Earnings release
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High Templar Tech Limited Reports First Half of 2026 Unaudited Financial Results XIAMEN, China, October 14, 2026/PRNewswire/ -- High Templar Tech Limited (“High Templar” or “the Company” or “We”) (NYSE: HTT ), today announced its unaudited financial results for the six months ended June 30, 2026. First Half of 2026 Financial Highlights: Total revenues were RMB8.0 million (US$1.2 million), compared to RMB29.3 million for the same period of last year Net income attributable to the Company ’s shareholders was RMB 416.9 million (US$61.4 million), compared to RMB461.9 million for the same period of last year ; net income per diluted ADS was RMB2.64 (US$0.39) for the first half of 2026 We continued to execute our business transition while maintaining a healthy balance sheet by pursuing efficient cash management. Moving forward, we remain focused on navigating market dynamics and capitalizing on new business opportunities in order to deliver long- term value for our shareholders. First Half of 2026 Financial Results Sales income and others de creased by 72.7% to RMB8.0 million (US$1.2 million) from RMB29.3 million for the first half of 2025, which was primarily due to the winding down of our last-mile delivery business. We have completely wound down the last-mile delivery business in the first half of 2026. Total operating costs and expenses decreased by 10.0% to RMB188.1 million (US$27.7 million) from RMB209.0 million for the first half of 2025. Cost of revenues decreased by 77.7% to RMB6.5 million (US$1.0 million) from RMB29.2 million for the first half of 2025, primarily due to the decrease in service cost as we wound down the last-mile delivery business. General and administrative expenses increased by 61.0% to RMB183.9 million (US$27.1 million) from RMB114.2 million for the first half of 2025, primarily due to the increase in depreciation following the completion of the construction of our headquarters, loan arrangement fees related to the borrowings and employee benefit. Research and development expenses decreased by 75.0% to RMB6.1 million (US$0.9 million) from RMB24.4 million for the first half of 2025, as a result of the decrease in staff headcount, which led to a corresponding decrease in personnel cost.
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Loss from operations was RMB180.0 million (US$26.5 million), compared to RMB179.3 million for the first half of 2025. Interest and investment income, net was RMB1,283.6 million (US$ 189.2 million), compared to RMB605.9 million for the first half of 2025, mainly attributable to the increase of income from investments in the first half of 2026. Gain/(Loss) on derivative instrument was a loss of RMB602.7 million (US$88.8 million), compared to a gain of RMB77.5 million for the first half of 2025, mainly due to the decrease in quoted price of the underlying equity securities relating to the derivative instruments we held. Net income attributable to the Company’s shareholders was RMB416.9 million (US$61.4 million), compared to RMB461.9 million in the first half of 2025. Net income per diluted ADS was RMB2.64 (US$0.39). Cash Flow As of June 30, 2026, the Company had cash and cash equivalents of RMB3,811.5 million (US$561.7 million) and restricted cash, current and non-current of RMB2,322.5 million (US$342.3 million). Restricted cash mainly represents security deposits held in designated bank accounts for the guarantee of short-term and long-term borrowings. Such restricted cash is not available to fund the general liquidity needs of the Company. For the first half of 2026, net cash provided by operating activities was RMB1,142.6 million (US$168.4 million), mainly attributable to proceeds from interest and investment income. Net cash used in investing activities was RMB1,752.3 million (US$258.3 million), mainly due to payments of deposits pledged as collateral for derivative instruments. Net cash used in financing activities was RMB 225.2 million (US$ 33.2 million), mainly due to the repurchase of ADSs and partially offset by the proceeds from long-term borrowings. Update on Share Repurchase Our Board approved a share repurchase program in March 2024 to purchase up to US$300 million worth of Class A ordinary shares or ADSs in the next 36 months starting from June 13, 2024. From the launch of the share repurchase program on June 13, 2024 to October 13, 2026, the Company has in aggregate purchased 69.1 million ADSs in the open market and a tender offer for a total amount of approximately US$208.3 million (an average price of $3.0 per ADS) pursuant to the share repurchase program. As of October 13, 2026, the Company had in aggregate purchased 223.4 million ADSs for a total amount of approximately US$902.5 million (an average price of $4.0 per ADS).
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Subsequent events The Company's Chairman and CEO, Mr. Luo Min, recently received a tax notice from the Xiamen Municipal Tax Bureau concerning historical equity restructurings of two PRC consolidated entities , Xiamen Qudian Technology Co., Ltd. (“Xiamen Qudian” ) and Xiamen Lexiang Time Technology Co., Ltd. (“Xiamen Lexiang”); under applicable PRC tax laws , these restructurings are taxable events for Mr. Luo and subject to individual income tax as "income from transfer of property". Because Mr. Luo held all of his equity interests in Xiamen Qudian and Xiamen Lexiang as nominee solely for the Company's benefit and the restructurings were carried out at the instruction of the Company, the board (with Mr. Luo abstaining) resolved tha t the Company should bear all related individual income tax, late surcharges, penalties and other tax costs. While discussions with relevant tax authorities are ongoing, Mr. Luo has made a tax filing in respect of tax payable of RMB790 million (approximately US$116 million), which is expected to be paid soon. The tax filing was made by Mr. Luo based on the Company’s assessment of the current situation and the Company does not exclude the possibility that further taxes , late surcharges, penalties and other tax costs may be payable in connection with the restructurings of Xiamen Qudian and Xiamen Lexiang. The Company is evaluating potential impacts on other similar historical restructurings and will record accounting provisions and make further disclosures as required. About High Templar Tech Limited High Templar Tech Limited ("High Templar") is exploring innovative business opportunities globally to satisfy clients' demand by leveraging its technology know -how and financial service capabilities. For more information, please visit https://ir.hightemplar.com/. Exchange Rate Information This announcement contains translations of certain RMB amounts into U.S. dollars ("US$") at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to US$ were made at the rate of RMB6.7851 to US$1.00, the noon buying rate in effect on June 30, 2026, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all. Statement Regarding Preliminary Unaudited Financial Information The unaudited financial information set out in this earnings release is preliminary and subject to potential adjustments. Adjustments to the consolidated financial statements may be identified when audit work has been performed for the Company's year-end audit, which could result in significant differences from this preliminary unaudited financial information.
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Safe Harbor Statement This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the expectation of its collection efficiency and delinquency, contain forward-looking statements. High Templar may also make written or oral forward- looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about High Templar's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: High Templar 's goal and strategies; High Templar's expansion plans; High Templar's future business development, financial condition and results of operations; High Templar's expectations regarding demand for, and market acceptance of, its products; High Templar's expectations regarding keeping and strengthening its relationships with customers, business partners and other parties it collaborates with; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in High Templar's filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and High Templar does not undertake any obligation to update any forward-looking statement, except as required under applicable law. For investor and media inquiries, please contact: In China: High Templar Tech Limited Tel: +86-592-317-2318 E-mail: ir@hightemplar.com
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High Templar Tech Limited Unaudited Condensed Consolidated Statements of Operations Six months ended June 30, (In thousands except for number 2025 2026 of shares and per-share data) (Unaudited) (Unaudited) RMB RMB US$ Revenues: Sales income and others 29,279 8,008 1,180 Total revenues 29,279 8,008 1,180 Operating cost and expenses: Cost of revenues (29,195) (6,515) (960) Sales and marketing (2,119) (153) (23) General and administrative (114,197) (183,910) (27,105) Research and development (24,395) (6,126) (903) Reversal of expected credit losses on receivables and other assets 1,226 13,574 2,001 Impairment loss from other assets (40,308) (4,965) (732) Total operating cost and expenses (208,988) (188,095) (27,722) Other operating income 365 125 18 Loss from operations (179,344) (179,962) (26,524) Interest and investment income, net 605,941 1,283,587 189,177 (Loss)/Gain from equity method investments (1,005) 396 58 Gain/(Loss) on derivative instruments 77,540 (602,737) (88,832) Foreign exchange loss, net (13,744) (51,642) (7,611) Other income 6,895 11,295 1,665 Other expenses (886) (1,032) (152) Net income before income taxes 495,397 459,905 67,781 Income tax expenses (33,530) (43,045) (6,344) Net income 461,867 416,860 61,437 Net income attributable to the Company's shareholders 461,867 416,860 61,437 Earnings per share for Class A and Class B ordinary shares: Basic 2.80 2.69 0.40 Diluted 2.72 2.64 0.39 Earnings per ADS (1 Class A ordinary share equals 1 ADSs): Basic 2.80 2.69 0.40 Diluted 2.72 2.64 0.39 Weighted average number of Class A and Class B ordinary shares outstanding: Basic 164,818,209 155,157,078 155,157,078 Diluted 169,625,551 157,675,611 157,675,611 Other comprehensive loss:
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Foreign currency translation adjustment (21,215) (61,416) (9,052) Total comprehensive income 440,652 355,444 52,385 Total comprehensive income attributable to the Company's shareholders 440,652 355,444 52,385 High Templar Tech Limited Unaudited Condensed Consolidated Balance Sheets As of December 31, As of June 30, (In thousands except for number 2025 2026 of shares and per-share data) (Unaudited) (Unaudited) RMB RMB US$ ASSETS: Current assets: Cash and cash equivalents 5,532,376 3,811,463 561,740 Restricted cash, current 1,523,658 1,533,363 225,990 Time and structured deposits 1,885,243 974,074 143,561 Derivative instruments-asset 113,191 10,939 1,612 Short-term investments 879,225 1,714,157 252,636 Accounts receivables 5,351 - - Other current assets 1,453,174 2,972,903 438,152 Total current assets 11,392,218 11,016,899 1,623,691 Non-current assets: Right-of-use assets 92,623 96,279 14,190 Investment in equity method investee 126,533 144,756 21,334 Long-term investments 72,769 73,525 10,836 Restricted cash, non-current - 789,183 116,311 Property and equipment, net 1,677,993 1,659,168 244,531 Intangible assets 1,586 1,301 192 Other non-current assets 249,189 276,574 40,762 Total non-current assets 2,220,693 3,040,786 448,156 TOTAL ASSETS 13,612,911 14,057,685 2,071,847
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High Templar Tech Limited Unaudited Condensed Consolidated Balance Sheets (Continued) As of December 31, As of June 30, (In thousands except for number 2025 2026 of shares and per-share data) (Unaudited) (Unaudited) RMB RMB US$ LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Short-term borrowings 1,576,000 1,576,000 232,274 Short-term lease liabilities 4,233 846 125 Derivative instruments-liability 52,012 414,881 61,146 Accrued expenses and other current liabilities 290,251 270,053 39,801 Income tax payable 58,156 33,751 4,974 Total current liabilities 1,980,652 2,295,531 338,320 Non-current liabilities: Long-term lease liabilities 655 254 37 Long-term borrowings - 680,000 100,220 Total non-current liabilities 655 680,254 100,257 Total liabilities 1,981,307 2,975,785 438,577 Shareholders' equity: Class A Ordinary shares 132 132 19 Class B Ordinary shares 44 44 6 Treasury shares (1,716,516) (2,534,443) (373,531) Additional paid-in capital 4,024,379 3,937,158 580,265 Accumulated other comprehensive loss (55,181) (116,597) (17,184) Retained earnings 9,378,746 9,795,606 1,443,695 Total equity 11,631,604 11,081,900 1,633,270 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 13,612,911 14,057,685 2,071,847