Hitek Global Inc. Announces Fiscal Year 2025 Financial Results

XIAMEN, China, April 24, 2026 /PRNewswire/ -- Hitek Global Inc. (Nasdaq: HKIT) (the "Company"), a China-based information technology consulting and solutions service provider, today announced its financial results for the fiscal year ended December 31, 2025.

Ms. Xiaoyang Huang, Chief Executive Officer and Director of Hitek Global Inc. commented, "Fiscal 2025 was a year of strategic progress and stabilized growth. Amid market pressures in tax devices and services, we returned to potential revenue growth driven by hardware growth and operational efficiency. "

Fiscal Year 2025 Financial Results

Revenue

Total revenue was approximately $6.5 million in fiscal year 2025, as compared to approximately $2.9 million in fiscal year 2024, primarily due to the increase in sale of selected safety monitoring equipment to petrochemical companies.

Gross Profit and Gross Margin

Gross profit was approximately $0.7 million in fiscal year 2025, a decrease from approximately $1.0 million in fiscal year 2024. Our gross margin as a percentage of revenue decreased to 10.6% for the year ended December 31, 2025 from 34.6% for 2024. The decrease in gross margin was mainly due to the increase in hardware sales and the reduced proportion of software sales revenue in 2025, which historically had a gross margin in excess of 50%.

Operating Expenses

Operating expenses were approximately $2.5 million in fiscal year 2025, an increase from approximately $2.8 million in fiscal year 2024.

Other Income

Other income was $1,920,126 and $890,201 for years ended December 31, 2025 and 2024, respectively. The increase was primarily due to the increase in net investment income of approximately $1.0 million in 2025.

Net Income

Net income was $180,142 for the year ended December 31, 2025, an increase of $1,076,832 from net loss of $896,690 for 2024.

Balance Sheet

As of December 31, 2025, the Company had cash of $3.6 million, compared to $7.2 million as of December 31, 2024.

Cash Flow

Net cash used in operating activities was $1,535,849 for the year ended December 31, 2025. This was an increase of $847,311 compared to net cash used in operating activities of $688,538 in 2024.

Net cash used in investing activities was $2,109,565 for the year ended December 31, 2025. This was an decrease of $7,451,231 compared to net cash used in investing activities of $9,560,796 in 2024.

There was no financing activities during the year ended December 31, 2025. The net cash provided by financing activities for the year ended December 31, 2024 was $8.2 million attributable to a private placement.

About Hitek Global Inc.

Hitek Global Inc., headquartered in Xiamen, China, is an IT consulting and solutions service provider focusing on delivering services to business in various industry sectors in China. As of the date of this annual report, we have two lines of businesses— 1) services to small and medium businesses ("SMEs"), which consists of Anti-Counterfeiting Tax Control System ("ACTCS") tax devices, ACTCS services, and 2) services to large businesses, which consists of hardware sales and software sales. We expect to actively develop our system integration services and online service platform in the near future. Our vision is to become a one-stop consulting destination for holistic IT and other business consulting services in China. For more information, visit the Company's website at http://www.xmhitek.com/.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and in its other filings with the SEC.

The following tables summarize our results of operations for the periods indicated:

Loans receivable

Total non-current assets

Total Assets

 Loan payable – related party

       The accompanying notes are an integral part of these consolidated financial statements.

HITEK GLOBAL INC. AND SUBSIDIARIES

Total operating expenses

Total other income, net

Net loss

 The accompanying notes are an integral part of these consolidated financial statements.

 Cash paid for interest

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SOURCE Hitek Global Inc.