Despite a 193.1% revenue increase in 2025Q4, gross margins have collapsed to a precarious 1.1%, indicating that service costs are nearly consuming all top-line gains.
| Sales/Revenue | 35.48M | 10.16M | 6.16M | 10.81M | 15.03M | 13.96M | 15.17M |
| Revenue Growth % | 249.24% | 65.04% | -43.08% | -28.03% | 7.65% | -7.95% | - |
| Cost of Goods Sold | 34.68M | 7.8M | 4.36M | 6M | 6.21M | 7.69M | 7.05M |
| COGS % of Revenue | 97.74% | 76.74% | 70.88% | 55.51% | 41.33% | 55.1% | 46.49% |
| Gross Profit | 801.77K | 2.36M | 1.79M | 4.81M | 8.82M | 6.27M | 8.12M |
| Gross Margin % | 2.26% | 23.26% | 29.12% | 44.49% | 58.67% | 44.9% | 53.51% |
| Gross Profit Growth % | -66.07% | 31.82% | -62.75% | -45.43% | 40.65% | -22.76% | - |
| Operating Expenses | 2.9M | 4.93M | 7.93M | 6.35M | 6.86M | 4.8M | 3.43M |
| OpEx % of Revenue | 8.18% | 48.49% | 128.83% | 58.73% | 45.68% | 34.36% | 22.64% |
| Selling, General & Admin | 2.9M | 4.93M | 7.93M | 6.35M | 6.86M | 4.8M | 3.43M |
| SG&A % of Revenue | 8.18% | 48.49% | 128.83% | 58.73% | 45.68% | 34.36% | 22.64% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -2.1M | -2.56M | -6.14M | -1.54M | 1.95M | 1.66M | 4.68M |
| Operating Margin % | -5.92% | -25.23% | -99.71% | -14.24% | 12.99% | 11.89% | 30.87% |
| Operating Income Growth % | 18.06% | 58.24% | -298.44% | -178.92% | 17.58% | -64.55% | - |
| EBITDA | -1.96M | -2.08M | -5.66M | -1.37M | 2.1M | 1.75M | 5.22M |
| EBITDA Margin % | -5.52% | -20.51% | -91.97% | -12.67% | 13.94% | 12.5% | 34.41% |
| EBITDA Growth % | 5.95% | 63.2% | -313.06% | -165.41% | 20.03% | -66.55% | - |
| D&A (Non-Cash Add-back) | 140.59K | 479.5K | 476.25K | 169.81K | 143.56K | 85.74K | 536.15K |
| EBIT | -2.1M | -3.71M | -5.31M | -1.55M | 2.18M | 55.65K | 4.74M |
| Net Interest Income | -340.47K | -243.53K | -331.69K | -213.89K | -212.02K | -108.97K | -147.02K |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 340.47K | 243.53K | 331.69K | 213.89K | 212.02K | 108.97K | 147.02K |
| Other Income/Expense | -3.86M | -1.39M | 494.45K | -223.4K | 14.45K | -17.19K | -92.26K |
| Pretax Income | -5.96M | -3.95M | -5.64M | -1.76M | 1.97M | 311.7K | 4.59M |
| Pretax Margin % | -16.79% | -38.88% | -91.68% | -16.31% | 13.08% | 2.23% | 30.26% |
| Income Tax | -3.55K | 18.62K | 136.84K | 354.53K | 659.86K | 256.78K | 1.08M |
| Effective Tax Rate % | 0.06% | -0.47% | -2.42% | -20.1% | 33.56% | 82.38% | 23.54% |
| Net Income | -5.09M | -3.71M | -5.79M | -2.14M | 1.98M | 42.01K | 3.37M |
| Net Margin % | -14.34% | -36.48% | -94% | -19.78% | 13.17% | 0.3% | 22.19% |
| Net Income Growth % | -37.27% | 35.95% | -170.47% | -208.13% | 4609.61% | -98.75% | - |
| Net Income (Continuing) | -5.95M | -3.97M | -5.78M | -2.12M | 1.31M | 0 | 3.51M |
| Discontinued Operations | 835.15K | 0 | 0 | 0 | 855.04K | 200.49K | 0 |
| Minority Interest | -450.82K | -306.17K | -51.73K | -59.26K | -86.55K | -257.11K | -257.73K |
| EPS (Diluted) | -1.79 | -1.87 | -3.08 | -1.48 | 1.14 | 0.03 | 1.62 |
| EPS Growth % | 4.28% | 39.29% | -108.11% | -229.82% | 3429.41% | -98.01% | - |
| EPS (Basic) | -1.79 | -1.87 | -3.08 | -1.48 | 1.14 | 0.03 | 1.62 |
| Diluted Shares Outstanding | 2.85M | 1.98M | 1.88M | 1.44M | 1.3M | 1.3M | 2.08M |
| Basic Shares Outstanding | 2.85M | 1.98M | 1.88M | 1.44M | 1.3M | 1.3M | 2.08M |
| Dividend Payout Ratio | - | - | - | - | - | - | - |
Liquidity and margin collapse
As reported in recent financial filings, GSUN achieved a 193.1% year-over-year revenue growth in 2025Q4, yet this rapid top-line expansion appears disconnected from operational profitability, suggesting that the company is prioritizing volume over the sustainability of its underlying business model in a highly competitive educational landscape.
The dramatic revenue acceleration appears to be driven by aggressive volume growth rather than pricing power, as evidenced by the concurrent collapse in gross margins. Investors should monitor whether this growth is organic or the result of low-margin service contracts that fail to provide long-term value.
Based on the company's latest income statement, gross margins have plummeted to a precarious 1.1% in 2025Q4, down significantly from historical levels, which indicates that the cost of services is nearly consuming all generated revenue before accounting for any administrative or operational overhead expenses.
This severe margin compression suggests that GSUN lacks the pricing power necessary to offset rising input costs or that its current service offerings are essentially pass-through in nature. The inability to maintain a meaningful gross margin implies that the business model may be fundamentally unscalable under current conditions.
According to the provided financial data, GSUN continues to struggle with negative operating margins, which reached -4.7% in 2025Q4, demonstrating that the company has failed to achieve the necessary scale to cover its fixed administrative costs despite the significant increase in reported quarterly revenue.
The lack of operating leverage suggests that every additional dollar of revenue is being offset by proportional increases in operating expenses, preventing the company from reaching a break-even point. This trend warrants further investigation into whether the current cost structure is fixed or if management can implement meaningful efficiencies.
Based on reported figures, the company's reliance on high-volume, low-margin revenue streams, combined with a cash position of only $775,334, suggests that the current growth trajectory may be unsustainable and potentially masks a looming liquidity crisis that could necessitate dilutive financing in the near term.
Short-term growth metrics may be misleading if they are achieved at the expense of long-term solvency and margin integrity. Investors should be wary of the disconnect between the rapid revenue expansion and the persistent inability to generate positive net income, which may indicate a value-destroying operational strategy.
Quick answers to the most common questions about buying GSUN stock.
For fiscal year 2025, Golden Sun Education Group Limited (GSUN) reported total revenue of $35.5M. This represents a 133.9% increase compared to $15.2M in 2019.
Golden Sun Education Group Limited (GSUN) reported a net loss of $5.1M for the fiscal year ending 2025.
Golden Sun Education Group Limited (GSUN) reported an operating income of $-2.1M, resulting in an operating profit margin of -5.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Golden Sun Education Group Limited (GSUN) generated $0.8M in gross profit for the year, representing a gross profit margin of 2.3%. This demonstrates the company's core pricing power and production efficiency.