DTSS

Gross Profit Increased 284.4% Year-over-Year and Gross Margin Increases 730 Basis Points to 8.8% BEIJING, Feb. 12, 2026 /PRNewswire/ -- Datasea Inc. (Nasdaq: DTSS) ("Datasea" or the "Company"), a Nevada-based technology enterprise engaged in acoustic technologies and 5G+AI multimodal digitalization, today announced its unaudited financial results for the second fiscal quarter and the six months ended December 31, 2025. Additional details will be available in the Company's Quarterly Report on Form 10-Q as filed with the SEC. Six Month Fiscal 2026 Highlights for the Period Ended December 31, 2025 Revenue: Approximately $26.81 million compared with $41.54 million for the same period last year, representing a decrease of $14.73 million, or 35.46%. This was primarily due to the Company's successful execution of its strategic plan to reduce its low-margin standardized services and optimize its revenue mix toward high-value, technology-driven business lines. Gross Profit: $2.36 million, compared with $0.61 million in the same period last year, representing an increase of $1.75 million, or 284.4% year-over-year. This was driven by improved cost efficiencies and the Company's leadership in delivering innovative value-added 5G+AI multimodal solutions. Gross Margin: 8.8%, compared with 1.5% in the same period last year, primarily as a result of an optimized revenue mix from high margin value-added 5G+AI multimodal solution. Management Commentary Ms. Zhixin Liu, Chief Executive Officer of Datasea, commented, "The first half of fiscal 2026 reflects our continued execution of a strategic shift away from top-line growth toward higher-quality revenue and improved profitability. While revenue declined year-over-year as a result of our deliberate reduction of low-margin standardized services, both gross profit and gross margin expanded meaningfully, underscoring the effectiveness of our technology-driven, higher-value business mix." "We continued to advance our 5G+AI multimodal digitalization business with a strategic focus on higher-margin, customized solutions and a more selective customer mix. Through ongoing optimization of our product and service structure, we believe this business segment will remain a key contributor to revenue stability and profitability going forward." "At the same time, we are advancing our acoustic high-tech initiatives designed to extend our technology leadership and future growth. Our R&D is increasingly centered on non-invasive acoustic medicine, brain–computer interface technologies, intelligent acoustic systems and health robotics. In parallel, we are exploring the technical capabilities and application potential of acoustic technologies in industrial and precision manufacturing environments. Collectively, these initiatives both augment and strengthen our core technology, and broaden our addressable markets, positioning the Company's for future growth beyond its current core businesses." Operational Highlights 1. 5G+AI Multimodal Digital Business Was the Company's primary revenue contributor during the six-month period. Continued strategic emphasis on high-margin, customized AI multimodal solutions, including services for SMEs, digital marketing scenarios, and industry-specific applications. Ongoing optimization of customer mix and service structure supported improved overall profitability and recurring revenue quality. 2. Acoustic High-Tech Segment Continued advancement of R&D initiatives in acoustic medicine, brain–computer interface technologies, intelligent acoustic systems and health robotics, while expanding the exploration of engineering-level application scenarios and engineering validation pathways for acoustic technologies in industrial and precision manufacturing environments; The acoustic business direction continues to evolve from single-product exploration toward integrated and system-level development, laying the foundation for subsequent technical validation, application expansion and potential commercialization. Business Outlook Looking ahead, Datasea will continue to advance its strategic priorities: 5G+AI Multimodal Digitalization: further enhancement of the Company's proprietary AI multimodal platform, expansion of high-margin customized solutions, and exploration of scalable and replicable service models to support stable and recurring cash flows. Acoustic High-Tech Innovation: accelerated R&D efforts in acoustic medicine, brain–computer interface technologies, intelligent systems and health robotics, while continuing to explore the technical capabilities and application potential of acoustic technologies in industrial and precision manufacturing application scenarios, with the objective of gradually building long-term, platform-based acoustic technology capabilities. Through disciplined execution and sustained technological innovation, Datasea aims to further improve its profitability profile, strengthen operational efficiency, and establish a more resilient and sustainable foundation for long-term growth. About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G-AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact: Datasea Investor Relations Email: [email protected] [email protected] Precept Investor Relations LLC David Rudnick +1 646-694-8538 [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-reports-second-fiscal-quarter-2026-results-302686348.html

Gross Profit Increased 278% Year-over-Year with Significant Improvement in Gross Margin BEIJING, Jan. 21, 2026 /PRNewswire/ -- Datasea Inc. (NASDAQ: DTSS) ("Datasea" or the "Company"), a Nevada-based technology company specializing in acoustic high-tech solutions and 5G+AI multimodal digitalization, today pre-announced its unaudited financial results for the second quarter of fiscal year 2026, ended December 31, 2025. The financial highlights below are presented on a six-month basis for the period ended December 31, 2025. Fiscal Year 2026 Second Quarter Financial Highlights (Unaudited, Six Months Ended December 31, 2025) Revenue for the six months ended December 31, 2025 is expected to be approximately $26.68 million. Gross profit is expected to be approximately $2.32 million, representing an increase of approximately 278% year-over-year compared to the same period of fiscal year 2025. Gross margin is expected to be approximately 8.70%, a significant improvement from 1.48% in the prior-year period. Strategic and Operational Review The Company's performance during the first six months of fiscal year 2026 reflects the continued execution of its strategic transition toward profitability optimization and technology-driven value creation, moving away from a growth model primarily focused on revenue scale. During the period, the Company achieved a substantial improvement in gross profit and gross margin through the following initiatives: A deliberate reduction of standardized, low-margin 5G AI communication services; An increased contribution from high-margin 5G+AI customized solutions; Continued advancement and application of the Company's acoustic high-tech products and integrated solutions; and Ongoing enhancement of cost controls and operational efficiency. Management Commentary Ms. Zhixin Liu, Chief Executive Officer of Datasea, commented: "The six-month period ended December 31, 2025 represents an important milestone in the Company's strategic transformation. While we intentionally moderated the pace of revenue expansion, our gross profit increased by 278% year-over-year and gross margin expanded to 8.7%, underscoring the effectiveness of our shift toward high-value, technology-driven businesses. We believe that the significant improvement in profit quality helps support the Company's long-term sustainable development strategy. In line with this objective, we continue to deepen the application of high-margin 5G+AI multimodal digital solutions and increase the contribution of technology-oriented, solution-based offerings within our overall business mix. At the same time, building on our recent phased progress in core acoustic technologies, we are steadily advancing the application exploration of our acoustic high-tech innovations in health management and intelligent device scenarios. This includes product validation and solution deployment efforts focused on non-invasive acoustic modulation, acoustic neuromodulation, and related health robot solutions across healthcare, wellness, and professional application environments, laying the groundwork for future business expansion and value realization." About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G-AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact: Datasea Investor Relations Email: [email protected] [email protected] Precept Investor Relations LLC David Rudnick +1 646-694-8538 [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-pre-announces-fiscal-year-2026-second-quarter-results-302666607.html

Gross Margin Rose to 8.5% through High-Tech Products Mix and Cost Efficiencies BEIJING, Nov. 13, 2025 /PRNewswire/ -- Datasea Inc. (Nasdaq: DTSS) ("Datasea" or the "Company"), a Nevada-based high-tech enterprise engaged in acoustic technologies and AI multimodal digitalization, today announces its unaudited financial results for its first fiscal quarter ended September 30, 2025. Additional information will also be set forth in our Quarterly Report on Form 10-Q for the quarter ended September 30, 2025. First Quarter Fiscal 2026 Highlights Revenue: $13.81 million as compared to $21.08 million for the first quarter of 2025, a decrease of 34.5%, due to the Company's strategic optimization of its high technology business and a reduction of its low margin operations. Gross Profit: $1.17 million as compared to $0.02 million, an increase of 5.9x as compared to the first quarter of 2025, reflecting cost rationalization and operational efficiencies, and a strategic focus on bottom line profitability, driven by high-tech product expansion. Gross Margin: 8.46% as compared to 0.93% for the first quarter of 2025, an improvement of 753 basis points, attributable to a higher contribution from high-margin 5G+AI multimodal digital solutions and acoustic technology products. Management Commentary Ms. Zhixin Liu, Chief Executive Officer of Datasea, commented, "The first quarter of fiscal 2026 marks a strategic transition for Datasea as we pivot from scale expansion to profitability optimization. Our revenue decreased due to our plan to deliberately restructure our revenue mix toward technology-driven, high value-added businesses, and implement a reduction in standardized low margin 5G AI multimodal top up services. As a result, our gross margin rose sharply to 8.46%, reflecting the success of this structural transformation and the growing contribution from our high-margin AI multimodal and acoustic technology solutions. For example, during the quarter, Shuhai Beijing provided customized 5G+AI multimodal digital services for Yuxiang Zhiyang (Tianjin) Innovation Technology Co., Ltd. and several other clients, focusing on Douyin live-streaming and smart home marketing scenarios, generating total revenue of approximately RMB 6.53 million (around USD0.92 million). Such high-margin, technology-driven solutions have proven the effectiveness of our strategic shift and further enhanced overall profitability." "The phased decline in revenue is a purposeful and tactical choice that during our optimization process, signals a shift from pursuing scale to emphasizing value creation and sustainable profitability. Looking ahead, the Company will continue to strengthen cost controls and operational efficiency while focusing on technology-driven, high-quality growth. Datasea will advance its 'dual-engine strategy', leveraging both 5G+AI multimodal digitalization and acoustic high-tech innovations to enhance profitability and advance our market leadership." Operational Highlights 1. 5G+AI Multimodal Digital Business The core revenue driver, contributing $13.32 million during the quarter. Benefited from China's rapidly expanding 5G+AI multimodal industry, where Datasea continues to hold a leading position. Customer base continued to grow, supporting stable business performance and recurring revenue. New vertical solutions achieved revenue realization of RMB 6.53 million ($0.92 million), including: These high-margin solutions have significantly elevated the Company's overall profitability and confirmed the scalability of its multimodal digitalization business model. 2. Acoustic High-Tech Segment Continued R&D progress in 'Acoustics + AI + Neuro-Regulation', focusing on applications in non-invasive health management and acoustic intelligent wearables. Expanded retail and cooperative presence in Medical, healthcare, and industrial scenarios, with the product line shifting from single hardware devices to integrated acoustic solution systems. Business Outlook Looking ahead, Datasea will continue to: The 5G+AI multimodal digital segment: The Company will further upgrade its proprietary AI multimodal platform, expand high-margin customized solutions and SaaS-based subscription services, and drive deeper penetration across SME digitalization, new media marketing, and digital rural development to generate more stable and recurring cash flows. The acoustic high-tech segment: The Company will accelerate R&D in 'Acoustics + AI + Neuro-Regulation', promoting the integration of low-intensity focused ultrasound and brain-computer interface technologies to establish a 'Detection–Analysis–Intervention" closed-loop system. The Company will prioritize applications in healthcare, beauty, and intelligent wearable devices, creating new growth opportunities in non-pharmacological health management. With continuous innovation and the synergistic development of its two core businesses, Datasea aims to achieve sustainable profitability, enhance its gross margin profile, and solidify its position as a competitive global player in high-tech innovation. About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G-AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact: Datasea Investor Relations Email: [email protected] [email protected] Precept Investor Relations LLC David Rudnick +1 646-694-8538 [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-reports-first-quarter-gross-profit-of-1-2-million-a-4-9x-increase-year-over-year-in-its-strategy-to-achieve-high-tech-product-profitability-302614616.html

DTSS Achieves Fourth Quarter Net Income Breakeven Driven by Cutting-Edge Acoustics and AI Multimodal Digitalization; Ongoing Commercialization Updates in the Coming Weeks BEIJING, Sept. 26, 2025 /PRNewswire/ -- Datasea Inc. (NASDAQ: DTSS) ("Datasea" or the "Company"), a Nevada-based high-tech enterprise engaged in acoustic high-tech products and services and AI multimodal digitalization, today announced its financial results for the fiscal year ended June 30, 2025. The Company reported record revenue of $71.62 million, an increase of 198.7% from $23.97 million in fiscal year 2024. Gross profit reached $2.44 million, up 415.5% from $0.47 million year-over-year. In the fourth quarter of fiscal year 2025, the Company achieved net income breakeven as adjusted for non-cash depreciation and amortization. Management Commentary Ms. Zhixin Liu, Chief Executive Officer of Datasea, stated, "Our operating and financial results for fiscal year 2025 represents a milestone in Datasea's corporate growth. We nearly tripled our revenue due to the success of our dual-engine business segments of AI multimodal digitalization and acoustic high-tech. Further, in the fourth quarter, we achieved adjusted net income breakeven for the first time, signaling a transition from building scale to achieving profitability and sustainable growth." "On the business side, AI Multimodal Digitalization continues to expand through long-term customer contracts, while Acoustic + AI Solutions achieved significant progress, especially in delivering comprehensive solutions. These results reflect recognition from the marketplace as well as the resilience and viability of our innovation-driven business model. We believe that we have established a solid foundation for achieving long-term goals and maximizing shareholder value." Fiscal Year 2025 Financial Highlights Revenue: $71.62 million, an increase of 198.7% compared to $23.97 million for fiscal year 2024, through innovative technology and cost advantages in AI multimodal digitalization, a stable client base, and scaled growth that minimizes costs and increases margins. Gross Profit: $2.44 million, an increase of 415.5% compared to $0.47 million in fiscal year 2024, with gross margin improvement primarily attributable to the delivery of highly effective margin solutions in our core businesses. Net Income: Breakeven in the fourth quarter of fiscal 2025, as adjusted for non-cash amortization and depreciation. Net loss for the year was $5.09 million compared to $15.7 in fiscal year 2024, a year-over-year decrease of 67.6%. Intangible Assets: $3.50 million, an increase of 540.3% from $0.55 million in the prior year, mainly due to significant growth in the value of core intellectual property, such as patents, which reflect the success of the Company's "asset-light, high-value" strategic transformation. Business Highlights AI Multimodal Digitalization Segment As one of the Company's core businesses, AI multimodal services delivered strong growth in fiscal year 2025 with revenue increasing by 199.49% year-over-year to $70.68 million, contributing significantly to overall performance. Powered by its proprietary AI platform, the Company provided standardized platform offerings and customized solutions for clients across numerous industries. Newly developed high-margin customized solutions including SME services, digital rural platforms, and new media marketing systems, were commercialized at scale, contributing revenue of approximately RMB 8.9 million (US$ 1.24 million) and emerged as a new driver of growth. The number of core clients increased from eight to 15 large enterprises with several clients contributing over $10 million in annual revenue. Acoustic High-Tech Segment Positioned 'Acoustics + AI + Application Scenarios' with AI embedded acoustic technologies serving as a technical base for an array of products and services spanning multiple industry sectors. Continuous technological breakthroughs and scenario implementations advanced the Company's R&D in 'Acoustics + Neuro-Regulation,' with progress achieved in brain-computer interfaces, cardiac signal intervention, and foot acupoint stimulation. The Company recorded revenue of RMB 3.7 million (US$ 0.5 million) from comprehensive acoustic solutions, marking a strategic shift from single hardware sales to high-margin solution products and services. Beyond traditional enterprises and retail clients, the Company expanded its base and deployed its acoustic products into 463 beauty and health stores, evolving beyond its B2C focus and building a robust B2B sales network. Business Outlook Looking ahead to fiscal year 2026 and beyond, Datasea will continue to advance its dual growth engines of AI Multimodal Digitalization + Acoustic High-Tech to drive diversified high-tech growth: About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G-AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact: Datasea Investor Relations Email: [email protected] [email protected] Precept Investor Relations LLC David Rudnick +1 646-694-8538 [email protected] View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-reports-record-fiscal-year-2025-revenue-of-71-62-million-up-199-year-over-year-302568127.html

DTSS' AI-Powered Technology Serves as a Unifying Core Innovation for its5G Multimodal Digital Platform and Acoustic High-Tech Segment BEIJING, May 15, 2025 /PRNewswire/ -- Datasea Inc. (NASDAQ: DTSS) ("Datasea" or the "Company"), a Nevada-based technology company specializing in 5G+AI multimodal digital solutions and acoustic high-tech innovations, today announced its financial results for the third fiscal quarter ended March 31, 2025. The Company reported revenue of $10.4 million, up 653.6% compared to $1.38 million for the same period of fiscal 2024. For the first nine months of the year, the Company reported revenue of $51.9 million, up 164.8% compared to revenue of $19.6 million for the same period of fiscal year 2024. Ms. Zhixin Liu, CEO of Datasea, commented, "We are pleased to have delivered robust year-over-year revenue growth. The period's revenue was driven by the continued strong performance and market expansion of the Company's 5G+AI multimodal digital segment in China, supported by its growing adoption across a spectrum of industries resulting in long-term customer contracts. In addition, the Company's acoustic high-tech products gained traction through strategic retail placement and new product innovation. The strength of our 5G+AI multimodal data platform and the market adoption of our acoustic products reinforce our vision of redefining digital and physical experiences through innovation." Financial Highlights Revenue: Revenue for the third fiscal quarter of 2025 was $10.4 million, an increase of 653.6% compared to revenue of $1.4 million for the third fiscal quarter of 2024. This increase was primarily driven by the growth of the Company's 5G+AI multimodal digital business in China, primarily due to the continuous enhancement of its 5G multimodal digital products and services through the empowerment of AI technology. Gross Profit: Gross profit for the third fiscal quarter of 2025 was $0.3 million and a gross margin was 2.9%. This marks an improvement from the same period in the prior year when the Company recorded gross profit of $0.01 million and a gross margin of 0.7%. Net Loss: Net loss for the third fiscal quarter of 2025 was $1.8 million, which marks a significant improvement from the same period in the prior year when the Company recorded a net loss of $4.1 million. Financial Condition: The Company's cash balance increased by 378.2% to $0.9 million from fiscal year end 2024, and accounts receivable dropped by 93.2% to $0.05 million, improving capital turnover. The Company's inventory was $0.32 million, an increase of 166.7% from fiscal year end 2024, which reflects the increase in customer orders from the acoustic high-tech business. The net value of intangible assets rose 596.9% to $3.8 million, underscoring the Company's growing innovation capacity and long-term competitiveness. Business Segment Highlights - 5G+AI Multimodal Digital Segment Datasea continues to be a leader in China's 5G+AI digital service sector. Notable developments during the third quarter include: The generation of $38.3 million in revenue from Qingdao Ruizhi Yixing between July 1, 2024 and March 31, 2025. Active contracts that include additional customers Shixun Network, Xiaoming Technology, Xinfanfa, and Jiajie Technology. Expansion into high-demand industry sectors including finance, healthcare, logistics and beauty. Technology platforms that are now able to provide SaaS-based services to over 52 million enterprises and 124 million individual business owners in China. Business Segment Highlights - Acoustic High-Tech Segment Datasea's "Acoustic + AI" product ecosystem continued to gain momentum in the third quarter: The placement of acoustic products in 463 beauty and health stores in Northern China that demonstrate the growing market acceptance of Datasea's acoustic high-tech products and the success of its strategic plan to position these products in certain sectors including the beauty and body care industry. New consumer-facing products launched or in development include the "Tianer" Air Sterilizers and sleep-aid devices. Business Outlook Datasea reaffirms its full fiscal year 2025 revenue guidance of approximately $90 million, representing a 275% increase over fiscal year 2024. This growth is expected to be fueled by existing 5G+AI multimodal digital communications long-term contracts and a revenue ramp attributable to the extensive placement of its acoustic high-tech products. The Company also intends to drive profitability by continuing to scale its high-margin acoustic high-tech products and offering technical services through the Company's core AI platform. It also plans to accelerate international market entry of the acoustic high-tech segment into international market and expand its acoustic high-tech business through strategic partnerships and mergers & acquisitions. About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G+AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements  This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact:  Datasea Investor RelationsEmail:  [email protected]                       [email protected]               IMPORTANT NOTICE TO USERS  The information provided is a summary only, please refer to the Form 10-Q for the full text of this notice. All information is unaudited unless otherwise noted or accompanied by an audit opinion and is subject to the more comprehensive information contained in our SEC reports and filings. We do not endorse third-party information All information speaks as of the last fiscal quarter or year for which we have filed a Form 10-K or 10-Q, or for historical information the date or period expressly indicated in or with such information. We undertake no duty to update the information. Forward-looking statements are subject to risks and uncertainties described in our Forms 10-Q and 10-K.   View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-reports-third-fiscal-quarter-2025-revenue-of-10-4-million-up-653-6-year-over-year-302456243.html SOURCE Datasea Inc.

Expects to Achieve Projected Annual Revenue of $90 Million BEIJING, May 8, 2025 /PRNewswire/ -- Datasea Inc. (Nasdaq: DTSS) ("Datasea" or "the Company"), a Nevada-based digital technology company specializing in acoustics high-tech and 5G+AI multimodal digital innovations, today pre-announced its revenue for the third quarter of fiscal year 2025, ended March 31, 2025, which is expected to be approximately $51.9 million, representing an increase of approximately 164.6%, as compared to approximately $19.6 million for the same period in the previous year. The expected increase was primarily driven by sustained growth in the Company's 5G+AI multimodal digital business, continuing the trend of significant market penetration and adoption of Datasea's innovative technological solutions. Ms. Zhixin Liu, CEO of Datasea, commented, "We are pleased to report yet another quarter of substantial growth, achieving a significant year-over-year revenue increase of over 164%. This success continues to validate our strategic focus on our 5G+AI multimodal solutions, which remain highly sought after by companies across various industries. We remain focused on achieving our projected annual revenue of $90 million and are confident in our ability to meet this ambitious goal." "Our continued focus on technological innovation and market expansion has effectively driven substantial growth. We remain dedicated to enhancing our cost management and operational efficiencies while expanding the reach and capabilities of our core AI-driven technologies," Ms. Liu added. Datasea continues to strategically position itself to leverage opportunities in both the acoustics high-tech and 5G+AI multimodal digital sectors, with the objective of driving long-term shareholder value. About Datasea Inc. Datasea Inc. ("Datasea") is a leading provider of products, services, and solutions for enterprise and retail customers in two innovative industries, acoustic high tech and 5G-AI multimodal digitalization. The Company's advanced R&D technology serves as the core infrastructure and backbone for its products. Its 5G multimodal digital segment operates on a cloud platform based on AI. Datasea leverages cutting-edge technologies, precision manufacturing, and ultrasonic, infrasound and directional sound technology in its acoustics business to combat viruses and prevent human infections, and it is also developing applications in medical ultrasonic cosmetology. In July 2023, Datasea established a wholly-owned subsidiary, Datasea Acoustics LLC, in Delaware, in a strategic move to enter the U.S. markets and to mark its global expansion plan. For additional information, please visit www.dataseainc.com. Cautionary Note Regarding Forward-Looking Statements  This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook," "objective" and similar terms. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements (including the RMB/USD value of its anticipated benefit to Datasea as described herein) to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the SEC, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. Investor and Media Contact:  Datasea Investor RelationsEmail:  [email protected]            [email protected] Precept Investor Relations LLCDavid Rudnick+1 [email protected]     View original content to download multimedia:https://www.prnewswire.com/news-releases/datasea-pre-announces-estimated-third-quarter-revenue-of-approximately-51-9-million-up-approximately-164-6-year-over-year-302449845.html SOURCE Datasea Inc.