--- title: "YSX TECH. CO. LTD Reports Full Year 2026 Financial Results | YSXT Stock News" type: "News" locale: "en" url: "https://longbridge.com/en/news/292356785.md" description: "YSX TECH. CO., LTD (NASDAQ: YSXT) reported full-year 2026 financial results ending March 31, 2026. Total revenue increased 16.8% to $83.5 million, driven by a 28.8% rise in service volumes and a strategic pivot toward insurance brokerages. Net income declined 30.3% to $2.8 million due to lower margins from higher-volume services. The company maintains $34.8 million in working capital and is focusing on integrating supply-chain finance and Web3 technologies for future growth." datetime: "2026-07-10T12:37:00.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/292356785.md) - [en](https://longbridge.com/en/news/292356785.md) - [zh-HK](https://longbridge.com/zh-HK/news/292356785.md) --- # YSX TECH. CO. LTD Reports Full Year 2026 Financial Results | YSXT Stock News See more from StockTitan in Google Search and AI answers.Adds StockTitan as a preferred source · opens Google Add on Google **16.8% Revenue Growth and 28.8% Service Volumes Increase** GUANGZHOU, China, July 10, 2026 (GLOBE NEWSWIRE) -- YSX TECH. CO., LTD (NASDAQ: “YSXT”) (the “Company”), 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 financial results for the fiscal year ended March 31, 2026. **Management Commentary** "Fiscal 2026 was a year of operational scaling and strategic realignment for YSX," said Mr. Jie Xiao, CEO of YSX TECH. CO., LTD. "We drove our top-line revenue to $83.5 million, representing a 16.8% year-over-year increase, fueled primarily by a 28.8% increase in our service volumes. By intentionally pivoting our business development efforts toward insurance brokerages rather than single insurance companies, we broadened our market reach. This transition led to a 112.1% increase in volume in our vehicle driving risk screening services alone.” “While this deliberate shift in our service mix toward higher-volume services yielded lower average margins and impacted our near-term net income, the Fiscal 2026 results show that this approach captured enhanced market share, and we believe that it strengthened our position as a competitive intermediary platform. More importantly, we spent the past year laying the technological groundwork for our next phase of growth. Through our newly forged partnerships with active industry participants like Huijian, Qingfeng Automobile Group, and XUnit, we are endeavoring to integrating supply-chain finance, physical dealership networks, and Web3 asset digitization into our ecosystem. With $34.8 million in working capital, we believe that we are well-capitalized to execute this 'Technology + Physical' roadmap and deliver long-term value to our shareholders." **Operational and Strategic Milestones** _Strategic Shift Toward Insurance Brokerages_ A key driver of the Company's volume growth was its pivot toward partnering with insurance brokerages. Unlike individual insurance companies that restrict services to their own policies, brokerages offer products from multiple carriers, allowing the Company to reach a broader base of policyholders. For the fiscal year ended March 31, 2026, 62.3% of the Company's value-added service contracts were obtained through brokerages. _Surge in Risk Screening Services_ Aligning with brokerage demands, the Company expanded its vehicle driving risk screening services. Service volume in this category increased by 112.1% to approximately 5.6 million service calls, generating approximately $74.4 million in revenue, representing a 115.1% year-over-year increase for the segment. **Full Year 2026 Financial Highlights** - **Total Revenue** increased by $12.0 million, or 16.8%, to $83.5 million for the fiscal year ended March 31, 2026, up from $71.5 million in fiscal year ended March 31, 2025. - **Revenue from auto insurance aftermarket value-added services** increased by 27.4% to $80.8 million, accounting for 96.7% of total revenue. - **Over 6.07 million service calls** were processed in 2026, an increase of 1.36 million calls, or 28.8%, compared to the prior year. - **Net income** was $2.8 million for fiscal 2026, compared to $4.0 million in fiscal year ended March 31, 2025. - **Robust Liquidity** as the Company ended the fiscal year with $5.9 million in cash and a working capital balance of $34.8 million. **Full Year 2026 Financial Results** **Selected Financial Data (in millions USD)** **Year Ended March 31, 2026** **Year Ended March 31, 2025** **Variance (%)** **Total Revenue** $83.5 $71.5 16.8% _Value-Added Services_ _$__80.8_ _$__63.4_ _27.4__%_ _Other Customized Services_ _$__2.7_ _$__7.4_ _(64.2__%)_ _Software & IT Services_ _$__0.1_ _$__0.6_ _(91.7__%)_ **Cost of Revenue** $(76.3) $(64.1) 19.1% **Gross Profit** $7.2 $7.4 (2.6%) **Total Operating Expenses** $3.7 $2.6 41.2% **Income from Operations** $3.5 $4.8 (26.2%) **Net Income** $2.8 $4.0 (30.3%) **Total Revenue** Total revenue increased by approximately $12.0 million, or 16.8%, to approximately $83.5 million for the fiscal year ended March 31, 2026, compared to approximately $71.5 million for the fiscal year ended March 31, 2025. The increase was primarily driven by an increase in revenue from our auto insurance aftermarket value-added services, which grew by approximately $17.4 million, or 27.4%, as the Company secured more service contracts from insurance brokerages and achieved a 28.8% increase in overall service volume (totaling approximately 6.1 million service calls). This growth was partially offset by a decrease in revenue from our other scenario-based customized services of approximately $4.8 million, or 64.2%, driven by a reduction in the number of customers for such services, and a decrease in revenue from software development and information technology services of approximately $0.6 million, or 91.7%, driven by a reduction in the number of customers for such services. **Cost of Revenue** Cost of revenue increased by approximately $12.2 million, or 19.1%, to approximately $76.3 million for the fiscal year ended March 31, 2026, compared to approximately $64.1 million for the prior fiscal year. This increase was primarily attributable to increased subcontract costs resulting from the volume expansion of our value-added services, as we engaged more external vendors to fulfill the approximately 6.1 million service calls processed during the year. The increase was partially offset by decreased subcontract costs associated with our customized services and IT services business lines. **Gross Profit** Gross profit decreased by approximately $0.2 million, or 2.6%, to approximately $7.2 million for the fiscal year ended March 31, 2026, compared to approximately $7.4 million for the fiscal year 2025. Our gross margin correspondingly decreased from 10.3% in fiscal 2025 to 8.6% in fiscal ended March 31, 2026. The decrease in gross profit and gross margin was primarily attributable to a change in service mix, as more revenue was derived from value-added services, which carry higher costs and lower margins, and less revenue was derived from our customized and IT service lines, which carry higher margins. Additionally, our average price charged to customers for value-added services decreased slightly by 1.1% as a result of changes in the service mix. **Operating Expenses** Total operating expenses increased by approximately $1.1 million, or 41.2%, to approximately $3.7 million for the fiscal year ended March 31, 2026, compared to approximately $2.6 million for the fiscal year ended March 31, 2025. The variance in operating expenses was driven by the following factors: - **Selling expenses** decreased by 14.6% to approximately $0.1 million, primarily due to lower office rent expenses following the relocation of the office of our subsidiary, Guangzhou Yishengxin Network Technology Co., Ltd. - **General and administrative expenses** decreased by approximately $0.7 million, or 33.6%, to approximately $1.5 million. This decrease was mainly attributable to a 50.2% drop in professional and consulting fees following the completion of our IPO in December 2024, as well as a 74.0% decrease in expected credit loss expenses, partially offset by an increase in administrative headcount and related salary expenses. - **Share-based compensation expenses** were approximately $1.8 million in the fiscal year ended March 31,2026, compared to nil in the prior year. This non-cash expense relates to restricted stock awards granted to employees and consultants under our 2025 Equity Incentive Plan. - **Research and development expenses** increased by 4.4% to approximately $0.3 million, supporting the continued optimization of our data management systems and mobile applications. **Net Income** Net income for the fiscal year ended March 31, 2026, was approximately $2.8 million, compared to a net income of approximately $4.0 million for the fiscal year ended March 31, 2025. This decrease of approximately $1.2 million was largely driven by our strategic shift in service mix toward volume growth, higher income tax provisions resulting from increased taxable income, and the non-cash share-based compensation expenses recognized during the year. **Cash, Cash Equivalents, and Liquidity** As of March 31, 2026, the Company's cash on hand stood at approximately $5.9 million, compared to approximately $7.1 million as of March 31, 2025. Net cash used in operating activities amounted to approximately $2.7 million for the fiscal year ended March 31, 2026, primarily driven by increases in accounts receivable and advances to vendors associated with our growing service volumes. The Company maintained a working capital balance of approximately $34.8 million as of March 31, 2026, which management believes is sufficient to meet its working capital needs over the next 12 months. **About YSX TECH. CO., LTD** 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 Statements** 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 United States Securities and Exchange Commission, 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 mo****re information, please contact: **YSX Tech. Co., Ltd marketing@ysxnet.com +86 (20) 2984 2002 Investor Relations WFS Investor Relations Inc. Email: services@wfsir.com Phone: +1 628 283 9214 YSX TECH. CO., LTD AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS As of March 31, 2026 2025 ASSETS Current Assets Cash $ 5,889,033 $ 7,105,085 Accounts receivable, net of $780,608 and $653,470, respectively 24,579,776 17,606,279 Accounts receivable, a related party 18,674,421 5,381,535 Advances to vendors 5,020,775 9,400,197 Due from related parties — 198,611 Other current assets 147,306 167,862 Total current assets 54,311,311 39,859,569 Non-current Assets Property and equipment, net 245,394 194,878 Right-of-use operating lease assets 283,410 144,535 Deferred tax assets 117,091 140,377 Total non-current assets 645,895 479,790 TOTAL ASSETS 54,957,206 40,339,359 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities Short-term bank loans 6,229,342 4,131,354 Current portion of long-term loans 159,467 578,775 Accounts payable 7,317,603 2,258,129 Deferred revenue 300,831 1,007 Taxes payable 4,486,926 3,274,881 Due to related parties 175,785 141,235 Operating lease liabilities, current 75,409 93,719 Accrued expense and other current liabilities 720,799 889,863 Total current liabilities 19,466,162 11,368,963 Operating lease liabilities, non-current 219,293 66,926 Long-term loans 1,601,914 1,281,574 Total non-current liabilities 1,821,207 1,348,500 Total liabilities 21,287,369 12,717,463 Commitment and contingencies Shareholders’ equity Ordinary shares, $0.0001 par value, 500,000,000 shares authorized, 27,882,500 and 23,437,500 shares issued as of March 31, 2026 and 2025, respectively, and 24,071,000 and 23,437,500 shares outstanding as of March 31, 2026 and 2025, respectively, including: Class A ordinary shares, $0.0001 par value, 470,000,000 shares authorized, 26,705,175 and 22,260,175 shares issued as of March 31, 2026 and 2025, respectively, and 22,893,675 and 22,260,175 shares outstanding as of March 31, 2026 and 2025, respectively 2,671 2,226 Class B Ordinary shares, $0.0001 par value, 30,000,000 shares authorized, 1,177,325 shares issued and outstanding as of March 31, 2026 and 2025, respectively 118 118 Additional paid-in capital 12,242,693 10,420,096 Subscription receivable (445 ) — Statutory reserve 1,197,331 908,214 Retained earnings 20,091,312 17,575,571 Accumulated other comprehensive income (loss) 136,157 (1,284,329 ) Total shareholders’ equity 33,669,837 27,621,896 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 54,957,206 $ 40,339,359 YSX TECH. CO., LTD AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the years ended March 31, 2026 2025 Revenues Revenues $ 60,503,275 $ 51,558,098 Revenue, related parties 22,964,495 19,894,638 Total revenue 83,467,770 71,452,736 Cost of revenues Cost of revenue 76,273,430 64,066,148 Cost of revenue, related parties — — Total cost of revenue 76,273,430 64,066,148 Gross profit 7,194,340 7,386,588 Operating expenses: Selling and marketing 103,933 121,681 General and administrative 1,476,653 2,225,447 Share-based compensation 1,822,597 — Research and development 250,671 240,052 Total operating expenses 3,653,854 2,587,180 Income from operations 3,540,486 4,799,408 Other income (expenses) Interest expense (250,553 ) (159,298 ) Interest income 244 1,100 Investment income — 20,295 Other income 499,350 65,021 Other non-operating income (expenses), net 64,510 (27,257 ) Total other income (expense), net 313,551 (100,139 ) Income before income tax provisions 3,854,037 4,699,269 Income tax provision 1,049,179 677,421 Net income 2,804,858 4,021,848 Other comprehensive income Foreign currency translation adjustment 1,420,486 (108,205 ) Comprehensive income $ 4,225,344 $ 3,913,643 Earnings per share- basic and diluted $ 0.11 $ 0.18 Weighted average number of ordinary shares - basic and diluted 25,772,226 22,401,712 YSX TECH. CO. LTD., AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS For the years ended March 31, 2026 2025 Cash flows from operating activities: Net income $ 2,804,858 $ 4,021,848 Adjustments to reconcile net income to net cash used in operating activities: Depreciation and amortization 49,489 26,497 Loss from disposal of fixed assets 16,115 — Amortization of operating lease right-of-use assets 87,554 83,916 Allowance for expected credit loss 72,957 280,787 Deferred tax provision 29,711 (64,284 ) Stock-based compensation for services 1,822,597 — Changes in operating assets and liabilities: Accounts receivable (5,975,272 ) (8,808,278 ) Accounts receivable, related parties (12,641,032 ) (2,537,631 ) Advance to vendors 4,729,066 (1,324,078 ) Other current assets 45,986 (92,803 ) Due from related parties 202,966 (207,676 ) Accounts payable 4,800,769 744,481 Advances from customers 291,201 (13,095 ) Advances from customers, related parties — — Taxes payable 1,011,969 711,429 Net changes in operating right-of-use assets and lease liabilities 174,618 (87,077 ) Accrued expense and other current liabilities (209,182 ) 776,481 Net cash used in operating activities (2,685,630 ) (6,489,483 ) Cash flows from investing activities: Purchase of property and equipment (88,716 ) (167,932 ) Proceeds from termination of the long-term investment — — Purchase of short-term investment — — Proceeds upon maturity of short-term investment — 2,105,016 Net cash (used in) provided by investing activities (88,716 ) 1,937,084 Cash flows from financing activities: Proceeds from short-term bank loans 5,913,252 4,989,677 Repayment of short-term bank loans (4,083,932 ) (2,399,922 ) Proceeds from long-term bank loans 422,476 1,385,636 Repayment of long-term bank loans (612,590 ) (138,564 ) Proceeds from a related party loan — — Repayment of a related party loan — (1,385,636 ) Proceeds from (repayment of) borrowing from related parties 33,562 (275,627 ) Payment for deferred initial public offering costs — — Net proceeds from completion of the initial public offering — 5,073,566 Net cash provided by financing activities 1,672,768 7,249,130 Effect of exchange rate change on cash (114,474 ) 124,560 Net (decrease) increase in cash (1,216,052 ) 2,821,291 Cash, beginning of year 7,105,085 4,283,794 Cash, end of year $ 5,889,033 $ 7,105,085 Supplemental disclosures of cash flow information: Cash paid for income tax $ 40,110 $ 29,966 Cash paid for interest $ 250,553 $ 159,298 Supplemental disclosure of non-cash investing and financing activities Right-of-use assets obtained in exchange for operating lease obligations $ 300,784 $ — ### Related Stocks - [YSXT.US](https://longbridge.com/en/quote/YSXT.US.md) ## Related News & Research - [ZTO Express Q2 2026 Earnings Preview](https://longbridge.com/en/news/296149351.md) - [Log-In board reviews operating, financial results for quarter ended June 30, 2026](https://longbridge.com/en/news/295710811.md) - [Transcript: ITG Q2 2026 Earnings Conference Call](https://longbridge.com/en/news/295805006.md) - [Is WillScot Holdings (WSC) Undervalued On Its Q2 Beat And Higher 2026 Outlook?](https://longbridge.com/en/news/296023232.md) - [Nutrien releases transcript of Q2 2026 earnings call](https://longbridge.com/en/news/296149573.md)