TDH Holdings, Inc. Reports First Half 2025 Financial Results

For the Six Months Ended June 30

($ millions, except per share data)

2025

2024

% Change

Revenues from continuing operations

$

0.59

$

0.10

466.38

%

Gross profit

$

0.16

$

0.04

329.26

%

Gross profit margin

26.73

%

35.26

%

-8.54 pp

*

Loss from operations

$

(0.57)

$

(1.08)

47.21

%

Operating loss margin

-97.60

%

-1,047.13

%

949.53 pp

*

Net income attributable to common stockholders

$

1.38

$

1.32

4.60

%

Earnings per share - basic and diluted

$

0.13

$

0.13

4.60

%

*

pp: percentage points

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

June 30,

December 31,

2025

2024

(Unaudited)

ASSETS

CURRENT ASSETS:

Cash and cash equivalents

$

16,072,613

$

15,699,562

Short-term investments

15,454,430

12,952,597

Accounts receivable, net

74,319

5,748

Advances to suppliers, net

147,721

37,790

Prepayments and other current assets, net

247,744

103,519

     Total current assets

31,996,827

28,799,216

NON-CURRENT ASSETS:

Property, plant and equipment, net

2,282,383

2,363,989

Operating lease right-of-use assets

3,516,156

2,175,456

Total non-current assets

5,798,539

4,539,445

      Total assets

$

37,795,366

$

33,338,661

LIABILITIES AND SHAREHOLDERS'S EQUITY

CURRENT LIABILITIES:

Accounts payable

$

60,452

$

122,251

Advances from customers

204,007

183,173

Bank overdrafts

-

73,105

Short-term loans - related parties

-

261,725

Taxes payable

6,655

14,681

Due to related parties

200,000

200,318

Operating lease liabilities, current

787,811

486,121

Other current liabilities

3,868,713

2,859,061

Total current liabilities

5,127,638

4,200,435

NON-CURRENT LIABILITIES:

      Operating lease liabilities, non-current

2,665,368

1,738,371

Total liabilities

7,793,006

5,938,806

SHAREHOLDERS' EQUITY:

      Common stock ($0.02 par value; 50,000,000 shares authorized; 10,323,268

        shares issued and outstanding at June 30, 2025 and December 31, 2024)

206,465

206,465

Additional paid-in capital

51,129,439

51,129,439

Accumulated deficit

(21,040,348)

(23,937,478)

Accumulated other comprehensive loss

(113,203)

(95,784)

Total TDH Holdings, Inc. shareholders' equity

30,182,353

27,302,642

Non-controlling interest

(179,993)

97,213

      Total shareholders' equity

$

30,002,360

$

27,399,855

      Total liabilities and shareholders' equity

37,795,366

33,338,661

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(Unaudited)

For The

Six Months

Ended

June 30,

202 5

For The

Six Months

Ended

June 30,

202 4

Net revenue

$

585,690

$

103,410

Cost of revenue

429,157

66,944

Gross profit (loss)

156,533

36,466

      Operating expenses:

           Selling expense

2,725

-

General and administrative expense

725,428

758,763

Impairment of goodwill

-

360,541

Total operating expenses

728,153

1,119,304

Loss from operations

(571,620)

(1,082,839)

Interest income (expense)

125,757

(22,421)

Other income (loss)

(437,048)

2,957

Gain (loss) on disposal of subsidiaries

(294,016)

-

Other expenses

2,578,029

2,756,268

Total other income

1,972,722

2,736,804

Income before income tax provision

1,401,102

1,653,965

Net income from continuing operations

1,401,102

1,653,965

Net loss from discontinued operations of Bo Lings and Far Lings

-

(444,750)

Net income (loss)

1,401,102

1,209,215

Less: Net income (loss) attributable to non-controlling interest

21,886

(109,347)

Net Income attributable to TDH Holdings, Inc.

1,379,216

1,318,562

Comprehensive income (loss)

Net income

$

1,401,102

$

1,209,215

Other comprehensive income

Foreign currency translation adjustment

(17,419)

11,494

Total comprehensive income

$

1,383,683

$

1,220,709

Less: Comprehensive loss attributable to non-controlling interest

(277,206)

(282,745)

Comprehensive income attributable to TDH Holdings, Inc.

$

1,660,889

$

1,503,454

Earnings per common share attributable to TDH Holdings, Inc.

Basic

$

0.13

$

0.13

Diluted

$

0.13

$

0.13

Weighted average common shares outstanding*

Basic

10,323,268

10,323,268

Diluted

10,323,268

10,323,268

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

For The

Six Months

Ended

For The

Six Months

Ended

June 30,

2025

June 30,

2024

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income

$

1,379,216

$

1,318,562

Less: net loss from discontinued operations

-

(444,750)

Net income from continuing operations

1,379,216

1,763,312

Adjustments to reconcile net income (loss) to net cash provided by (used in)

   operating activities:

      Depreciation and amortization expense

91,313

50,370

      Fair value change of short-term investments

-(2,578,029)

(2,756,268)

      Loss on disposal of subsidiaries

294,016

(441,600)

      Impairment of goodwill

-

360,541

      Inventory write-down

-

-

      Allowance for doubtful accounts

-

106,258

      Loss (gain) on disposal of property, plant and equipment

-

59,009

      Amortization of operating lease right-of-use assets

358,024

(343,425)

      Changes in operating assets and liabilities:

-

Accounts receivable, net

-(161,477)

(113,883)

Dividends receivable

-(124,085)

-

Inventories, net

-

8,370

Operating lease liabilities

(451,639)

2,772,202

Advances to suppliers, net

(109,387)

(34,035)

Prepayments and other current assets, net

-

(2,346,929)

Accounts payable

62,551

139,762

Interest payable

-

14,284

Taxes payable

1,350

-

Advances from customers

20,292

153,312

Advances from customer - related party

-

-

Other current liabilities

1,504,191

(1,539,428)

Net cash provided by operating activities from continuing operations

286,336

(2,148,149)

Net cash used in operating activities from discontinued operations

-

(192,351)

NET CASH PROVIDED BY ( USED IN )  OPERATING ACTIVITIES

$

286,336

$

(2,340,500)

CASH FLOWS FROM INVESTING ACTIVITIES:

      Payments to acquire property, plant and equipment

(8,115)

(1,760,454)

      Disposal of subsidiaries

-

578,400

      Purchase of short-term investments

(28,212,885)

(21,403,449)

      Proceeds from sale of short-term investments

28,291,888

23,966,975

      Net cash provided by investing activities from continuing operations

70,888

1,381,473

      Net cash provided by investing activities from discontinued operations

-

-

NET CASH PROVIDED BY INVESTING ACTIVITIES

$

70,888

$

1,381,473

Effects on changes in foreign exchange rate

15,827

206,710

Net change in cash, cash equivalents, and restricted cash

373,051

(752,317)

Cash, cash equivalents, and restricted cash - beginning of the period

15,699,562

13,661,382

Cash, cash equivalents, and restricted cash - end of the period

$

16,072,613

$

12,909,065

Less: cash and restricted cash of discontinued operations at the end of the period

-

-

Cash and restricted cash of continued operations at the end of the period

16,072,613

12,909,065

Supplemental cash flow information

Interest paid

$

-

$

-

Non-cash investing and financing activities

Right of use assets obtained in exchange for operating lease obligations

$

1,691,292

$

-

Supplemental non-cash investing and financing activities

      Cashless exercise of warrants

-

-

Reconciliation of cash, cash equivalents, and restricted cash to the consolidated

    balance sheets

Cash and cash equivalents

$

16,072,613

$

12,909,065

Restricted cash

$

-

$

-

Total cash, cash equivalents, and restricted cash

$

16,072,613

$

12,909,065