YXT.com Group Holding Reports 1H GAAP EPS of -$0.06, Revenue Down 7.8% Y/Y to $21.3M

YXT.com Group Holding reported a GAAP EPS of -$0.06 and revenue of $21.3M, a 7.8% decrease YoY. The number of subscription customers was 2,358 as of June 30, 2025, and net revenue retention rates decreased to 100.3% from 102.8% YoY. Monthly Recurring Revenue for AI-related products was RMB0.5 million, up from RMB0.2 million YoY.

Title: YXT.com Group Holding Reports Mixed Financial Results for H1 2025

YXT.com Group Holding (NASDAQ: YXT), an AI-enabled enterprise productivity solutions provider, reported its unaudited financial results for the first half of 2025. The company reported a GAAP EPS of -$0.06 and revenue of $21.3 million, a 7.8% decrease year-over-year (YoY) [2]. The number of subscription customers stood at 2,358 as of June 30, 2025, while net revenue retention rates decreased to 100.3% from 102.8% YoY [2].

The company's strategic shift towards large enterprise accounts and AI-powered corporate learning solutions has resulted in a decline in customer count, dropping from 2,481 to 2,358 YoY [2]. Despite this, gross margin improved by 4.0 percentage points to 65.1%, reflecting effective cost optimization and product mix improvements [2]. Monthly Recurring Revenue (MRR) for AI-related products grew 150% YoY to RMB0.5 million, up from RMB0.2 million [2].

However, the company's financial results indicate a mixed performance as it undergoes strategic transformation. Revenue declined 7.8% to $21.3 million, and the company reported a net loss of $10.3 million, compared to a net income of $21.4 million in H1 2024 [2]. The cash position deteriorated from $418.2 million at year-end 2024 to $32.9 million, representing a 43.6% decline in just six months [2].

Management's efforts to control expenses are evident with reductions in both sales and marketing (13.5% decrease) and R&D expenses (19.2% decrease). However, general and administrative expenses increased 20.4%, primarily due to higher professional service fees and share-based compensation [2].

The company's focus on AI-powered solutions shows early promise, but the net revenue retention rate decline suggests potential challenges in upselling current customers during this transition period [2]. Investors should watch for developments around external orders for high-speed substrates, trends in inventory and cash flow, and any updates on the STAR Market IPO for Tongmei [1].

References:
[1] https://www.aol.com/finance/axt-axti-q2-revenue-drops-191130750.html
[2] https://www.stocktitan.net/news/YXT/yxt-com-reports-unaudited-financial-results-for-the-first-six-months-d4hrmwlzyud4.html