1. Youxin Technology reported 21% revenue growth in H1 FY2025. 2. Cerner revenue rose due to resumed customized CRM development services. 3. Gross margin dropped to 37%, while net loss increased to $1.7 million. 4. Cash reserves increased significantly from $18,372 to $1.6 million. 5. Company aims to optimize PaaS and SaaS offerings to enhance customer loyalty.
The company's revenue growth and cash position signal growth potential, despite losses.
Revenue growth indicates positive market reception, which could drive stock performance.
Investments in PaaS and SaaS suggest future growth opportunities for the next fiscal periods.
(the "Company" or "Youxin Technology"), a software as a service ("SaaS") and platform as a service ("PaaS") provider committed to helping retail enterprises digitally transform their businesses, today announced its unaudited financial results for the first half of fiscal year 2025 ended March 31, 2025.
Mr. Shaozhang Lin, Chief Executive Officer of Youxin Technology Ltd, commented, "The first half of fiscal year 2025 reflects our ongoing commitment to long-term strategic priorities and our continued investment in growth, despite near-term pressure on margins and net results. We are especially proud to have successfully completed our listing on the Nasdaq in December 2024, a significant milestone that can not only strengthen our global visibility but also enhance our ability to execute long-term strategic plans. We are encouraged by the 21% year-over-year revenue growth in the first half of fiscal year 2025, which was driven by the resumption of our customized CRM system development service which reinforced our ability to deliver tailored digital solutions. Presently, we continue promoting the broader adoption of our products and strengthening customer engagement through attractive pricing and increased marketing efforts."
Mr. Lin continued, "We remain confident in our path forward. We plan to continue optimizing our PaaS platform and SaaS services to deepen customer value and loyalty, while reinforcing our collaboration with strategic vendors to deliver solutions that better meet the individualized needs of our clients. We are confident that these initiatives will strengthen our foundation for sustainable growth and better position us to capture future opportunities."
Revenues
Total revenues were $346,013 for the six months ended March 31, 2025, or an increase of 21% from $285,392 for the same period of last year. The increase was mainly because the Company gradually restarted the operating of the customized CRM system development services.
| For the six months ended March 31 | 2025 | 2024 | ($) |
|---|---|---|---|
| Revenue | 326,793 | 121,366 | Professional services |
| Cost of Revenue | 213,217 | 74,247 | Payment channel services |
| Gross Margin | 35% | 39% | Others |
| Total | 346,013 | 285,392 | 216,386 |
Revenue from professional services was $326,793 for the six months ended March 31, 2025, or an increase of 169% from $121,366 for the same period of last year.
Revenue from payment channel services was $17,098 for the six months ended March 31, 2025, or a decrease of 88% from $140,663 for the same period of last year. The decrease was mainly due to reduced clients' demand, and resulted in fewer transactions through the payment system.
Cost of revenues was $216,386 for the six months ended March 31, 2025, an increase of 136% from $91,646 for the same period of last year.
Gross profit was $129,627 for the six months ended March 31, 2025, compared to $193,746 for the same period of last year.
Gross margin was 37% for the six months ended March 31, 2025, a decrease from 68% for the same period of last year.
As of March 31, 2025, the Company had cash of $1,636,920, compared to $18,372 as of September 30, 2024.
For more information, please visit the Company's website: https://ir.youxin.cloud.
The foregoing material may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation the Company's statements regarding the Company's product development and business prospects, and can be identified by the use of words such as "may," "will," "expect," "project," "estimate," "anticipate," "plan," "believe," "potential," "should," "continue" or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned.
For investor and media inquiries, please contact:
Youxin Technology Ltd.
Investor Relations Department
Email: [email protected]
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: [email protected]