AIOS Tech Inc. (AIOS) H1 2026 Earnings: Revenue $1.1M
AIOS — H1 2026 Financial Report Analysis
H1 (Interim) · Fiscal year 2026 · Published by Pham Hop
AIOS Tech earned $0.60M on $1.10M of revenue in H1 2026, its first half after selling its China business, but most profit was non-operating and $28.9M of its $29.8M assets are unpaid subscriptions and unsecured loans.
Revenue
$1.1M
Net income
$599K
Diluted EPS
$0.27
Operating margin
10.5%
AIOS Tech (formerly Nisun International) turned a small profit in the first half of 2026, its first period since selling off its entire mainland-China business in December 2025. Revenue was $1.10 million, against nothing from continuing operations a year earlier, and net income was $0.60 million, or $0.27 per share. Nearly all of the revenue came from YD Network, a Hong Kong IT-services firm the company bought in December 2025 for $50,000. The profit figure deserves less attention than the balance sheet. Of the company's $29.8 million in total assets, $28.9 million is money other people owe it: $18.8 million of an equity raise that investors have not yet paid, plus $10.1 million the company has lent to outside businesses without security. Cash at the end of June was $0.28 million.
At a glance
$1.10M revenue, 89% from IT services. The company is now a very small Hong Kong IT-services business. Two customers supplied 55% and 23% of revenue.
$0.52M of the $0.63M pre-tax profit came from outside the core business. The main item was a $272,723 paper gain on shares the company holds. The IT and financing work itself earned $0.12M in operating profit.
$10.1M lent to third parties vs. $0.28M cash. The company lent out $8.8M in the half, about eight times its revenue, while its cash fell by $1.1M.
The numbers
These figures cover continuing operations only. That means the business the company still owns. The China operations it sold in December 2025 are reported separately as "discontinued operations". Because YD Network was not owned a year ago and the overseas SME-financing unit only started in June 2025, the company itself warns that the year-over-year comparison means very little.
Metric
H1 2026
H1 2025
YoY Change
Revenue
$1,097,935
nil
n/m
— Information technology services
$977,935
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nil
n/m
— SME financing solutions
$120,000
nil
n/m
Gross profit
$697,935
nil
n/m
Gross margin
63.6%
n/a
n/m
General & administrative expenses
$582,411
$65,157
+794%
Operating income (loss)
$115,524
$(65,157)
Swung to profit
Operating margin
10.5%
n/a
n/m
Other income (expense), total
$515,546
$(524,733)
Swung to income
Net income (loss), continuing operations
$599,039
$(589,890)
Swung to profit
Net income (loss) attributable to shareholders
$599,039
$(69,993,792)
Swung to profit
EPS, basic & diluted (total)
$0.27
$(15.31)
n/m
Cash from operations
$1,790,738
$(36,772,655)
n/m
Cash & equivalents (period end vs. Dec 31, 2025)
$283,402
$1,410,674
−80%
n/m = not meaningful. The prior-year base is zero, or the result swung from a loss to a profit. Gross margin is gross profit divided by revenue: what is left after the direct cost of delivering the work. Operating margin is the share of revenue left after all running costs, before interest, investment gains and tax.
What the business is now
The company's own description has two parts, which it reports as a single segment:
IT services ($0.98M, 89% of revenue). These are digital-transformation projects run through YD Network. The company charges a one-time fee when the customer accepts a delivered software system. Cost of revenue was $400,000, which the company describes as "primarily... outsourced personnel costs for information system construction related to client projects". The result was a gross margin of about 64%. Management states plainly that margins "may fluctuate period to period depending on project mix and utilization, and there can be no assurance that current levels will be sustained."
SME financing solutions ($0.12M, 11%). These are one-time advisory fees from a customer in the British Virgin Islands. They show zero cost of revenue. The filing explains that the associated costs were recorded in the China operations that have since been sold. So this revenue's apparent 100% margin is an accounting artifact, not a feature of the business. The company also calls this line a "strategic wind-down", and says it is moving resources toward IT services.
Operating expenses rose from $65,157 to $582,411. The company attributes the rise to the acquisition and the divestiture. The expenses are payroll, professional fees and corporate overhead. At this scale, general and administrative costs consumed 83% of gross profit.
What the headline numbers hide
Most of the profit was not operating profit. Pre-tax income was $631,070. Only $115,524 of it (18%) came from operations. The other $515,546 was "other income". About $272,723 of that was an unrealized gain on equity securities, meaning a rise in the market value of shares the company holds that it has not sold. Such gains can reverse in the next period. Interest and investment income added $160,907. Other income, net, added $354,639. Without these non-operating items, the half would have shown a profit of roughly $0.1 million before tax.
Cash flow looks strong but came from collecting last year's bills. Operating cash flow was $1.79 million, three times net income. However, $1.46 million of it came from collecting accounts receivable that were already outstanding at December 31, 2025. The filing says that $1.58 million balance "was fully collected prior to June 30, 2026". That is a one-time catch-up, not a sign of how much cash the business produces each half-year.
The equity raise is mostly still unpaid. On March 6, 2026, the company closed a private placement of 3,000,000 Class A shares at $8.00 each, for $24.0 million. The investors also received warrants, which are rights to buy more shares later at a fixed price. Only $5.17 million of the $24.0 million arrived as cash during the half. The remaining $18.8 million sits on the balance sheet as a "subscription receivable": money owed by the shareholders who bought the stock. The filing says $6.1 million was collected in August 2026 and the remaining $12.7 million "is expected to be collected by the end of 2026". Shareholders' equity rose from $4.7 million to $29.5 million, but most of that increase is still a promise to pay, not cash.
Large unsecured loans to outside companies. Loans to third parties grew from $2.0 million to $10.1 million, and cash payments for new loans were $8.84 million in the half. The loans went to two unnamed third-party businesses "for its working capital needs". One loan is $4.8 million at 2% annual interest. The other is $5.3 million. The notes say "all other receivables are unsecured", meaning no collateral backs them. For a company whose whole revenue was $1.1 million, these loans are large, and they carry a low interest rate. The filing is also inconsistent about their terms. The operating review describes the $4.8 million loan as having a one-year term, while the financial-statement notes say three years. The review says the $5.3 million loan is repayable on demand, while the notes give it a maturity date of August 18, 2029. This is where the placement cash went. Cash fell from $1.41 million to $0.28 million even though the company raised $5.17 million.
Customer concentration. Two customers accounted for 55% and 23% of revenue. Two customers made up 67% and 33% of the $120,000 in receivables at June 30. At this size, losing one client would change the whole picture.
Per-share figures need care. A 1-for-20 reverse share split took effect on April 27, 2026. In a reverse split, every 20 old shares become one new share. EPS of $0.27 is based on 2,188,511 weighted-average shares. The prior-year figure of 4,571,235 weighted shares is far larger than the 249,255 shares the balance sheet shows as issued at December 31, 2025 on a post-split basis. So the prior-year per-share loss of $(15.31) may not be fully restated for the split. Treat the EPS comparison as unreliable. The half's figures are also unaudited.
Control has moved to one person. On July 14, 2026, after the period ended, the company issued 5,000,000 Class B shares to Swift Prime Limited for $500 in total, at $0.0001 per share. Swift Prime is wholly owned by Co-CEO and director Guo Li. Each Class B share carries 100 votes. After the issue, Mr. Guo holds about 60.6% of the shares and 99.4% of the voting power. The audit committee and board approved the deal with interested parties recusing. Outside shareholders now have almost no say in how the company is run.
Warrant overhang. The placement came with warrants for up to 6,000,000 more Class A shares. Half are exercisable at $16 and half at $20, which is 200% and 250% of the $8 placement price. Class A shares outstanding at June 30 were 3,249,337. If all the warrants were exercised, the Class A share count would roughly triple.
Takeaway: AIOS's first half as a standalone Hong Kong IT-services company made $0.6M, but only $0.12M came from operations. The bigger story is the balance sheet. Of $29.8M in assets, $28.9M is money owed to the company: $18.8M in unpaid share subscriptions and $10.1M in unsecured loans to two unnamed companies. Cash was just $0.28M. Whether those receivables turn into cash matters far more than the income statement.
Where this is heading
Management gave no revenue or profit guidance. The two dates that matter are set by the filing itself:
Subscription collections. $12.7 million is expected to be collected by the end of 2026. If it arrives, the company will have real cash for the first time since the restructuring. If it does not, a large part of reported equity would be in doubt.
The third-party loans. Watch whether the FY2026 annual report shows the loans being repaid, extended, written down, or growing further. It should also resolve the one-year vs. three-year and on-demand vs. 2029 inconsistencies.
Our read on the business: the IT-services unit had a respectable 64% gross margin in its first six months under AIOS. But it runs on a few one-off project fees from a handful of customers, and the company has already said SME financing is being wound down. Profit from operations is thin compared with overhead, and the reported bottom line depends on investment gains. On this evidence, the next results will depend less on how the business performs and more on the balance sheet: collecting the subscriptions, getting the loans repaid, and whatever the new controlling holder decides to do with the capital. The full-year FY2026 results are due in the company's Form 20-F annual report. AIOS filed its FY2025 20-F on April 20, 2026, so the next one would likely follow around April 2027.