DSC Holdings (DSC) investor relations material

Executive summary

• Revenue grew 3.7% year-over-year to RMB167.0 million in Q2 2026, driven by customer engagement solution projects for OEMs, partially offset by discontinued OEM-facing marketing services.

• Adjusted net loss (non-GAAP) narrowed by 61.5% to RMB7.4 million, reflecting improved operating efficiency and cost discipline.

• GAAP net loss was RMB240.5 million, mainly due to RMB227.8 million in share-based compensation and IPO-related expenses following the Nasdaq listing in June 2026.

• Significant progress was made in AI-powered products, with new AI agents deployed to used car dealers, creating new monetization opportunities.

• IPO completed on Nasdaq in June 2026, marking entry into international capital markets and strengthening financial flexibility.

Financial highlights

• Revenue: RMB167.0 million in Q2 2026, up from RMB161.1 million in Q2 2025, reflecting a 3.7% year-over-year increase.

• Adjusted net loss (non-GAAP): RMB7.4 million, down 61.5% year-over-year from RMB19.2 million.

• GAAP net loss: RMB240.5 million, including RMB227.8 million in IPO-related share-based compensation.

• Monetized used car dealerships: 9,146 in Q2 2026, with ARPU of RMB6,672.

• Monetized transaction services: 214,451 in Q2 2026, with average revenue per transaction service at RMB259.

Outlook and guidance

• Focus remains on growing transaction service revenue, expanding service types, and quality of growth through AI applications.

• Rapidly testing monetization models for AI applications and expanding dealer-centric ecosystem.

• Continued emphasis on efficiency and cost discipline to achieve profitability, with adjusted net margin improving to -4% in Q2 2026 from -12% in Q2 2025.

• Prudent exploration of international expansion opportunities, especially in export markets.