Core Viewpoint - Santech Holdings Ltd. has reported a significant decline in revenues for the first half of fiscal year 2025, primarily due to the complete exit from its overseas wealth management and asset management businesses, leading to a strategic shift towards technology-focused opportunities [1][2]. Financial Performance - Total revenues from continuing operations decreased to nil from US$17.4 million in the same period of 2023, attributed to the exit from wealth and asset management businesses [2]. - General and administrative expenses from continuing operations decreased by 4.3% to US$2.4 million from US$2.5 million in the same period of 2023, due to ongoing cost-cutting and restructuring efforts [4]. - Net income from discontinued operations showed a loss of US$406,000 for the six months ended December 31, 2023, compared to a gain of US$421,000 in the same period of 2024 [21]. Discontinued Operations - The company reported total net revenues from discontinued operations of US$4.2 million for the six months ended December 31, 2023, which decreased by 72.1% to US$1.2 million in the two months ended August 31, 2024 [5][7]. - The operating costs and expenses from discontinued operations totaled US$4.5 million for the six months ended December 31, 2023, which decreased to US$868,000 in the two months ended August 31, 2024 [6]. Strategic Shift - Santech has completely exited its historical businesses in overseas wealth management and asset management as of August 2024, disposing of subsidiaries for a total consideration of US$0.6 million [6][13]. - The company is now focusing on exploring innovative opportunities in technology verticals, including consumer technologies and enterprise technologies [13].
Santech Holdings Announces Unaudited Financial Results for the First Half of Fiscal Year 2025