unaudited Financial Results
REVENUE
Total revenue in the first quarter of 2026 increased by 8.3% to US$80.9 million from US$74.7 million in the same period of 2025.
| · | PaaS revenue in the first quarter of 2026 increased by 9.8% to US$59.0 million from US$53.7 million in the same period of 2025, primarily due to increasing demand compared with the same period of 2025 and the Company’s strategic focus on customer needs and product enhancements, despite the disruptions in the international business environment due to tariff-related headwinds since April 2025. Our core customer base remained stable. |
| · | AI application & others revenue in the first quarter of 2026 increased by 16.9% to US$11.6 million from US$10.0 million in the same period of 2025, primarily due to an increase in revenue from cloud based services. During the quarter, the Company remained committed to offering recurring value-added services with AI application functions. |
| · | Smart home & robot product revenue in the first quarter of 2026 decreased by 6.9% to US$10.2 million from US$11.0 million in the same period of 2025. |
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GROSS PROFIT AND GROSS MARGIN
Total gross profit in the first quarter of 2026 increased by 4.5% to US$37.9 million from US$36.3 million in the same period of 2025. The gross margin in the first quarter of 2026 was 46.9%, compared to 48.5% in the same period of 2025.
| · | PaaS gross margin in the first quarter of 2026 was 46.1%, compared to 48.4% in the same period of 2025, partly attributable to recent price fluctuations in the semiconductor supply chain. |
| · | AI application & others gross margin in the first quarter of 2026 was 71.7%, compared to 74.4% in the same period of 2025. |
| · | Smart home & robot product gross margin in the first quarter of 2026 was 23.0%, compared to 25.7% in the same period of 2025. |
Gross margin fluctuated primarily due to changes in products and solutions mix. As an AI developer platform with a rich ecosystem of smart devices and applications, the Company remains focused on AI offering with compelling value propositions while maintaining economic efficiency.
OPERATING EXPENSES
Operating expenses decreased by 19.3% to US$30.4 million in the first quarter of 2026 from US$37.7 million in the same period of 2025. Non-GAAP operating expenses increased by 1.3% to US$29.8 million in the first quarter of 2026 from US$29.4 million in the same period of 2025. For further information on the non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”
| · | Research and development expenses in the first quarter of 2026 were US$22.0 million, down 3.7% from US$22.8 million in the same period of 2025, primarily due to lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized, partially offset by higher employee-related cost and ongoing investments in research and development capabilities. Non-GAAP adjusted research and development expenses in the first quarter of 2026 were US$21.6 million, compared to US$20.8 million in the same period of 2025. |
| · | Sales and marketing expenses in the first quarter of 2026 were US$7.4 million, down 11.1% from US$8.3 million in the same period of 2025, primarily because of lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized and lower operating expenses, partially offset by higher employee-related cost associated with regular team movements. Non-GAAP adjusted sales and marketing expenses in the first quarter of 2026 were US$7.3 million, compared to US$7.6 million in the same period of 2025. |
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| · | General and administrative expenses in the first quarter of 2026 were US$4.3 million, down 51.7% from US$8.9 million in the same period of 2025, primarily because of lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized. Non-GAAP adjusted general and administrative expenses in the first quarter of 2026 were US$4.1 million, compared to US$3.4 million in the same period of 2025. |
| · | Other operating income, net in the first quarter of 2026 was US$3.3 million, primarily due to the receipt of software value-added tax refunds. |
LOSS/PROFIT FROM OPERATIONS AND OPERATING MARGIN
Profit from operations in the first quarter of 2026 was US$7.5 million, compared to a loss of US$1.5 million in the same period of 2025. The Company had a non-GAAP profit from operations of US$8.1 million in the first quarter of 2026, compared to a non-GAAP profit from operations of US$6.8 million in the same period of 2025, demonstrating consistent operating profitability and leverage.
Operating margin in the first quarter of 2026 was 9.2%, improved by 11.1 percentage points from negative 1.9% in the same period of 2025. Non-GAAP operating margin in the first quarter of 2026 was 10.0%, improved by 0.9 percentage points from 9.1% in the same period of 2025.
NET PROFIT AND NET MARGIN
Net profit in the first quarter of 2026 was US$15.8 million, improved by 43.2 percentage points from US$11.0 million in the same period of 2025, demonstrating consistent profitability and improved leverage, despite being partially impacted by interest rate cuts. Non-GAAP net profit in the first quarter of 2026 was US$16.4 million, compared to US$19.3 million in the same period of 2025.
Net margin in the first quarter of 2026 was 19.5%, improved by 4.7 percentage points from 14.8% in the same period of 2025. Non-GAAP net margin in the first quarter of 2026 was 20.3%, compared to 25.8% in the same period of 2025, mainly affected by interest rate fluctuations.
BASIC AND DILUTED NET PROFIT PER ADS
Basic and diluted net profit per ADS was US$0.03 in the first quarter of 2026, compared to basic and diluted net profit of US$0.02 in the same period of 2025. Each ADS represents one Class A ordinary share.
Non-GAAP basic and diluted net profit per ADS was US$0.03 in the first quarter of 2026, compared to non-GAAP basic and diluted net profit of US$0.03 in the same period of 2025.
CASH AND CASH EQUIVALENTS, TIME DEPOSITS AND TREASURY SECURITIES RECORDED AS SHORT-TERM AND LONG-TERM INVESTMENTS
Cash and cash equivalents, time deposits and treasury securities recorded as short-term and long-term investments were US$1,017.1 million as of March 31, 2026, compared to US$1,017.3 million as of December 31, 2025. The Company believes its current cash position is sufficient to meet its current liquidity and working capital needs.
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NET CASH GENERATED FROM OPERATING ACTIVITIES
Net cash generated from operating activities in the first quarter of 2026 was US$6.4 million. The net cash generated from operating activities for the first quarter of 2026 mainly due to working capital changes in the ordinary course of business.
For further information on non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”
Business Outlook
The overall operating environment remains complex, while continuing to show signs of normalization. Participants across the value chain – including manufacturers, brands, and channel partners – are maintaining a cautiously optimistic to planning. At the same time, we have observed more normalized project execution and continuous demand recovering across several of our core categories, suggesting that the market is gradually moving from adjustment toward a more stable operating rhythm.
Meanwhile, global AI development is entering a new stage of application-led growth. As AI technologies continue to evolve from foundational capabilities toward real-world deployment, enterprises and consumers are increasingly focused on practical use cases, scalable implementation, and scenario-based integration with physical devices. This trend is accelerating the convergence of AI and smart hardware, and is creating new opportunities for application innovation, product expansion, and ecosystem collaboration across a wide range of verticals.
Against this backdrop, Tuya continues to advance its AI-driven strategy by strengthening its AI developer platform, expanding application-level capabilities, and supporting broader deployment across diverse smart device and industry scenarios. The ongoing evolution of AI applications, together with its platform capabilities, ecosystem strengths, and global developer base, will continue to support the creation of diversified, higher-value opportunities over the long term.
In this environment, the Company will continue to maintain disciplined execution while selectively investing in AI-driven applications, platform capabilities, and ecosystem development. In response to this evolving market environment, the Company will continue to iterate and improve its products and services, enhance both software and hardware capabilities, and further support customers and developers in bringing AI-driven applications into practical deployment. At the same time, the Company recognizes that its future trajectory may continue to be influenced by a range of external factors, including shifts in consumer demand, regional economic divergence, inventory dynamics, foreign exchange and interest rate volatility, tariffs and trade policy adjustments, and broader geopolitical uncertainties.
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Conference Call Information
The Company’s management will hold a conference call at 08:30 P.M. U.S. Eastern Time on Monday, May 11, 2026 (08:30 A.M. Hong Kong Time on Tuesday, May 12, 2026) to discuss the financial results. In advance of the conference call, all participants must use the following links to complete the online registration process. Upon registering, each participant will receive the dial-in information and a unique PIN (personal access code) to join the call as well as an email confirmation with the details.
Participants Online Webcast Registration: https://edge.media-server.com/mmc/p/ac9ndekb
Participants Call Registration: https://register-conf.media-server.com/register/BIb902b42554034c629830165e2265dee8
A live and archived webcast of the conference call will also be available at the Company’s investor relations website at https://ir.tuya.com.
About Tuya Inc.
Tuya Inc. (NYSE: TUYA; HKEX: 2391) is a global leading AI cloud platform service provider with a mission to build an AI developer ecosystem and enable everything to be smart. Tuya has pioneered a purpose-built AI cloud platform with cloud and generative AI capabilities that delivers a full suite of offerings, including Platform-as-a-Service, or PaaS, AI application & others and Smart home & robot products for developers of smart device, commercial applications, and industries. Through its AI developer platform, Tuya has activated a vibrant global developer community of brands, OEMs, AI agents, system integrators and independent software vendors to collectively strive for smart solutions ecosystem embodying the principles of green and low-carbon, security, high efficiency, agility, and openness.
Use of Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses non-GAAP financial measures, such as non-GAAP operating expenses, non-GAAP profit from operations (including non-GAAP operating margin), non-GAAP net profit (including non-GAAP net margin), and non-GAAP basic and diluted net profit per ADS, as supplemental measures to review and assess its operating performance. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The Company defines non-GAAP financial measures by excluding the impact of share-based compensation expenses from the respective GAAP financial measures. The Company presents the non-GAAP financial measures because they are used by the management to evaluate its operating performance and formulate business plans. The Company also believes that the use of the non-GAAP financial measures facilitates investors’ assessment of its operating performance.
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Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using the aforementioned non-GAAP financial measures is that they do not reflect all items of expenses that affect the Company’s operations. Share-based compensation expenses have been and may continue to be incurred in the business and are not reflected in the presentation of non-GAAP measures. Further, the non-GAAP financial measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore their comparability may be limited. The Company compensates for these limitations by reconciling the non-GAAP measures to the most directly comparable U.S. GAAP measures, all of which should be considered when evaluating the Company’s performance. The Company encourages you to review its financial information in its entirety and not rely on a single financial measure.
Reconciliations of Tuya’s non-GAAP financial measures to the most comparable U.S. GAAP measures are included at the end of this press release.
Safe Harbor Statement
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statements. In some cases, forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “anticipate”, “target”, “aim”, “estimate”, “intend”, “plan”, “believe”, “potential”, “continue”, “is/are likely to” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. The forward-looking statements included in this press release are only made as of the date hereof, and the Company disclaims any obligation to publicly update any forward-looking statements to reflect subsequent events or circumstances, except as required by law. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty.
Investor Relations Contact
Tuya Inc.
Investor Relations
Email: ir@tuya.com
HL Strategy
Haiyan LI-LABBE
Email: hl@hl-strategy.com
Piacente Financial Communications
China Tel: +86-10-6508-0677
U.S. Tel: +1-212-481-2050
Email: tuya@thepiacentegroup.com
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TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS
AS OF DECEMBER 31, 2025 AND MARCH 31, 2026
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| As of December 31, 2025 | As of March 31, 2026 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | 890,708 | 912,447 | ||||||
| Restricted cash | – | 8 | ||||||
| Short-term investments | 61,770 | 38,705 | ||||||
| Accounts receivable, net | 13,193 | 13,028 | ||||||
| Notes receivable, net | 10,111 | 11,066 | ||||||
| Inventories, net | 30,943 | 43,699 | ||||||
| Prepayments and other current assets, net | 16,486 | 19,457 | ||||||
| Total current assets | 1,023,211 | 1,038,410 | ||||||
| Non-current assets: | ||||||||
| Restricted cash | 245 | 249 | ||||||
| Property, equipment and software, net | 15,653 | 25,143 | ||||||
| Land use rights, net | 8,843 | 8,936 | ||||||
| Operating lease right-of-use assets, net | 5,649 | 9,890 | ||||||
| Long-term investments | 77,213 | 78,843 | ||||||
| Other non-current assets, net | 1,700 | 988 | ||||||
| Total non-current assets | 109,303 | 124,049 | ||||||
| Total assets | 1,132,514 | 1,162,459 | ||||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | 31,778 | 38,836 | ||||||
| Advances from customers | 29,330 | 32,083 | ||||||
| Deferred revenue, current | 9,732 | 9,148 | ||||||
| Accruals and other current liabilities | 33,261 | 65,585 | ||||||
| Incomes tax payables | 142 | 244 | ||||||
| Lease liabilities, current | 1,985 | 3,638 | ||||||
| Total current liabilities | 106,228 | 149,534 | ||||||
| Non-current liabilities: | ||||||||
| Lease liabilities, non-current | 3,329 | 6,418 | ||||||
| Deferred revenue, non-current | 352 | 683 | ||||||
| Total non-current liabilities | 3,681 | 7,101 | ||||||
| Total liabilities | 109,909 | 156,635 | ||||||
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TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS (CONTINUED)
AS OF DECEMBER 31, 2025 AND MARCH 31, 2026
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| As of December 31, 2025 | As of March 31, 2026 | |||||||
| Shareholders’ equity: | ||||||||
| Ordinary shares | – | – | ||||||
| Class A ordinary shares | 27 | 27 | ||||||
| Class B ordinary shares | 4 | 4 | ||||||
| Treasury stock | (12 | ) | (12 | ) | ||||
| Additional paid-in capital | 1,549,389 | 1,512,933 | ||||||
| Accumulated other comprehensive loss | (14,842 | ) | (10,943 | ) | ||||
| Accumulated deficit | (511,961 | ) | (496,185 | ) | ||||
| Total shareholders’ equity | 1,022,605 | 1,005,824 | ||||||
| Total liabilities and shareholders’ equity | 1,132,514 | 1,162,459 | ||||||
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TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF
COMPREHENSIVE INCOME
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| For the Three Months Ended | ||||||||
| March 31, 2025 | March 31, 2026 | |||||||
| Revenue | 74,687 | 80,882 | ||||||
| Cost of revenue | (38,436 | ) | (42,984 | ) | ||||
| Gross profit | 36,251 | 37,898 | ||||||
| Operating expenses: | ||||||||
| Research and development expenses | (22,810 | ) | (21,972 | ) | ||||
| Sales and marketing expenses | (8,347 | ) | (7,420 | ) | ||||
| General and administrative expenses | (8,929 | ) | (4,315 | ) | ||||
| Other operating incomes, net | 2,383 | 3,281 | ||||||
| Total operating expenses | (37,703 | ) | (30,426 | ) | ||||
| (Loss)/profit from operations | (1,452 | ) | 7,472 | |||||
| Other income | ||||||||
| Other non-operating income, net | 767 | 767 | ||||||
| Financial income, net | 12,395 | 9,496 | ||||||
| Foreign exchange gain/(loss), net | 44 | (1,526 | ) | |||||
| Profit before income tax expense | 11,754 | 16,209 | ||||||
| Income tax expense | (737 | ) | (433 | ) | ||||
| Net profit | 11,017 | 15,776 | ||||||
| Net profit attributable to Tuya Inc. | 11,017 | 15,776 | ||||||
| Net profit attribute to ordinary shareholders | 11,017 | 15,776 | ||||||
| Net profit | 11,017 | 15,776 | ||||||
| Other comprehensive income Foreign currency translation | 177 | 3,899 | ||||||
| Total comprehensive income attributable to Tuya Inc. | 11,194 | 19,675 | ||||||
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TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF
COMPREHENSIVE INCOME (CONTINUED)
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| For the Three Months Ended | ||||||||
| March 31, 2025 | March 31, 2026 | |||||||
| Net profit attributable to Tuya Inc. | 11,017 | 15,776 | ||||||
| Net profit attributable to ordinary shareholders | 11,017 | 15,776 | ||||||
| Weighted average number of ordinary shares used in computing net profit per share, basic and diluted | ||||||||
| – Basic | 606,308,258 | 615,523,100 | ||||||
| – Diluted | 608,490,640 | 616,307,696 | ||||||
| Net profit per share attributable to ordinary shareholders, basic and diluted | ||||||||
| – Basic | 0.02 | 0.03 | ||||||
| – Diluted | 0.02 | 0.03 | ||||||
| Share-based compensation expenses were included in: | ||||||||
| Research and development expenses | 2,016 | 372 | ||||||
| Sales and marketing expenses | 738 | 86 | ||||||
| General and administrative expenses | 5,521 | 170 | ||||||
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TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| For the Three Months Ended | ||||||||
| March 31, 2025 | March 31, 2026 | |||||||
| Net cash generated from operating activities | 9,352 | 6,399 | ||||||
| Net cash generated from investing activities | 101,183 | 14,924 | ||||||
| Net cash generated from financing activities | 2 | – | ||||||
| Effect of exchange rate changes on cash and cash equivalents, restricted cash | 32 | 428 | ||||||
| Net increase in cash and cash equivalents, restricted cash | 110,569 | 21,751 | ||||||
| Cash and cash equivalents, restricted cash at the beginning of period | 653,384 | 890,953 | ||||||
| Cash and cash equivalents, restricted cash at the end of period | 763,953 | 912,704 | ||||||
13
TUYA INC.
UNAUDITED RECONCILIATION
OF NON-GAAP MEASURES TO THE MOST
DIRECTLY COMPARABLE FINANCIAL MEASURES
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| For the Three Months Ended | ||||||||
| March 31, 2025 | March 31, 2026 | |||||||
| Reconciliation of operating expenses to non-GAAP operating expenses | ||||||||
| Research and development expenses | (22,810 | ) | (21,972 | ) | ||||
| Add: Share-based compensation expenses | 2,016 | 372 | ||||||
| Adjusted Research and development expenses | (20,794 | ) | (21,600 | ) | ||||
| Sales and marketing expenses | (8,347 | ) | (7,420 | ) | ||||
| Add: Share-based compensation expenses | 738 | 86 | ||||||
| Adjusted Sales and marketing expenses | (7,609 | ) | (7,334 | ) | ||||
| General and administrative expenses | (8,929 | ) | (4,315) | |||||
| Add: Share-based compensation expenses | 5,521 | 170 | ||||||
| Adjusted General and administrative expenses | (3,408 | ) | (4,145 | ) | ||||
| Reconciliation of (loss)/profit from operations to non-GAAP profit from operations | ||||||||
| (Loss)/profit from operations | (1,452 | ) | 7,472 | |||||
| Operating margin | (1.9 | )% | 9.2 | % | ||||
| Add: Share-based compensation expenses | 8,275 | 628 | ||||||
| Non-GAAP profit from operations | 6,823 | 8,100 | ||||||
| Non-GAAP Operating margin | 9.1% | 10.0% | ||||||
14
TUYA INC.
UNAUDITED RECONCILIATION
OF NON-GAAP MEASURES TO THE MOST
DIRECTLY COMPARABLE FINANCIAL MEASURES (CONTINUED)
(All amounts in US$ thousands (“US$”),
except for share and per share data, unless otherwise noted)
| For the Three Months Ended | ||||||||
| March 31, 2025 | March 31, 2026 | |||||||
| Reconciliation of net profit to non-GAAP net profit | ||||||||
| Net profit | 11,017 | 15,776 | ||||||
| Net margin | 14.8 | % | 19.5 | % | ||||
| Add: Share-based compensation expenses | 8,275 | 628 | ||||||
| Non-GAAP Net profit | 19,292 | 16,404 | ||||||
| Non-GAAP Net margin | 25.8 | % | 20.3 | % | ||||
| Weighted average number of ordinary shares used in computing non-GAAP net profit per share, basic and diluted | ||||||||
| – Basic | 606,308,258 | 615,523,100 | ||||||
| – Diluted | 608,490,640 | 616,307,696 | ||||||
| Non-GAAP net profit per share attributable to ordinary shareholders, basic and diluted | ||||||||
| – Basic | 0.03 | 0.03 | ||||||
| – Diluted | 0.03 | 0.03 | ||||||
15
| FF305 Page 1 of 5 v 1.3.0 Next Day Disclosure Return (Equity issuer - changes in issued shares or treasury shares, share buybacks and/or on-market sales of treasury shares) Instrument: Equity issuer Status: New Submission Name of Issuer: Tuya Inc. Date Submitted: 11 May 2026 Section I must be completed by a listed issuer where there has been a change in its issued shares or treasury shares which is discloseable pursuant to rule 13.25A of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Exchange”) (the “Main Board Rules”) or rule 17.27A of the Rules Governing the Listing of Securities on GEM of the Exchange (the “GEM Rules”). Section I 1. Class of shares WVR ordinary shares Type of shares A Listed on the Exchange Yes Stock code (if listed) 02391 Description A. Changes in issued shares or treasury shares Changes in issued shares Changes in treasury (excluding treasury shares) shares Events Number of issued shares (excluding treasury shares) As a % of existing number of issued shares (excluding treasury shares) before the relevant event Number of treasury shares Issue/ selling price per share (Note 4) Total number of issued shares (Note 3) Opening balance as at (Note 1) 04 May 2026 543,153,371 0 543,153,371 1). Issue of new shares or transfer of treasury shares in respect of share awards or options granted to a participant (who is not a director of the issuer) under a share scheme - new shares involved Exercise of options or restricted share units by employees (other than directors) pursuant to the 2015 Equity Incentive Plan Date of changes 11 May 2026 5,500 0.0009 % USD 0.00005 Closing balance as at (Notes 5 and 6) 11 May 2026 543,158,871 0 543,158,871 |
| FF305 Page 2 of 5 v 1.3.0 Remarks: Issued shares as a % of existing number of issued shares before relevant share issue calculated based on the Company's total number of issued shares of 613,316,004 shares (comprising 543,153,371 Class A ordinary shares and 70,162,633 Class B ordinary shares). B. Shares redeemed or repurchased for cancellation but not yet cancelled as at the closing balance date (Notes 5 and 6) Not applicable |
| FF305 Page 3 of 5 v 1.3.0 Confirmation Not applicable Notes to Section I: 1. Please insert the closing balance date of the last Next Day Disclosure Return published pursuant to Main Board Rule 13.25A / GEM Rule 17.27A or Monthly Return pursuant to Main Board Rule 13.25B / GEM Rule 17.27B, whichever is the later. 2. Please set out all changes in issued shares or treasury shares requiring disclosure pursuant to Main Board Rule 13.25A / GEM Rule 17.27A together with the relevant dates of changes. Each category will need to be disclosed individually with sufficient information to enable the user to identify the relevant category in the listed issuer's Monthly Return. For example, multiple issues of shares as a result of multiple exercises of share options under the same share option scheme or of multiple conversions under the same convertible note must be aggregated and disclosed as one category. However, if the issues resulted from exercises of share options under 2 share option schemes or conversions of 2 convertible notes, these must be disclosed as 2 separate categories. 3. The percentage change in the number of issued shares (excluding treasury shares) of the listed issuer is to be calculated by reference to the opening balance of the number of issued shares (excluding treasury shares) being disclosed in this Next Day Disclosure Return. 4. In the case of a share repurchase or redemption, the “issue/ selling price per share” shall be construed as “repurchase price per share” or “redemption price per share”. Where shares have been issued/ sold/ repurchased/ redeemed at more than one price per share, a volume-weighted average price per share should be given. 5. The closing balance date is the date of the last relevant event being disclosed. 6. For repurchase or redemption of shares, disclosure is required when the relevant event has occurred (subject to the provisions of Main Board Rules 10.06(4)(a), 13.25A and 13.31 / GEM Rules 13.13(1), 17.27A and 17.35), even if the repurchased or redeemed shares have not yet been cancelled. If repurchased or redeemed shares are to be cancelled upon settlement of such repurchase or redemption after the closing balance date, they shall remain part of the issued shares as at the closing balance date in Part A. Details of these repurchased or redeemed shares shall be disclosed in Part B. 7. Items (i) to (viii) are suggested forms of confirmation. The listed issuer may amend the item(s) that is/are not applicable to meet individual cases. 8. “Identical” means in this context: - the securities are of the same nominal value with the same amount called up or paid up; - they are entitled to dividend/interest at the same rate and for the same period, so that at the next ensuing distribution, the dividend/interest payable per unit will amount to exactly the same sum (gross and net); and - they carry the same rights as to unrestricted transfer, attendance and voting at meetings and rank pari passu in all other respects. |
| FF305 Page 4 of 5 v 1.3.0 Section II must also be completed by a listed issuer where it has made a repurchase of shares which is discloseable under Main Board Rule 10.06(4)(a) / GEM Rule 13.13(1). Repurchase report Not applicable |
| FF305 Page 5 of 5 v 1.3.0 Section III must also be completed by a listed issuer where it has made a sale of treasury shares on the Exchange or any other stock exchange on which the issuer is listed which is discloseable under Main Board Rule 10.06B / GEM Rule 13.14B. Report of on-market sale of treasury shares Not applicable Submitted by: Dong Ke (Name) Title: Director, Investor Ralations (Director, Secretary or other Duly Authorised Officer) |
