Delixy Holdings shares fall 40.28% intraday after reporting H1 2025 revenue drop due to lower oil prices and weak demand.

Delixy Holdings (DLXY) plunged 40.28% intraday following the release of its unaudited H1 2025 financial results, which revealed a 29% year-over-year revenue decline to $102 million and a 39% drop in gross profit to $1.1 million. The report attributed the underperformance to weak global oil demand and lower international oil prices, which reduced both revenue and gross margins. Despite cost-cutting measures—general and administrative expenses fell 56% to $0.7 million—profitability remained constrained by market conditions. The sharp decline in oil trading volumes and margins, combined with a 374% debt-to-equity ratio highlighted in analyst reports, signaled operational fragility and heightened investor concerns about the company’s ability to sustain growth post-IPO. The intraday selloff reflects immediate market skepticism toward Delixy’s resilience in a softening oil market.