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URUMQI, China, April 20, 2026 /PRNewswire/ -- Chanson International Holding (Nasdaq: CHSN) (the "Company" or "Chanson"), a provider of bakery, seasonal, and beverage products through its chain stores in China and the United States, today announced its financial results for the fiscal year ended December 31, 2025.
Mr. Gang Li, Chairman of the Board of Directors and Chief Executive Officer of the Company, commented, "In fiscal year 2025, we delivered revenue of approximately $18.3 million and improved profitability, with gross profit increasing by 14.2% year over year and gross margin expanding to 45.0%. This performance reflects the impact of our product marketing and cost control measures, as well as improved inventory management through enhanced customer traffic forecasting.
"Looking ahead, we remain focused on driving growth and improving profitability. We plan to continue optimizing marketing initiatives, strengthening our product innovation capabilities with a focus on healthy and nutritious products, and enhancing customer engagement through both in-store experiences and online channels. We also expect to further improve margins by maintaining strict cost discipline and leveraging data-driven inventory and demand forecasting. We believe our strategic initiatives position us well to capture growth opportunities and create long-term value for our shareholders."
Fiscal Year 2025 Financial Highlights
Fiscal Year 2025 Financial Results
Revenue
Total revenue increased by 0.2% to $18.3 million in fiscal year 2025, from $18.2 million in fiscal year 2024. The increase in revenue was due to increased revenue from our stores in China (the "China Stores"), which was partially offset by decreased revenue from our stores in the United States (the "United States Stores").
China Stores
United States Stores
Gross Profit and Gross Margin
Gross profit increased by 14.2%, to $8.2 million in fiscal year 2025, from $7.2 million in fiscal year 2024. The increase was mainly attributable to the overall increase in revenue. Gross margin increased by 5.5 percentage points to 45.0% in fiscal year 2025 from 39.5% in fiscal year 2024.
Operating Expenses
Operating expenses were $10.1 million in fiscal year 2025, compared to $7.7 million in fiscal year 2024.
Net Income
Net income was $0.2 million in fiscal year 2025, compared to $0.8 million in fiscal year 2024.
Basic and Diluted Earnings per Share
Basic and diluted earnings per share in fiscal year 2025 was $0.03 based on 5,369,346 weighted average shares, compared to $3.68 in fiscal year 2024 based on 205,296 weighted average shares, in each case retrospectively restated for effect of the reverse share split on August 18, 2025.
Balance Sheet
As of December 31, 2025, the Company had cash and cash equivalents of $8.6 million, compared to $12.1 million as of December 31, 2024.
Cash Flow
Net cash provided by operating activities was $2.9 million in fiscal year 2025, compared to $3.5 million in fiscal year 2024.
Net cash used in investing activities was $45.8 million in fiscal year 2025, compared to net cash provided by investing activities of $1.9 million in fiscal year 2024.
Net cash provided by financing activities was $39.1 million in fiscal year 2025, compared to $5.4 million in fiscal year 2024.
About Chanson International Holding
Founded in 2009, Chanson International Holding is a provider of bakery, seasonal, and beverage products through its chain stores in China and the United States. Headquartered in Urumqi, China, Chanson directly operates stores in Xinjiang, China and New York, United States. Chanson currently manages 63 stores in China, and three stores in New York City while selling on digital platforms and third-party online food ordering platforms. Chanson offers not only packaged bakery products but also made-in-store pastries and eat-in services, serving freshly prepared bakery products and extensive beverage products. Chanson aims to make healthy, nutritious, and ready-to-eat food through advanced facilities based on in-depth industry research, while creating a comfortable and distinguishable store environment for customers. Chanson's dedicated and highly-experienced product development teams constantly create new products that reflect market trends to meet customer demand. For more information, please visit the Company's website: http://ir.chanson-international.net/.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can find many (but not all) of these statements by the use of words such as "approximates," "believes," "hopes," "expects," "anticipates," "estimates," "projects," "intends," "plans," "will," "would," "should," "could," "may" or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the U.S. Securities and Exchange Commission.
For investor and media inquiries, please contact:
Chanson International Holding
Investor Relations Department
Email: IR@chansoninternational.com
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
CHANSON INTERNATIONAL HOLDING AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
December 31, | December 31, | |||||||
2025 | 2024 | |||||||
ASSETS | ||||||||
CURRENT ASSETS: | ||||||||
Cash and cash equivalents | $ | 8,644,357 | $ | 12,102,763 | ||||
Accounts receivable | 1,738,052 | 991,467 | ||||||
Inventories | 830,597 | 738,773 | ||||||
Long term loan to a third-party, current | — | 2,000,000 | ||||||
Prepaid expenses and other current assets | 972,787 | 2,595,417 | ||||||
12,185,793 | 18,428,420 | |||||||
NON-CURRENT ASSETS: | ||||||||
Operating lease right-of-use assets | 8,297,961 | 11,021,615 | ||||||
Property and equipment, net | 7,063,992 | 4,444,473 | ||||||
Intangible assets, net | 226,250 | 262,500 | ||||||
Long term security deposits | 776,419 | 944,170 | ||||||
Long term debt investments | 53,138,801 | 6,359,014 | ||||||
Long term prepaid expenses | 296,575 | 315,642 | ||||||
69,799,998 | 23,347,414 | |||||||
TOTAL ASSETS | $ | 81,985,791 | $ | 41,775,834 | ||||
LIABILITIES | ||||||||
CURRENT LIABILITIES: | ||||||||
Short-term bank loans | $ | 428,844 | $ | 1,507,159 | ||||
Current portion of long-term bank loans | 371,665 | — | ||||||
Accounts payable | 3,779,261 | 2,127,740 | ||||||
Due to a related party | 6,753 | 772,489 | ||||||
Taxes payable | 249,300 | 48,712 | ||||||
Deferred revenue | 7,670,555 | 6,697,964 | ||||||
Operating lease liabilities, current | 1,777,697 | 2,325,390 | ||||||
Other current liabilities | 823,821 | 662,963 | ||||||
15,107,896 | 14,142,417 | |||||||
NON-CURRENT LIABILITIES | ||||||||
Operating lease liabilities, non-current | 6,021,153 | 9,207,971 | ||||||
Long-term bank loans | 4,645,810 | — | ||||||
10,666,963 | 9,207,971 | |||||||
TOTAL LIABILITIES | 25,774,859 | 23,350,388 | ||||||
COMMITMENTS AND CONTINGENCIES (Note 15) | ||||||||
SHAREHOLDERS' EQUITY | ||||||||
Ordinary shares, $0.0001 par value, 4,125,000,000 shares authorized; 38,978,780 | ||||||||
Class A ordinary share, $0.0001 par value, 4,110,000,000 shares authorized; | 3,890 | 27 | ||||||
Class B ordinary share, $0.0001 par value, 15,000,000 shares authorized; 70,875 | 7 | 7 | ||||||
Additional paid-in capital | 54,658,128 | 17,751,857 | ||||||
Statutory reserve | 740,816 | 661,924 | ||||||
Retained earnings | 499,986 | 391,338 | ||||||
Accumulated other comprehensive income (loss) | 308,105 | (379,707) | ||||||
TOTAL SHAREHOLDERS' EQUITY | 56,210,932 | 18,425,446 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 81,985,791 | $ | 41,775,834 | ||||
* Retrospectively restated for effect of the reverse split on August 18, 2025 and the Share Capital Reduction and | ||||||||
CHANSON INTERNATIONAL HOLDING AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | ||||||||||||
For the Years Ended December 31, | ||||||||||||
2025 | 2024 | 2023 | ||||||||||
REVENUE | $ | 18,268,894 | $ | 18,227,537 | $ | 17,252,662 | ||||||
COST OF REVENUE | 10,050,891 | 11,033,219 | 9,105,337 | |||||||||
GROSS PROFIT | 8,218,003 | 7,194,318 | 8,147,325 | |||||||||
OPERATING EXPENSES | ||||||||||||
Selling expenses | 6,261,580 | 4,757,279 | 4,882,958 | |||||||||
General and administrative expenses | 3,843,548 | 2,966,659 | 3,874,868 | |||||||||
Total operating expenses | 10,105,128 | 7,723,938 | 8,757,826 | |||||||||
LOSS FROM OPERATIONS | (1,887,125) | (529,620) | (610,501) | |||||||||
OTHER (EXPENSE) INCOME | ||||||||||||
Interest (expense) income, net | (188,327) | (50,928) | 35,505 | |||||||||
Other income, net | 871,967 | 687,492 | 193,425 | |||||||||
Interest income from long term debt investments | 1,465,180 | 723,945 | 534,575 | |||||||||
Total other income, net | 2,148,820 | 1,360,509 | 763,505 | |||||||||
PROFIT BEFORE INCOME TAX EXPENSE | 261,695 | 830,889 | 153,004 | |||||||||
INCOME TAX EXPENSE | (74,155) | (74,604) | (119,416) | |||||||||
NET INCOME | 187,540 | 756,285 | 33,588 | |||||||||
Foreign currency translation gain (loss) | 687,812 | (284,189) | (130,778) | |||||||||
TOTAL COMPREHENSIVE INCOME (LOSS) | $ | 875,352 | $ | 472,096 | $ | (97,190) | ||||||
Earnings per ordinary share - basic and diluted | $ | 0.03 | $ | 3.68 | $ | 0.23 | ||||||
Weighted average shares - basic and diluted * | 5,369,346 | 205,296 | 144,217 | |||||||||
* Retrospectively restated for effect of the reverse split on August 18, 2025. | ||||||||||||
CHANSON INTERNATIONAL HOLDING AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
For the Years Ended December 31, | ||||||||||||
2025 | 2024 | 2023 | ||||||||||
Cash flows from operating activities: | ||||||||||||
Net income | $ | 187,540 | $ | 756,285 | $ | 33,588 | ||||||
Adjustments to reconcile net income to net cash provided by (used | ||||||||||||
Amortization of operating lease right-of-use assets | 1,872,139 | 2,639,094 | 2,628,985 | |||||||||
Depreciation and amortization | 889,722 | 823,869 | 831,820 | |||||||||
Write off of bad debts | 500,000 | - | - | |||||||||
Loss (gain) on disposal of property and equipment | 78,845 | (152,517) | 4,982 | |||||||||
Impairment loss on property and equipment | - | - | 272,350 | |||||||||
Accrued interest income from long term debt investment | (1,465,180) | (723,945) | (534,575) | |||||||||
Interest income from loan to a third-party | - | (90,986) | (66,822) | |||||||||
Changes in operating assets and liabilities: | ||||||||||||
Accounts receivable | (686,449) | 959,859 | (766,760) | |||||||||
Inventories | (62,191) | (32,001) | (45,821) | |||||||||
Prepaid expenses and other current assets | 1,665,322 | 2,552,891 | (3,573,002) | |||||||||
Long term security deposits | 184,296 | (58,209) | 57,185 | |||||||||
Long term prepaid expenses | 31,637 | (180,281) | (34,010) | |||||||||
Accounts payable | 1,235,783 | 265,315 | 530,195 | |||||||||
Taxes payable | 198,040 | (46,790) | (31,943) | |||||||||
Deferred revenue | 665,495 | (179,643) | 307,169 | |||||||||
Other current liabilities | 135,994 | (25,902) | (292,138) | |||||||||
Operating lease liabilities | (2,566,126) | (2,969,001) | (2,275,056) | |||||||||
Net cash provided by (used in) operating activities | 2,864,867 | 3,538,038 | (2,953,853) | |||||||||
Cash flows from investing activities: | ||||||||||||
Purchase of property and equipment | (2,396,274) | (583,313) | (773,964) | |||||||||
Purchase of intangible assets | - | - | (150,000) | |||||||||
Proceeds from disposal of property and equipment | - | 35,562 | 444 | |||||||||
Payment made for long term debt investments | (46,126,988) | - | (6,000,000) | |||||||||
Interest income received from long term debt investment | 1,203,810 | 899,507 | - | |||||||||
Advance of loans to third parties | - | - | (3,900,000) | |||||||||
Repayment from loans to third parties | 1,500,000 | 907,704 | 1,150,104 | |||||||||
Prepayment for the software, equipment and product development | - | - | (1,190,000) | |||||||||
Refund of prepayment for the product development | - | 650,000 | 400,000 | |||||||||
Net cash (used in) provided by investing activities | (45,819,452) | 1,909,460 | (10,463,416) | |||||||||
Cash flows from financing activities: | ||||||||||||
Gross proceeds from initial public offerings | - | - | 13,560,000 | |||||||||
Direct costs disbursed from initial public offerings proceeds | - | - | (1,529,631) | |||||||||
Proceeds from sales of the Equity Security Units, net of issuance costs | 6,910,134 | - | - | |||||||||
Proceeds from sales of ordinary shares, net of issuance costs | 30,000,000 | 5,938,994 | - | |||||||||
Proceeds from short-term bank loans | 417,388 | 2,225,715 | 2,685,588 | |||||||||
Repayments of short-term bank loans | (1,530,421) | (3,338,573) | (424,040) | |||||||||
Proceeds from long-term bank loans | 5,036,477 | - | - | |||||||||
Repayments of long-term bank loans | (153,043) | - | - | |||||||||
(Payments made to) advances received from a related party | (1,595,404) | 524,610 | (1,892,423) | |||||||||
Payments made for deferred offering costs | - | - | (340,469) | |||||||||
Net cash provided by financing activities | 39,085,131 | 5,350,746 | 12,059,025 | |||||||||
Effect of exchange rate fluctuation on cash and cash equivalents | 411,048 | (176,783) | (75,924) | |||||||||
Net (decrease) increase in cash and cash equivalents | (3,458,406) | 10,621,461 | (1,434,168) | |||||||||
Cash and cash equivalents, beginning of year | 12,102,763 | 1,481,302 | 2,915,470 | |||||||||
Cash and cash equivalents, end of year | $ | 8,644,357 | $ | 12,102,763 | $ | 1,481,302 | ||||||
Supplemental cash flow information | ||||||||||||
Cash paid for income taxes | $ | 29,053 | $ | 45,128 | $ | 92,409 | ||||||
Cash paid for interest | $ | 181,157 | $ | 141,106 | $ | 32,444 | ||||||
Non-cash operating, investing and financing activities | ||||||||||||
Property and equipment acquired from a related party through settlement | $ | 962,896 | $ | - | $ | - | ||||||
Reduction of right-of-use assets and operating lease obligations due to | $ | 4,208,435 | $ | 2,519,354 | $ | - | ||||||
Right of use assets obtained in exchange for operating lease liabilities | $ | 3,423,624 | $ | 2,719,792 | $ | 1,676,362 | ||||||
Deferred IPO cost offset with additional paid-in capital | $ | - | $ | - | $ | 1,095,872 | ||||||
Intangible assets acquired by prepayment | $ | - | $ | 140,000 | $ | - | ||||||
SOURCE Chanson International Holding
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