Key Points
- Q2 FY2026 revenue: $20.3M vs $41.8M a year ago.
- Gross profit: $3.5M vs $7.7M; gross margin 17.1% vs 18.5%.
- Operating expenses: $10.3M vs $15.1M.
- Net loss: $6.6M vs $8.0M.
- Cash at quarter-end: $17.6M; working capital $3.5M.
- Net accounts receivable fell 19.5% to $37.9M from $47.0M at June 30, 2025.
2Firsts, Feb 9, 2026
According to Ispire Technology Inc., the company reported financial results for Q2 of fiscal 2026 (three months ended Dec. 31, 2025). Revenue was $20.3 million, down from $41.8 million in the prior-year quarter, which the company attributed to a strategic shift away from lower-quality cannabis customers.
Gross profit totaled $3.5 million versus $7.7 million a year ago, with gross margin at 17.1% compared with 18.5% in Q2 FY2025. Ispire said the margin decline was driven primarily by product-mix changes, with fewer higher-margin products sold during the quarter.
Operating expenses were $10.3 million, down from $15.1 million in the year-ago period. Net loss narrowed to $6.6 million (loss of $0.12 per share) from $8.0 million (loss of $0.14 per share).
Ispire said its collections focus reduced net accounts receivable by 19.5% to $37.9 million at Dec. 31, 2025, compared with $47.0 million at June 30, 2025. The company reported $17.6 million in cash and $3.5 million in working capital at quarter-end.
Management also pointed to ongoing initiatives, including the ramp-up of manufacturing capabilities in Malaysia, discussions with nicotine manufacturers to evaluate its proprietary G-Mesh technology, and IKE Tech’s work with regulators in Europe, Southeast Asia, and the Middle East to support broader adoption of age-gating technology.
Image source: Ispire Technology Inc.
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