YSX TECH. CO. LTD Announces Unaudited Financial Results for the Six Months Ended September 30, 2024
YSX TECH (YSXT) reported unaudited financial results for H1 2024 (ended September 30), showing mixed performance. Total revenue increased 28.7% to $34.1 million, primarily driven by auto insurance aftermarket value-added services, which grew 31.8% to $28.2 million. The company's vehicle driving risk screening services saw an impressive 879.2% revenue increase to $25.4 million.
Service volume increased 59.7% to 2.1 million calls. However, despite gross profit growing 6.6% to $3.6 million, gross margin declined from 12.7% to 10.6%. Net income decreased 22% to $1.9 million, affected by reduced margins and higher operational expenses. Cash position improved to $5.4 million as of September 30, 2024, compared to $4.3 million in March 2024.
YSX TECH (YSXT) ha riportato risultati finanziari non auditati per il primo semestre del 2024 (terminato il 30 settembre), mostrando una performance mista. Il fatturato totale è aumentato del 28,7% a 34,1 milioni di dollari, principalmente grazie ai servizi a valore aggiunto nel settore delle assicurazioni auto, che sono cresciuti del 31,8% a 28,2 milioni di dollari. I servizi di screening del rischio di guida dei veicoli dell'azienda hanno registrato un impressionante aumento del fatturato dell'879,2%, raggiungendo i 25,4 milioni di dollari.
Il volume dei servizi è aumentato del 59,7% a 2,1 milioni di chiamate. Tuttavia, nonostante il profitto lordo sia cresciuto del 6,6% a 3,6 milioni di dollari, il margine lordo è diminuito dal 12,7% al 10,6%. Il reddito netto è diminuito del 22% a 1,9 milioni di dollari, influenzato dalla riduzione dei margini e dall'aumento delle spese operative. La posizione di cassa è migliorata a 5,4 milioni di dollari al 30 settembre 2024, rispetto ai 4,3 milioni di dollari di marzo 2024.
YSX TECH (YSXT) reportó resultados financieros no auditados para el primer semestre de 2024 (finalizado el 30 de septiembre), mostrando un desempeño mixto. Los ingresos totales aumentaron un 28,7% a 34,1 millones de dólares, impulsados principalmente por los servicios de valor agregado en el mercado de seguros de automóviles, que crecieron un 31,8% a 28,2 millones de dólares. Los servicios de evaluación de riesgos de conducción de la empresa vieron un impresionante aumento del 879,2% en los ingresos, alcanzando los 25,4 millones de dólares.
El volumen de servicios aumentó un 59,7% a 2,1 millones de llamadas. Sin embargo, a pesar de que el beneficio bruto creció un 6,6% a 3,6 millones de dólares, el margen bruto disminuyó del 12,7% al 10,6%. El ingreso neto disminuyó un 22% a 1,9 millones de dólares, afectado por márgenes reducidos y mayores gastos operativos. La posición de efectivo mejoró a 5,4 millones de dólares al 30 de septiembre de 2024, en comparación con 4,3 millones de dólares en marzo de 2024.
YSX TECH (YSXT)는 2024년 상반기(9월 30일 종료)에 대한 감사되지 않은 재무 결과를 발표하며 혼합된 성과를 보였습니다. 총 수익은 28.7% 증가하여 3,410만 달러에 달했으며, 이는 주로 자동차 보험 애프터마켓 부가가치 서비스에 의해 주도되었고, 이 서비스는 31.8% 증가하여 2,820만 달러에 달했습니다. 회사의 차량 운전 위험 평가 서비스는 879.2%의 인상적인 수익 증가를 기록하여 2,540만 달러에 달했습니다.
서비스 볼륨은 59.7% 증가하여 210만 통화에 도달했습니다. 그러나 총 이익이 6.6% 증가하여 360만 달러에 달했음에도 불구하고 총 마진은 12.7%에서 10.6%로 감소했습니다. 순이익은 22% 감소하여 190만 달러에 이르렀으며, 이는 마진 감소와 운영 비용 증가의 영향을 받았습니다. 현금 위치는 2024년 9월 30일 기준으로 540만 달러로 개선되었으며, 이는 2024년 3월의 430만 달러와 비교됩니다.
YSX TECH (YSXT) a rapporté des résultats financiers non audités pour le premier semestre 2024 (terminé le 30 septembre), montrant une performance mixte. Le chiffre d'affaires total a augmenté de 28,7 % pour atteindre 34,1 millions de dollars, principalement en raison des services à valeur ajoutée dans le secteur de l'assurance automobile, qui ont augmenté de 31,8 % pour atteindre 28,2 millions de dollars. Les services d'évaluation des risques de conduite de l'entreprise ont connu une augmentation impressionnante de 879,2 % de leurs revenus, atteignant 25,4 millions de dollars.
Le volume de services a augmenté de 59,7 % pour atteindre 2,1 millions d'appels. Cependant, bien que le bénéfice brut ait augmenté de 6,6 % pour atteindre 3,6 millions de dollars, la marge brute a diminué de 12,7 % à 10,6 %. Le revenu net a diminué de 22 % pour atteindre 1,9 million de dollars, affecté par la réduction des marges et l'augmentation des dépenses opérationnelles. La position de trésorerie s'est améliorée à 5,4 millions de dollars au 30 septembre 2024, contre 4,3 millions de dollars en mars 2024.
YSX TECH (YSXT) berichtete über nicht testierte Finanzergebnisse für das erste Halbjahr 2024 (zum 30. September), die eine gemischte Leistung zeigten. Der Gesamtumsatz stieg um 28,7% auf 34,1 Millionen Dollar, hauptsächlich getrieben durch wertschöpfende Dienstleistungen im Bereich der Kfz-Versicherungen, die um 31,8% auf 28,2 Millionen Dollar wuchsen. Die Risikobewertungsdienste für Fahrzeugfahrer des Unternehmens verzeichneten einen beeindruckenden Umsatzanstieg von 879,2% auf 25,4 Millionen Dollar.
Das Servicevolumen stieg um 59,7% auf 2,1 Millionen Anrufe. Trotz eines Anstiegs des Bruttogewinns um 6,6% auf 3,6 Millionen Dollar fiel die Bruttomarge von 12,7% auf 10,6%. Der Nettogewinn sank um 22% auf 1,9 Millionen Dollar, beeinflusst durch sinkende Margen und höhere Betriebskosten. Die Liquiditätsposition verbesserte sich zum 30. September 2024 auf 5,4 Millionen Dollar im Vergleich zu 4,3 Millionen Dollar im März 2024.
- Revenue growth of 28.7% to $34.1 million
- Vehicle driving risk screening services revenue up 879.2% to $25.4 million
- Service volume increased 59.7% to 2.1 million calls
- Cash position improved to $5.4 million from $4.3 million
- Net income declined 22% to $1.9 million
- Gross margin decreased from 12.7% to 10.6%
- Operating expenses increased 121.8% to $1.2 million
- Software development revenue decreased 63.5%
Insights
The financial results reveal a complex narrative of rapid growth accompanied by concerning profitability challenges. The standout metric is the
The expansion of service volume by
The company's working capital position appears stable, with cash reserves increasing to
Three critical factors warrant investor attention: 1) The sustainability of growth in vehicle risk screening services amid potential market saturation, 2) The company's ability to stabilize margins through pricing optimization and cost control, and 3) The need for more efficient scaling of operations to prevent further margin erosion. The decline in software development revenue by
GUANGZHOU, China, Feb. 24, 2025 (GLOBE NEWSWIRE) -- YSX TECH. CO., LTD (the “Company” or “YSXT”), 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, 2024.
Key highlights
- Total revenue increased by approximate
$7.6 million , or28.7% , to approximately$34.1 million for the six months ended September 30, 2024, from$26.5 million during the same period in 2023. - Revenue from auto insurance aftermarket value-added services increased by
31.8% from approximately$21.4 million to$28.2 million , which was mainly due to879.2% revenue increase of vehicle driving risk screening services, from approximately$2.6 million to$25.4 million for the six months ended September 30, 2024. - Total number of value-added services performed (service volume) increased by
59.7% to approximately 2.1 million for the six months ended September 30, 2024 from the same period in 2023. - Gross profit increased by
6.6% to approximately$3.6 million for the six months ended September 30, 2024 from the same period in 2023, but gross margin declined to10.6% from12.7% . - Net income declined by approximately
$0.6 million , or22.0% , to approximately$1.9 million for the six months ended September 30, 2024 from$2.5 million in 2023.
Mr. Jie Xiao, CEO of YSX TECH CO. LTD, stated: “We are pleased with our revenue growth, which has highlighted the rising demand for our services and our ability to expand market share. However, profitability was impacted by changes in our customer mix and pricing dynamics. As we continue expanding geographically and diversifying our services, we plan to implement measures refining our pricing strategies to address these challenges and improve margins.”
“We expect continued revenue growth in the near future, supported by rising demand for our services, and we will continue optimizing our service mix, improving cost efficiencies, in order to keep pursuing sustainable long-term growth. The Company will provide further details about its financial results in its upcoming earnings announcement.”
Unaudited Financial Results for the Six Months Ended September 30, 2024
| For the six months ended September 30, | |||||||||
| 2024 | 2023 | Variances | |||||||
| In USD Millions, except percentages | Amount | Amount | % | ||||||
| Total revenue | 34.1 | 26.5 | 28.7 | % | |||||
| Total cost of revenue | 30.5 | 23.1 | 31.9 | % | |||||
| Gross profit | 3.6 | 3.4 | 6.6 | % | |||||
| Income from operations | 2.4 | 2.8 | (16.4 | )% | |||||
| Net income | $ | 1.9 | $ | 2.5 | (22.0 | )% | |||
Total revenue increased by approximate
- Revenue from auto insurance aftermarket value-added services grew by approximately
$6.8 million , or31.8% , due to a significant59.7% increase in the service volume of Auto Insurance Aftermarket Value-added Services, from approximately 1.3 million service calls in the six months ended September 30, 2023 to 2.1 million service calls in the six months ended September 30, 2024. - Revenue from other scenario-based customized services grew by approximately
$1.3 million , or31.2% , driven by increased customer demand and higher average service prices. - However, revenue from software development and information technology services decreased by approximately
$0.5 million , or63.5% , compared to the prior period, primarily due to decrease in the average service price the Company charged customers for such services.
Cost of revenue increased by
Gross profit increased by
Total operating expenses increased by
Net income declined by approximately
Cash and cash equivalents was approximately
About YSX TECH. CO., LTD
Primarily operating in Xinjiang and Guangdong provinces, 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 SEC, 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:
At the Company
marketing@ysxnet.com
+86 (20) 2984 2002
Investor Relations
WFS Investor Relations Inc.
Janice Wang
Email: services@wealthfsllc.com
Phone: +86 13811768599
+1 628 283 9214
YSX TECH CO. LTD. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED BALANCE SHEETS
| As of | ||||||||
| September 30, 2024 | March 31, 2024 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS | ||||||||
| Cash | $ | 5,444,920 | $ | 4,283,794 | ||||
| Short-term investment | 437,115 | 2,103,762 | ||||||
| Accounts receivable, net of | 9,858,094 | 9,163,752 | ||||||
| Accounts receivable, related parties | 4,024,951 | 2,871,872 | ||||||
| Advances to vendors | 10,690,258 | 8,123,120 | ||||||
| Due from related parties | — | 2,197 | ||||||
| Deferred initial public offering costs | 153,987 | 118,103 | ||||||
| Other current assets | 757,038 | 848,185 | ||||||
| TOTAL CURRENT ASSETS | 31,366,363 | 27,514,785 | ||||||
| Property and equipment, net | 44,560 | 54,486 | ||||||
| Right-of-use operating lease assets | 190,240 | 224,835 | ||||||
| Deferred tax assets | 116,609 | 76,821 | ||||||
| TOTAL NONCURRENT ASSETS | 351,409 | 356,142 | ||||||
| TOTAL ASSETS | $ | 31,717,772 | $ | 27,870,927 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES | ||||||||
| Short-term bank loans | $ | 1,635,887 | $ | 1,563,452 | ||||
| Current portion of long-term loans | 142,499 | 138,481 | ||||||
| Accounts payable | 1,845,371 | 1,525,192 | ||||||
| Deferred revenue | 8,010 | 14,099 | ||||||
| Taxes payable | 3,110,014 | 2,579,976 | ||||||
| Due to related parties | 562,644 | 417,557 | ||||||
| Operating lease liabilities, current | 91,387 | 83,477 | ||||||
| Accrued expenses and other current liabilities | 1,257,021 | 883,805 | ||||||
| TOTAL CURRENT LIABILITIES | 8,652,833 | 7,206,039 | ||||||
| Operating lease liabilities, non-current | 118,076 | 160,706 | ||||||
| Long-term loans | 427,497 | 484,684 | ||||||
| Long term loan, related party | 1,353,739 | 1,384,811 | ||||||
| TOTAL NONCURRENT LIABILITIES | 1,899,312 | 2,030,201 | ||||||
| TOTAL LIABILITIES | 10,552,145 | 9,236,240 | ||||||
| COMMITMENTS AND CONTINGENCIES | ||||||||
| SHAREHOLDERS’ EQUITY | ||||||||
| Ordinary shares, | — | — | ||||||
| Class A ordinary shares, | 2,082 | 2,082 | ||||||
| Class B ordinary shares, | 118 | 118 | ||||||
| Additional paid-in capital | 5,346,674 | 5,346,674 | ||||||
| Statutory reserve | 818,465 | 741,584 | ||||||
| Retained earnings | 15,570,667 | 13,720,353 | ||||||
| Accumulated other comprehensive loss | (572,379 | ) | (1,176,124 | ) | ||||
| TOTAL SHAREHOLDERS’ EQUITY | 21,165,627 | 18,634,687 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 31,717,772 | $ | 27,870,927 | ||||
YSX TECH CO. LTD. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
| For the Six Months ended September 30, | ||||||||
| 2024 | 2023 | |||||||
| REVENUES: | ||||||||
| Revenues | $ | 24,747,746 | $ | 22,199,058 | ||||
| Revenues, related parties | 9,346,622 | 4,298,763 | ||||||
| Total revenue | 34,094,368 | 26,497,821 | ||||||
| COST OF REVENUES: | ||||||||
| Cost of revenues | 30,493,854 | 19,362,131 | ||||||
| Cost of revenues, related parties | — | 3,757,075 | ||||||
| Total cost of revenues | 30,493,854 | 23,119,206 | ||||||
| Gross profit | 3,600,514 | 3,378,615 | ||||||
| OPERATING EXPENSES: | ||||||||
| Selling and marketing | 66,471 | 57,991 | ||||||
| General and administrative | 1,064,198 | 400,617 | ||||||
| Research and development | 113,652 | 102,331 | ||||||
| Total operating expenses | 1,244,321 | 560,939 | ||||||
| INCOME FROM OPERATIONS | 2,356,193 | 2,817,676 | ||||||
| OTHER INCOME (EXPENSES): | ||||||||
| Interest expense | (62,438 | ) | (50,324 | ) | ||||
| Interest income | 654 | 819 | ||||||
| Investment income | 20,282 | 13,731 | ||||||
| Other income | 64,598 | 181,885 | ||||||
| Other non-operating expenses, net | (17,393 | ) | (6,243 | ) | ||||
| Total other income, net | 5,703 | 139,868 | ||||||
| INCOME BEFORE INCOME TAX PROVISION | 2,361,896 | 2,957,544 | ||||||
| PROVISION FOR INCOME TAXES | 434,701 | 485,787 | ||||||
| NET INCOME | 1,927,195 | 2,471,757 | ||||||
| OTHER COMPREHENSIVE INCOME | ||||||||
| Foreign currency translation adjustment | 603,745 | (920,145 | ) | |||||
| COMPREHENSIVE INCOME | $ | 2,530,940 | $ | 1,551,612 | ||||
| Earnings per ordinary share- basic and diluted | $ | 0.09 | $ | 0.11 | ||||
| Weighted average number of ordinary shares- basic and diluted | 22,000,000 | 22,000,000 | ||||||
FAQ
What was YSXT's revenue growth in H1 2024?
Why did YSXT's net income decline in H1 2024?
What was YSXT's service volume growth in H1 2024?
How much did YSXT's vehicle driving risk screening services revenue grow?
What was YSXT's cash position as of September 30, 2024?
