CIMG shares fall 12.64% after-hours as market doubts execution risks amid $2M computing contracts and weak financials.

CIMG Inc. fell 12.64% in after-hours trading following the announcement of $2 million in computing power equipment sales contracts, despite the news appearing to signal expansion in its core hardware segment. The contracts, executed between December 2025 and January 2026, cover computing servers and components for cloud and industrial clients. However, the market reaction contradicted the apparent positive catalyst, likely due to skepticism over the company’s weak financials: a $9 million EBITDA loss, $3.45 million credit loss provision, and just $372,770 in annual revenue. The stock’s decline suggests investors prioritized concerns about execution risks, cash burn, and collectability of receivables over the near-term revenue potential, reflecting a broader lack of confidence in the company’s operational viability.