Core Insights - Baiya International Group Inc. reported a 6.9% increase in net revenues for the first half of fiscal year 2025, reaching $7.3 million, driven by a rebound in entrusted recruitment services and project outsourcing [2][4] - The company experienced a significant gross profit growth of 49.2%, amounting to $0.7 million, with gross margin expanding to 10.0% from 7.2% year-over-year [2][6][9] - Despite revenue growth, Baiya reported a net loss of $4.7 million for the first half of fiscal year 2025, a substantial increase from a net loss of $0.06 million in the same period last year [6][11][12] Financial Performance - **Net Revenues**: Increased to $7.3 million, up 6.9% from $6.8 million year-over-year [4][6] - **Cost of Revenues**: Total cost of revenue was $6.5 million, reflecting a 3.7% increase from $6.3 million [5][6] - **Gross Profit**: Rose to $0.7 million, a 49.2% increase from $0.5 million, with gross margin improving to 10.0% [6][8][9] - **Operating Expenses**: Total operating expenses surged to $5.5 million, a dramatic increase of 985.0% from $0.5 million, primarily due to higher general and administrative expenses [10][20] - **Net Loss**: The net loss for the period was $4.7 million, compared to a loss of $0.06 million in the previous year [11][12] Revenue Breakdown - **Entrusted Recruitment Services**: Revenue increased by 833.5% to $0.4 million, attributed to the recovering labor market in China [7] - **Project Outsourcing Services**: Revenue was $6.9 million, a 2.2% increase from $6.8 million, driven by major customers in logistics and express delivery [7][8] Cash Flow and Financial Condition - **Cash Position**: As of June 30, 2025, cash was $0.9 million, down from $1.7 million at the end of 2024 [13] - **Net Cash Used in Operating Activities**: The company used $6.4 million in operating activities, compared to a net cash inflow of $0.1 million in the same period last year [13][21] - **Net Cash Provided by Financing Activities**: The company generated $6.0 million from financing activities, up from $1.2 million year-over-year [14][21] Strategic Initiatives - The company plans to enhance its Gongwuyuan Platform to strengthen its SaaS-enabled HR technology solutions and expand its market presence [2][16] - Baiya is pursuing strategic initiatives, including the proposed acquisition of STARFISH TECHNOLOGY-FZE, to participate in the digital finance and innovation sectors [2]

Core Viewpoint - Baiya International Group Inc. reported a resilient performance for fiscal year 2024, achieving a revenue growth of 10.7% despite economic challenges, driven by a focus on project outsourcing services and strategic partnerships in the logistics sector [2][4]. Financial Performance - Net revenues for fiscal year 2024 were $12.8 million, an increase of 10.7% from $11.6 million in fiscal year 2023 [4][5]. - Gross profit rose to $1.4 million, reflecting a significant increase of 75.4% from $0.8 million in fiscal year 2023 [5][9]. - The company turned a net loss of $1.1 million in fiscal year 2023 into a net income of $6,687 in fiscal year 2024, with basic and diluted net income per share at $0.00 compared to a loss of $0.10 in the previous year [5][12]. Revenue Breakdown - Revenue from project outsourcing services was $12.8 million, marking a 26.6% increase from $10.1 million in fiscal year 2023, primarily due to new contracts with major customers [6][19]. - Revenue from entrusted recruitment services decreased by 97.2% to $0.04 million, attributed to the lingering effects of COVID-19 preventive measures [6][19]. - Revenue from other services increased by 155.6% to $3,050, mainly from software revenue [6]. Cost and Expenses - Total cost of revenue was $11.4 million, an increase of 5.8% from $10.8 million in fiscal year 2023 [8]. - Total operating expenses decreased by 11.7% to $1.3 million, driven by reductions in general and administrative expenses and research and development costs [10][19]. Cash Flow and Financial Condition - As of December 31, 2024, the company had cash of $1.7 million, a significant increase from $0.03 million in the previous year [13]. - Net cash provided by operating activities was $1.6 million, compared to a net cash used of $1.8 million in fiscal year 2023 [13][20]. Recent Developments - The company completed its initial public offering on March 24, 2025, raising gross proceeds of $10.0 million by offering 2,500,000 ordinary shares at $4.00 per share [14][15].