Overview:
Delivers Strong First Half 2025 Results: Revenue growth by 19.3% and Adjusted EBITDA growth by 40.3% compared to the same period in 2024
Revenue was approximately US$22.7 million for the six months ended September 30, 2025, representing a strong growth of approximately 19.3% from the same period in 2024 on robust customer demand.
Adjusted EBITDA was approximately US$3.9 million for the six months ended September 30, 2025, achieving 40.3% growth with the same period in 2024 (2024: approximately US$2.8 million).
"We are very pleased with our strong first-half results and encouraged by the continuing positive momentum in our business," said Edwin Chun Yin Wong, Chief Executive Officer. "Driven by robust customer demand and favorable feedback on our recent product developments, along with a healthy pipeline of inquiries, we anticipate continued strong performance through the end of the fiscal year and believe we are well positioned for future revenue growth."
Use of Non-GAAP Financial Measure
We use earnings before interest expenses and income, income tax expense/(benefit) and depreciation, and amortization ("EBlTDA") and adjusted EBITDA, non-GAAP financial measures, in evaluating our operating results and for financial and operational decision-making purposes. EBlTDA represents net profit excluding income tax expense/(benefit), interest expenses, interest income and depreciation and amortization. Adjusted EBITDA represents net loss excluding changes in share-based awards expense, income tax expense/(benefit), interest expense, interest income and depreciation and amortization.
We believe that the adjusted EBITDA helps to identify underly trends in our business that could otherwise be distorted by the effect of certain expenses that we are included in net loss. We believe that adjusted EBITDA provided useful information about our operating results, enhance the overall understanding of our past performance and future prospect and allow for greater visibility with respect to key metrics used by our management uses in its financial and operational decision making, In additions, the company provides EBITDA because we believe that investors and analysts may find it useful in measuring operating performance without regard to items such as income tax expense/(benefit), interest expenses and interest income and depreciation and amortization.
For the six months endedSeptember 30,
2024
2025
USD
USD
(Unaudited)
(Unaudited)
Net income attributable to ordinary shareholders
2,308,377
2,302,875
Add:
Income tax expense
471,820
676,643
Interest expenses
57,540
35,221
Interest income
(115,827
)
(209,466
)
Depreciation
85,350
176,626
EBITDA
2,807,260
2,981,899
Add:
Share-based awards
-
955,916
Adjusted EBITDA
2,807,260
3,937,815
Six Month Financial Results Ended September 30, 2025
Revenue. Revenue increased by approximately 19.3% from approximately US$19.0 million for the six months ended September 30, 2024, to approximately US$22.7 million for the six months ended September 30, 2025. The growth in revenue during the six-month period ended September 30, 2025, was driven by stronger demand from key customers.
Selling, general and administrative expenses. Selling, general and administrative expenses increased by approximately 59.5% from approximately US$2.9 million for the six months ended September 30, 2024, to approximately US$4.6 million for the six months ended September 30, 2025, which was mainly due to share-based awards recognized in respect of awards granted to five members.
Other income, net. Other net income increased by approximately US$0.1 million from approximately US$0.4 million for the six months ended September 30, 2024, to approximately US$0.5 million for the six months ended September 30, 2025, which was mainly due to an increase in interest income.
Income tax expense. Income tax expense increased to US$0.7 million for the six months ended September 30, 2025 (for the six months ended September 30, 2024: approximately US$0.5 million) which was mainly due to the increase in income before tax in the current period.
Net income. For the six months ended September 30, 2025, net income was approximately US$2.3 million, consistent with the prior year period (2024: approximately US$2.3 million).
Basic and diluted EPS. Basic and diluted EPS were approximately US$0.62 per ordinary share for the six months ended September 30, 2025, as compared to US$0.74 per ordinary share for the six months ended September 30, 2024, respectively.
Liquidity and Capital Resources
As of September 30, 2025, the Company had cash of US$11,358,839, total current assets of US$20,371,822, and total current liabilities of US$7,289,739. Net current assets were US$13,082,083 and the working capital ratio was 2.8. As of September 30, 2025, the Company's total assets and total liabilities amounted to US$25,663,983 and US$8,625,254, respectively. As of September 30, 2025, the Company's total stockholder's equity amounted to US$17,038,729 and its gearing ratio (bank loan divided by stockholder's equity) was 6.2%.
Off-Balance Sheet Arrangements
The Company does not have any off-balance sheet arrangements, including arrangements that would affect its liquidity, capital resources, market risk support, credit risk support, or other benefits.
About J-Long Group Limited
J-Long Group Limited is an established distributor in Hong Kong of reflective and non-reflective garment trims including, among others, heat transfers, fabrics, woven labels and tapes, sewing badges, piping, zipper pullers and drawcords. The Company offers a wide range of services to cater to customers' needs in reflective and non-reflective garment trims, including market trend analysis, product design and development and production and quality control. For more information, visit the Company's website at http://j-long.com.
Safe Harbor Statement
Certain statements in this announcement 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 the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions. 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 and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the SEC, which are available for review at www.sec.gov.
Hong Kong:
J-Long Group LimitedEdwin Chun Yin Wong, CEO and +852 3693 2110
J-LONG GROUP LIMITEDUNAUDITED CONSOLIDATED BALANCE SHEETS
As of
March 31,
September 30,
2025
2025
USD
USD
(Audited)
(Unaudited)
Assets
Current assets:
Cash and cash equivalents
10,669,134
11,358,839
Accounts receivable, net
3,102,393
4,231,847
Investment in marketable debt securities
2,220
2,220
Inventories
3,066,276
3,163,816
Notes receivable
103,522
-
Prepaid expenses and other current assets, net
