Core Viewpoint - FingerMotion, Inc. is transitioning towards a more diversified business model while facing capital constraints that have impacted its financial performance in Q3 of fiscal 2026 [2][3]. Financial Performance - Reported quarterly revenue of $5.80 million, a 32% decrease compared to Q3 of fiscal 2025 [6]. - Telecommunications Products & Services revenue was $5.76 million, down 32% from Q3 of fiscal 2025 [6]. - DaGe Platform revenue decreased to $4,354 from $30,529 in Q3 of fiscal 2025 due to capital constraints affecting promotional activities [6]. - Command and Communication segment generated $31,051 in revenue, a significant increase from $138 in Q3 of fiscal 2025 [6]. - Big Data segment reported revenue of $126, compared to nil in Q3 of fiscal 2025 [6]. - Cost of revenue decreased to $5.53 million, resulting in a gross profit of $263,103, a 41% decrease from Q3 of fiscal 2025 [6]. - Operating expenses were $1.96 million, a 4.5% decrease from $2.06 million in Q3 of fiscal 2025 [6]. - Net loss attributable to shareholders was $1.67 million, a slight increase from $1.66 million in Q3 of fiscal 2025 [6]. - Basic and diluted loss per share remained at $0.03, unchanged from Q3 of fiscal 2025 [6]. Company Strategy - The company is focusing on capital management and pivoting towards high-growth opportunities, particularly in the Command and Communication platform [3]. - The goal is to build a leaner, more diversified company to drive higher revenues and stronger margins through operational efficiency [3]. - FingerMotion aims to grow its user base organically and develop an ecosystem of highly engaged users, with a long-term vision of serving over 1 billion users in the China market [4]. Financial Position - As of November 30, 2025, FingerMotion had $24,214 in cash and cash equivalents, a working capital surplus of $7.26 million, and shareholders' equity of $16.34 million [6]. - Total assets were reported at $60.06 million, with total current liabilities at $43.70 million and total liabilities at $43.71 million [6]. - The company had 61,217,225 shares of common stock issued and outstanding as of November 30, 2025 [6].

Core Insights - FingerMotion, Inc. reported its financial results for Q1 of fiscal 2026, highlighting modest revenue growth and ongoing margin pressures due to evolving business dynamics [2][6] - The company is focusing on building higher-margin, data-driven business lines and refining operations to ensure long-term scalable growth [2] Financial Performance - Reported quarterly revenue of $8.46 million, a 1% increase compared to Q1 of fiscal 2025 [6] - Telecommunications Products & Services revenue was $8.31 million, down 1% from Q1 of fiscal 2025 [6] - DaGe Platform revenue grew to $10,938 from $463 in Q1 of fiscal 2025 [6] - Command and Communication segment contributed $109,241 in revenue, compared to $0 in Q1 of fiscal 2025 [6] - Big Data segment generated $27,310 in revenue, compared to $0 in Q1 of fiscal 2025 [6] - Cost of revenue increased to $8.31 million, resulting in a gross profit of $152,521, a 78% decrease from $681,889 in Q1 of fiscal 2025 [6] - Operating expenses were $2.14 million, a 9% decrease from $2.36 million in Q1 of fiscal 2025 [6] - Net loss attributable to shareholders was $2.01 million, a 21% increase from $1.66 million in Q1 of fiscal 2025 [6] - Basic and diluted loss per share reported at $0.04, compared to $0.03 for Q1 of fiscal 2025 [6] Company Overview - FingerMotion is a technology company specializing in mobile payment and recharge platform solutions in China [3] - The company aims to grow its user base organically and develop an ecosystem of highly engaged users utilizing its innovative applications [3] - FingerMotion's long-term vision includes serving over 1 billion users in the China market and expanding to other regional markets [3]

Financial Performance - FingerMotion reported annual revenue of $35.61 million, a decrease of $0.18 million or 0.5% compared to FY 2024 [4] - The company experienced a year-over-year decline in Telecommunications Products & Services revenue of $5.59 million or 17% compared to FY 2024 [4] - SMS & MMS business revenue grew by $5.52 million or 206% year-over-year compared to FY 2024 [4] - Big Data revenue declined by $0.39 million or 118% year-over-year compared to FY 2024 [4] - Revenue from the DaGe Platform was $0.08 million in FY 2025, while revenue from the Command & Communication (C2 Platform) was $0.19 million [4] Expense Management - General and administrative expenses decreased by $137,710 or 2% during the year [3] - Marketing costs increased by $136,206 or 97% due to the promotion of the newly launched DaGe App platform [3] - Research and development expenses decreased by $66,792 or 10% due to savings from data access and usage fees [3] Profitability and Loss - Gross profits were reported at $2.76 million, a decrease of $1.10 million or 28% compared to FY 2024 [4] - Annual cost of revenue increased by $0.91 million or 3% compared to FY 2024, totaling $32.84 million [4] - Operating expenses rose by $1.03 million or 13% compared to FY 2024, totaling $8.71 million [4] - The company reported an annual net loss of $5.11 million, an increase of $1.30 million or 34% compared to FY 2024 [4] Financial Position - As of February 28, 2025, FingerMotion had $1.13 million in cash, a working capital surplus of $6.90 million, and positive shareholders' equity of $13.66 million [4] - Total assets were reported at $48.82 million, with total current liabilities of $35.13 million and total liabilities of $35.16 million [4] - The company had 57,141,186 common shares issued and outstanding as of February 28, 2025 [4] Strategic Outlook - The CEO expressed confidence in the performance of the SMS & MMS business and the potential growth from the DaGe and C2 platforms [3] - The company aims to expand its customer base and diversify offerings to enhance market penetration [3] - FingerMotion envisions serving over 1 billion users in the China market and expanding to other regional markets [5]