HAMBURG, Germany and AUSTIN, Texas, Sept. 18, 2026 (GLOBE NEWSWIRE) -- XCHG Limited ("XCharge" or the "Company") (Nasdaq: XCH), a global provider in high-power EV charging solutions, today reported its unaudited financial results for the six months ended June 30, 2026.

Mr. Yifei ("Simon") Hou, Co-Chief Executive Officer of XCharge, commented, "While customer procurement timing and changes in project schedules affected the pace of revenue and deliveries in the first half of 2026, we remained focused on executing our long-term growth strategy. We made important commercial and product progress during the period. Our long-term partnership with EnBW marked a significant commercial milestone in Europe, while the introduction of the new-generation C7 and the launch of GridOne expanded our ability to address customers' evolving charging and energy management needs. Looking ahead, we expect business activity to accelerate meaningfully in the second half of the year as we fulfill scheduled customer deliveries and advance existing customer programs and projects. We believe the commercial progress we have made, together with our expanded product portfolio, positions us well to capture the opportunities ahead."

Mr. Joel A. Gallo, Chief Financial Officer, added, "The financing completed in June provided additional liquidity to support our operations. As we prepare for higher anticipated activity in the second half, we will continue to maintain disciplined cost and working capital management, improve operational efficiency, and allocate resources to customer programs and areas with the clearest commercial potential. Our priority is to support renewed revenue growth while continuing to improve the underlying financial performance of the business."

 
                                        For the Six Months Ended 
                                                June 30, 
                                      ---------------------------- 
                                         2026              2025 
                                      -----------        --------- 
                                         (dollars in thousands) 
Revenues                             $     10,271       $   12,451 
Gross margin                                 38.8%            51.3% 
Operating loss                       $    (11,184)      $   (7,436) 
Net loss                             $    (11,126)      $   (7,338) 
Loss per Class A and Class B 
 ordinary share--Basic and diluted   $     (0.004)      $   (0.003) 
 

Outlook

The Company expects business performance to improve significantly in the second half of 2026, driven primarily by scheduled deliveries under existing customer orders. The Company expects full-year 2026 revenue to be in the range of $32.9 million to $38.2 million, representing year-over-year growth of approximately 31% to 52%. This outlook reflects management's current expectations regarding customer orders, production and delivery schedules, market conditions and other factors as of the date of this press release, and is subject to change.

Operating Highlights and Recent Announcements

   -- Deliveries: Total EV charger deliveries were 262 units in the first half 
      of 2026, representing a decrease of 44.5% year over year. This included 
      253 DC fast chargers, representing a decrease of 44.3%, and 9 NZS and 
      GridLink chargers, representing a decrease of 50%. 
 
   -- Entered the Energy Storage Market with the Launch of GridOne. In June, 
      XCharge launched GridOne, an all-in-one photovoltaic and energy storage 
      system for commercial and industrial applications, at ees Europe, a 
      leading European exhibition for batteries and energy storage systems. 
      GridOne combines 125 kW of power conversion capacity, a 215 kWh lithium 
      iron phosphate battery and optional 50 kW photovoltaic maximum power 
      point tracking in an integrated system designed for applications 
      including peak shaving, solar self-consumption, EV charging load 
      buffering and backup power. 
 
   -- Unveiled the New Generation of the C7 DC Fast-Charging Station. In June, 
      XCharge presented the new generation of its C7 DC fast-charging station 
      at Power2Drive Europe. Offering charging power of up to 480 kW, the 
      upgraded C7 is designed to provide greater reliability, scalability and 
      serviceability across public charging, commercial fleet, retail and other 
      high-traffic applications. 
 
   -- Appointed Albina Iljasov as Co-Chief Executive Officer. Effective as of 
      June 1, 2026, XCharge appointed Albina Iljasov as Co-Chief Executive 
      Officer to serve alongside Simon Hou. Ms. Iljasov primarily oversees the 
      Company's European operations and related strategic initiatives and has 
      primary responsibility for its information security and cybersecurity 
      initiatives. 
 
   -- Entered into a Long-Term Partnership with EnBW. In March, XCharge entered 
      into a multi-year framework agreement with EnBW, Germany's largest 
      fast-charging network operator, covering the supply and joint development 
      of fast-charging hardware and software. The partnership followed a field 
      test involving ten XCharge C7 ultra-fast chargers across four EnBW 
      locations, which completed more than 20,000 charging sessions. 
 
   -- Entered into a Registered Direct Offering. In June, XCharge entered into 
      a securities purchase agreement with a global institutional investor for 
      the sale of 7.0 million ADSs in a registered direct offering, generating 
      gross proceeds of approximately $4.4 million before deducting placement 
      agent fees and estimated offering expenses. The Company intends to use 
      the net proceeds for working capital and general corporate purposes. 
 
   -- Implemented an ADS Ratio Change. Effective as of August 21, 2026, XCharge 
      changed the ratio of its ADSs to its Class A ordinary shares from one ADS 
      representing 40 Class A ordinary shares to one ADS representing 800 Class 
      A ordinary shares. The ADS ratio change had the same effect as a 
      one-for-20 reverse ADS split for ADS holders. The Company's Class A 
      ordinary shares were not affected, and its ADSs continue to trade on the 
      Nasdaq Global Market under the symbol "XCH." 
 
   -- Change in Management Position. Effective as of September 7, 2026, Aatish 
      V Patel transitioned from President of the Company to General Manager of 
      XCharge Energy USA Inc., the Company's wholly-owned U.S. subsidiary, to 
      support the continued expansion of its U.S. operations. 
 
   -- Regained Compliance with Nasdaq Minimum Bid Price Requirement. On 
      September 8, 2026, the Company received confirmation from Nasdaq that it 
      had regained compliance with the Minimum Bid Price Requirement and that 
      the matter is now closed. 

Financial Summary for the First Half of 2026

Unless otherwise noted, the following figures refer to the first half of 2026 and comparisons are with the first half of 2025.

   -- Revenues were $10.3 million, representing a decrease of 17.5% from $12.5 
      million. Product revenues were $9.5 million, compared with $12.1 million, 
      while service revenues increased to $0.8 million from $0.4 million. The 
      decrease in revenue was primarily attributable to the timing of customer 
      procurement decisions and project deliveries, including temporary delays 
      beginning in late 2025 amid trade policy uncertainty and evolving 
      renewable energy regulations. Despite the lower level of recognized 
      revenue in the first half, order volume increased compared with the 
      prior-year period, supporting the Company's expectation for significantly 
      higher revenue in the second half of 2026. 
 
   -- Cost of revenues was $6.3 million, up 3.6% from $6.1 million, primarily 
      reflecting higher input costs for certain components and raw materials 
      and foreign currency exchange effects. 
 
   -- Gross margin was 38.8%, compared with 51.3%. The decrease was primarily 
      due to the increased proportion of lower-margin products in the sales 
      mix. In addition, the rise in prices of precious metals such as silver 
      and copper also increased the purchase cost of spare parts and led to an 
      increase in cost of sales and a decrease in gross profit. The Company 
      continues to pursue pricing, sourcing and operating initiatives intended 
      to mitigate these cost pressures. 
 
   -- Operating expenses were $15.2 million, up 9.2% from $13.9 million. 
 
          -- Selling and marketing expenses were $5.8 million, representing an 
             increase of 12.7% from $5.2 million. The increase was primarily 
             due to higher marketing expenses associated with the introduction 
             of the Company's new GridOne product, which was unveiled earlier 
             this year. 
 
          -- Research and development expenses were $2.3 million, representing 
             a decrease of 42.7% from $4.1 million. The decrease primarily 
             reflected the non-recurrence of certain development expenditures 
             incurred in the first half of 2025, including third-party 
             system-development costs associated with new product initiatives. 
             The Company continued to invest in the development and enhancement 
             of its charging and energy solutions during the first half of 
             2026. 
 
          -- General and administrative expenses were $7.0 million, 
             representing an increase of 51.3% from $4.6 million. The increase 
             primarily reflected higher professional service expenses, 
             including legal, audit and compliance costs, as well as other 
             costs associated with operating as a U.S.-listed public company, 
             and the shift from foreign currency exchange gain to loss. The 
             increase was partially offset by lower share-based compensation.