HIHO

Gross margin expanded approximately 800 basis points year-over-year to 42% Net income attributable to Highway Holdings shareholders increased 79% year-over-year to $109,000; diluted EPS doubled year-over-year to $0.02 Quarter-end liquidity remained solid with $3.9 million in cash, $4.0 million in working capital and a 2.4-to-1 current ratio HONG KONG, July 20, 2026 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO) today reported financial results for the first quarter of fiscal year 2027 ended June 30, 2026. On a year over year basis, first fiscal quarter 2027 revenue rose 29% and gross profit increased 58%, while the Company produced a $197,000 operating-profit improvement despite substantially lower non-operating income. Net sales for the first quarter of fiscal year 2027 increased 29.2% to $2 million compared to $1.5 million in the first quarter of fiscal year 2026. Gross profit increased 58.4% year-over-year to $835,000 from $527,000, while gross margin expanded to approximately 42% from approximately 34% in the year ago period, an improvement of roughly 800 basis points. The Company generated operating income of $59,000 in the first quarter of fiscal year 2027, a $197,000 improvement from an operating loss of $138,000 in the prior-year quarter. Net income for the first quarter of fiscal year 2027 increased 78.7% compared to the year ago period to $109,000, or net income of $0.02 per diluted share, compared with net income of $61,000, or net income of $0.01 per diluted share in the first quarter of fiscal year 2026. The increase was achieved despite total non-operating income declining to $26,000 from $134,000, which included an $82,000 gain on the disposal of an underutilized property in the prior-year period. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, commented, "The first quarter marked clear progress in our turnaround. Revenue increased 29% year over year, gross profit rose 58.4% and gross margin expanded by approximately eight percentage points. We also moved from a $138,000 operating loss a year ago to $59,000 of operating income, demonstrating the earnings leverage in our core business as revenue mix and execution improve." "The sudden loss of a major customer's Myanmar business after 25 years due to political reasons was a significant disruption, but it reinforced the need to diversify. Given the need to move decisively, we are prioritizing partnerships with established businesses that have proven products and can help us transition toward a more product-focused model while reducing our reliance on traditional OEM manufacturing. We are in discussions with several potential partners regarding established products that could benefit from our manufacturing, engineering and global operating capabilities. We will remain disciplined and move forward only where the product, partner economics, capital requirements and potential shareholder return are compelling." "On the positive side, our continuing OEM operations have stabilized, and Regent-Feinbau contributed in its first full quarter. Importantly, our solid financial position gives us the flexibility to execute this transition. While the path forward involves challenges, we are confident in our ability to adapt, capitalize on new opportunities, and emerge stronger. Our objective is to build a more resilient company with broader customer exposure, a greater mix of product-led revenue and a sustainable path to profitability." Selling, general and administrative expenses for the first quarter of fiscal year 2027 increased 16.7% to $776,000 in the first quarter 2027 from $665,000 in the year ago period primarily due to the recent acquisition of Regent-Feinbau, which added approximately $164,000 in SG&A expenses in the first quarter of fiscal year 2027. Importantly, revenue still grew faster than overhead, reducing SG&A expenses to 38.8% of sales from 43.0% a year earlier. As a result, the Company generated operating income of $59,000, a $197,000 improvement from an operating loss of $138,000 in the prior-year quarter. The Company recognized a $2,000 currency exchange gain in the first quarter of fiscal year 2027, compared to $4,000 in the first quarter of fiscal year 2026. Interest income was $21,000 in the first quarter of fiscal year 2027. The year ago period included an $82,000 gain on the disposal of a small underutilized real property. The Company does not engage in foreign currency hedging activities. The Company ended the first quarter of fiscal year 2027 in a solid financial position with $3.9 million of cash and cash equivalents. At June 30, 2026 the Company had a working capital balance of $4.0 million, with a current ratio of 2.4:1, and total shareholders' equity of $5.5 million, compared to $5.4 million as of March 31, 2026. About Highway Holdings Highway Holdings is an international manufacturer of a wide variety of high-quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative office is located in Hong Kong and its manufacturing facilities are located in Germany, Yangon, Myanmar and Shenzhen, China. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to the prospects of its newly acquired Regent-Feinbau business, the resumption of operations of its Myanmar operations, economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow)# # # View original content:https://www.prnewswire.com/news-releases/highway-holdings-opens-fiscal-2027-with-29-yoy-revenue-growth-58-yoy-gross-profit-growth-and-return-to-operating-profitability-302829246.html

HONG KONG, July 15, 2026 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO, the "Company" or "Highway Holdings") today reported results for the fiscal fourth quarter and fiscal year ended March 31, 2026. The Company notes its financial results reflect the negative impact on the Company's business of two of its major customers significantly reducing orders that had been manufactured at its Myanmar facility due to Myanmar's political instability, along with the effects of tariffs on some of our customers. In response, the Company is focused on diversifying its OEM business by adding more customers with the long-term intention of reducing its reliance on the OEM business, and views its Regent-Feinbau acquisition as the first step in that direction. For the fiscal 2026 fourth quarter, net sales were $0.93 million compared to $1.5 million in the year ago period, reflecting the negative impacts cited above, which led to a sudden reduction in sales and inventory imbalance at the Company's customers and a material decline in new orders. Gross profit was $246,000 compared to $305,000 in the year ago period. Net loss for the fiscal 2026 fourth quarter was $1.1 million, or $0.24 per basic share, compared to a net loss of $315,000, or $0.07 per basic share in the year ago period. Net sales for the fiscal year 2026 were $4.8 million compared to $7.4 million for the fiscal year 2025, reflecting the above noted negative impact. Gross profit for the fiscal year 2026 was $1.4 million with a gross margin of 28%, compared to $2.5 million and 33% for the fiscal year 2025. Net loss for the fiscal year 2026 was $1.5 million, or $0.33 per basic share, compared with net income of $106,000, or $0.02 per diluted share, in the fiscal year 2025. For the year ended March 31, 2026, the Company determined that certain long-lived and right-of-use ("ROU") assets were impaired due to adverse business conditions, operating losses, political unrest in Myanmar, trade tensions and evolving global regulations. Accordingly, the Company recorded a substantially non-cash impairment charge of $125,000, consisting of $19,000 for long-lived assets and $106,000 for ROU assets, which compares to no impairment charge in the year ended March 31, 2025. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, said, "Fiscal 2026 was the most difficult year in Highway Holdings' history, and it will be a turnaround year. Despite the numerous unlucky events hitting the Company over the last four years, we take this as a learning lesson. The year exposed clear weaknesses in our customer concentration, geographic exposure, factory utilization and cost structure. Significantly, two important customers substantially ceased orders at our Myanmar facility after deciding to no longer use such facility because of Myanmar's political situation – one customer without prior warning – which led not only to the sharp sales reduction but also to the primarily non-cash impairment charge in the fourth quarter and full year 2026. This charge came in addition to the fiscal year 2024 impairment charges totaling $862,000, which included $335,000 for long-lived assets and $527,000 for ROU assets, bringing the aggregate to nearly US$1 million attributable to the same underlying factors. We responded by protecting liquidity, reducing our operating base where necessary and taking decisive steps to reposition the company. Our focus now is to turn those actions into measurable operating progress." "The acquisition of Regent-Feinbau on March 1, 2026 gives Highway Holdings a stronger and more diversified manufacturing platform, with European customer relationships, deeper technical capabilities and exposure to demanding automotive, commercial vehicle, aerospace and industrial markets. We view the acquisition of Regent-Feinbau as a strategic reset and a significant catalyst for the Company's ultimate rebound. We are continuing our merger and acquisition activities and are actively searching for companies with product production as a long term add on solution to reduce our dependency on the OEM business, which exposed us to the immediate helplessness we experienced in regard to the actions of our OEM customers. This was a lasting lesson learned." The company reported a $22,000 currency exchange gain for the fiscal year 2026 compared with a $124,000 currency exchange gain in the fiscal year 2025. The currency exchange gain in the current year was mainly due to the weakened Kyat. The Company does not engage in currency exchange rate hedging, and the fluctuations in the exchange rate of the RMB and Kyat are expected to affect the Company's future results. The Company's cash balance at March 31, 2026 was approximately $4.4 million, or approximately $0.97 per basic share. Total current assets at March 31, 2026, were $7.1 million, with working capital of $3.9 million and a current ratio of 2.2:1 About Highway Holdings Highway Holdings is an international manufacturer of a wide variety of high-quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative office is located in Hong Kong and its manufacturing facilities are located in Germany, Yangon, Myanmar and Shenzhen, China. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, the political situation in Myanmar, relations between the U.S. and China, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow) View original content:https://www.prnewswire.com/news-releases/highway-holdings-reports-fiscal-fourth-quarter-and-full-year-2026-results-302826128.html

HONG KONG, March 2, 2026 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO) (the "Company" or "Highway Holdings") today reported financial results for its third quarter and nine months fiscal 2026 ended December 31, 2025. The Company's results reflect the continued impact of the previously disclosed loss of a significant electric motor customer, as well as ongoing actions to diversify its revenue base and execute its strategic acquisition program during the transition period. The Company intends for its strategic initiatives, cost actions, and acquisitions to potentially support a return to profitability in the next fiscal year. Net revenue for the first nine months of fiscal year 2026 decreased 34.6% to $3.8 million, compared with $5.9 million in the year ago period. Net loss for the first nine months of 2026 was $427,000, or $0.09 per basic share, compared with a net income of $421,000, or $0.10 per diluted share for the year ago period. Net revenue for the third quarter of fiscal year 2026 decreased 40.5% to $1.1 million compared with $1.9 million in the year ago period. Net loss for the third quarter of fiscal year 2026 was $115,000, or $0.02 per basic share, compared with net income of $92,000 or $0.02 per diluted share in the year ago period. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, said, "Unfortunately our entire fiscal year 2025 was affected by the political decisions of our biggest customers to stop all their business from Myanmar. Our beautiful and highly profitable factory in Yangon, and our dedicated employees who have served our customers for many years were severely affected by it. The operations came to a near full stop, with the exception of some business from smaller customers and wind-down orders. Consequently, we had to lay off most employees. Today, we only operate with the essential core. They are the best, most skilled and knowledgeable employees, including the management. We believe that with this core group we can restart operations in a very short time. After reviewing business options and market opportunities to best leverage our Myanmar factory, we found an electric car manufacturer in China, which gave us a permit to assemble car kits in order to sell them in Myanmar. Our Myanmar management is busy negotiating with the Myanmar government to allow this change of business, as well as to secure an import license for the electric car kits and vehicle road permit. If the company obtains the Myanmar import license, our goal would be to import low-cost Chinese electric car kits, assemble the kits in Yangon, and then sell the completed vehicle for use in Myanmar. While we are excited about the growth potential of this new business, there is no guarantee we will be successful in our negotiations to obtain all required rights, or that we will be able to successfully manufacture and sell the electric vehicles; such major changes take time, patience and working capital to execute. Our Chinese factory remains a bright spot and is running smoothly but is not at high enough volume level to support the entire company's expense level." "In terms of our fiscal year 2026 third quarter, results reflect the impact of the previously announced loss of a significant portion of our motor business, which has materially reduced revenue and resulted in a negative growth cycle. Initially, we hoped to offset the loss with new business at our Chinese factory but the transition has taken longer than originally anticipated. For example, we previously mentioned a new motor business for a customer, which is still in an extensive customer testing phase. We also restarted our game console manufacturing business, which previously ran production out of our Myanmar factory. We shipped most of the material and necessary assembly tools back to our factory in China. This transition took time and delayed the anticipated start of the business. We finally started the production in early of February and expect first shipments will soon leave the factory." "We are also currently closing the previously announced potential acquisition of a German company, Regent-Feinbau Adermann GmbH, which serves several prominent German automotive brands. Furthermore, we scheduled a major reorganization with the goal of significantly reducing our operating expenses to better align with the current market realities and reduced revenue level. At the same time, we continue to pursue a variety of options to stabilize our share value with focus on creation of benefits for all shareholders." "With a strong cash position, minimal debt, and a focused strategy centered on diversification, operational efficiency, and targeted acquisitions, we believe Highway Holdings is well positioned to stabilize performance, which would allow us to return to profitability and to enter a new phase of sustainable growth longer term. We remain cautiously optimistic that our ongoing business development initiatives and strategic investments will allow us to overcome the current challenges and build a stronger, more diversified global manufacturing platform." Gross margin for the third quarter of fiscal year 2026 was 25.5 percent, compared to 34.7 percent in the year ago period. Gross margin for the first nine months of fiscal year 2026 decreased to 28.9 percent, compared to 36.5 percent in the year ago period. The lower gross margin in both periods mainly reflects the continued impact of the previously disclosed loss of a significant motor business customer, as well as ongoing actions to realign its cost structure and to diversify its revenue base. The Company reported a $14,000 currency exchange gain for the first nine months of fiscal year 2026, compared with a $144,000 currency exchange gain in the year ago period. The Company does not engage in currency exchange rate hedging, and the fluctuation in the exchange rate of the RMB and Kyat are expected to affect the Company's future results. The Company's balance of cash at December 31, 2025 was approximately $5.1 million, or approximately $1.10 per diluted share. Results for the third quarter and first nine months of fiscal year 2026 reflect the positive impact of a reversal of a tax provision of $327,000 and $488,000, respectively. The Company's current ratio was 4.26:1 at December 31, 2025. Outlook Highway Holdings expects near-term financial performance to continue reflecting the transition resulting from the loss of its motor business customer. However, management believes the Company is well positioned to return to growth and profitability through a combination of: Cost reduction and operational efficiency initiatives New customer programs and expanded business opportunities Strategic acquisitions, including Regent-Feinbau Diversification across customers, markets, and geographic regions The Company remains confident that its strong liquidity, disciplined cost management, and strategic acquisition program will position Highway Holdings to rebuild its revenue base and deliver improved financial performance beginning in fiscal year 2027. About Highway Holdings Highway Holdings is an international manufacturer of a wide variety of quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative offices are located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar and Shenzhen, China. For more information visit website www.highwayholdings.com. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements, which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, the impact of the worldwide COVID-19 pandemic, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow) View original content:https://www.prnewswire.com/news-releases/highway-holdings-reports-fiscal-year-2026-third-quarter-and-nine-month-results-302700481.html

HONG KONG, Dec. 15, 2025 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO, the "Company" or "Highway Holdings") today reported results for the second quarter of fiscal year 2026 and the six months ended September 30, 2025. Net sales for the second quarter of fiscal year 2026 were $1.18 million compared to $2.11 million in the second quarter of fiscal year 2025. Net loss for the second quarter of fiscal year 2026 was $373,000, or net loss of $0.08 per diluted share, compared with net income of $231,000, or net income of $0.05 per diluted share in the second quarter of fiscal year 2025. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, noted, "The adverse pressure on our long-term OEM business continues, including a reorganization of one of our customer's production plants which shifted a substantial part of our motor OEM business to that customer's own motor manufacturing company in Czechia. We still maintain a smaller portion of this OEM customer's motor business but the revenue contribution from this customer has been substantially reduced." "While this action will result in a substantial reduction of our previous motor OEM business, we are fortunate that at the same time, another OEM customer finally approved the mass production of its motor product. We are in the early ramp-up phase, which will cause a time period with lower motor sales, but this new motor business is expected to eventually compensate for the loss of the other customer's motor business. Since all of the remaining motor manufacturing shall be performed in China, this will result in a workforce reduction in our Myanmar plant." "On the positive side, we recently also received a substantial order from our old gaming industry business customer. We are happy that this prior business was not lost and is coming back strongly. But we still expect a gap in time between the loss of the old business and the new, replacement business." "As an OEM supplier, our success remains fully dependent on the success of our customers, with failures having an outsized impact on our business. We continue to evaluate options to ease the dependent, captured situation we are faced with. We have looked at numerous German companies for the purpose of M&A only to discover during the due diligence process that their businesses were having the same or even worse problems, which would only serve to further burden our business. As a result, it has taken a much longer time to find a viable acquisition. We are, however, optimistic at this juncture that we have found a suitable target, which we are in the final stage of negotiation with. We believe there are many synergies with this company that will benefit both parties. At the same time, we continue to look actively for other types of business. For example, we started to look inside the China market. This is a longer-term effort, given we have previously focused only on manufacturing for export. We are presently in a testing phase determining how best to enter the Chinese market given our core manufacturing business. We are also evaluating a potential entirely new revenue stream – providing services for the Chinese market's large and fast growing elderly population. As this would represent an entirely new business line, we are proceeding cautiously to test viability, while minimizing development costs. These new activities align with our long-term focus on reinvigorating revenue and profit growth, and building a more stable model that is not in a captive position. While these new activities will take time and burden in a limited way our existing business, we are confident we are moving in the right direction with the intention of moving the company into a stronger position over the coming year." Gross profit for the second quarter of fiscal year 2026 was $301,000 compared with $834,000 in the year ago period mainly due to the 44% decrease in sales over the same period. Gross profit as a percentage of sales for the second quarter of fiscal year 2026 was 25.5 percent, compared to 39.4 percent in the year ago period, primarily due to decreased sales. Gross profit for the first half of fiscal year 2026 was $828,000 compared with $1,495,000 in the year ago period. Gross profit as a percentage of sales for the first half of fiscal year 2026 was 30.4 percent compared with 37.4 percent in the year ago period. Selling, general and administrative expenses for the second quarter of fiscal year 2026 slightly increased to $843,000 from $724,000. Net income for the second quarter of fiscal year 2026 reflects a currency exchange gain of $11,000 compared to a $58,000 gain in the year ago. The Company reported a currency exchange gain of $15,000 for the first half of fiscal year 2026, compared with a $96,000 gain in the year ago period. Interest income was approximately $54,000 for the second quarter of fiscal year 2026 compared to approximately $97,000 for the first half of fiscal year 2026. The Company continues to benefit from the relatively high interest rates on fixed deposits despite the slight decrease in interest rates in the recent months. Upon review of its China tax position, the Company reversed a portion of its prior year's income tax provision for a Chinese subsidiary. The Company's balance sheet remains strong, with total assets of $8.37 million and cash and cash equivalents in excess of $5.6 million, or approximately $1.21 per diluted share. The cash and cash equivalent amount exceeded all of its short- and long-term liabilities by approximately $3.2 million. Total shareholders' equity at September 30, 2025, was $6.0 million, or $1.30 per diluted share. About Highway Holdings Limited Highway Holdings is an international manufacturer of a wide variety of quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative offices are located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar, and Shenzhen, China. For more information visit website www.highwayholdings.com. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow) View original content:https://www.prnewswire.com/news-releases/highway-holdings-reports-second-quarter-fiscal-year-2026-results-302641709.html

HONG KONG, Sept. 11, 2025 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO) today reported financial results for the first quarter of fiscal year 2026 ended June 30, 2025. Net sales for the first quarter of fiscal year 2026 were $1.55 million compared to $1.88 million in the first quarter of fiscal year 2025. Net income for the first quarter of fiscal year 2026 was $61,000, or net income of $0.01 per diluted share, compared with net income of $98,000, or net income of $0.02 per diluted share in the first quarter of fiscal year 2025. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, commented, "As an OEM supplier, our fortunes are closely tied to the performance of our customers. Following the COVID pandemic, which saw over-ordering, high inventories followed by strong reductions in demand, many of our customers until today have not yet recovered. Since we are heavily dependent on them, our business was also negatively impacted. Furthermore, recent uncertainties from increased tariffs imposed by the U.S. globally, the threat of additional new tariffs, and the conflicts in Ukraine and the Middle East have created market instability and have further added significant challenges. "Despite these headwinds, we have maintained a solid financial position, which provides us the strength and flexibility to navigate this difficult environment as we seek a path back to sustainable growth. Despite reduced demand from existing customers, we are encouraged to see unexpected interest in new business from former customers. For example, we recently received a small order for our proprietary CO₂ cleaning machines, which had no sales activity for several years. The new interest in our cleaning machines follows governmental efforts by the Chinese government to replace toxic cleaning solvents with alternative non-environmental damaging cleaning solutions. This is a promising development that could be the beginning of a new product line and additional business. Furthermore, we also received renewed interest from a previous gaming console customer who, after a two-year pause, would like to ramp-up product production." "We are working relentlessly to diversify beyond the constraints of our OEM model, pursuing strategic actions that we believe will ultimately free us from the stranglehold of past business cycles. While the path forward involves challenges, we are confident in our ability to adapt, capitalize on new opportunities, and emerge stronger. Our focus remains on building a company that, in the long-term, is more resilient, more innovative, and better positioned to deliver long-term value." Gross profit and profit margins for the first quarter of fiscal year 2026 decreased to $527,000, or 34%, compared with $661,000 and 35%, respectively, in the first quarter of fiscal year 2025, primarily due to decreased sales. Selling, general and administrative expenses for the first quarter of fiscal year 2026 slightly increased by 1% to $665,000 in the first quarter 2026 from $658,000 in the year ago period due to inflationary increases. The Company recognized a $4,000 currency exchange gain in the first quarter of fiscal year 2026, compared to $38,000 in the first quarter of fiscal year 2025. The Company also earned $43,000 in interest and had an $82,000 gain on the disposal of a small underutilized real property in the first quarter of 2026, as the Company continues to benefit from a relatively high interest rate. The Company does not engage in foreign currency hedging activities. The Company ended the first quarter of fiscal year 2026 in a solid financial position with $5.82 million of cash and cash equivalents, which exceeded its combined short- and long-term liabilities by $3.06 million. At June 30, 2025, the Company had a working capital balance of $5.7 million, with a current ratio of 3.2:1, and total shareholders' equity of $6.4 million, compared to $6.3 million as of March 31, 2025. About Highway Holdings Highway Holdings is an international manufacturer of a wide variety of high-quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative office is located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar and Shenzhen, China. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to the prospects of its proprietary CO₂ cleaning machines and new orders for gaming consoles, economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, the remaining impact of the worldwide COVID-19 pandemic, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow) # # # View original content:https://www.prnewswire.com/news-releases/highway-holdings-reports-first-quarter-fiscal-2026-results-302554246.html

Financial Highlights - Fiscal Full Year 2025 Compared to Fiscal Full Year 2024: Revenue Increases 17.5% YoY Gross Profit Increases 47% YoY Returns to Full Year Profitability HONG KONG, July 1, 2025 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO) today reported results for the fiscal fourth quarter and fiscal year ended March 31, 2025. The Company notes that while its financial results continue to reflect the lasting impact of COVID-19 and its aftermath, it was able to achieve improvements in revenue and profitability for the fiscal full year 2025 compared to the fiscal full year 2024. For the fiscal 2025 fourth quarter, net sales were $1.5 million compared to $1.4 million in the year ago period, reflecting the ongoing negative impact of the COVID-19 pandemic and subsequent boom and bust period, which led to a sudden reduction in sales and inventory imbalance at the Company's customers and a material decline in new orders. Gross profit was $305,000 compared to $26,000 in the year ago period. Net loss for the fiscal 2025 fourth quarter was $315,000, or $0.07 per diluted share, compared to a net loss of $1.2 million, or $0.26 per diluted share in the year ago period. Net sales for the fiscal year 2025 were $7.4 million compared to $6.3 million for the fiscal year 2024, reflecting the above noted negative impact of the COVID-19 pandemic. Gross profit for the fiscal year 2025 was $2.5 million with a gross margin of 33%, compared to $1.7 million and 27% percent for the fiscal year 2024. Net income for the fiscal year 2025 was $106,000, or $0.02 per diluted share, compared with a net loss of $959,000, or $0.22 per diluted share, in the fiscal year 2024. Roland Kohl, chairman, president and chief executive officer of Highway Holdings, said, "The lasting impacts of COVID-19 and its aftermath, along with ongoing geopolitical challenges, including the ongoing Ukraine-Russia war and the U.S.-China trade war with business damaging tariffs, have kept our traditional OEM business under pressure as most of our customers' businesses remain significantly weaker than pre-pandemic levels. Recovery has been affected by the multiple headwinds with business softer as many customers are still searching for a path to sustainable recovery. We have remained focused during this challenging period and were able to achieve some progress with growth in revenue and profitability for the fiscal full year 2025 compared to the fiscal full year 2024." "Recognizing this business reality, we have been actively pursuing new growth avenues both organically and through strategic acquisitions. For example, we slowed down the M&A process with Synova since it was also impacted by the negative headwinds but we pivoted to due diligence on other opportunities. We believe that in this difficult time it is actually the best opportunity to find new OEM business. This all takes time, however, being conservative in all our approaches resulted in our still strong financial position with total equity of $6.3 million as of March 31, 2025, representing approximately $1.42 per diluted share, giving us the financial strength to best position the company for growth. With a strengthened Board and getting younger managers involved in the company's decision making, we believe 2025 will mark the beginning of a new lease on life for the company." The company reported a $124,000 currency exchange gain for the fiscal year 2025 compared with a $198,000 currency exchange gain in the fiscal year 2024. The currency exchange gain in the current year was mainly due to the weakened Kyat. The Company does not engage in currency exchange rate hedging, and the fluctuations in the exchange rate of the RMB and Kyat are expected to affect the Company's future results. The Company's cash balance at March 31, 2025 was approximately $6 million, or approximately $1.36 per diluted share. Total current assets at March 31, 2025, were $8.6 million, with working capital of $5.5 million and a current ratio of 2.8:1 About Highway Holdings Highway Holdings is an international manufacturer of a wide variety of high-quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative office is located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar and Shenzhen, China. Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, the impact of the worldwide COVID-19 pandemic, the political situation in Myanmar, relations between the U.S. and China, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F. (Financial Tables Follow) # # # # View original content:https://www.prnewswire.com/news-releases/highway-holdings-reports-fiscal-fourth-quarter-and-full-year-2025-results-302495574.html SOURCE Highway Holdings Limited