Ispire Technology Q1 revenue misses estimates

Reuters11-06
Ispire Technology Q1 revenue misses estimates

Overview

  • Ispire fiscal Q1 revenue falls 22.8% yr/yr, missing analyst expectations

  • Company's operating expenses drop 39% due to cost-cutting measures

  • Net loss narrows to $3.3 mln from $5.6 mln yr/yr

Outlook

  • Company expects operational improvements to continue through fiscal 2026

  • Company plans to ramp up production at Malaysian facility in fiscal 2026

Result Drivers

  • COST CUTTING - Co reduced operating expenses by 39% due to aggressive cost controls and disciplined expense management

  • STRATEGIC SHIFT - Co focused on quality customers over volume, impacting revenue but improving operational efficiency

  • GLOBAL TRACTION - IKE Tech joint venture gaining traction globally, working with regulators to adopt age-gating technology

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q1 Revenue

Miss

$30.40 mln

$43 mln (1 Analyst)

Q1 Net Income

-$3.30 mln

Q1 Gross Margin

17.00%

Q1 Gross Profit

$5.10 mln

Q1 Operating Expenses

$7.80 mln

Analyst Coverage

  • The one available analyst rating on the shares is "buy"

  • The average consensus recommendation for the tobacco peer group is "buy"

  • Wall Street's median 12-month price target for Ispire Technology Inc is $6.50, about 72% above its November 5 closing price of $1.82

Press Release: ID:nPn2jXxH4a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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