WeTrade Group(WETG) - 2025 Q2 - Quarterly Results

Executive Summary Next Technology Holding Inc. achieved strong H1 2025 growth, driven by significant fair value gains from digital assets and strategic Bitcoin acquisitions H1 2025 Performance Overview Next Technology Holding Inc. announced strong financial results for H1 2025, driven by its diversified AI-enabled software development and strategic Bitcoin acquisition strategies. The CEO highlighted significant value creation from Bitcoin holdings due to favorable market conditions and disciplined accumulation - Next Technology Holding Inc. (NXTT) reported strong H1 2025 financial results, attributing success to its diversified business model encompassing AI-enabled software development and strategic Bitcoin acquisition[1][3] - CEO Weihong Liu emphasized significant value creation for shareholders from Bitcoin holdings, driven by favorable market conditions and a disciplined accumulation strategy[3] H1 2025 Financial Highlights The first half of 2025 saw significant financial growth, primarily driven by fair value gains from digital assets. Net income surged by 2,373% to $312.0 million, and other income increased by 2,437% to $395.7 million, largely due to Bitcoin's price appreciation. The combined balance of cash and digital assets also grew substantially | Metric | H1 2025 (US$ million) | H1 2024 (US$ million) | Change (%) | Primary Driver | | :----- | :------------ | :------------ | :--------- | :------------- | | Net Income | 312.0 | 12.6 | 2,373% | Fair value gain from digital assets | | Other Income | 395.7 | 15.6 | 2,437% | $449.0 million gain from Bitcoin price increase | | Cash & Digital Assets (as of June 30, 2025) | 632.7 | 79.0 (Dec 31, 2024) | 701% | | H1 2025 Operational Highlights Operationally, NXTT significantly increased its Bitcoin holdings in H1 2025, acquiring 5,000 Bitcoin through a combination of common stock issuance, warrants, and cash. This accumulation, coupled with a 15.3% surge in Bitcoin's price, contributed to substantial value creation | Metric | As of June 30, 2025 | As of Dec 31, 2024 | Change | | :----- | :------------------ | :----------------- | :----- | | Total Bitcoin Holdings | 5,833 Bitcoin | 833 Bitcoin | +5,000 Bitcoin | - Company acquired 5,000 Bitcoin in exchange for 135,171,078 shares of common stock, warrants to purchase 294,117,647 shares, and $12,125,500 in cash[6] - Bitcoin's price surged 15.3% in the first six months of 2025[6] Company Overview and Strategy The company employs an 'AI plus digital assets' dual-engine strategy, offering AI-enabled software services and strategically holding Bitcoin for long-term value About Next Technology Holding Inc. Next Technology Holding Inc. is a Wyoming-incorporated technology company operating on a 'AI plus digital assets' dual-engine strategy. It provides AI-enabled SaaS software development services globally and strategically acquires and holds Bitcoin, viewing it as a long-term appreciating asset and inflation hedge - Next Technology Holding Inc. (NXTT) is a technology company founded on a 'AI plus digital assets' dual-engine strategy[10] - The company delivers AI-enabled SaaS software design, development, and implementation services to industrial clients, primarily in the Asia-Pacific region[10] - NXTT believes Bitcoin's finite supply positions it for long-term appreciation and as a potential hedge against inflation with increasing global adoption[10] Half Year 2025 Financial Review H1 2025 financial review shows a slight increase in operating expenses, a dramatic surge in other income from digital asset gains, and a significant rise in net income Operating Expenses Analysis General and administrative expenses for the six months ended June 30, 2025, increased slightly to $705,820 from $675,144 in the comparable 2024 period, primarily due to higher litigation-related legal fees | Expense Category | H1 2025 (US$) | H1 2024 (US$) | Change (US$) | Primary Driver | | :--------------- | :------------ | :------------ | :----- | :------------- | | General and administrative expense | 705,820 | 675,144 | +30,676 | Higher litigation-related legal fees | Other Income Analysis Other income for H1 2025 dramatically increased to $395,661,456 from $15,595,778 in H1 2024, predominantly driven by fair value gains from digital assets | Metric | H1 2025 (US$) | H1 2024 (US$) | Change (US$) | Primary Driver | | :----- | :------------ | :------------ | :----- | :------------- | | Other Income | 395,661,456 | 15,595,778 | +380,065,678 | Fair value gain from digital assets | Net Income Analysis Net income for the six months ended June 30, 2025, significantly rose to $312,014,952 compared to $12,619,286 in the prior year, primarily attributable to the substantial fair value gains from digital assets | Metric | H1 2025 (US$) | H1 2024 (US$) | Change (US$) | Primary Driver | | :----- | :------------ | :------------ | :----- | :------------- | | Net Income | 312,014,952 | 12,619,286 | +299,395,666 | Fair value gain from digital assets | Condensed Consolidated Financial Statements Condensed consolidated financial statements for H1 2025 show substantial increases in net income and total assets, primarily from digital asset fair value gains Statements of Operations and Comprehensive Income (Loss) The condensed consolidated statements of operations show a significant increase in net income for both the three and six months ended June 30, 2025, primarily due to a substantial rise in other income, largely from digital asset fair value gains, despite an increase in general and administrative expenses | Metric | 3 Months Ended June 30, 2025 (US$) | 3 Months Ended June 30, 2024 (US$) | 6 Months Ended June 30, 2025 (US$) | 6 Months Ended June 30, 2024 (US$) | | :---------------------------------- | :--------------------------------- | :--------------------------------- | :--------------------------------- | :--------------------------------- | | General and administrative expense | (255,962) | (344,999) | (705,820) | (675,144) | | Other income (loss) | 150,350,300 | (8,423,621) | 395,661,456 | 15,595,778 | | Income (loss) before income taxes | 150,094,338 | (8,768,620) | 394,955,636 | 14,920,634 | | Income tax (expenses) benefits | (31,519,811) | 1,841,411 | (82,940,684) | (2,301,348) | | Net income (loss) from continuing operation | 118,574,527 | (6,927,209) | 312,014,952 | 12,619,286 | | Net comprehensive income (loss) per share, basic and diluted (from continuing operation) | 0.27 | (0.99) | 1.16 | 2.74 | | Weighted-average shares outstanding, basic and diluted | 436,265,135 | 6,976,410 | 267,870,110 | 4,609,505 | Balance Sheets As of June 30, 2025, the balance sheet shows a substantial increase in total assets, primarily driven by a significant rise in digital assets. Total liabilities also increased, mainly due to deferred tax liabilities, while stockholders' equity saw a considerable boost from common stock and retained earnings | Asset/Liability/Equity | As of June 30, 2025 (US$) | As of Dec 31, 2024 (US$) | Change (US$) | | :--------------------- | :------------------------- | :------------------------- | :----- | | Cash and cash equivalents | 668,387 | 668,387 | 0 | | Digital assets | 632,067,553 | 78,322,430 | +553,745,123 | | Total current assets | 633,275,940 | 92,916,317 | +540,359,623 | | Total assets | 633,275,940 | 92,916,317 | +540,359,623 | | Total current liabilities | 2,499,572 | 3,053,752 | -554,180 | | Deferred tax liabilities | 91,175,187 | 8,234,503 | +82,940,684 | | Total liabilities | 93,674,759 | 11,288,255 | +82,386,504 | | Common stock | 217,676,957 | 71,718,790 | +145,958,167 | | Retained earnings | 321,924,224 | 9,909,272 | +312,014,952 | | Total Stockholders' Equity | 539,601,181 | 81,628,062 | +457,973,119 | | Total Liabilities and Stockholders' Equity | 633,275,940 | 92,916,317 | +540,359,623 | Additional Information This section outlines forward-looking statements, detailing key risks and uncertainties, and provides contact information for investor and general inquiries Forward-Looking Statements This section contains standard forward-looking statements, highlighting inherent risks and uncertainties that could cause actual results to differ materially. Key risk factors include fluctuations in Bitcoin market price, accounting treatment changes, regulatory shifts, liquidity issues, security breaches, and general economic conditions - Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from projections[11] - Factors contributing to differences include fluctuations in Bitcoin market price, changes in accounting treatment for Bitcoin holdings, regulatory changes, liquidity in Bitcoin markets, security breaches, and general economic conditions[11] Investor and General Inquiries Provides contact details for investor inquiries and general inquiries - For investor inquiries, contact ir@nxtttech.com[12] - For general inquiries, contact contact@nxtttech.com[12]