Business
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
About this update from Hitek Global Inc.
[{"type":"text","content":"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.\nMs. 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 ResultsRevenueTotal 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.Revenue generated from hardware sales was approximately $6.1 million in fiscal year 2025, as compared to approximately $1.7 million in fiscal year 2024. The increase was due mainly to the increase in sales of selected safety monitoring equipment to petrochemical companies, and such increased sales drove a substantial growth in our hardware and equipment revenue.Revenue generated from Tax devices and service was approximately $0.3 million in fiscal year 2025, as compared to approximately $0.4 million in fiscal year 2024. The decrease was due mainly to the tax bureau providing free electronic invoices, which has negatively impacted demand for our fee-based tax services.Revenue generated from CIS software was approximately $0.2 million in fiscal year 2025, as compared to approximately $0.8 million in fiscal year 2024. The decrease was due mainly to our large customers reducing their procurement, even though two gained new customers in 2025. As the updated software can satisfy market demand and the Company is negotiating more sales contracts with new customers, we expect software sales will increase in the future.Gross Profit and Gross MarginGross 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 sale...