Press Release: Julong Holding Limited Reports Unaudited Financial Results for the First Half of Fiscal Year 2026

Dow Jones
08/18

BEIJING, Aug. 18, 2026 (GLOBE NEWSWIRE) -- Julong Holding Limited ("Julong" or the "Company") (Nasdaq: JLHL), a growth-oriented provider of intelligent integrated solutions, today announced its unaudited financial results for the six months ended March 31, 2026.

First Half of Fiscal Year 2026 Financial Highlights

   -- Revenues increased by 21.6% to RMB124,293 thousand (US$18,019 thousand) 
      for the six months ended March 31, 2026, from RMB102,175 thousand in the 
      same period of fiscal year 2025. 
 
   -- Gross profit increased by 16.4% to RMB19,453 thousand (US$2,820 thousand) 
      for the six months ended March 31, 2026, from RMB16,719 thousand in the 
      same period of fiscal year 2025. 
 
   -- Gross margin was 15.7% for the six months ended March 31, 2026, compared 
      with 16.4% in the same period of fiscal year 2025. 
 
   -- Net income increased by 0.8% to RMB11,659 thousand (US$1,690 thousand) in 
      the six months ended March 31, 2026, from RMB11,567 thousand in the same 
      period of fiscal year 2025. 

Mr. Jiaqi Hu, the founder, Chairman of the Board of Directors, and Chief Executive Officer of Julong, commented, "We are pleased to report solid results for the first half of fiscal year 2026, despite a challenging external environment. Total revenue increased by 21.6% year over year, reflecting the continued strength of our core engineering solutions business. This growth was primarily driven by an increase in the number of intelligent projects we served, with contracts under execution for our engineering solutions business rising to 322 from 226 in the same period last year. Additionally, we saw encouraging early-stage momentum in our sale of equipment and materials for intelligent systems, which complements our core business. With a rising number of contracts under execution in our domestic engineering solutions business and our continuous efforts to expand our international footprint, we are confident that we will sustain this momentum and capture new opportunities across our markets."

Ms. Airu Chen, the Chief Financial Officer of Julong, said, "We delivered a year-over-year revenue increase of 21.6%, reaching RMB124 million in the first half of fiscal year 2026, with revenue from our core engineering solutions for intelligent projects business rising 22.9% year over year. Notably, revenue from the sale of equipment and materials for intelligent systems grew substantially, climbing to RMB346 thousand from RMB10 thousand in the same period last year. Gross profit increased 16.4% year-over-year to RMB19.5 million and we remained profitable with net income of RMB11.7 million. As we continue to support the execution of our project pipeline, we remain focused on improving operational efficiency and creating sustainable, long-term value for our business partners and shareholders."

Unaudited Financial Results for the First Half of Fiscal Year 2026

Revenues increased by 21.6% to RMB124,293 thousand (US$18,019 thousand) in the six months ended March 31, 2026, from RMB102,175 thousand in the same period of fiscal year 2025, primarily attributable to an increase in the number of intelligent projects where we provided engineering solutions.

Revenues from engineering solutions for intelligent projects increased by 22.9% to RMB120,265 thousand (US$17,435 thousand) in the six months ended March 31, 2026, from RMB97,861 thousand in the same period of fiscal year 2025.

Revenues from intelligent project operation and maintenance were RMB3,682 thousand (US$534 thousand) in the six months ended March 31, 2026, compared with RMB4,304 thousand in the same period of fiscal year 2025.

Revenues from sales of equipment and materials of intelligent systems increased to RMB346 thousand (US$50 thousand) in the six months ended March 31, 2026, from RMB10 thousand in the same period of fiscal year 2025.

Cost of revenues increased by 22.7% to RMB104,839 thousand (US$15,199 thousand) in the six months ended March 31, 2026, from RMB85,457 thousand in the same period of fiscal year 2025.

Gross profit increased by 16.4% to RMB19,453 thousand (US$2,820 thousand) in the six months ended March 31, 2026, from RMB16,719 thousand in the same period of fiscal year 2025.

Gross margin was 15.7% for the six months ended March 31, 2026, compared with 16.4% in the same period of fiscal year 2025, primarily due to change in revenue mix.

Operating expenses increased by 91.9% to RMB5,960 thousand (US$864 thousand) in the six months ended March 31, 2026, from RMB3,106 thousand in the same period of fiscal year 2025, primarily due to an increase in service fee for RMB2,061 thousand (US$299 thousand).

Operating income was RMB13,494 thousand (US$1,956 thousand) in the six months ended March 31, 2026, compared with RMB13,613 thousand in the same period of fiscal year 2025.

Net income increased by 0.8% to RMB11,659 thousand (US$1,690 thousand) in the six months ended March 31, 2026, from RMB11,567 thousand in the same period of fiscal year 2025.

Basic and diluted net income per share was RMB0.54 (US$0.08) in the six months ended March 31, 2026, compared with RMB0.58 per share in the same period of fiscal year 2025.

Balance Sheets

As of March 31, 2026, the Company had cash and cash equivalents and restricted cash of RMB43,217 thousand (US$6,265 thousand), compared with RMB62,248 thousand as of September 30, 2025.

About Julong Holding Limited

Founded in 1997, Julong is a growth-oriented professional provider of intelligent integrated solutions to public utilities, commercial properties, and multifamily residential properties operating at scale in China. The Company's comprehensive suite of intelligent integrated solutions includes systems for intelligent security, fire protection, parking, toll collection, broadcasting, identification, data room, emergency command, and city management. Since its inception, Julong has focused on the successful and on-time execution of complex projects, through its "deliveries before deadline" and "customers first" initiatives. As Julong continues to cross-sell its service and solution offerings and advance its purpose-built technologies, the Company is well-positioned to achieve economies of scale and capture future opportunities.

For more information, please visit: ir.julongzx.com.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars and from U.S. dollars to RMB are made at a rate of RMB6.8980 to US$1.00, the exchange rate on March 31, 2026 set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or U.S. dollar amounts referred could be converted into U.S. dollars or RMB, as the case may be, at any particular rate or at all.

Forward-Looking Statements

This press release contains statements that may constitute "forward-looking" statements which are made pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements relating to the Company's future operating and financial performance, business strategies, and growth plans. These forward-looking statements can be identified by terminology such as "will," "would," "may," "expects," "anticipates," "aims," "future," "continues," "could," "should," "target," "intends," "plans," "believes, " "estimates," "likely to," and similar expressions. Statements that are not historical facts, including statements about the Company's beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including uncertainties related to market conditions, competition, and other factors discussed in the "Risk Factors" section of the Company's filings with the Securities and Exchange Commission. All information provided in this press release is as of the date of this press release, and the Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For investor and media inquiries, please contact:

In China:

Investor Relations:

Email: ir@julongzx.com

Piacente Financial Communications

Jenny Cai

Tel: +86 (10) 6508-0677

E-mail: julong@thepiacentegroup.com

In the United States:

Piacente Financial Communications

Brandi Piacente

Tel: +1-212-481-2050

E-mail: julong@thepiacentegroup.com

 
 
                    JULONG HOLDING LIMITED 
        UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS 
 
                           As of                       As of 
                         September      As of March  March 31, 
                          30, 2025       31, 2026       2026 
                        ------------    -----------  ---------- 
                            RMB             RMB         US$ 
ASSETS 
Current assets 
   Cash and cash 
    equivalents           62,247,145     43,216,643   6,265,098 
   Restricted cash               600            600          87 
   Accounts receivable 
    (net of allowance 
    of RMB91,886 and 
    RMB56,070 as of 
    September 30,2025 
    and March 31, 2026, 
    respectively)         14,723,857      8,130,297   1,178,646 
   Unbilled receivables 
    (net of allowance 
    of RMB4,267,547 and 
    RMB5,457,002 as of 
    September 30,2025 
    and March 31, 2026, 
    respectively)        242,066,085    303,893,778  44,055,346 
   Contract assets- 
    current (net of 
    allowance of nil 
    and nil as of 
    September 30, 2025 
    and March 31, 2026, 
    respectively)          2,466,827      1,498,137     217,184 
   Other receivable 
    (net of allowance 
    of RMB64,103 and 
    RMB164,106 as of 
    September 30, 2025 
    and March 31, 2026, 
    respectively)            801,734     24,234,001   3,513,192 
   Amounts due from 
    related parties        3,486,135      1,105,933     160,327 
   Prepaid expenses and 
    other current 
    assets                 1,966,812      4,212,170     610,635 
                         -----------    -----------  ---------- 
Total current assets     327,759,195    386,291,559  56,000,515 
 
Non-current assets 
   Property, plant and 
    equipment, net            83,125        161,404      23,399 
   Deferred tax assets     1,044,349      1,240,584     179,847 
   Operating lease 
    right-of-use 
    assets                   280,398        229,471      33,266 
   Contract assets- 
    non-current, net      10,955,098     10,995,921   1,594,074 
                         -----------    -----------  ---------- 
Total non-current 
 assets                   12,362,970     12,627,380   1,830,586 
                         -----------    -----------  ---------- 
 
TOTAL ASSETS             340,122,165    398,918,939  57,831,101 
                         ===========    ===========  ========== 
 
 
                    JULONG HOLDING LIMITED 
  UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) 
 
                        As of 
                      September     As of March   As of March 
                       30, 2025      31, 2026       31, 2026 
                     ------------   -----------   ------------ 
                         RMB            RMB           US$ 
LIABILITIES 
 
Current 
liabilities 
   Short-term 
    borrowing          10,000,000    10,000,000      1,449,696 
   Accounts payable    21,797,667    15,767,146      2,285,756 
   Contract 
    liabilities           844,757     1,691,990        245,287 
   Accrued expenses 
    and other 
    current 
    liabilities       221,848,274   275,039,372     39,872,336 
   Amounts due to 
    related parties     5,244,067     3,443,940        499,266 
   Income tax 
    payable            10,312,947    12,398,896      1,797,462 
   Operating lease 
    liabilities, 
    current portion        99,065       100,540         14,575 
                      -----------   -----------   ------------ 
Total current 
 liabilities          270,146,777   318,441,884     46,164,378 
Non-current 
liabilities: 
   Operating lease 
    liabilities, 
    non-current           164,896       114,254         16,563 
Total non-current 
 liabilities              164,896       114,254         16,563 
                      -----------   -----------   ------------ 
 
TOTAL LIABILITIES     270,311,673   318,556,138     46,180,941 
                      ===========   ===========   ============ 
SHAREHOLDERS' 
EQUITY 
   Stock 
    Subscription 
    Receivable            (14,246)      (14,246)        (2,065) 
   Ordinary shares 
    subscribed 
    (US$0.0001 par 
    value, 
    500,000,000 
    shares 
    authorized as of 
    September 30, 
    2025 and March 
    31, 2026; 
    21,448,632 
    shares issued 
    and outstanding 
    as of September 
    30, 2025 and 
    March 31, 2026) 
    (1)                    15,269        15,269          2,214 
   Additional paid 
    in capital         26,281,420    26,281,420      3,810,006 
   Statutory reserve    5,883,035     7,048,957      1,021,884 
   Retained earnings   37,645,105    48,138,412      6,978,604 
   Accumulated other 
    comprehensive 
    loss                      (91)   (1,107,011)      (160,483) 
                      -----------   -----------   ------------ 
TOTAL SHAREHOLDERS' 
 EQUITY                69,810,492    80,362,801     11,650,160 
                      -----------   -----------   ------------ 
TOTAL LIABILITIES 
 AND SHAREHOLDERS' 
 EQUITY               340,122,165   398,918,939     57,831,101 
                      ===========   ===========   ============ 
 

(1) Giving retroactive effect to Reorganization transactions.

 
 
                    JULONG HOLDING LIMITED 
   UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS 
                       AND COMPREHENSIVE 
                            INCOME 
 
                             Six Months Ended March 31, 
                       --------------------------------------- 
                           2025          2026          2026 
                       ------------   -----------   ---------- 
                           RMB            RMB          US$ 
Revenues (including 
 revenues from related 
 parties of 
 RMB42,257,767 and 
 RMB63,792,598 for the 
 six months ended 
 March 31, 2025 and 
 2026, respectively)    102,175,246   124,292,811   18,018,674 
 
Cost of revenues         85,456,746   104,839,391   15,198,520 
                        -----------   -----------   ---------- 
 
Gross profit             16,718,500    19,453,420    2,820,154 
                        -----------   -----------   ---------- 
 
Operating expenses: 
Selling, general and 
 administrative 
 expenses                 3,105,980     5,959,721      863,978 
                        -----------   -----------   ---------- 
Total operating 
 expenses                 3,105,980     5,959,721      863,978 
                        -----------   -----------   ---------- 
 
Operating income         13,612,520    13,493,699    1,956,176 
 
Interest expenses              (936)     (148,839)     (21,577) 
Other income, net               263       324,664       47,066 
                        -----------   -----------   ---------- 
Income before income 
 taxes                   13,611,847    13,669,524    1,981,665 
                        -----------   -----------   ---------- 
Income tax expenses       2,045,183     2,010,295      291,432 
                        -----------   -----------   ---------- 
 
Net income               11,566,664    11,659,229    1,690,233 
Other comprehensive 
 loss, net of tax of 
 nil:                             -    (1,107,011)    (160,483) 
                        -----------   -----------   ---------- 
Comprehensive income     11,566,664    10,552,218    1,529,750 
                        ===========   ===========   ========== 
Net income per 
share-basic and 
diluted 
Weighted average 
 number of ordinary 
 shares 
 outstanding-basic and 
 diluted                 20,011,132    21,448,632   21,448,632 
Basic and diluted net 
 income per share              0.58          0.54         0.08 
 
 
                                                               JULONG HOLDING LIMITED 
                                                UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES 
                                                               IN SHAREHOLDERS' EQUITY 
 
                                                                                                              Total Julong 
                                                                           Accumulated                           Holding 
                                       Stock       Additional                 other         (Accumulated         Limited         Non- 
                                    Subscription     paid-in   Statutory  comprehensive   deficit)/Retained   shareholders'   controlling    Total 
                 Ordinary shares     Receivable      capital    reserve      income           earnings           equity        interest      equity 
               -------------------  ------------   ----------  ---------  -------------   -----------------   -------------   -----------  ---------- 
                 Number      RMB        RMB           RMB         RMB          RMB               RMB               RMB            RMB         RMB 
               -----------  ------  ------------   ----------  ---------  -------------   -----------------   -------------   -----------  ---------- 
Balance as of 
 September 30, 
 2024           20,011,132  14,043       (14,043)           -  3,267,815              -          14,108,126      17,375,941             -  17,375,941 
Net income for 
 the year                -       -             -            -          -              -          11,566,664      11,566,664             -  11,566,664 
Provision of 
 statutory 
 reserve                 -       -             -            -  1,156,666              -          (1,156,666)              -             -           - 
Foreign 
 currency 
 translation 
 adjustment              -     478          (478)           -          -              -                   -               -             -           - 
Balance as of 
 March 31, 
 2025           20,011,132  14,521       (14,521)           -  4,424,481              -          24,518,124      28,942,605             -  28,942,605 
                ==========  ======  ============   ==========  =========  =============   =================   =============   ===========  ========== 
Balance as of 
 September 30, 
 2025           21,448,632  15,269       (14,246)  26,281,420  5,883,035            (91)         37,645,105      69,810,492             -  69,810,492 
 
Net income for 
 the year                -       -             -            -          -              -          11,659,229      11,659,229             -  11,659,229 
Provision of 
 statutory 
 reserve                 -       -             -            -  1,165,922              -          (1,165,922)              -             -           - 
Foreign 
 currency 
 translation 
 adjustment              -       -             -            -          -     (1,106,920)                  -      (1,106,920)            -  (1,106,920) 
Balance as of 
 March 31, 
 2026           21,448,632  15,269       (14,246)  26,281,420  7,048,957     (1,107,011)         48,138,412      80,362,801             -  80,362,801 
                ==========  ======  ============   ==========  =========  =============   =================   =============   ===========  ========== 
 
 
                  JULONG HOLDING LIMITED 
    UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH 
                           FLOWS 
 
                          Six Months Ended March 31, 
                    --------------------------------------- 
                        2025          2026          2026 
                    ------------   -----------   ---------- 
                        RMB            RMB          US$ 
                    ------------   -----------   ---------- 
CASH FLOWS FROM 
OPERATING 
ACTIVITIES 
Net income            11,566,664    11,659,229    1,690,233 
Adjustments to 
reconcile net 
income to net 
cash provided by 
(used in) 
operating 
activities: 
Depreciation of 
 property, plant 
 and equipment             7,117        10,830        1,570 
Amortization of the 
 right-of-use 
 assets                   95,003        50,928        7,383 
Provision of 
 allowance for 
 doubtful accounts        94,292     6,420,154      930,727 
Provision of 
 allowance for 
 unbilled 
 receivables             311,983     1,189,455      172,435 
 
Changes in 
operating assets 
and liabilities 
Accounts receivable   (4,473,997)    3,451,393      500,347 
Unbilled 
 receivables         (18,755,216)  (63,017,148)  (9,135,568) 
Contract assets       (2,110,855)      968,690      140,431 
Other receivable         (80,510)  (23,532,270)  (3,411,463) 
Prepaid expenses 
 and other current 
 assets                 (759,161)   (2,245,360)    (325,509) 
Amount due from 
 related parties         699,026     2,380,202      345,057 
Deferred tax assets      (62,182)     (196,235)     (28,448) 
Non-current assets       476,681       (40,823)      (5,918) 
Accounts payable      (4,720,741)   (7,985,422)  (1,157,643) 
Accrued expenses 
 and other current 
 liabilities          16,811,087    46,683,831    6,767,734 
Income tax payable     1,875,544     2,085,949      302,399 
Contract 
 liabilities           2,081,323       847,233      122,823 
Amount due to 
 related parties     (13,836,127)   (1,800,127)    (260,964) 
Lease liabilities        (95,003)      (49,166)      (7,128) 
Other Current 
 liabilities           2,638,092     5,284,184      766,047 
                     -----------   -----------   ---------- 
 
Net cash used in 
 operating 
 activities           (8,236,979)  (17,834,473)  (2,585,455) 
 
CASH FLOWS FROM 
INVESTING 
ACTIVITIES 
Purchase of 
 property, plant 
 and equipment                 -       (89,109)     (12,918) 
                     -----------   -----------   ---------- 
Net cash used in 
 investing 
 activities                    -       (89,109)     (12,918) 
 
CASH FLOWS FROM 
FINANCING 
ACTIVITIES 
Proceed from 
 short-term 
 borrowing                          10,000,000    1,449,696 
Proceed from 
 (repayment of) 
 short-term 
 borrowing            10,000,000   (10,000,000)  (1,449,696) 
Payment of deferred 
 offering costs       (1,169,139)            -            - 
                     -----------   -----------   ---------- 
Net cash provided 
 by financing 
 activities            8,830,861             -            - 
                     -----------   -----------   ---------- 
 Exchange rate 
  effect on cash 
  and cash 
  equivalents                  -    (1,106,920)    (160,470) 
Net increase 
 (decrease) in 
 cash, cash 
 equivalents and 
 restricted cash         593,882   (19,030,502)  (2,758,843) 
Cash, cash 
 equivalents and 
 restricted cash at 
 beginning of the 
 period               20,772,130    62,247,745    9,024,028 
                     -----------   -----------   ---------- 
 
Cash, cash 
 equivalents and 
 restricted cash at 
 end of the period    21,366,012    43,217,243    6,265,185 
                     ===========   ===========   ========== 
 

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