CCSC Technology International Holdings Limited Reports Financial Results for Fiscal Year Ended March 31, 2026

CCSC Technology International Holdings Limited Reports Financial Results for Fiscal Year Ended March 31, 2026

PR Newswire

HONG KONG, July 17, 2026

HONG KONG, July 17, 2026 /PRNewswire/ -- CCSC Technology International Holdings Limited (the "Company" or "CCSC") (Nasdaq: CCTG), a Hong Kong-based company that engages in the sale, design and manufacturing of interconnect products, including connectors, cables and wire harnesses, today announced its financial results for the fiscal year ended March 31, 2026.

Mr. Kung Lok Chiu, Chief Executive Officer and Director of the Company, commented, "Fiscal year 2026 demonstrated the resilience of our business and the continued strength of our core operations. During the fiscal year, gross profit increased by 1.6% to $5.1 million, with gross profit margin improving to 29.3% from 28.3% in the prior fiscal year, supported by our continued focus on cost management and operational efficiency. We also recorded encouraging growth across selected products and markets, with revenue from connectors increasing by 5.7% and revenue from Asia increasing by 4.4%."During the fiscal year, we advanced several strategic initiatives designed to broaden our capabilities and strengthen our market position. We launched eNaviX, our carbon footprint and energy management system for small and medium sized enterprises, expanding our offerings into carbon management and Environmental, Social and Governance (ESG) solutions. We also commenced construction of our new European supply chain management center in Merosina, Serbia, in January 2026, which is expected to be completed and ready for operational use in December 2026 and will serve as the headquarters of our European supply chain operations."Looking ahead, we remain focused on enhancing our product portfolio, deepening customer relationships and improving operational flexibility as we pursue sustainable growth and long-term value for our shareholders. We believe our ongoing strategic initiatives will further strengthen our market position and support the Company's next phase of development."Fiscal Year Ended March 31, 2026 Financial HighlightsRevenue was $17.3 million for the fiscal year ended March 31, 2026, compared to $17.6 million for the fiscal year ended March 31, 2025.Gross profit increased by 1.6% to $5.1 million for the fiscal year ended March 31, 2026, from $5.0 million for the fiscal year ended March 31, 2025.Gross profit margin was 29.3% for the fiscal year ended March 31, 2026, increased from 28.3% for the fiscal year ended March 31, 2025.Net loss was $4.8 million for the fiscal year ended March 31, 2026, compared to $1.4 million for the fiscal year ended March 31, 2025.Basic and diluted loss per share was $1.94 for the fiscal year ended March 31, 2026, compared to $1.22 for the fiscal year ended March 31, 2025.Fiscal Year Ended March 31, 2026 Financial ResultsRevenueTotal revenue was $17.3 million for the fiscal year ended March 31, 2026, which decreased by 1.9% from $17.6 million for the fiscal year ended March 31, 2025.The following table sets forth revenue by interconnect products:For the fiscal years ended March 31,Change2026%2025%Amount%(Amounts expressed in U.S. dollars)Cables and wire harnesses$15,986,50192.4$16,385,70592.9$(399,204)(2.4)Connectors1,316,2437.61,245,7847.170,4595.7Total$17,302,744100.0$17,631,489100.0$(328,745)(1.9)Revenue generated from cables and wire harnesses decreased by 2.4%, to $16.0 million for the fiscal year ended March 31, 2026, from $16.4 million for the fiscal year ended March 31, 2025. The decrease was primarily driven by lower sales volume, which was partially offset by the increase in the overall average selling prices of the Company's cables and wire harness products.Revenue generated from connectors increased by 5.7%, to $1.3 million for the fiscal year ended March 31, 2026, from $1.2 million for the fiscal year ended March 31, 2025. The increase was primarily attributable to the increase in the overall average selling prices of the Company's connectors, partially offset by a decrease in sales volume.The following table sets forth the disaggregation of revenue by regions:For the fiscal years ended March 31,Change2026%2025%Amount%(Amounts expressed in U.S. dollars)Europe$10,572,25661.1$10,991,90562.3$(419,649)(3.8)Asia5,573,34732.25,336,24730.3237,1004.4The Americas1,157,1416.71,303,3377.4(146,196)(11.2)Total$17,302,744100.0$17,631,489100.0$(328,745)(1.9)Revenue generated from Europe decreased by 3.8%, to $10.6 million for the fiscal year ended March 31, 2026, from $11.0 million for the fiscal year ended March 31, 2025. The decline stemmed from modest sales decreases in Denmark and Bulgaria, which were partially offset by slight revenue growth in Hungary and the Netherlands.Revenue generated from Asia increased by 4.4%, to $5.6 million for the fiscal year ended March 31, 2026, from $5.3 million for the fiscal year ended March 31, 2025. This increase was primarily driven by a sales increase in Mainland China of $0.7 million and a sales increase in the Association of Southeast Asian Nations, or ASEAN, of $0.1 million, and was partially offset by a sales decrease in Hong Kong, China of $0.5 million.Revenue generated from the Americas decreased by 11.2%, to $1.2 million for the fiscal year ended March 31, 2026, from $1.3 million for the fiscal year ended March 31, 2025. This decrease was primarily due to a sales decrease in North America of $0.2 million.Cost of RevenueCost of revenue decreased by 3.2%, to $12.2 million for the fiscal year ended March 31, 2026, from $12.6 million for the fiscal year ended March 31, 2025, which was generally in line with the decrease in total revenue.Inventory costs amounted to $8.5 million for the fiscal year ended March 31, 2026, compared to $8.6 million for the fiscal year ended March 31, 2025. The decrease in the Company's inventory costs was primarily due to an 11.9% decrease in the total sales volume from approximately 31.3 million units in the fiscal year ended March 31, 2025 to approximately 27.6 million units in the fiscal year ended March 31, 2026.Labor costs amounted to $2.8 million for the fiscal year ended March 31, 2026, compared to $3.1 million for the fiscal year ended March 31, 2025. The decrease in labor costs was mainly attributable to lower production volumes driven by decreased sales and the Company's efforts to reduce labor costs.Gross Profit and Gross Margin Gross profit increased by 1.6%, to $5.1 million for the fiscal year ended March 31, 2026, from $5.0 million for the fiscal year ended March 31, 2025.Gross profit margin increased by 1.0%, to 29.3% for the fiscal year ended March 31, 2026, from 28.3% for the fiscal year ended March 31, 2025, primarily due to a reduction in fixed costs per unit as a result of the Company's efforts in reducing labor costs.Operating Expenses Operating expenses increased by 22.6%, to $8.5 million for the fiscal year ended March 31, 2026, from $7.0 million for the fiscal year ended March 31, 2025. The expense increase was primarily due to the increase in selling expenses of $0.5 million, the increase in general and administrative expenses of $0.01 million, and the increase in research and development expenses of $1.1 million.Net LossNet loss increased by 240.7%, to $4.8 million for the fiscal year ended March 31, 2026, from $1.4 million for the fiscal year ended March 31, 2025.Basic and Diluted Loss per ShareBasic and diluted loss per share was $1.94 for the fiscal year ended March 31, 2026, compared to $1.22 for the fiscal year ended March 31, 2025.Financial Condition As of March 31, 2026, the Company had cash of $4.1 million, compared to $3.7 million as of March 31, 2025.Net cash used in operating activities in the fiscal year ended March 31, 2026 was $4.5 million, compared to $1.0 million in the fiscal year ended March 31, 2025.Net cash used in investing activities in the fiscal year ended March 31, 2026 was $1.4 million, compared to $0.9 million in the fiscal year ended March 31, 2025.Net cash provided by financing activities in the fiscal year ended March 31, 2026 was $6.3 million, compared to net cash used in financing activities of $0.05 million in the fiscal year ended March 31, 2025.About CCSC Technology International Holdings LimitedCCSC Technology International Holdings Limited is a Hong Kong-based company that engages in the sale, design and manufacturing of interconnect products. The Company specializes in customized interconnect products, including connectors, cables and wire harnesses that are used for a range of applications in a diversified set of industries, including industrial, automotive, robotics, medical equipment, computer, network and telecommunication, and consumer products. The Company produces interconnect products under both Original Equipment Manufacturer (OEM) and Original Design Manufacturer (ODM) models for manufacturing companies that produce end products, as well as electronic manufacturing services companies that procure and assemble products on behalf of such manufacturing companies. The Company has a diversified global customer base located in more than 25 countries throughout Asia, Europe and the Americas. For more information, please visit the Company's website: http://ir.ccsc-interconnect.com.Forward-Looking StatementsCertain statements in this press release 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 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 "may," "will," "could," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "propose," "potential," "continue," or other similar expressions in this press release. 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. Factors that could cause actual results to differ materially include, without limitation, risks and uncertainties described in the Company's Annual Report on Form 20-F for the fiscal year ended March 31, 2026, filed with the United States Securities and Exchange Commission on July 17, 2026, and in the Company's other filings with the United States Securities and Exchange Commission. Investors are encouraged to review the Annual Report on Form 20-F in its entirety for a more complete discussion of the risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these forward-looking statements.For more information, please contact:CCSC Technology International Holdings LimitedInvestor Relations DepartmentEmail: ir@ccsc-interconnect.comAscent Investor Relations LLCTina XiaoPhone: +1-646-932-7242Email: investors@ascent-ir.comCCSC TECHNOLOGY INTERNATIONAL HOLDINGS LIMITEDCONSOLIDATED BALANCE SHEETS(Amount in U.S. dollars, except for number of shares)As of March 31,20262025AssetsCurrent assets: Cash$4,093,878$3,685,043Restricted cash10,2279,413Accounts receivable2,831,0642,495,301Inventories2,301,2161,761,880Prepaid expenses and other current assets1,669,5711,066,032Total current assets10,905,9569,017,669Non-current assets:Property, plant and equipment, net1,980,764853,959Intangible assets, net67,53783,906Operating lease right-of-use assets, net868,4181,106,024Finance lease right-of-use assets, net146,732194,478Deferred tax assets, net19,308558,683Other non-current assets, net4,302,0293,510,363Total non-current assets7,384,7886,307,413TOTAL ASSETS$18,290,744$15,325,082Liabilities and Shareholders' EquityCurrent liabilities:Accounts payable$2,781,034$1,819,647Advance from customers317,751141,737Accrued expenses and other current liabilities1,472,1411,345,210Taxes payable30,65121,916Operating lease liabilities, current573,650473,116Finance lease liabilities, current38,81636,277Total current liabilities5,214,0433,837,903Non-current liabilities:Operating lease liabilities, non-current296,436633,249Finance lease liabilities, non-current88,723127,834Total non-current liabilities385,159761,083TOTAL LIABILITIES$5,599,202$4,598,986Commitments and Contingencies (Note 16)——Shareholders' equityClass A ordinary shares, par value of US$0.005 per share; 49,500,000 shares authorized; 3,413,520 and 658,125 shares issued and outstanding as of March 31, 2026 and 2025, respectively*$17,068$3,291Class B ordinary shares, par value of US$0.005 per share; 500,000 shares authorized; 500,000 shares issued and outstanding as of March 31, 2026 and 2025, respectively*2,5002,500Additional paid-in capital11,182,9084,855,795Statutory reserve813,235813,235Retained earnings2,275,7577,081,318Accumulated other comprehensive loss(1,599,926)(2,030,043)Total Shareholders' Equity12,691,54210,726,096TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY$18,290,744$15,325,082*Retrospectively restated for effect of the share consolidation completed in January 2026.CCSC TECHNOLOGY INTERNATIONAL HOLDINGS LIMITEDCONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS(Amount in U.S. dollars, except for number of shares)For the years ended March 31,202620252024Net revenue$17,302,744$17,631,489$14,748,551Cost of revenue(12,238,334)(12,647,287)(10,825,943)Gross profit5,064,4104,984,2023,922,608Operating expenses:Selling expenses(2,216,650)(1,695,217)(1,039,882)General and administrative expenses(4,606,701)(4,601,637)(4,134,394)Research and development expenses(1,699,630)(654,039)(594,521)Total operating expenses(8,522,981)(6,950,893)(5,768,797)Loss from operations(3,458,571)(1,966,691)(1,846,189)Other (loss)/ income:Foreign currency exchange (loss)/income, net(419,431)67,395425,308Financial and interest (loss)/income, net(21,962)10,53867,636Government subsidy-207,2577,255Other non-operating income/(expenses), net55,968534(35,509)Total other (loss)/ income(385,425)285,724464,690Loss before income tax expense(3,843,996)(1,680,967)(1,381,499)Income tax (expenses)/benefit(961,565)270,50286,336Net loss(4,805,561)(1,410,465)(1,295,163)Other comprehensive income /(loss)Foreign currency translation adjustment430,117(161,106)(523,250)Total comprehensive loss$(4,375,444)$(1,571,571)$(1,818,413)Loss per shareBasic and Diluted*$(1.94)$(1.22)$(1.26)Weighted average number of ordinary sharesBasic and Diluted*2,480,5841,158,1251,028,852*Retrospectively restated for effect of the share consolidation completed in January 2026. The EPS amounts pertain to each class of common stock are the same.CCSC TECHNOLOGY INTERNATIONAL HOLDINGS LIMITEDCONSOLIDATED STATEMENTS OF CASH FLOWS(Amount in U.S. dollars, except for number of shares)For the years ended March 31,202620252024CASH FLOWS FROM OPERATING ACTIVITIES:Net loss$(4,805,561)$(1,410,465)$(1,295,163)Adjustments to reconcile net loss to net cash used in operating activities:Inventory write-downs68,783128,241188,268Depreciation and amortization216,722238,599238,757Amortization of right-of-use assets588,969519,426509,086Loss from disposal of property, plant and equipment7,80210,8892,188Deferred tax expense/(benefit)545,390(270,502)(249,892)Foreign currency exchange losses/(gains)360,960(56,479)(227,691)Changes in operating assets and liabilities:Accounts receivable(330,965)267,028(500,747)Inventories(543,130)130,289(101,220)Prepaid expenses and other current assets(542,610)412,124(704,610)Other non-current assets(63,336)257,086(77,220)Accounts payable870,609(359,764)563,226Advance from customers177,602(66,537)22,060Taxes payable7,096(2,971)(340,992)Accrued expenses and other current liabilities(535,246)(234,550)(64,258)Operating lease liabilities(540,332)(534,472)(490,319)Financing lease liabilities9,2723,25024Net cash used in operating activities(4,507,975)(968,808)(2,528,503)CASH FLOWS FROM INVESTING ACTIVITIESPurchase of property, plant and equipment(859,118)(327,801)(156,999)Prepayment of equipment and mold model--(3,639,312)Proceed from disposal of property, plant and equipment4,118943-Purchase of land-(519,895)-Purchase of intangible asset(568,864)(43,737)(29,476)Net cash used in investing activities(1,423,864)(890,490)(3,825,787)CASH FLOWS FORM FINANCING ACTIVITIESRepayments of long-term bank loans--(39,853)Proceeds from issuance of ordinary shares, net of issuance cost6,340,890-4,665,444Capital contribution by shareholder--5,000Payment made for principal portion of financing lease liabilities(45,580)(49,345)(4,322)Net cash provided by/(used in) financing activities6,295,310(49,345)4,626,269Effect of exchange rate changes on cash and restricted cash46,178(131,648)(254,847)Net change in cash and restricted cash409,649(2,040,291)(1,982,868)Cash and restricted cash, beginning of the year3,694,4565,734,7477,717,615Cash and restricted cash, end of the year$4,104,105$3,694,456$5,734,747SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:Cash paid for income tax$(1,740)$-$(859,882)Cash received from income tax refund$40,004$246,771$-Cash paid for interest$(8,771)$-$(228)Cash paid for operating lease$(581,553)$(571,159)$(575,014)Cash paid for finance lease$(45,580)$(49,345)$(4,322)Supplemental disclosure of non-cash information:Right-of-use assets obtained in exchange for operating lease liabilities$268,971$192,311$137,617Purchase of intangible assets included in accrued expenses and other liabilities$(5,069)$(43,103)$-Purchase of equipment and molds included in accrued expenses and other liabilities$(626,300)$(11,418)$-Cashless exercise of warrants$7,894$-$-