Revenue plummeted by nearly 90% year-over-year while gross margins eroded from 80.2% to 9.0%, indicating a catastrophic loss of pricing power.
| Net Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| NII Growth % | 0% | - | - | - | - | - | - |
| Net Interest Margin % | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Loan Loss Provision | 884.53K | 1.03M | 2.42M | 1.86M | 957.11K | 1.36M | 461.04K |
| Non-Interest Income | 3.32M | 1.12M | 3.75M | 5.45M | 3.12M | 6.29M | 1.33M |
| Non-Interest Income % | 100% | 100% | 100% | 100% | 100% | 100% | 100% |
| Total Revenue | 3.32M | 1.12M | 3.75M | 5.45M | 3.12M | 6.29M | 1.33M |
| Revenue Growth % | -89.31% | -70.18% | -31.16% | 74.48% | -50.4% | 371.89% | - |
| Non-Interest Expense | 1.88M | 3.46M | 8.46M | 6.08M | 3.08M | 1.89M | 493.03K |
| Efficiency Ratio | 56.56% | 309.26% | 225.57% | 111.54% | 98.8% | 30.1% | 36.96% |
| Operating Income | 558.26K | -3.37M | -7.13M | -2.49M | -919.79K | 3.04M | 379.86K |
| Operating Margin % | 16.81% | -301.6% | -190.12% | -45.66% | -29.46% | 48.35% | 28.48% |
| Operating Income Growth % | - | 52.7% | -186.65% | -170.42% | -130.22% | 701.15% | - |
| Pretax Income | 605.5K | -3.34M | -8.09M | -2.44M | -892.6K | 3.09M | 379.48K |
| Pretax Margin % | 18.23% | -298.83% | -215.77% | -44.74% | -28.59% | 49.02% | 28.45% |
| Income Tax | 169.82K | 0 | 54.53K | 115.09K | -121.11K | 777.22K | 39.52K |
| Effective Tax Rate % | 28.05% | 0% | -0.67% | -4.72% | 13.57% | 25.19% | 10.41% |
| Net Income | 435.68K | -3.34M | -8.68M | -2.55M | -771.48K | 2.31M | 339.97K |
| Net Margin % | 13.12% | -298.83% | -231.43% | -46.76% | -24.71% | 36.68% | 25.49% |
| Net Income Growth % | - | 61.5% | -240.68% | -230.23% | -133.42% | 579.07% | - |
| Net Income (Continuing) | 435.68K | -3.34M | -8.15M | -2.55M | -771.48K | 2.31M | 339.97K |
| EPS (Diluted) | - | -3.74 | -10.05 | -0.61 | -0.19 | 0.61 | 0.08 |
| EPS Growth % | - | 62.79% | -1547.54% | -221.05% | -131.15% | 630.54% | - |
| EPS (Basic) | - | -3.74 | -10.05 | -0.61 | -0.19 | 0.61 | 0.08 |
| Diluted Shares Outstanding | 590K | 892.31K | 590K | 590K | 590K | 590K | 590K |
Liquidity depletion and insolvency
According to the latest financial disclosures, Top KingWin Ltd experienced a precipitous revenue decline from $3.0 million to $320.6 thousand, representing a massive contraction that suggests the company's core SME advisory and training model is currently failing to gain traction within the Pearl River Delta.
The collapse in top-line performance indicates that the firm's high-touch consulting model is highly sensitive to macroeconomic headwinds and SME capital expenditure budgets. This trend suggests that the company's value proposition may be losing relevance, as the inability to maintain historical revenue levels points to a fundamental breakdown in client acquisition.
As reported in recent income statements, the company's gross margin plummeted from 80.2% to a mere 9.0%, highlighting a catastrophic loss of pricing power and an inability to manage the direct costs associated with delivering its professional training and advisory services to the SME market.
This margin compression suggests that the cost of service delivery is consuming nearly all generated revenue, leaving virtually no room for operational overhead. Investors should monitor whether this reflects a permanent shift in the cost structure or if the firm is forced to subsidize client engagements to maintain minimal activity.
Based on the provided figures, the company's operating margin has deteriorated to -301.60%, demonstrating that the firm's fixed-cost structure is entirely disconnected from its current revenue scale, which warrants significant concern regarding the sustainability of its existing operational footprint in the Chinese capital markets sector.
The inability to scale SG&A expenses against a shrinking revenue base suggests that the company is currently operating with excessive overhead for its current size. This misalignment implies that management may need to execute a radical downsizing of its physical presence to prevent further erosion of shareholder equity.
Financial data indicates that with a cash balance of approximately $1.87 million and an annual operating loss exceeding $3 million, the company faces a critical liquidity risk that suggests the current business model may be non-viable without immediate external capital or a major strategic pivot.
Short-term observers may focus on the potential for a turnaround, but the current burn rate relative to available cash suggests that the company is rapidly approaching a liquidity wall. The lack of a clear path to profitability implies that the firm may be forced to rely on dilutive financing, which would further pressure existing equity holders.
Quick answers to the most common questions about buying WAI stock.
Top KingWin Ltd (WAI) reported a net loss of $3.3M for the fiscal year ending 2025.
Top KingWin Ltd (WAI) reported an operating income of $-3.4M, resulting in an operating profit margin of -301.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Top KingWin Ltd (WAI) generated $0.1M in gross profit for the year, representing a gross profit margin of 7.7%. This demonstrates the company's core pricing power and production efficiency.