Golden Heaven Group (GDHG) H1 2025 earnings summary

Executive summary

• Revenue for the six months ended March 31, 2025, declined 41% year-over-year to $8.16 million due to a shift from amusement park operations to leasing parks to third parties.

• Net loss was $10.64 million versus net income of $2.54 million in the prior year, mainly due to $9.35 million in share-based compensation expenses.

• The company completed long-term lease agreements for all its amusement parks, aiming to reduce operational costs and stabilize cash flows.

Financial highlights

• Revenue from in-park recreation dropped 76.5% year-over-year, while rental income increased by $4.13 million.

• Gross profit margin decreased to 39.44% from 51.95% year-over-year.

• Operating expenses rose 261% to $13.2 million, driven by share-based compensation.

• Cash and cash equivalents increased to $67.77 million as of March 31, 2025, from $19.83 million at September 30, 2024.

Outlook and guidance

• Management expects leasing to third parties to reduce operational risks and improve asset utilization, supporting sustainable development.