Elong Power Holding Limited reported a loss per share of $(42.36) for the first half of fiscal year 2026, marking a 102.57% decrease from earnings of $1.65 thousand per share in the prior year period. This decline occurred despite a significant surge in revenue to $2.899 million from $19.229 thousand in the same period last year.

The company’s headline net income of $20.49 million was driven entirely by a one-time non-operating gain on the disposal of its lithium battery manufacturing business. Excluding this gain, continuing operations recorded a net loss of $2.11 million, which widened from a $1.42 million loss in the prior year.

Financial highlights

Revenue for the six months ended June 30, 2026, rose to $2.899 million from $19,229 in the same period last year. This growth reflects the ramp-up in sales of energy storage system integration equipment following the company's pivot to an asset-light model. However, gross margin contracted sharply to 0.3% from 10.00% in the prior year, as the new business operates with thin margins in its early stage.

The table below summarizes key financial metrics for H1FY26 compared to H1FY25.

What the numbers show

A critical divergence exists between headline profitability and operational performance. While the reported net income of $20.49 million suggests a strong turnaround, it is entirely attributable to a $22.61 million gain on the disposal of discontinued operations. The per-share loss of $(42.36) reflects the dilution from the reverse share split and the underlying operational losses. The gross profit of just $8,994 was insufficient to cover selling, administrative, and other operating expenses, highlighting that the core business remains unprofitable despite significant revenue growth.

Strategic pivot and funding

Management stated that the first half of 2026 marked a significant shift in the company’s business model. By divesting the lithium battery manufacturing unit, Elong Power has adopted an asset-light operating model focused on research, development, and market development for energy storage products. The $20 million raised through public market offerings provides funding support for product development and global expansion efforts.

The company retains its R&D, sales, and full-lifecycle service capabilities while focusing on overseas residential and commercial industrial energy storage, as well as grid-side storage in China. The per-share earnings figures reflect a retroactive adjustment for a 1-for-45 reverse share split effected on August 10, 2026.