Business
CLPS Incorporation Reports Financial Results for the First Half of Fiscal Year 2026
HONG KONG, March 6, 2026 /PRNewswire/ -- CLPS Incorporation (the "Company" or "CLPS") (Nasdaq: CLPS), today announced its unaudited financial results for the
About this update from Clps Incorporation
[{"type":"text","content":"HONG KONG, March 6, 2026 /PRNewswire/ -- CLPS Incorporation (the \"Company\" or \"CLPS\") (Nasdaq: CLPS), today announced its unaudited financial results for the six months ended December 31, 2025, or the first half of the Company's fiscal year 2026.\nDuring this period, while the downsizing of a key client's China Solution Centers (CSCs) continued to create a significant financial impact, the Company delivered a robust financial performance, achieving growth across both the top and bottom lines. Total revenue continued its upward trajectory, and most significantly, the Company realized a year-over-year increase in net income. This growth trend highlights the effectiveness of our stringent resource allocation and our strategic pivot toward high-value international markets and cutting-edge technological integrations.The Company's operational resilience was further demonstrated by its ability to secure new clients and achieve year-over-year growth in IT consulting services, successfully offsetting the impact triggered by a major client's global restructuring strategy in the previous fiscal year. In addition, the digital transformation team's focus on high-demand fields such as artificial intelligence (AI), robotic process automation (RPA), and payment technologies resulted in a remarkable 134.7% increase in customized IT solution services, reaching $2.2 million for the period. These successes were underpinned by the maintenance of long-standing relationships with existing clients and a deliberate reduction in revenue concentration in mainland China in favor of aggressive overseas expansion. As a result, revenue generated from outside of mainland China surged. This was driven by a strong performance of our IT services business in the APAC region, where aggregate revenue (excluding mainland China) rose from $16.9 million to $26.8 million, while the U.S. market saw exceptional growth, with revenue more than doubling—an increase of 101.6% to $4.1 million.First Half of Fiscal 2026 Highlights (all results compared to the six months ended December 31, 2024) Revenue increased by 2.8% to $85.1 million from $82.8 million.Revenue from customized IT solution services increased by 134.7% to $2.2 million from $0.9 million.Revenue generated outside of mainland China increased by 63.1% to $31.0 million from $19.0 million.Gross profit increased by...