Press Release: ICZOOM Group Inc. Announces Unaudited Financial Results for First Half of Fiscal Year 2025

Dow Jones06-20

HONG KONG, June 20, 2025 /PRNewswire/ -- ICZOOM Group Inc. (Nasdaq: IZM) (the "Company" or "ICZOOM"), a B2B electronic component products e-commerce platform, announced its unaudited financial results for the six months ended December 31, 2024, on June 18, 2025.

Amidst a continuously evolving market environment, ICZOOM executed effectively in line with its initial expectation. ICZOOM achieved positive revenue growth with total revenue increased by 3.0% from $87,720,553 for the six months ended December 31, 2023 to $90,340,640 for the six months ended December 31, 2024. ICZOOM successfully turned a profit, with diluted earnings per share (EPS) reaching USD $0.07 for the six months ended December 31, 2024, increased from a loss of USD 0.07 per share for the six months ended December 31, 2023.

 
                                For the six months ended December 
                                31, 
              ----------  ------------------------------------------  ---------------  ----- 
                    2024                       2023 
                    (Unaudited)                (Unaudited)                  Variances 
                           % of total                % of total 
                Amount      revenue        Amount      revenue             Amount      % 
Revenues 
Sales of 
 electronic 
 components  $89,068,580   98.6%        $86,329,512   98.4%        $        2,739,068    3.2% 
Service 
 commission 
 fee           1,272,060    1.4%          1,391,041    1.6%                 (118,981)  (8.6)% 
              ----------  -----          ----------  -----            ---------------  ----- 
 
Total 
 revenue     $90,340,640  100.0%        $87,720,553  100.0%        $        2,620,087    3.0% 
              ==========  =====          ==========  =====            ===============  ===== 
 
 
                                        For the six months ended 
                                              December 31, 
                                      ---------------------------- 
                             Note          2024               2023 
EARNINGS/(LOSS) PER 
ORDINARY SHARE: 
-- BASIC                             $     0.07   $         (0.07) 
                                      =========      ============= 
-- DILUTED                           $     0.07   $         (0.07) 
                                      ---------      ------------- 
 

Ms. Duanrong Liu, the Co-Founder and Chief Operating Officer of ICZOOM, highlighted that ICZOOM's positive performance during the six months ended December 31, 2024 is primarily attributable to the increased stock-keeping unit ("SKUs") and new customers, which increased by 7.3% from 8,373 different products for the six months ended December 31, 2023 to 8,986 different products for the six months ended December 31, 2024, as well as the number of new customers rose by 16 or 15.1% from 106 as of December 31, 2023 to 122 as of December 31, 2024.

 
                          For the six months ended December 31, 
                      --------------------------------------------- 
                          2024         2023 
                       (Unaudited)  (Unaudited)  Variances     % 
                      ------------  -----------  ---------  ------- 
Stock-keeping unit 
 (SKU) available for 
 sale-Semiconductor          7,801        6,955        846     12.2% 
Stock-keeping unit 
 (SKU) available for 
 sale-Equipment and 
 tools                       1,185        1,418      (233)   (16.4)% 
                       -----------  -----------  ---------  ------- 
Total SKUs                   8,986        8,373        613      7.3% 
                       -----------  -----------  ---------  ------- 
 
 

Besides the changes on the financial statements, Ms. Liu also stated that the company's development is closely linked to the growth of China's automotive electronics industry.

According to the 2025-2030 Development Status and Investment Strategy Research Report on China's Automotive Electronics Industry released by the CCID Industry Research Institute, the size of China's automotive electronics market reached approximately RMB 1.22 trillion (approximately $ 171.83 billion) in 2024, representing a growth of 10.95% compared to the previous year.

Please refer to the Company's unaudited interim financial results, that can be found at http://ir.iczoomex.com/index.html. The company uses its website as a tool to disclose important information about the Company and to comply with its disclosure obligations under Regulation Fair Disclosure.

About ICZOOM Group Inc.

ICZOOM Group Inc. (Nasdaq: IZM) is primarily engaged in sales of electronic component products to customers in Hong Kong and mainland China through its B2B e-commerce platform. These products are primarily used by China based small and medium-sized enterprises ("SMEs") in the consumer electronic industry, Internet of Things ("IoT"), automotive electronics and industry control segments. By utilizing latest technologies, the Company's platform collects, optimizes and presents product offering information from suppliers of all sizes, all transparent and available to its SME customers to compare and select. In addition to the sales of electronic component products, the Company also provides services to customers such as temporary warehousing, logistic and shipping, and customs clearance. For more information, please visit the Company's website:

http://ir.iczoomex.com/index.html.

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 identify these forward-looking statements by words or phrases such as "anticipate," "estimate," "plan," "project," "continuing," "ongoing," "expect," "we believe," "we intend," "may," "should," "will," "could" and 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.

 
                ICZOOM GROUP INC. AND ITS SUBSIDIARIES 
                      CONSOLIDATED BALANCE SHEETS 
 
                                      December 31,       June 30, 
                                                  2024          2024 
                                Note       (Unaudited)   (Audited) 
                                           ----------- 
ASSETS 
CURRENT ASSETS: 
Cash                                    $    1,143,940  $    2,453,728 
Restricted cash                              4,531,918       3,031,232 
Notes receivable                                 6,595           3,071 
Accounts receivable                3        33,649,619      28,297,491 
Inventories, net                   4         1,093,582         339,286 
Advances to suppliers              5           982,134       4,022,696 
Prepaid expenses and other 
 current assets                    7         3,186,205         984,563 
                                      --- 
TOTAL CURRENT ASSETS                        44,593,993      39,132,067 
                                      ---  -----------   ------------- 
 
Property and equipment, net        8            76,357         123,295 
Right-of-use assets, net          10            77,523         379,101 
Intangible assets, net             9           146,473         204,033 
Other non-current assets                         7,097           1,448 
Deferred tax assets               13            37,802         135,098 
                                      --- 
TOTAL NON-CURRENT ASSETS                       345,252         842,975 
                                      ---  -----------   ------------- 
TOTAL ASSETS                            $   44,939,245  $   39,975,042 
                                      --- 
 
LIABILITIES AND SHAREHOLDERS' 
EQUITY 
CURRENT LIABILITIES: 
Short-term bank loans, net        11    $   10,681,158  $   10,211,264 
Notes payable                     11                 -       1,543,465 
Accounts payable                  12        10,627,849       5,263,945 
Contract liabilities                         2,700,821       3,037,609 
Due to related parties            14         1,662,294         474,544 
Taxes payable                     13         3,147,148       3,251,484 
Lease liabilities                 10            96,690         408,001 
Accrued expenses and other 
 current liabilities                           510,823         404,016 
                                      --- 
TOTAL CURRENT LIABILITIES                   29,426,783      24,594,328 
 
TOTAL LIABILITIES                           29,426,783      24,594,328 
                                      --- 
 
COMMITMENTS AND CONTINGENCIES     18 
 
SHAREHOLDERS' EQUITY 
 
Class A shares, 30,000,000 
shares authorized US$0.16 par 
value, 7,902,495 shares issued 
and 
outstanding and 7,171,858 
shares issued and outstanding 
as of December 31, 2024 and 
June 30, 
2024, respectively;               16         1,264,399       1,147,497 
Class B shares, 5,000,000 
shares authorized US$0.16 par 
value, 3,829,500 shares issued 
and 
outstanding as of December 31, 
 2024 and June 30, 2024           16           612,720         612,720 
Additional paid-in capital                  19,956,956      19,956,956 
Statutory reserve                 16           624,097         624,097 
Accumulated deficit                        (6,825,655)     (7,606,597) 
Accumulated other 
 comprehensive (loss)/ income                (120,055)         646,041 
                                      --- 
TOTAL SHAREHOLDERS' EQUITY                  15,512,462      15,380,714 
                                      ---  -----------   ------------- 
TOTAL LIABILITIES AND 
 SHAREHOLDERS' EQUITY                   $   44,939,245  $   39,975,042 
                                      ===  ===========   ============= 
 
 
 ICZOOM GROUP INC. AND ITS SUBSIDIARIES CONSOLIDATED STATEMENTS 
   OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS) (UNAUDITED) 
 
                                     For the six months ended 
                                           December 31, 
                      Note                    2024          2023 
                      ------      ----------------   ----------- 
Revenue, net 
Sales of electronic 
 components                    $        89,068,580  $ 86,329,512 
Service commission 
 fees                                    1,272,060     1,391,041 
                                  ----------------   ----------- 
Total revenue, net                      90,340,640    87,720,553 
Cost of revenue                         87,381,979    85,533,907 
                                  ----------------   ----------- 
Gross profit                             2,958,661     2,186,646 
                                  ----------------   ----------- 
 
OPERATING EXPENSES 
Selling expenses                           799,330       776,007 
General and 
 administrative 
 expenses                                1,634,197     1,523,002 
                                  ----------------   ----------- 
Total operating 
 expenses                                2,433,527     2,299,009 
                                  ----------------   ----------- 
INCOME/(LOSS) FROM 
 OPERATIONS                                525,134     (112,363) 
                                  ----------------   ----------- 
 
OTHER INCOME 
(EXPENSES) 
Foreign exchange 
 transaction 
 gain/(loss)                               480,084     (559,655) 
Interest expense                         (210,574)     (351,806) 
Short-term 
 investment income                           7,062        59,174 
Subsidy income                              36,346        11,409 
Other expenses, net                       (90,027)      (93,481) 
                                  ----------------   ----------- 
Total other 
 income/(expenses), 
 net                                       222,891     (934,359) 
                                  ----------------   ----------- 
INCOME/(LOSS) BEFORE 
 INCOME TAX 
 PROVISION                                 748,025   (1,046,722) 
INCOME TAX BENEFIT        13                32,917       324,977 
                                  ----------------   ----------- 
NET INCOME/(LOSS)                          780,942     (721,745) 
Foreign currency 
 translation 
 adjustments                             (766,096)       836,583 
                                  ----------------   ----------- 
 
TOTAL COMPREHENSIVE 
 INCOME                        $            14,846  $    114,838 
                                  ----------------   ----------- 
 
EARNINGS/(LOSS) PER 
ORDINARY SHARE: 
-- BASIC                       $              0.07  $     (0.07) 
                                  ================   =========== 
 
-- DILUTED                     $              0.07  $     (0.07) 
                                  ----------------   ----------- 
 
WEIGHTED AVERAGE 
NUMBER OF ORDINARY 
SHARES*: 
-- BASIC                                10,828,967    10,362,861 
                                  ================   =========== 
 
-- DILUTED                              10,828,967    11,094,229 
                                  ================   =========== 
 
 
 
                                  ICZOOM GROUP INC. AND ITS SUBSIDIARIES CONSOLIDATED STATEMENTS OF 
                                       CHANGES IN SHAREHOLDERS' EQUITY FOR THE SIX MONTHS ENDED 
                                                DECEMBER 31, 2024 AND 2023 (UNAUDITED) 
 
                                                                                                     Accumulated 
                       Ordinary Shares, $0.16 par*           Additional                                  Other            Total 
               -------------------------------------------- 
                Class A                 Class B                Paid-in    Statutory    Accumulated    Comprehensive    Shareholders' 
                Shares      Amount      Shares    Amount       Capital    Reserve         Deficit    Income/ (Loss)         Equity 
               ---------  -----------  ---------  ---------  -----------  -----------   -----------  ---------------      ----------- 
Balance, June 
 30, 2023      6,496,874  $ 1,039,499  3,829,500  $ 612,720  $18,795,548   $  624,097  $(5,334,300)   $    (193,368)   $   15,544,196 
Share 
 issuance         43,784        7,005         --         --           --           --            --               --            7,005 
Net income 
 for the 
 period               --           --         --         --           --           --     (721,745)               --        (721,745) 
Foreign 
 currency 
 translation 
 adjustment           --           --         --         --           --           --            --          836,583          836,583 
               ---------  -----------  ---------  ---------  -----------      -------   -----------      -----------      ----------- 
Balance, 
 December 31, 
 2023          6,540,658  $ 1,046,504  3,829,500  $ 612,720  $18,795,548   $  624,097  $(6,056,045)   $      643,215   $   15,666,039 
               ---------  -----------  ---------  ---------  -----------      -------   -----------      -----------      ----------- 
Balance, June 
 30, 2024      7,171,858  $ 1,147,497  3,829,500  $ 612,720  $19,956,956   $  624,097  $(7,606,597)   $      646,041   $   15,380,714 
 
Share 
 issuance        730,637      116,902         --         --           --           --            --               --          116,902 
Net loss for 
 the period           --           --         --         --           --           --       780,942               --          780,942 
Foreign 
 currency 
 translation 
 adjustment           --           --         --         --           --           --            --        (766,096)        (766,096) 
               ---------  -----------  ---------  ---------  -----------      -------   -----------      -----------      ----------- 
Balance, 
 December 31, 
 2024          7,902,495  $ 1,264,399  3,829,500  $ 612,720  $19,956,956   $  624,097  $(6,825,655)   $    (120,055)   $   15,512,462 
               =========  ===========  =========  =========  ===========      =======   ===========      ===========      =========== 
 
 
 
                ICZOOM GROUP INC. AND ITS SUBSIDIARIES 
                 CONSOLIDATED STATEMENTS OF CASH FLOWS 
                             (UNAUDITTED) 
 
                                    For the six months ended 
                                               December 31, 
                                    ---------------------------------- 
                                                 2024           2023 
                                    -----------------   ------------ 
Cash flows from operating 
activities: 
Net income /(loss)                 $          780,942  $     (721,745) 
 Adjustments to reconcile net 
 income to net cash provided by 
 operating activities: 
Depreciation and amortization                 119,175          121,588 
Property and equipment written 
 off                                                -             1220 
Amortization of right-of-use 
 assets                                       299,809          297,672 
Reversal of provision for 
 inventory impairment                               -          (1,851) 
Amortization of debt issuance 
 costs                                         90,288           92,491 
Deferred income tax provision                  96,989        (345,389) 
Unrealized exchange loss                      265,606          560,321 
Changes in operating assets and 
liabilities: 
Notes receivable                              (3,581)                - 
Accounts receivable                       (5,641,073)       28,931,833 
Inventories                                 (764,667)          393,526 
Advances to suppliers                       3,040,273        (279,267) 
Prepaid expenses and other 
 current assets                           (2,234,932)          220,639 
Accounts payable                            5,374,423     (27,737,233) 
Contract liabilities                        (318,381)          264,015 
Taxes payable                                (81,442)          297,112 
Lease liabilities                             302,913        (186,791) 
Accrued expenses and other 
 current liabilities                          137,798      (2,934,362) 
                                    -----------------   -------------- 
Net cash provided by (used in) 
 operating activities                       1,464,140      (1,026,221) 
                                    -----------------   -------------- 
 
Cash flows from investing 
activities: 
Purchase of property and 
 equipment                                   (16,371)         (70,490) 
Purchase of intangible assets                 (5,908)         (57,398) 
Purchase of short-term 
 investments                                        -      (1,129,600) 
Proceeds upon maturity of 
 short-term investments                             -        1,129,600 
                                    -----------------   -------------- 
Net cash used in investing 
 activities                                  (22,279)        (127,888) 
                                    -----------------   -------------- 
 
Cash flows from financing 
activities: 
Proceeds from short-term bank 
 loans                                      9,961,479       14,666,970 
Repayments of short-term bank 
 loans                                    (9,399,183)     (14,638,095) 
Proceeds from loans payable to 
 third-parties                                      -          746,000 
Repayments from loans payable to 
 third-parties                                      -        (746,000) 
Proceeds from banker's acceptance 
 notes payable                                      -        2,965,200 
Repayment of banker's acceptance 
 notes payable                            (1,543,465)      (1,425,200) 
Proceeds from borrowings from 
 related parties                            3,176,805        6,299,295 
Repayment of related party 
 borrowings                               (1,978,854)      (4,568,244) 
Payment for deferred IPO costs                      -        (312,527) 
Proceeds from sale of common 
 stock                                        116,902                - 
                                    -----------------   -------------- 
Net cash provided by financing 
 activities                                   333,684        2,987,399 
                                    -----------------   -------------- 
 
 
             ICZOOM GROUP INC. AND ITS SUBSIDIARIES 
      CONSOLIDATED STATEMENTS OF CASH FLOWS -- (Continued) 
                    For the six months ended 
                          December 31, 
 
                                          2024          2023 
                                       -----------   ----------- 
Effect of exchange rate fluctuation 
 on cash and restricted cash           (1,584,647)   (1,568,816) 
                                       -----------   ----------- 
Net increase in cash and restricted 
 cash                                      190,898       264,474 
Cash and restricted cash at 
 beginning of period                     5,484,960     6,413,367 
                                       -----------   ----------- 
 
Cash and restricted cash at end of 
 period                               $  5,675,858  $  6,677,841 
                                       -----------   ----------- 
 
Supplemental cash flow information 
Cash paid for income taxes            $    (5,006)  $   (98,451) 
                                       -----------   ----------- 
 
Cash paid for interest                $  (696,908)  $  (351,806) 
                                       -----------   ----------- 
Supplemental disclosure of non-cash 
information 
Right-of-use assets obtained in 
 exchange for operating lease 
 obligations                          $          -  $    105,613 
 

View original content:https://www.prnewswire.com/news-releases/iczoom-group-inc-announces-unaudited-financial-results-for-first-half-of-fiscal-year-2025-302486961.html

SOURCE ICZOOM Group Inc.

 

(END) Dow Jones Newswires

June 20, 2025 09:00 ET (13:00 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment