TDH Holdings, Inc. Reports Full Year 2025 Audited Financial Results

Published: 2026-04-20 16:06:12 ET PETZ

Published on 04/20/2026 at 04:06 pm EDT

BEIJING, April 20, 2026 /PRNewswire/ -- TDH Holdings, Inc. (NASDAQ: PETZ) ("TDH" or the "Company"), a PRC-based company that is an operator and manager of commercial real estate properties, announced today its financial results for the fiscal year ended December 31, 2025.

Full Year 2025 Financial Highlights:

For the Twelve Months Ended December 31,

($ millions, except per share data)

2025

2024

% Change

Revenues from continuing operations

$1.25

$0.56

121.96 %

Gross profit (loss)

($0.01)

$0.24

(104.92) %

Gross profit (loss) margin

(0.94) %

42.29 %

(43.23) pp*

Loss from operations

($1.83)

(0.11) %

Operating loss margin

(146.31) %

(325.10) %

178.79 pp*

Net income (loss) attributable to common stockholders

$1.80

$2.68

(32.97 %)

Earnings (loss) per share - basic anddiluted

$0.17

$0.26

(32.97 %)

* pp: percentage points

Full Year 2025 Financial Results

Revenues

The Company's revenues are generated from commercial property leasing and related management services. Revenues from continuing operations increased by approximately 121.96% from $0.56 million in fiscal year 2024 to $1.25 million in fiscal year 2025, driven by the expansion of our property portfolio and improved leasing performance.

For the Twelve Months Ended December 31,

2025

2024

Y/Y Change

Revenues($'000)

% ofTotal

Revenues($'000)

% ofTotal

Amount($'000)

Commercial real estate business revenue

1,258

100.51 %

566

100.36 %

692

122.26 %

Less: sales tax and additional surcharge

(6)

-0.51 %

(2)

-0.36 %

234.3 %

Total

1,251

100.00 %

564

100.00 %

687

121.96 %

For the year ended December 31, 2025, the Company generated all of its revenues from commercial property leasing and related property management services. We completed the discontinuation of our legacy pet food and restaurant business segments in prior periods and have since fully focused on commercial real estate leasing and property management operations. As we continue to scale our commercial real estate portfolio and enhance leasing execution, revenues from continuing operations increased by $0.69 million, or 121.96%, to $1.25 million for the year ended December 31, 2025 from $0.56 million in 2024. We expect our revenue from the commercial real estate management business will continue to grow in the near future.

Cost of revenues

Our cost of revenues from continuing operations is primarily comprised of lease and occupancy costs, depreciation and amortization costs, and agency service costs. Our cost of revenues from continuing operations increased by $937,696, or 288.25%, for the year ended December 31, 2025, as compared to the year ended December 31, 2024. This increase was in line with the growth in revenues from our continuing operations. Our cost of revenues as a percentage of revenues was 100.94% and 57.71% for the years ended December 31, 2025 and 2024, respectively.

Gross profit (loss) and gross profit (loss) margin

Our gross margin from continuing operations was -0.94% for the year ended December 31, 2025, compared with a gross margin of 42.29% for the year ended December 31, 2024. The decrease in gross margin in 2025 was mainly due to the reclassification of agency service costs and maintenance costs directly related to the leasing business from administrative expenses to cost of revenues.

Operating expense

Operating expense consists of selling expenses and general and administrative expenses.

Operating expenses from our continuing operations were $1,818,978 and $2,071,079, for the years ended December 31, 2025 and 2024, respectively, a decrease of $252,101, or -12.17% in fiscal year 2025 as compared to fiscal year 2024. The ratio of operating expenses as a percentage of revenue decrease from 367.39% for the year ended December 31, 2024 to 145.37% for the year ended December 31, 2025.

Selling expense from our continuing operations was $49,583 and $0 for the years ended December 31, 2025, and 2024, respectively, an increase of $49,583 or 100%. Our selling expenses was $49,583 in 2025 as compared to $0 in 2024, mainly due to expenses incurred to expand its sales activities.

General and administrative expenses from our continuing operations were $1,769,395 and $1,745,247 for the years ended December 31, 2025 and 2024 respectively, representing an increase of $24,148, or 1.38%, in fiscal year 2025 as compared to fiscal year 2024. The main reason for the increase was mainly due to property management fees and depreciation expenses relating to additional properties.

Impairment of goodwill charge was $0 million in fiscal year 2025, as compared to $0.32 million in fiscal year 2024.

Operating loss and operating loss margin

Operating loss from our continuing operations was $1.83 million for fiscal year 2025, as compared to an operating loss of $1.83 million for fiscal year 2024. Our operating loss as a percentage of total revenues was approximately negative 146.31% and negative 325.10% for the years ended December 31, 2025 and 2024, respectively. The significant improvement in the operating loss margin was primarily driven by the substantial increase in revenue from our commercial real estate leasing and property management business.

Net income (loss) and earnings (loss) per share

Net income was $1.78 million for fiscal year 2025, compared to net income of $2.50 million for fiscal year 2024. Net income attributable to common shareholders was $1.78 million, or earnings per share of $0.17, for fiscal year 2025. This compares to net income attributable to common shareholders of $2.68 million, or earnings per share of $0.26 for fiscal year 2024. The decrease in our net income was primarily due to non-recurring losses from the liquidation of legacy non-core subsidiaries, partially offset by higher revenue from our commercial real estate property business segment and increased investment income for the year ended December 31, 2025.

Financial Conditions

As of December 31, 2025, the Company had cash and cash equivalents of $19.16 million, compared to $15.70 million as of December 31, 2024. Accounts receivable, net was $0.07 million as of December 31, 2025, compared to $0.01 million as of December 31, 2024. As of December 31, 2025, the Company had working capital of approximately $27.40 million, compared to $24.60 million as of December 31, 2024.

Net cash used in operating activities was $1.78 million for the fiscal year ended December 31, 2025, compared to net cash used in operating activities of $0.23 million for fiscal year 2024. Net cash provided by investing activities was $6.24 million for fiscal year 2025, compared to $2.78 million for fiscal year 2024. Net cash used in financing activities was $1.05 million for fiscal year 2025, compared to no net cash provided by or used in financing activities in fiscal year 2024.

Liquidity

Our consolidated financial statements have been prepared assuming we will continue as a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business.

Following our discontinuation of the restaurant business in June 2024, we have fully shifted our operating focus to the ownership, operation and management of commercial real estate properties. During fiscal year 2025, revenue from our commercial real estate business increased significantly to $1.25 million, representing substantial growth as compared to prior periods. Currently, substantially all of our revenue is derived from our commercial real estate property business. Our future business growth and operational stability depend, in part, on our ability to successfully onboard, lease and manage additional commercial properties.

If we are not able to effectively manage, lease and acquire new properties that generate stable rental revenue, we may not be able to grow and maintain our business as anticipated, and our revenue may decline. As a result, our future business, financial condition and results of operations may be materially adversely affected. There can be no assurances that future revenue growth or potential capital infusion will be sufficient to enable us to achieve sustained profitability or continuous positive cash flows. In assessing our liquidity, management monitors and analyzes our cash and cash equivalents, our ability to generate recurring revenue, and our operating and capital expenditure commitments.

As of December 31, 2025, we had cash and cash equivalents of approximately $19.16 million. We also had short-term investments of approximately $14.53 million, which are highly liquid and can be readily converted into cash to support our operations as needed.

As of December 31, 2025, our major liabilities included accounts payable of $0.09 million, advances from customers of $0.26 million, due to related parties of $0.30 million, current portion of operating lease liabilities of $0.92 million, and non-current portion of operating lease liabilities of $2.86 million. Our working capital amounted to approximately $27.40 million as of December 31, 2025. Based on the current operating plan, management believes that the Company's cash position, highly liquid short-term investments and improved operating cash flows collectively will provide sufficient liquidity to meet its anticipated liquidity and capital requirements for at least 12 months from the date the audited financial statements are issued.

Notice

Rounding amounts and percentages: Certain amounts and percentages included in this press release have been rounded for ease of presentation. Percentage figures included in this press release have not in all cases been calculated on the basis of such rounded figures, but on the basis of such amounts prior to rounding. For this reason, certain percentage amounts in this press release may vary from those obtained by performing the same calculations using the figures in the financial statements. In addition, certain other amounts that appear in this press release may not sum due to rounding.

About TDH Holdings, Inc.

Founded in April 2002, TDH Holdings, Inc. (the "Company") (NASDAQ: PETZ), a PRC-based company that is an owner, operator and manager of commercial real estate properties. More information about the Company can be found at www.tiandihui.com.

Forward-Looking Statements

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Specifically, the Company's statements regarding, among others, its growth and business outlook, the excepted revenue growth from the Company's commercial real estate management business and the Company's ability to execute on its business plan, are forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's goals and strategies; the Company's future business development; general risks affecting the commercial real estate industry (including, without limitation, the inability to enter into or renew leases on favorable terms, changes in client preferences and space utilization, dependence on clients' financial condition, and competition from other developers, owners and operators of real estate); changes in technology; economic conditions; reputation and brand; the impact of competition and pricing; government regulations; fluctuations in general economic and business conditions in China and the United States and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the U.S. Securities and Exchange Commission, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

For more information, please contact:

Feng Zhang, CFO Email: [email protected] Phone: +86 183-1102-1983

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

December 31,

2025

2024

ASSETS

CURRENT ASSETS:

Cash and cash equivalents

19,138,205

15,699,562

Restricted cash

19,950

Short-term investments

14,531,930

12,952,597

Accounts receivable, net

75,346

5,748

Advances to suppliers, net

198,401

37,790

Prepayments and other current assets, net

146,385

103,519

Total current assets

34,110,217

28,799,216

NON-CURRENT ASSETS

Property, plant and equipment, net

2,398,192

2,363,989

Operating lease right-of-use assets

3,787,265

2,175,456

Total non-current assets

6,185,457

4,539,445

Total assets

40,295,674

33,338,661

LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:

Accounts payable

90,006

122,251

Deferred lease revenue

255,383

183,173

Bank overdrafts

73,105

Short-term loans - related parties

261,725

Taxes payable

11,215

14,681

Due to related parties

300,000

200,318

Operating lease liabilities, current

921,524

486,121

Other current liabilities

5,135,539

2,859,061

Total current liabilities

6,713,667

4,200,435

NON-CURRENT LIABILITIES:

Operating lease liabilities, non-current

2,860,197

1,738,371

Total liabilities

9,573,864

5,938,806

SHAREHOLDERS' EQUITY:

Common shares ($0.02 par value; 50,000,000 shares authorized; 10,323,268 shares issued and outstanding at December 31, 2025 and 2024)

206,465

Additional paid-in capital

51,129,439

Accumulated deficit

(20,620,053)

(23,937,478)

Accumulated other comprehensive loss

(72,820)

(95,784)

Total TDH Holdings, Inc. shareholders' equity

30,643,031

27,302,642

Non-controlling interest

78,779

97,213

Total shareholders' equity

30,721,810

27,399,855

Total liabilities and shareholders' equity

40,295,674

33,338,661

The accompanying notes are an integral part of these consolidated financial statements.

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

(LOSS)

For The Years Ended December 31,

2025

2024

2023

Net revenue

1,251,259

563,726

754

Total revenue

1,251,259

563,726

754

Cost of revenue

1,263,000

325,304

976

Total cost of revenue

1,263,000

325,304

976

Gross profit

(11,741)

238,422

(222)

Operating expenses:

Selling expense

49,583

General and administrative expense

1,769,395

1,745,247

3,145,280

Stock-based compensation expense

3,040,000

Impairment of goodwill

325,832

Total operating expenses

1,818,978

2,071,079

6,185,302

Loss from operations

(1,830,719)

(1,832,657)

(6,185,524)

Interest income (expense)

112,085

(68,858)

(14,276)

Other income (expense)

(6,711,077)

(2,844,939)

461,461

Gain (loss) on disposal of subsidiaries

(590,528)

Investment income (loss), net

10,801,316

6,671,948

(2,644,576)

Total other income (expenses)

3,611,796

3,758,151

(2,197,391)

Income (loss) before income tax provision

1,781,077

1,925,494

(8,382,915)

Income tax provision

(182)

Net income (loss) from continuing operations

1,781,077

1,925,312

(8,382,915)

Net income (loss) from discontinued operations ofTiandihui

(15,095,547)

Net income (loss) from discontinued operations of BoLings and Far Lings

575,249

(153,054)

Net income (loss)

1,781,077

2,500,561

(23,631,516)

Less: Net income (loss) attributable to non-controlling interest

(18,434)

(183,961)

(5,344)

Net income (loss) attributable to TDH Holdings, Inc.

1,799,511

2,684,522

(23,626,172)

Comprehensive income (loss)

Net income (loss)

1,781,077

2,500,561

(23,631,516)

Foreign currency translation adjustment

22,964

(718)

(523,315)

Total comprehensive income (loss)

1,804,041

2,499,843

(24,154,831)

Less: Comprehensive income (loss) attributable to non-controlling interest

(18,434)

(333,106)

(5,344)

Comprehensive income (loss) attributable to TDHHoldings, Inc.

1,822,475

2,832,949

(24,149,487)

Earnings (loss) per common share attributable to TDHHoldings, Inc.

Basic

0.17

0.26

(2.29)

Diluted

0.17

0.26

(2.29)

Weighted average common shares outstanding

Basic

10,323,268

Diluted

10,323,268

The accompanying notes are an integral part of these consolidated financial statements.

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY

Number ofShares*

CommonShares

AdditionalPaid-inCapital

StockSubscriptionReceivable

StatutoryReserves

AccumulatedDeficit

AccumulatedOtherComprehensiveIncome (Loss)

TotalStockholders'EquityAttributableto TDH

Non-controllingInterest

Total Stockholders'Equity

Balance, December 31, 2022

10,323,268

206,465

48,089,439

160,014

(28,165,927)

428,249

20,718,240

435,663

21,153,903

Net loss

(23,626,172)

(5,344)

(23,631,516)

Stock-based compensation expense

3,040,000

Adjustment to reflect the effect of disposal of Tiandihui andChongaijiujiu

(160,014)

25,170,099

25,010,085

Foreign currency translation adjustment

(523,315)

Balance, December 31, 2023

10,323,268

206,465

51,129,439

(26,622,000)

(95,066)

24,618,838

430,319

25,049,157

Net income

2,684,522

(183,961)

2,500,561

Foreign currency translation adjustment

(718)

(149,145)

(149,863)

Balance, December 31, 2024

10,323,268

206,465

51,129,439

(23,937,478)

(95,784)

27,302,642

97,213

27,399,855

Net income

1,799,511

(18,434)

1,781,077

Adjustment to reflect the effect of disposal ofBVBA

1,517,914

Foreign currency translation adjustment

22,964

Balance, December 31, 2025

10,323,268

206,465

51,129,439

(20,620,053)

(72,820)

30,643,031

78,779

30,721,810

The accompanying notes are an integral part of these consolidated financial statements.

TDH HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

For The Years Ended December 31,

2025

2024

2023

Cash flows from operating activities

Net income (loss)

1,781,077

2,500,561

(23,631,516)

Less: Net income (loss) from discontinued operations

575,249

(15,248,601)

Net income (loss) from continuing operations

1,781,077

1,925,312

(8,382,915)

Adjustments to reconcile net income (loss) to net cashprovided by (used in) operating activities:

Depreciation and amortization expense

221,223

111,642

22,649

Fair value change of short-term investments, net

(10,801,316)

(6,671,948)

2,644,576

Impairment of goodwill

325,832

Impairment of long-lived assets other than goodwill

1,964

Inventory write-down

69,677

Allowance for doubtful accounts

22,674

Loss on disposal of subsidiaries

590,528

Loss (gain) on disposal of property, plant andequipment

59,009

37,766

Amortization of operating lease right-of-use assets

869,382

459,251

2,623,288

Stock-based compensation

3,040,000

Changes in operating assets and liabilities:

Accounts receivable, net

(141,066)

114,462

40,894

Inventories, net

8,370

44,240

Operating lease liabilities

(924,186)

(441,402)

691,854

Due to related parties

100,000

1,928,329

Advances to suppliers, net

(157,201)

(38,144)

(32,465)

Prepayments and other current assets, net

(41,125)

(1,660,998)

(3,210,336)

Accounts payable

2,847,169

2,927,432

(369,142)

Accounts payable - related parties

502,635

Interest payable

30,662

3,573

Taxes payable

5,191

6,982

(2,445)

Advances from customers

67,256

185,145

(6,974)

Other current liabilities

3,802,884

4,420,782

(1,234,226)

Net cash provided by (used in) operating activities fromcontinuing operations

(1,780,184)

1,762,389

(1,564,383)

Net cash provided by (used in) operating activities fromdiscontinued operations

(1,996,377)

999,987

Net cash used in operating activities

(1,780,184)

(233,987)

(564,396)

Cash flows from investing activities

Payments to acquire property and equipment

(244,088)

(1,881,370)

(7,655)

Disposal of subsidiaries

578,400

Cash obtained from business acquisition

16,047

Purchase of short-term investments

(60,393,565)

(46,777,749)

(37,066,925)

Proceeds from sale of short-term investments

66,873,258

50,944,982

31,024,365

Investment in equity

(99,280)

Leasehold improvement

(16,836)

Net cash provided by (used in) investing activities from continuing operations

6,235,605

2,781,030

(6,067,051)

Net cash provided by investing activities fromdiscontinued operations

Net cash provided by (used in) investing activities

6,235,605

2,781,030

(6,067,051)

Cash flows from financing activities

Repayments to related parties

(6,774)

Repayments of short-term loans

(422,237)

Payment to related party

(624,595)

Net cash (used in) financing activities fromcontinuing operations

(1,046,832)

(6,774)

Net cash provided by financing activities fromdiscontinued operations

Net cash (used in) financing activities

(1,046,832)

(6,774)

Effect of exchange rate changes on cash, cash equivalents and restricted cash

50,004

(508,863)

(1,557,522)

Net change in cash, cash equivalents and restrictedcash

3,458,593

2,038,180

(8,195,743)

Cash, cash equivalents and restricted cash, beginningof the year

15,699,562

13,661,382

21,857,125

Cash, cash equivalents and restricted cash, end of theyear

19,158,155

15,699,562

13,661,382

Less: Cash and restricted cash of discontinued operations at the end of the period

534,777

Cash and restricted cash of continued operations at theend of the period

19,158,155

15,699,562

13,126,605

Supplemental cash flow information

Interest paid

Income taxes paid

Non-cash investing and financing activities

Liabilities assumed in connection with purchase of property, plant and equipment

Notes payable reclassified to short-term loans

Short-term loans settled by transferring an equity investment to the creditor

Cashless exercise of warrants

Right of use assets obtained in exchange for operatinglease obligations

2,406,836

2,665,894

Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets

Cash and cash equivalents

19,138,205

15,699,562

13,126,605

Restricted cash

19,950

534,777

Total cash, cash equivalents, and restricted cash

19,158,155

15,699,562

13,661,382

The accompanying footnotes are an integral part of these financial statements.

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SOURCE TDH Holdings, Inc.