- Revenue increased 29% year over year to US$20.2 million, with gross profit increasing 17.5% to US$6.1 million
- Core food business delivered positive non-GAAP Adjusted EBITDA of US$1.2 million
- Working capital improved to positive US$39.4 million as of June 30, 2026, from negative US$12.2 million as of December 31, 2025
- Total shareholders' equity attributable to DDC Enterprise Limited grew to US$180.8 million as of June 30, 2026, from approximately US$71.2 million as of December 31, 2025
- DDC held 2,899 Bitcoin as of the date of this press release, compared with 1,181 Bitcoin as of December 31, 2025
NEW YORK, Sept. 02, 2026 (GLOBE NEWSWIRE) -- DDC Enterprise Limited (NYSEAMERICAN: DDC) ("DDC" or the "Company"), a global Asian food platform and digital asset treasury company, today released its unaudited financial results for the six months ended June 30, 2026. The results reflect strong growth and improving operating leverage in DDC's core Asian food business, continued execution of its Bitcoin treasury strategy and an expanded capital allocation framework.
First Half 2026 Financial Highlights
RMB and US$ in actual amounts; figures below are reproduced from the unaudited financial statements and non-GAAP reconciliation in the Company's Form 6-K.
Six Months EndedJune 30, 2025Six Months Ended
June 30, 2026Six Months Ended
June 30, 2026 RMBRMBUS$Revenue111,909,938 136,747,757 20,154,126 Gross profit37,334,808 41,538,184 6,121,971 Total operating expenses(22,850,802) (55,414,415) (8,167,075) Income/(loss) from operations14,484,006 (13,876,231) (2,045,104) Net income/(loss)37,133,644 (260,644,187) (38,414,200) Adjusted EBITDA18,504,237 8,140,470 1,199,756
Management Commentary
"The first-half 2026 results mark meaningful progress on our dual mandate strategy," said Norma Chu, Founder, Chairwoman and Chief Executive Officer of DDC Enterprise Limited. "Our core Asian food business delivered strong revenue growth and achieved positive Adjusted EBITDA, demonstrating tangible operational improvement in our primary operating franchise. At the same time, we substantially strengthened our balance sheet during the period. Working capital moved from negative $12.2 million at year-end 2025 to positive $39.4 million as of June 30, 2026, and total shareholders' equity attributable to DDC grew significantly. Meanwhile, we maintained our strategic framework under which Bitcoin serves as a core corporate reserve asset, complementing our food business.
"GAAP results are subject to volatility from non-cash Bitcoin mark-to-market accounting adjustments. We advanced our Bitcoin treasury objective, holding 2,899 Bitcoin as of the date of this press release. Together with the balance sheet improvements achieved this period, we now have multiple capital allocation levers to build long-term shareholder value. We will continue balancing investment in food business scaling with prudent treasury decisions while safeguarding corporate liquidity."
First Half 2026 Financial Summary
All comparisons are with the first half of 2025 unless otherwise noted.
- Revenue: Revenue increased 29% to US$20.2 million, driven by broader retail penetration and expanded distribution reach for DDC's culinary brand portfolio.
- Gross profit: Gross profit increased 17.5% to US$6.1 million.
- Gross margin: Gross margin was 30.4%, compared with 33.4% in the prior year period. The change reflected expansion into higher volume sales channels to support top line scale.
- Adjusted EBITDA: The core food business delivered positive non-GAAP Adjusted EBITDA of US$1.2 million.
- GAAP net loss: Net loss was US$38.4 million, largely driven by a US$34.3 million non-cash unrealized fair value loss on digital assets. The accounting adjustment did not represent an operating cash outflow from the core food business.
- Liquidity: As of the date of this press release, cash and cash equivalents were US$2.5 million and, together with short term investments, totaled US$21.6 million.
- Working capital: Working capital improved materially from negative US$12.2 million as of December 31, 2025 to positive US$39.4 million as of June 30, 2026, significantly strengthening the Company’s financial resources for continued growth.
- Net debt: Net debt was US$10.2 million as of June 30, 2026, compared to US$60.6 million as of December 31, 2025.
First Half 2026 Bitcoin Summary
- Bitcoin holdings: DDC held 2,899 Bitcoin as of the date of this press release, compared with 1,181 Bitcoin as of December 31, 2025, representing a 145% increase since the start of 2026.
- Treasury discipline: Future Bitcoin acquisitions will be evaluated against market conditions, balance sheet liquidity, risk parameters and expected per share value accretion.
Capital Allocation Update
On July 1, 2026, DDC's Board of Directors authorized a share repurchase program of up to US$10 million or 20% of the Company's outstanding Class A ordinary shares, whichever is lower, over a period of up to 18 months.
The program gives management flexibility to repurchase shares when such action offers attractive risk-adjusted returns for shareholders. The authorization does not obligate the Company to repurchase any shares and may be modified, suspended or terminated by the Board at any time.
About DDC Enterprise Limited
DDC Enterprise Limited (NYSEAMERICAN: DDC) is participating proactively in the corporate Bitcoin treasury evolution while maintaining its foundation as a leading global Asian food platform. The Company has strategically positioned Bitcoin as a core reserve asset while continuing to expand its portfolio of culinary brands. DDC is at the forefront of public companies integrating Bitcoin into their financial architecture. For more information, visit www.ddc.xyz.
Use of Non-GAAP Financial Measures
Adjusted EBITDA is a Non-GAAP financial measure. The Company uses Adjusted EBITDA, Non-GAAP financial measures, in evaluating its operating results and for financial and operational decision making purposes. The Company defines Adjusted EBITDA as net income/(loss) excluding interest expense, interest income, income tax expense, impairment losses, depreciation and amortization, non-cash mark-to-market fair value adjustments associated with financial instruments, including Bitcoin holdings, and share based compensation. Adjusted EBITDA should not be considered in isolation or as a substitute for net income/(loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.
For more information on the Non-GAAP financial measures, please see the table captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results” set forth in this announcement.
Caution Regarding Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions.
Examples of a forward-looking statements include those related to the Company's financial performance and results, business prospects, Bitcoin accumulation strategy, share-repurchase program, capital-allocation plans and its goals, strategy and future activity. These statements are subject to uncertainties and risks, including the risk factors discussed in the Risk Factors and Management's Discussion and Analysis of Financial Condition and Results of Operations sections of the Company's Forms 20-F, 6-K and other reports filed with the U.S. Securities and Exchange Commission ("SEC") and available at www.sec.gov.
It is inherent in forward-looking statements that there are risks, uncertainties and other factors beyond the Company's ability to predict or control. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure investors that such expectations will prove correct. Actual results may differ materially from anticipated results. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent events, circumstances or changes in expectations, except as required by law.
Media and Investor Contacts
Investor and Media Relations: [email protected]
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS)
For the Six Months Ended June 30， 2025
2026
RMB RMB US$ Productrevenues 111,909,938 136,747,757 20,154,126 Cost ofproducts (74,575,130) (95,209,573) (14,032,155) Gross profit 37,334,808 41,538,184 6,121,971 Operating expenses: Fulfilment expenses (2,877,103) (4,042,980) (595,862)Sales and marketing expenses (2,517,469) (4,820,391) (710,438)General and administrative expenses (14,304,907) (24,796,325) (3,654,526)Share based compensation (3,151,323) (21,754,719) (3,206,249)Total operating expenses (22,850,802) (55,414,415) (8,167,075) Income/(loss) from operations 14,484,006 (13,876,231) (2,045,104) Interest expenses (1,173,379) (15,318,820) (2,257,715)Interest income 675,860 6,208,417 915,007 Foreign currency exchange loss, net (5,560) - - Other income 1,162,890 2,172,663 320,211 Unrealized gain/(loss) on digital assets 27,566,664 (232,541,989) (34,272,447) Income/(loss) before income tax expenses 42,710,481 (253,355,960) (37,340,048) Income tax expense (5,576,837) (7,288,227) (1,074,152)Netincome/(loss) 37,133,644 (260,644,187) (38,414,200) Netincome/(loss) attributable to ordinary shareholders 37,133,644 (260,644,187) (38,414,200) Net income attributable to non-controlling interest 8,990,337 8,745,872 1,288,982 Netincome/(loss) attributable to DDC Enterprise Limited 28,143,307 (269,390,059) (39,703,182)
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS) - (Continued)
For the Six Months Ended June 30， 2025 2026
RMB RMB US$ Other comprehensive income, net of nil income taxes: Foreign currency translation adjustment, net of nil income taxes (4,334,444) (7,916,256) (1,166,712) Net unrealized gains on available-for-sale debt
Securities 8,485,964 (972,717) (143,361) Total other comprehensive income 4,151,520 (8,888,973) (1,310,073) Comprehensive income/(loss): 41,285,164 (269,533,160) (39,724,273) Comprehensive income attributable to non-controlling interests 8,990,337 8,745,872 1,288,982 Comprehensive income/(loss) attributable to DDC Enterprise Limited 32,294,827 (278,279,032) (41,013,255) Net income/(loss) per ordinary share — Basic and diluted – Class A 7.41 (7.91) (1.17) — Basic and diluted – Class B - - - Weighted average number of ordinary shares outstanding used in computing net loss per ordinary share — Basic and diluted – Class A 3,798,369 34,072,617 34,072,617 — Basic and diluted – Class B 875,000 1,750,000 1,750,000
DDC ENTERPRISE LIMITED
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - (Continued) As of As of December 31, June 30, 2025 2026 (Audited) (Unaudited) RMB RMB US$ LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities Short-term bank borrowings 37,430,000 35,050,800 5,165,849 Current portion of long-term bank borrowings 549,012 608,033 89,613 Accounts payable 25,524,921 27,373,609 4,034,371 Contract liabilities 13,977,338 11,645,751 1,716,371 Shareholder loans, at amortized cost 23,207,757 21,449,891 3,161,323 Amounts due to related parties 8,160,511 5,413,606 797,867 Accrued expenses and other current liabilities 557,130,576 217,319,173 32,028,882 Current portion of lease liabilities 2,047,880 1,392,622 205,247 Total current liabilities 668,027,995 320,253,485 47,199,523 Non-current liabilities Long-term bank borrowings 3,876,918 3,486,980 513,917 Operating lease liabilities 6,405,503 5,942,889 875,873 Shareholder loans, at amortized cost 16,483,576 16,483,576 2,429,378 Convertible loans, at amortized cost 137,501,657 126,228,857 18,603,831 Deferred tax liabilities 1,264,873 1,264,873 186,419 Other non-current liabilities 10,405,554 10,405,554 1,533,589 Total non-current liabilities 175,938,081 163,812,729 24,143,007 Total liabilities 843,966,076 484,066,214 71,342,530
CONSOLIDATED BALANCE SHEETS - (Continued) As of As of December 31, June 30, 2025 2026 (Audited) (Unaudited) RMB RMB US$ Shareholders’ equity Class A ordinary shares (US$0.4 par value per share, 200,000,000 shares and 200,000,000 shares authorized as of December 31, 2025 and June 30, 2026, respectively; 23,281,620 shares and 45,627,607 shares issued and outstanding as of December 31, 2025 and June 30, 2026, respectively) 65,584,619 126,326,916 18,618,284 Class B ordinary shares (US$0.016 par value per share, 1,750,000 shares and 1,750,000 shares authorized, issued and outstanding as of December 31, 2025 and June 30, 2026, respectively) 196,479 196,479 28,957 Convertible Preferred Shares 230,544,640 - - Additional paid-in-capital 2,498,773,335 3,675,612,130 541,718,196 Accumulated deficit (2,171,283,787) (2,440,673,846) (359,710,814)Accumulated other comprehensive loss (125,758,629) (134,647,602) (19,844,601)Total shareholders’ equity attributable to DDC Enterprise Limited 498,056,657 1,226,814,077 180,810,022 Non-controlling interest 53,547,302 62,293,174 9,180,878 Total shareholders’ equity 551,603,959 1,289,107,251 189,990,900 Total liabilities and shareholders’ equity 1,395,570,035 1,773,173,465 261,333,430
UNAUDITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS For the Six months Ended
June 30, 2025
2026
2026 RMB RMB US$ Net income/(loss) 37,133,644 (260,644,187) (38,414,200)Add: Income tax expense 5,576,837 7,288,227 1,074,152 Interest expenses 1,173,379 15,318,820 2,257,715 Interest income (675,860) (6,208,417) (915,007)Foreign currency exchange loss, net 5,560 - - Other income (1,162,890) (2,172,663) (320,211)Unrealized (gain)/loss on digital assets (27,566,664) 232,541,989 34,272,447 Depreciation and amortization 868,908 261,982 38,611 Share-based compensation 3,151,323 21,754,719 3,206,249 Adjusted EBITDA 18,504,237 8,140,470 1,199,756