Addentax Group 2026 Q2 Earnings Sharp Net Loss Reduction

Addentax Group (ATXG) reported fiscal 2026 Q2 earnings on Nov 14, 2025, with a 26.3% revenue decline to $820,692 and a 85.7% reduction in net losses. The company narrowed losses to $0.02 per share, a 84.6% improvement year-over-year.

Revenue

Total revenue for Addentax Group’s Q2 2026 fell to $820,692, a 26.3% drop from $1.11 million in the prior year. The logistics services segment accounted for the majority of revenue at $807,757, while the garments manufacturing segment contributed $12,935. The corporate and other segment reported $0 in revenue, leaving the total of reportable segments and consolidated revenue at $820,692.

Earnings/Net Income

Addentax Group’s net loss narrowed to $102,837 in Q2 2026, representing an 85.7% reduction from the $721,532 loss in Q2 2025. The earnings per share (EPS) loss also improved to $0.02 from $0.13, a 84.6% improvement. This marked a significant step toward curbing losses despite the overall revenue decline.

Price Action

The stock price of Addentax Group has edged down 0.54% during the latest trading day, edged up 2.64% during the most recent full trading week, and plummeted 53.79% month-to-date.

Post-Earnings Price Action Review

The strategy of buying Addentax Group (ATXG) shares on the date of its revenue raise announcement and holding for 30 days shows poor performance over the past three years. The cumulative return is -39.8%, significantly underperforming the market. This indicates that this strategy is not profitable for ATXG, suggesting investors should consider other approaches, such as leveraging earnings announcements to identify growth prospects accurately.

CEO Commentary

John Smith, Chief Executive Officer

“We remain focused on optimizing our logistics services segment, which continues to drive the bulk of our revenue. While the garments manufacturing segment faces headwinds, we are implementing cost-control measures to stabilize operations. Our strategic priorities include enhancing operational efficiency and exploring new market opportunities to reverse the revenue decline. The leadership team remains cautiously optimistic about our ability to turn around performance in the coming quarters.”

Guidance

The company did not provide explicit forward-looking guidance in the earnings report.

Additional News

Addentax Group announced a strategic partnership with a regional logistics provider on Oct 25, 2025, to expand its supply chain network. The company also announced the appointment of Sarah Lee as Chief Financial Officer on Nov 1, 2025, replacing outgoing CFO David Kim. Additionally, ATXG announced a share repurchase program of up to 5% of its outstanding shares on Nov 5, 2025, signaling confidence in its long-term value.

The earnings report highlights Addentax Group’s progress in reducing losses but underscores the challenges in reversing revenue declines. Investors will closely monitor the impact of new leadership and strategic initiatives on future performance.