Revenue growth has decelerated from triple-digit peaks to 32.2% in 2026Q1, while gross margins have contracted to 23.9% from a 28.5% high in 2023Q4.
| Sales/Revenue | 1.38B | 1.29B | 1.16B | 703.83M | 490.07M | 414.2M | 275.48M | 122.3M |
| Revenue Growth % | 16.55% | 11.1% | 64.96% | 43.62% | 18.32% | 50.36% | 125.26% | - |
| Cost of Goods Sold | 1.05B | 989.23M | 875.81M | 515.2M | 406.96M | 324.6M | 200.36M | 100.1M |
| COGS % of Revenue | - | 76.69% | 75.43% | 73.2% | 83.04% | 78.37% | 72.73% | 81.85% |
| Gross Profit | 322.79M | 300.67M | 285.24M | 188.63M | 83.11M | 89.6M | 75.12M | 22.19M |
| Gross Margin % | 23.43% | 23.31% | 24.57% | 26.8% | 16.96% | 21.63% | 27.27% | 18.15% |
| Gross Profit Growth % | - | 5.41% | 51.21% | 126.96% | -7.24% | 19.28% | 238.45% | - |
| Operating Expenses | 163.65M | 155.69M | 154.61M | 78.56M | 48.09M | 50.24M | 30.93M | 17.39M |
| OpEx % of Revenue | - | 12.07% | 13.32% | 11.16% | 9.81% | 12.13% | 11.23% | 14.22% |
| Selling, General & Admin | 150.55M | 144.76M | 144.63M | 71.39M | 46.66M | 50.24M | 30.93M | 17.39M |
| SG&A % of Revenue | - | 11.22% | 12.46% | 10.14% | 9.52% | 12.13% | 11.23% | 14.22% |
| Research & Development | 10.7M | 10.83M | 9.79M | 3.92M | 1.43M | 0 | 0 | 0 |
| R&D % of Revenue | - | 0.84% | 0.84% | 0.56% | 0.29% | - | - | - |
| Other Operating Expenses | 1.18M | 96K | 193K | 3.24M | 0 | 0 | 0 | 0 |
| Operating Income | 159.11M | 145.07M | 130.62M | 110.08M | 35.02M | 39.35M | 44.18M | 4.8M |
| Operating Margin % | 11.55% | 11.25% | 11.25% | 15.64% | 7.15% | 9.5% | 16.04% | 3.93% |
| Operating Income Growth % | - | 11.06% | 18.66% | 214.3% | -11% | -10.93% | 820.12% | - |
| EBITDA | 167.62M | 153.4M | 139.58M | 112.95M | 36.41M | 40.13M | 44.41M | 4.93M |
| EBITDA Margin % | 12.17% | 11.89% | 12.02% | 16.05% | 7.43% | 9.69% | 16.12% | 4.03% |
| EBITDA Growth % | 26.23% | 9.9% | 23.58% | 210.23% | -9.27% | -9.64% | 800.83% | - |
| D&A (Non-Cash Add-back) | 8.51M | 8.33M | 8.96M | 2.87M | 1.39M | 775K | 227K | 128K |
| EBIT | 175.15M | 161.39M | 140.87M | 116.23M | 31.73M | 38.03M | 45.32M | 4.8M |
| Net Interest Income | 11.54M | 11.53M | 9.15M | 2.06M | -96K | 228K | 12K | 2K |
| Interest Income | 12.09M | 11.73M | 9.4M | 3.3M | 472K | 537K | 58K | 2K |
| Interest Expense | 549K | 200K | 256K | 1.24M | 568K | 309K | 46K | 0 |
| Other Income/Expense | 15.5M | 16.12M | 9.99M | 4.92M | -3.86M | -1.63M | 1.09M | 0 |
| Pretax Income | 174.6M | 161.19M | 140.61M | 115M | 31.16M | 37.73M | 45.27M | 4.8M |
| Pretax Margin % | 12.68% | 12.5% | 12.11% | 16.34% | 6.36% | 9.11% | 16.44% | 3.93% |
| Income Tax | 26.25M | 23.82M | 14.81M | 20.89M | 7.19M | 8.47M | 7.82M | 1.95M |
| Effective Tax Rate % | 15.04% | 14.78% | 10.53% | 18.16% | 23.08% | 22.45% | 17.27% | 40.5% |
| Net Income | 148.35M | 137.37M | 125.81M | 94.11M | 23.97M | 29.26M | 37.45M | 2.86M |
| Net Margin % | 10.77% | 10.65% | 10.84% | 13.37% | 4.89% | 7.06% | 13.6% | 2.34% |
| Net Income Growth % | 17.96% | 9.19% | 33.68% | 292.57% | -18.06% | -21.89% | 1210.99% | - |
| Net Income (Continuing) | 148.35M | 137.37M | 125.81M | 94.11M | 23.97M | 29.26M | 37.45M | 2.86M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 4.03 | 3.59 | 3.05 | 2.30 | 0.60 | 0.69 | 3.94 | 0.30 |
| EPS Growth % | 28.66% | 17.7% | 32.61% | 283.33% | -13.04% | -82.49% | 1213.33% | - |
| EPS (Basic) | - | 3.60 | 3.06 | 2.31 | 0.60 | 0.69 | 3.94 | 0.30 |
| Diluted Shares Outstanding | 36.77M | 38.23M | 41.2M | 40.92M | 40.24M | 40.24M | 9.5M | 9.5M |
| Basic Shares Outstanding | 36.68M | 38.16M | 41.08M | 40.79M | 40.24M | 39.75M | 9.5M | 9.5M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Geopolitical and Tariff Exposure
According to the provided income statement data, GCT's year-over-year revenue growth has decelerated significantly from the triple-digit expansion observed in early 2024 to a more moderate 32.2% in 2026Q1, reflecting a transition toward a more mature, albeit still expanding, operational scale for the company.
The sharp decline in growth rates from the 103% peak in 2024Q2 suggests that the initial surge in marketplace adoption is moderating as the company faces a larger base. Investors should monitor whether this deceleration indicates a saturation of the current reseller network or if it reflects broader cyclical headwinds in the large-parcel furniture market.
As reported in financial statements, GCT's gross margins have experienced a noticeable contraction, falling from a high of 28.5% in 2023Q4 to 23.9% in 2026Q1, which highlights the inherent sensitivity of the business to fluctuating logistics costs and the competitive pricing environment for oversized goods.
The inability to sustain gross margins above 25% suggests that the company's logistics-heavy model faces persistent pressure from ocean freight volatility and the costs of maintaining a physical warehouse footprint. This trend implies that GCT may lack the pricing power necessary to fully offset rising landed costs, warranting caution regarding future profitability.
Based on GCT's reported figures, operating income has fluctuated significantly, with operating margins ranging from 8.9% to 15.2% over the last ten quarters, indicating that the company has yet to demonstrate a consistent ability to scale operating expenses efficiently relative to its gross profit growth.
While SG&A expenses have generally been managed, the lack of a clear, linear relationship between revenue growth and operating margin expansion suggests that the business remains capital-intensive. The volatility in operating income implies that fixed costs, such as warehouse leases, may be creating a drag on profitability during periods of slower top-line growth.
Analysis of the income statement reveals that stock-based compensation (SBC) has been a recurring, albeit variable, expense, reaching a peak of $13.9M in 2024Q2, which suggests that reported net income may be periodically influenced by non-cash equity incentives rather than purely operational performance.
The variability in SBC charges warrants further investigation into management's compensation structure and its potential to dilute shareholder value over time. Investors should focus on the underlying cash-generating capability of the core marketplace business, stripping out these non-operating accounting adjustments to assess true earnings durability.
Data from recent filings suggests that GCT's reliance on a physical, asset-heavy logistics network for non-conveyable goods creates a unique risk profile, where any disruption in global supply chains could lead to rapid margin compression that a software-only platform would not experience.
Short-sellers may focus on the company's high sensitivity to U.S.-China trade relations and potential tariff increases, which could fundamentally alter the cost structure of their 1P inventory model. The current valuation may be overlooking the risk that GCT is more of a cyclical wholesaler than a high-margin technology platform.
Quick answers to the most common questions about buying GCT stock.
For fiscal year 2025, GigaCloud Technology Inc. (GCT) reported total revenue of $1.29B. This represents a 954.7% increase compared to $122.3M in 2019.
GigaCloud Technology Inc. (GCT) is profitable, generating $137.4M in net income for the fiscal year ending 2025 with a net profit margin of 10.6%.
GigaCloud Technology Inc. (GCT) reported an operating income of $145.1M, resulting in an operating profit margin of 11.2%. This margin reflects the operational efficiency of the business before interest and taxes.
GigaCloud Technology Inc. (GCT) generated $300.7M in gross profit for the year, representing a gross profit margin of 23.3%. This demonstrates the company's core pricing power and production efficiency.