HONG KONG, Aug. 05, 2026 (GLOBE NEWSWIRE) -- Raytech Holding Limited (NASDAQ: RAY) ("Raytech", "We", "Our" or the "Company"), a Hong Kong-based group operating in the sourcing and wholesaling of personal care electrical appliances, product design, development and advisory services in relation to personal health care electronics, and marketing solutions services, today announced financial results for the fiscal year ended March 31, 2026, and confirmed the filing of its annual report on Form 20-F with the U.S. Securities and Exchange Commission ("SEC").
Raytech delivered a transformational fiscal year 2026, with revenue increasing by 81.1% to HK$142.6 million (US$18.2 million) and net income increasing by 101.9% to HK$16.7 million (US$2.1 million), representing a net margin of 11.7%. During the year, the Company expanded from a single-subsidiary trading business into a group of three operating subsidiaries in Hong Kong, adding two new service businesses - product design, development and advisory services conducted by Raytech Innovation Limited ("Raytech Innovation"), and marketing solutions services conducted by Worry free Group (Hong Kong) Limited ("Worry free") - which together contributed service income of HK$44.2 million (US$5.6 million), or 31.0% of total revenue, alongside a 26.2% increase in sales of products by Pure Beauty Manufacturing Company Limited ("Pure Beauty").
Financial Highlights
Key highlights for fiscal year 2026 compared to fiscal year 2025:
- Revenue increased by 81.1% to HK$142.6 million (US$18.2 million), principally reflecting new service income of HK$44.2 million (US$5.6 million) from Raytech Innovation and Worry free and a 26.2% increase in sales of products by Pure Beauty
- Net income increased by 101.9% to HK$16.7 million (US$2.1 million), with a net margin of 11.7%, compared with 10.5% in fiscal year 2025
- Income from operations increased by 135.7% to HK$18.0 million (US$2.3 million), with an operating margin of 12.6%, compared with 9.7% in fiscal year 2025
- Three reportable segments following the commencement of Raytech Innovation's business operation on October 1, 2025 and the acquisition of Worry free on December 29, 2025: appliances (69.01% of total revenue), product design, development and advisory services (15.38%), and marketing solutions services (15.60%)
- Cash and cash equivalents of HK$78.0 million (US$10.0 million) as of March 31, 2026, with net current assets of HK$97.1 million (US$12.4 million), up from HK$76.9 million as of March 31, 2025
- Liquidity further strengthened subsequent to year end by a June 2026 registered direct offering that raised net proceeds of approximately US$6.08 million under the Company's Form F-3 shelf registration statement
Financial Results
Revenue Performance:
- Total revenue increased by 81.1% to HK$142,629,085 (US$18,192,485) in fiscal year 2026 from HK$78,739,564 in fiscal year 2025
- Sales of products increased by 26.2% to HK$95,591,499 (US$12,192,793) from HK$75,769,626, primarily attributable to an increase in sales of the hair styling series arising from new models engaged from customers
- Sales of tooling: decreased by 4.3% to HK$2,843,350 (US$362,672) from HK$2,969,938, as fewer new tooling programs were engaged during the year
- Service income: HK$44,194,236 (US$5,637,020) in fiscal year 2026, comprising HK$13,960,185 (US$1,780,636) from product design and development services and HK$7,983,051 (US$1,018,246) from project advisory services of Raytech Innovation, which commenced business operation on October 1, 2025, and HK$22,251,000 (US$2,838,138) from marketing solutions services of Worry free for the period from December 29, 2025 to March 31, 2026
Profitability and Margins:
- Merchandise costs of HK$73,587,672 (US$9,386,183) in fiscal year 2026, representing 51.6% of revenue, compared to HK$60,931,870, or 77.4% of revenue, in fiscal year 2025; the increase in absolute terms was in line with the increase in sales of products
- Service costs of HK$29,423,000 (US$3,752,934) in fiscal year 2026, comprising HK$10,100,000 for product design and development services and HK$4,700,000 for project advisory services incurred by Raytech Innovation, and HK$14,623,000 for marketing solutions services incurred by Worry free
- Selling, general and administrative expenses of HK$21,587,387 (US$2,753,493) in fiscal year 2026, compared to HK$10,158,945 in fiscal year 2025
- Income from operations of HK$18,031,026 (US$2,299,875) in fiscal year 2026, with an operating margin of 12.6%, driven principally by the commencement of the service businesses and the increase in sales of products, partially offset by the increase in selling, general and administrative expenses
- Basic and diluted earnings per share of HK$7.19 (US$0.92) in fiscal year 2026, compared to HK$7.60 in fiscal year 2025, retroactively restated to reflect the sixteen-for-one share consolidation effective on November 7, 2025
Balance Sheet and Cash Flow:
- Cash and cash equivalents of HK$78,032,891 (US$9,953,175) as of March 31, 2026, compared to HK$84,850,995 as of March 31, 2025
- Net current assets increased to HK$97,073,067 (US$12,381,769) as of March 31, 2026, compared to HK$76,945,817 as of March 31, 2025
- Accounts receivable increased to HK$67,775,993 (US$8,644,897) as of March 31, 2026, primarily attributable to the newly commenced and acquired service businesses; as of the date of the Annual Report, the accounts receivable outstanding as of March 31, 2026 had been fully settled
- Net cash used in operating activities of HK$14,511,287 (US$1,850,928) in fiscal year 2026, principally reflecting the build-up of accounts receivable of the newly commenced and acquired service businesses towards the year end, which management expects to unwind as those receivables are settled
- Net cash generated from financing activities of HK$34,805,809 (US$4,439,517) in fiscal year 2026, primarily comprising net proceeds of US$4,682,910 from the follow-on offering completed on July 1, 2025
Fiscal Year 2026 Corporate Developments
- Follow-on public offering (July 1, 2025): closed a follow-on public offering at a public offering price of US$0.20 per share (equivalent to US$3.20 per share on a post-consolidation basis), for aggregate gross proceeds of approximately US$5.197 million; upon completion, the Company ceased to qualify as a "controlled company" under the Nasdaq listing rules
- Share consolidation (November 7, 2025): effected a 1-for-16 share consolidation and subsequently regained compliance with the minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2)
- Shelf registration (December 18, 2025): shelf registration statement on Form F-3, registering the offer and sale of up to US$500,000,000 of securities from time to time, was declared effective by the SEC
- Acquisition of Worry free (December 29, 2025): Raytech Innovation completed the acquisition of 100% of the issued share capital of Worry free, a marketing solutions company, for aggregate consideration of US$6,099,000, comprising US$4,099,000 in cash and a US$2,000,000 promissory note bearing interest at 2% per annum and maturing on the second anniversary of issuance
- Board appointments (January 2, 2026): the Board approved the appointment of Mr. Yuan Tianfu as a director and Dr. Wang Shibin as an independent director of the Company
- Strategic expansion: beginning in the third quarter of the fiscal year, the Company commenced a strategic expansion into the provision of services in relation to personal health care electronics, including product design, development and consultation, led by Raytech Innovation
Subsequent Events
- Chairman appointment (April 15, 2026): Mr. Liu Haoyuan was appointed as a director and Chairman of the Board, and founder Mr. Ching Tim Hoi continues to serve as an executive director and Chief Executive Officer
- Registered direct offering (June 29, 2026): closed a registered direct offering of 3,149,832 ordinary shares (on a post-share consolidation basis) at a price of US$1.97 per share, for aggregate gross proceeds of approximately US$6.2 million, pursuant to the Form F-3 shelf registration statement
- Incorporation of Fluxen Limited (June 12, 2026): incorporated Fluxen Limited in Hong Kong, in which the Company holds 60% of the equity interest following an allotment to an independent third party on July 8, 2026; Fluxen is currently dormant and is intended to support the Group's future export trading business
Outlook and Strategic Priorities
Building on over 10 years of experience in the personal care electrical appliance industry, the Company intends to continue the expansion of its service businesses, which contributed 31.0% of total revenue in their fiscal year ended March 31, 2026, while Pure Beauty continues to operate its established sourcing and wholesaling business in an ordinary-course capacity. The Company's strategic focus includes the provision of product design, development and consultation services in relation to personal health care electronics, led by Raytech Innovation, and marketing solutions services through Worry free. The Company believes that its current levels of cash and cash flows from operations, further supported by the net proceeds of approximately US$6.08 million raised in June 2026, will be sufficient to meet its anticipated cash needs, including working capital needs and the repayment of the promissory note, for at least the next 12 months.
About Raytech Holding Limited
Raytech Holding Limited (Nasdaq:RAY) is a Hong Kong-based holding company with over 10 years of experience in the personal care electrical appliance industry. The Company operates three businesses through its operating subsidiaries in Hong Kong: (i) the sourcing and wholesaling of personal care electrical appliances for international brand owners, ranging from hair styling, trimmer, eyelash curler, and nail care to other body and facial care appliances, conducted by Pure Beauty Manufacturing Company Limited; (ii) the provision of product design and development services and project advisory services in relation to personal health care electronics, conducted by Raytech Innovation Limited; and (iii) the provision of marketing solutions services, conducted by Worry free Group (Hong Kong) Limited.
Forward-Looking Statement
This press release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These forward-looking statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions, and other factors discussed in the "Risk Factors" section of the Company's annual report on Form 20-F filed on July 31, 2026 with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.
Media and Investor Relations Contact:
International Elite Capital
Annabelle Zhang
Tel: +1 (646) 866-7928
Email: annabelle@iecapitalusa.com
| Consolidated Financial Information | ||||||||
| RAYTECH HOLDING LIMITED CONSOLIDATED STATEMENTS OF INCOME | ||||||||
| For the Years ended March 31, | ||||||||
| 2024 | 2025 | 2026 | 2026 | |||||
| HKD | HKD | HKD | US$ | |||||
| REVENUE | ||||||||
| Sales of products | 59,966,287 | 75,769,626 | 95,591,499 | 12,192,793 | ||||
| Sales of tooling | 7,006,014 | 2,969,938 | 2,843,350 | 362,672 | ||||
| Service income | - | - | 44,194,236 | 5,637,020 | ||||
| Total revenue | 66,972,301 | 78,739,564 | 142,629,085 | 18,192,485 | ||||
| OPERATING EXPENSES | ||||||||
| Merchandise costs | (52,067,436 | - | (60,931,870 | - | (73,587,672 | - | (9,386,183 | - |
| Service costs | - | - | (29,423,000 | - | (3,752,934 | - | ||
| Selling, general and administrative expenses | (3,545,369 | - | (10,158,945 | - | (21,587,387 | - | (2,753,493 | - |
| Total operating expenses | (55,612,805 | - | (71,090,815 | - | (124,598,059 | - | (15,892,610 | - |
| INCOME FROM OPERATIONS | 11,359,496 | 7,648,749 | 18,031,026 | 2,299,875 | ||||
| OTHER INCOME (EXPENSE) | ||||||||
| Interest income | 1,416,354 | 3,158,654 | 2,259,221 | 288,166 | ||||
| Interest expense | (2,028 | - | - | (243,432 | - | (31,050 | - | |
| Gain (loss) from foreign currency exchange | (20,846 | - | (328,471 | - | 183,001 | 23,342 | ||
| Government grants | - | - | 109,863 | 14,013 | ||||
| Other income, net | 818 | 45,922 | 6,432 | 821 | ||||
| Total other income, net | 1,394,298 | 2,876,105 | 2,315,085 | 295,292 | ||||
| INCOME BEFORE INCOME TAX PROVISION | 12,753,794 | 10,524,854 | 20,346,111 | 2,595,167 | ||||
| PROVISION FOR INCOME TAXES | (2,817,000 | - | (2,256,487 | - | (3,655,536 | - | (466,267 | - |
| NET INCOME | 9,936,794 | 8,268,367 | 16,690,575 | 2,128,900 | ||||
| WEIGHTED AVERAGE NUMBER OF ORDINARY SHARES | ||||||||
| Basic and diluted (1) (2) | 1,000,000 | 1,087,401 | 2,320,001 | 2,320,001 | ||||
| EARNINGS PER SHARE | ||||||||
| Basic and diluted (2) | 9.94 | 7.60 | 7.19 | 0.92 | ||||
(1) On a retroactively restated basis, 93,750 ordinary shares were issued on May 15, 2024, 7,068 ordinary shares were issued on July 5, 2024, and 1,624,062 ordinary shares were issued on July 1, 2025. (2) All share and per share data have been retroactively restated to reflect the sixteen (16)-for-one (1) share consolidation of the Company's ordinary shares effective on November 7, 2025.
The accompanying notes in the Annual Report on Form 20-F are an integral part of these consolidated financial statements.
| RAYTECH HOLDING LIMITED CONSOLIDATED BALANCE SHEETS | |||
| As of March 31, | |||
| 2025 | 2026 | 2026 | |
| HKD | HKD | US$ | |
| ASSETS | |||
| CURRENT ASSETS | |||
| Cash and cash equivalents | 84,850,995 | 78,032,891 | 9,953,175 |
| Accounts receivables, net | 8,144,307 | 67,775,993 | 8,644,897 |
| Merchandise inventories, net | 1,879,435 | - | - |
| Deposits and prepayments | - | 22,777,913 | 2,905,346 |
| TOTAL CURRENT ASSETS | 94,874,737 | 168,586,797 | 21,503,418 |
| NON-CURRENT ASSETS | |||
| Plant and equipment, net | - | - | - |
| Goodwill | - | 43,789,000 | 5,585,332 |
| Intangible asset, net | - | 2,564,750 | 327,136 |
| Deferred offering costs | - | 1,094,969 | 139,664 |
| Long-term deposits | 16,200 | 6,200 | 791 |
| TOTAL NON-CURRENT ASSETS | 16,200 | 47,454,919 | 6,052,923 |
| TOTAL ASSETS | 94,890,937 | 216,041,716 | 27,556,341 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||
| CURRENT LIABILITIES | |||
| Accounts payables | 466,327 | 41,946,701 | 5,350,344 |
| Accounts payables - related parties | 14,984,393 | 19,972,442 | 2,547,505 |
| Accruals | 1,786,314 | 2,763,756 | 352,520 |
| Contract liabilities | 501,804 | 789,927 | 100,756 |
| Tax payables | 190,082 | 1,420,277 | 181,158 |
| Amount due to a related party | - | 2,450,000 | 312,500 |
| Amounts due to directors | - | 2,170,627 | 276,866 |
| TOTAL CURRENT LIABILITIES | 17,928,920 | 71,513,730 | 9,121,649 |
| NON-CURRENT LIABILITIES | |||
| Promissory note payable, non-current | - | 14,551,432 | 1,856,050 |
| Deferred tax liability | - | 423,184 | 53,977 |
| TOTAL NON-CURRENT LIABILITIES | - | 14,974,616 | 1,910,027 |
| TOTAL LIABILITIES | 17,928,920 | 86,488,346 | 11,031,676 |
| COMMITMENTS AND CONTINGENCIES | - | - | - |
| SHAREHOLDERS' EQUITY | |||
| Ordinary Shares, US$0.0001 par value, 500,000,000 Ordinary Shares authorized, and 1,100,818 shares and 2,724,911 shares issued and outstanding as of March 31, 2025 and 2026, respectively (1)(2) | 862 | 2,137 | 273 |
| Additional paid-in capital | 37,717,487 | 73,616,990 | 9,389,922 |
| Retained earnings | 39,243,668 | 55,934,243 | 7,134,470 |
| TOTAL SHAREHOLDERS' EQUITY | 76,962,017 | 129,553,370 | 16,524,665 |
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 94,890,937 | 216,041,716 | 27,556,341 |
(1) On a retroactively restated basis, 93,750 ordinary shares were issued on May 15, 2024, 7,068 ordinary shares were issued on July 5, 2024, and 1,624,062 ordinary shares were issued on July 1, 2025. (2) All share and per share data have been retroactively restated to reflect the sixteen (16)-for-one (1) share consolidation of the Company's ordinary shares effective on November 7, 2025.
The accompanying notes in the Annual Report on Form 20-F are an integral part of these consolidated financial statements.
| RAYTECH HOLDING LIMITED SUMMARY OF CONSOLIDATED CASH FLOWS INFORMATION | ||||||||
| For the years ended March 31, | ||||||||
| 2024 | 2025 | 2026 | 2026 | |||||
| HKD | HKD | HKD | US$ | |||||
| Cash and cash equivalents at the beginning of the period | 21,362,580 | 35,885,666 | 84,850,995 | 10,906,438 | ||||
| Net cash generated from (used in) operating activities | 15,748,279 | 6,220,534 | (14,511,287 | - | (1,850,928 | - | ||
| Net cash generated from (used in) investing activities | 846,860 | 145,166 | (27,682,717 | - | (3,530,959 | - | ||
| Net cash (used in) generated from financing activities | (2,075,897 | - | 42,871,117 | 34,805,809 | 4,439,517 | |||
| Effect of foreign exchange on cash, cash equivalents and restricted cash | 3,844 | (271,488 | - | 570,091 | (10,893 | - | ||
| Cash and cash equivalent at the end of the period | 35,885,666 | 84,850,995 | 78,032,891 | 9,953,175 | ||||
Note: Summary as presented in Item 5.B of the Annual Report on Form 20-F. The full Consolidated Statements of Cash Flows are set forth in the financial statements included in the Annual Report.
