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Ispire Technology (ISPR) investor relations material

Ispire Technology Q4 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 earnings summary16 Sep, 2025

Executive summary

  • Fiscal 2025 marked a pivotal year with a strategic shift from cannabis to the higher-value nicotine sector, aiming for sustainable long-term growth and profitability.

  • Revenue for fiscal year 2025 was $127.5 million, down from $151.9 million in 2024, reflecting the business realignment.

  • Gross profit declined to $22.7 million from $29.8 million, with gross margin dropping to 17.8% from 19.6%.

  • Net loss was $39.2 million ($0.69 per share), a slight improvement from $40.8 million in the prior year but wider than $14.8 million in 2024.

  • Strategic investments in Malaysian manufacturing, ICE-TECH, and GMASH are gaining traction, with regulatory progress and interest from major tobacco companies.

Financial highlights

  • Operating expenses increased to $60.5 million from $43.7 million, mainly due to higher sales, marketing, and bad debt expenses.

  • General and administrative expenses declined by $0.9 million sequentially from Q3 to Q4 2025, and decreased to $30.0 million from $31.1 million year-over-year.

  • Cash and cash equivalents at year-end were $24.4 million, with working capital at $0.4 million.

  • Net cash used in operating activities improved to $7.4 million from $18.3 million year-over-year.

  • Accounts receivable, net, decreased by over 21% to $47.0 million.

Outlook and guidance

  • ODM partnerships and Malaysian manufacturing are expected to drive substantial revenue growth in coming quarters.

  • Cost-cutting and focus on higher-quality customers are anticipated to further improve financial stability.

  • Regulatory progress on ICE-TECH and component PMPA submissions could unlock significant market opportunities.

  • Backlog orders entering Q1 2026 totaled $18 million, indicating momentum in international nicotine ODM business.

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Frequently asked questions

Ispire Technology Inc. is a technology company specializing in the design, development, and manufacturing of vaping products and heat-not-burn devices. The company provides hardware for both nicotine and cannabis vaping markets, leveraging proprietary technologies to enhance user experience and product efficiency. Ispire operates through a combination of in-house research, innovation, and partnerships with industry stakeholders. The company is headquartered in Los Angeles, California, and its shares are listed on the NASDAQ.

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