Senmiao Technology 2026 Q2 Earnings Net Loss Widens 70.1% Despite Revenue Growth

Senmiao Technology (AIHS) reported fiscal 2026 Q2 earnings on Nov 19, 2025, showcasing a 25.5% year-over-year revenue increase to $936,344, though its net loss expanded significantly. The company narrowed its per-share loss to $0.86 from $1.36, a 36.8% improvement, but the total net loss surged to $723,730, up 70.1% from $425,453 in the prior year. The stock price declined sharply in the wake of the report, reflecting investor concerns over profitability challenges.

Revenue

Operating lease revenues from automobile rentals led the way with $747,515, followed by service fees from NEVs leasing contributing $111,115. Monthly services commissions added $24,058, while financing revenues and default revenue amounted to $18,849 and $21,291, respectively. Additional streams like service fees from automobile purchase services ($7,666) and other service fees ($5,850) further bolstered the total revenue.

Earnings/Net Income

Despite a 36.8% improvement in EPS to -$0.86, the company’s net loss expanded by 70.1% to $723,730, underscoring persistent operational challenges.

Price Action

The stock price of Senmiao Technology has edged down 0.96% during the latest trading day, has plummeted 21.37% during the most recent full trading week, and has plummeted 47.45% month-to-date.

Post-Earnings Price Action Review

The strategy of buying Senmiao Technology (AIHS) shares on the date of its revenue raise and holding for 30 days yielded moderate returns over the past three years, with a 25.6% increase in the portfolio. However, the strategy was not immune to risk, with a maximum drawdown of 45.1% during the backtested period. The consistency of quarterly revenue growth was a key factor in the strategy’s success, but it was not enough to fully mitigate the volatility associated with short-term holding periods and market fluctuations.

CEO Commentary

While no official transcript is available, the CEO’s remarks likely emphasized the need to address capital efficiency and operational costs despite robust revenue growth. Strategic priorities may include optimizing high-margin segments like operating leases and NEVs leasing, while leadership remains cautious about scaling losses amid competitive pressures.

Additional News

Senmiao Technology’s financial health remains under scrutiny, with a ROIC of -622.64% far below its WACC of 7.78%, signaling severe capital underutilization. Peers like Greenpro Capital (ROIC -24.25%) and Farmmi (ROIC -0.44%) also struggle, though Farmmi’s metrics suggest relatively better efficiency. Investors are advised to monitor capital restructuring initiatives and market share dynamics in the auto-leasing sector.