Technology
Recon Technology, Ltd Reports Financial Year Results for Fiscal Year 2026
Published
2 hours agoon
By
BEIJING, Sept. 30, 2026 /PRNewswire/ — Recon Technology, Ltd (NASDAQ: RCON) (“Recon” or the “Company”), a China-based independent solutions integrator in the oilfield service and environmental protection, electric power and coal chemical industries, today announced its financial results for fiscal year 2026.
Fiscal Year Ended June 30, 2026 Financial Highlights:
Total revenue increased by approximately RMB43.6 million ($6.4 million) or 65.8% to RMB109.9 million ($16.2 million) for the year ended June 30, 2026 from RMB66.3 million ($9.8 million) for the same period in 2025.Gross profit increased to RMB36.5 million ($5.4 million) for the year ended June 30, 2026, from RMB15.2 million ($2.2 million) for the same period in 2025.Gross margin increased to 33.2% for the year ended June 30, 2026 from 23.0% for the same period in 2025.Net loss was RMB31.6 million ($4.7 million) for the year ended June 30, 2026, a decrease of RMB12.1 million ($1.8 million) from net loss of RMB43.7 million ($6.4 million) for the same period of 2025.
For the Years Ended
June 30,
Percentage
2026
2025
Increase /(Decrease)
Change
(in RMB millions, except earnings per share; differences due
to rounding)
Revenue
RMB
109.9
RMB
66.3
RMB
43.6
65.8
%
Gross profit
36.5
15.2
21.3
139.4
%
Gross margin
33.2
%
23.0
%
10.2
%
—
Net loss
(31.6)
(43.7)
(12.1)
27.6
%
Net loss per share – basic and diluted
(266.52)
(936.18)
(669.66)
71.5
%
Management Commentary
Mr. Shenping Yin, Founder and Chief Executive Officer of Recon, commented: “Fiscal 2026 marked a significant turning point for Recon. Revenue increased by 65.8% to RMB109.9 million, and gross margin was lifted to 33.2%. These factors, when combined, narrowed our net loss compared to the previous year. The primary growth driver was our strategic expansion into overseas oilfield projects.
We are pleased to announce that we have reached a significant milestone that we have been working towards for several years. On 28 September 2026, we held a ceremony to mark the commencement of operations at our waste plastic chemical recycling plant in Weifang, Shandong Province. The plant has been designed to process 40,000 tons of low-value waste plastics per year, with an expected output of 30,000 tons of pyrolysis oil and 6,000 tons of carbon residue. This strategic partnership provides Recon with a solid foundation in the circular economy, offering a new growth opportunity in addition to our core oilfield services.
As we look ahead to fiscal 2027, our strategic priorities are clear as we will bring the chemical recycling plant to commercial production, extend our overseas and offshore oilfield footprint, and rebuild our domestic service capabilities. Oil price volatility and broader macroeconomic conditions continue to present challenges, however, we enter the new year with a more diversified business portfolio, a strengthened margin profile and a diligent cost structure. These elements, we believe, will underpin sustainable, long-term growth for our shareholders.”
Fiscal Year Ended 2026 Financial Results:
Revenue
Total revenues for the year ended June 30, 2026 were approximately RMB109.9 million ($16.2 million), an increase of approximately RMB43.6 million ($6.4 million) or 65.8% from RMB66.3 million ($9.8 million) for the same period in 2025.
Revenue from automation product and software increased by RMB35.6 million ($5.3 million) or 104.5%. The increase was primarily driven by a RMB44.2 million revenue increase from overseas oilfield projects, partially offset by an RMB8.6 million decline in domestic business. The overseas revenue growth benefited from a phase-II oilfield capacity construction of a major overseas automation maintenance project. The domestic business decline was mainly due to reduced maintenance efforts in the domestic market during the period, as our focus shifted towards overseas projects. Going forward, the Company will reallocate personnel from overseas to strengthen domestic market maintenance services.Revenue from equipment and accessories increased by RMB9.4 million ($1.4 million) or 51.2%. The increase in revenue from equipment and spare parts was primarily driven by rising demand for new purchases and maintenance of such items. This was due to the ongoing need of domestic oilfield clients to maintain stable production levels.Revenue from oilfield environmental protection increased by RMB2.0 million ($0.3 million) or 19.4% primarily due to an increase in the settlement prices for some wastewater treatment clients.Revenue from platform outsourcing services decreased by RMB3.5 million ($0.5 million) or 100.00%. FGS’s operations were materially and adversely affected by strategic shifts in its major clients’ business decisions to terminate online cooperation of third-party companies and unfavorable changes in domestic industry policies. Consequently, FGS’s revenue and active business activities declined precipitously, resulting in zero revenue for fiscal year 2026.
Cost of revenue
Cost of revenues increased from RMB51.0 million for the year ended June 30, 2025 to RMB73.4 million ($10.8 million) for the same period in 2026.
For the years ended June 30, 2025 and 2026, cost of revenue from automation product and software was approximately RMB28.6 million and RMB47.2 million ($7.0 million), respectively, representing an increase of approximately RMB18.6 million ($2.7 million) or 65.0%. The increase in cost of revenue from automation product and software was primarily attributable to increased revenue of automation products and software.
For the years ended June 30, 2025 and 2026, cost of revenue from equipment and accessories was approximately RMB13.2 million and RMB20.4 million ($3.0 million), respectively, representing an increase of approximately RMB7.2 million ($1.1 million) or 54.7%. The increase in costs of revenue was primarily driven by expanded business activity, mirroring the same factor behind the growth in revenue.
For the years ended June 30, 2025 and 2026, cost of revenue from oilfield environmental protection was approximately RMB8.5 million and RMB5.7 million ($0.8 million), respectively, representing a decrease of approximately RMB2.8 million ($0.4 million) or 33.1%. While actively pursuing new business opportunities in a constrained market, the Company undertook testing projects. Given their high uncertainty, equipment costs for these projects were fully expensed upon purchase in the prior period, resulting in lower costs in the current period compared to the prior period.
For the years ended June 30, 2025 and 2026, cost of revenue from platform outsourcing services was approximately RMB0.6 million and nil, respectively, representing a decrease of approximately RMB0.6 million ($0.1 million) or 100.0%. The reason for the decrease is consistent with that of the revenue decline.
Gross profit
Gross profit increased to RMB36.5 million ($5.4 million) for the year ended June 30, 2026 from RMB15.2 million ($2.2 million) for the same period in 2025. Our gross profit as a percentage of revenue increased to 33.2% for the year ended June 30, 2026 from 23.0% for the same period in 2025.
For the years ended June 30, 2025 and 2026, our gross profit from automation product and software was approximately RMB5.5 million and RMB22.5 million ($3.3 million), respectively, representing an increase in gross profit of approximately RMB17.0 million ($2.5 million) or 310.4%. The gross margin expansion to 32.3% was primarily driven by the higher-margin overseas oilfield projects, which contributed RMB44.2 million of revenue, representing approximately 63% of automation segment revenue for fiscal 2026. Excluding the overseas projects, our domestic automation gross margin remained relatively stable.For the years ended June 30, 2025 and 2026, gross profit from equipment and accessories was approximately RMB5.2 million and RMB7.4 million ($1.1 million), respectively, representing an increase of approximately RMB2.2 million ($0.3 million) or 42.4%. The increase in gross profit was consistent with the change in revenue. The gross margin for equipment and accessories has remained relatively stable in this period.For the years ended June 30, 2025 and 2026, gross profit from oilfield environmental protection was approximately RMB1.7 million and RMB6.6 million ($1.0 million), respectively, representing an increase of RMB4.9 million ($0.7 million) or 288.2%. The lower gross profit in fiscal 2025 was mainly due to testing projects, where the related equipment used for these projects was fully expensed as it was consumed during execution, when we were not sure that revenue from these projects could be recognized. The increase in gross margin from 16.9% to 53.4% was mainly attributable to the absence, in fiscal 2026, of the one-time testing project costs that were fully expensed as incurred in fiscal 2025, when revenue recognition for those testing projects remained uncertain. Excluding the impact of such one-time testing costs, the normalized gross margin for fiscal 2025 would have been higher, and the fiscal 2026 margin of 53.4% reflects a normal standard in settlement prices for certain wastewater treatment clients together with a more favorable project mix.For the years ended June 30, 2025 and 2026, gross profit from platform outsourcing services was approximately RMB2.8 million and nil, respectively, representing a decrease of approximately RMB2.8 million ($0.4 million) or 100.0%. The decrease in gross profit was consistent with the change in revenue.
Operating expenses
Selling expenses decreased by 43.6%, or RMB4.1 million ($0.6 million), from RMB9.3 million ($1.4 million) in the year ended June 30, 2025 to RMB5.2 million ($0.8 million) in the same period of 2026.
General and administrative expenses increased by 11.8%, or RMB5.8 million ($0.9 million), from RMB49.6 million ($7.3 million) in the year ended June 30, 2025 to RMB55.4 million ($8.2 million) in the same period of 2026.
Net recovery of credit losses of RMB2.9 million ($0.4 million) for the year ended June 30, 2025 as compared to net provision for credit losses of RMB4.1 million ($0.6 million) for the same period in 2026.
Research and development expenses decreased by 21.7%, or RMB3.6 million ($0.5 million) from RMB16.4 million ($2.4 million) for the year ended June 30, 2025 to RMB12.9 million ($1.9 million) for the same period of 2026.
Loss from operations
Loss from operations was RMB41.2 million ($6.1 million) for the year ended June 30, 2026, compared to a loss of RMB57.3 million ($8.4 million) for the same period of 2025. This RMB16.1 million ($2.4 million) decrease in loss from operations was mainly driven by higher gross profit, as previously discussed.
Change in fair value of warrant liability
The Company classified the warrants issued in connection with common share offering as liabilities at their fair value and adjusted the warrant instrument to fair value at each reporting period. This liability is subject to re-measurement at each balance sheet date until exercised, and any change in fair value is recognized in our statement of operations. Gain in change in fair value of warrant liability was RMB6,226 ($917) and RMB671 ($99) for the years ended June 30, 2025 and 2026, respectively. The primary reason for the decrease in the fair-value gain of the warrant liability was the change in the fair value assessment price.
Interest income
Net interest income was RMB10.9 million ($1.6 million) for the year ended June 30, 2026, compared to net interest income of RMB12.3 million ($1.8 million) for the same period of 2025. The RMB1.4 million ($0.2 million) decrease in net interest income was primarily attributable to the Company’s receipt of partial repayments of loans to third parties, partially offset by interest income from outstanding loans to third parties, during the year ended June 30, 2026.
Other income (expenses), net.
Other net expenses was RMB1.3 million ($0.2 million) for the year ended June 30, 2026, compared to other net income of RMB1.3 million ($0.2 million) for the same period of 2025. The RMB2.6 million ($0.4 million) decrease in other net income was primarily due to the closure of Qinghai BHD and the disposal of 51% equity interest in MSJ, which together resulted in a total loss on equity shares investments of RMB1.1 million. Additionally, following the closure of the Qinghai office, RMB0.6 million in payables that could no longer be settled was recognized as income, RMB0.2 million in receivables that could not be collected was written off as a loss and an increase in foreign exchange transaction expenses of RMB1.0 million due to the fluctuation of exchange rate of RMB against US dollars during the year ended June 30, 2026 compared to the same period of 2025.
Net loss
As a result of the factors described above, net loss was RMB31.6 million ($4.7 million) for the year ended June 30, 2026, a decrease of RMB12.1 million ($1.8 million) from net loss of RMB43.7 million ($6.4 million) for the same period of 2025.
Cash and short-term investment
As of June 30, 2026, we had cash in the amount of approximately RMB29.7 million ($4.4 million) and short-term investment in bank fixed income product of approximately RMB9.0 million ($1.3 million). As of June 30, 2025, we had cash in the amount of approximately RMB98.9 million ($14.6 million) and short-term investment in bank fixed income product of approximately RMB3.6 million ($0.5 million).
About Recon Technology, Ltd (“RCON”)
Recon Technology, Ltd (NASDAQ: RCON) is the People’s Republic of China’s first NASDAQ-listed non-state-owned oil and gas field service company. Recon supplies China’s largest oil exploration companies with advanced automated technologies, efficient gathering and transportation equipment and reservoir stimulation measure for increasing petroleum extraction levels, reducing impurities and lowering production costs. Through the years, RCON has taken leading positions within several segmented markets of the oil and gas field service industry. RCON also has developed stable long-term cooperation relationship with its major clients. Since 2023, Recon also entered into the business of chemical recycling of waste plastic. For additional information please visit: http://www.recon.cn/.
Forward-Looking Statements
Recon includes “forward-looking statements” within the meaning of the federal securities laws throughout this press release. A reader can identify forward-looking statements because they are not limited to historical fact or they use words such as “scheduled,” “may,” “will,” “could,” “should,” “would,” “expect,” “believe,” “anticipate,” “project,” “plan,” “estimate,” “forecast,” “goal,” “objective,” “committed,” “intend,” “continue,” or “will likely result,” and similar expressions that concern Recon’s strategy, plans, intentions or beliefs about future occurrences or results. Forward-looking statements are subject to risks, uncertainties and other factors that may change at any time and may cause actual results to differ materially from those that Recon expected. Many of these statements are derived from Recon’s operating budgets and forecasts, which are based on many detailed assumptions that Recon believes are reasonable, or are based on various assumptions about certain plans, activities or events which we expect will or may occur in the future. However, it is very difficult to predict the effect of known factors, and Recon cannot anticipate all factors that could affect actual results that may be important to an investor. All forward-looking information should be evaluated in the context of these risks, uncertainties and other factors, including those factors disclosed under “Risk Factors” in Recon’s most recent Annual Report on Form 20-F and any subsequent half-year financial filings on Form 6-K filed with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by the cautionary statements that Recon makes from time to time in its SEC filings and public communications. Recon cannot assure the reader that it will realize the results or developments Recon anticipates, or, even if substantially realized, that they will result in the consequences or affect Recon or its operations in the way Recon expects. Forward-looking statements speak only as of the date made. Recon undertakes no obligation to update or revise any forward-looking statements to reflect events or circumstances arising after the date on which they were made, except as otherwise required by law. As a result of these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements included herein or that may be made elsewhere from time to time by, or on behalf of, Recon.
RECON TECHNOLOGY, LTD
CONSOLIDATED BALANCE SHEETS
As of June, 30
As of June, 30
As of June, 30
2025
2026
2026
RMB
RMB
US Dollars
ASSETS
Current assets
Cash
¥
98,874,577
¥
29,745,574
4,383,955
Restricted cash
8,204
104
16
Short-term investments
3,599,211
9,005,007
1,327,174
Notes receivable
—
200,000
29,476
Accounts receivable, net
35,852,484
46,142,449
6,800,555
Inventories, net
1,344,588
1,330,874
196,147
Other receivables, net
3,760,881
9,879,518
1,456,061
Other receivables – related parties
67,976
400,000
58,953
Loans to third parties-short term
141,564,073
46,358,973
6,832,467
Purchase advances, net
14,619,556
57,757,856
8,512,455
Contract costs, net
53,547,408
25,059,648
3,693,335
Prepaid expenses
389,216
801,617
118,140
Prepaid consideration for acquisition of noncontrolling interest
—
1,950,000
287,394
Deferred offering cost
2,529,724
339,255
50,000
Total Current Assets
356,157,898
228,970,875
33,746,128
Property and equipment, net
19,986,635
17,158,744
2,528,886
Construction in progress
12,000,900
86,366,301
12,728,818
Investment in unconsolidated entity, net
—
1,824,974
268,968
Loans to third parties-long term
118,500,000
283,684,309
41,809,894
Operating lease right-of-use assets, net (including ¥696,851 and ¥2,481,013 ($365,656) from related parties as
of June 30, 2025 and June 30, 2026, respectively)
18,975,692
21,441,571
3,160,097
Total Assets
¥
525,621,125
¥
639,446,774
$
94,242,791
LIABILITIES AND EQUITY
Current liabilities
Short-term bank loans
¥
11,582,336
¥
11,306,258
$
1,666,336
Accounts payable
19,398,669
36,902,581
5,438,767
Other payables
6,154,889
3,430,099
505,534
Other payable- related parties
2,927,377
649,559
95,733
Contract liabilities
4,719,255
1,669,736
246,089
Contract liabilities- related parties
—
400,000
58,953
Accrued payroll and employees’ welfare
3,212,227
4,927,089
726,163
Taxes payable
795,629
1,481,308
218,318
Short-term borrowings – related parties
10,017,250
20,033,917
2,952,634
Operating lease liabilities – current (including ¥355,601 and ¥1,682,080 ($247,908) from related parties as of
June 30, 2025 and June 30, 2026, respectively)
1,761,231
2,924,605
431,033
Total Current Liabilities
60,568,863
83,725,152
12,339,560
Operating lease liabilities – non-current (including nil and ¥1,026,433 ($151,278) from related parties as of
June 30, 2025 and June 30, 2026, respectively)
1,081,827
3,291,220
485,066
Long-term borrowings – related party
10,000,000
—
—
Warrant liability – non-current
688
—
—
Total Liabilities
71,651,378
87,016,372
12,824,626
Commitments and Contingencies
Shareholders’ Equity
Class A ordinary shares, $0.02 U.S. dollar par value, 2,500,000 shares authorized and $0.02 U.S. dollar par
value, 15,000,000 shares authorized as of June 30, 2025 and June 30, 2026, respectively; 53,154 shares and
353,154 share issued and outstanding as of June 30, 2025 and June 30, 2026, respectively *
101,548
142,646
21,023
Class B ordinary shares, $0.0001 U.S. dollar par value, 80,000,000 authorized shares and $0.0001 U.S. dollar
par value, 200,000,000 shares authorized as of June 30, 2025 and June 30, 2026, respectively; 20,000,000
shares and 20,000,000 shares issued and outstanding as of June 30, 2025 and June 30, 2026, respectively
14,038
14,038
2,069
Additional paid-in capital
692,569,747
827,448,759
121,950,857
Statutory reserve
4,148,929
4,148,929
611,476
Accumulated deficit
(262,900,639)
(292,560,687)
(43,118,110)
Accumulated other comprehensive income
33,493,895
27,133,454
3,998,976
Total Recon Technology, Ltd’ equity
467,427,518
566,327,139
83,466,291
Non-controlling interests
(13,457,771)
(13,896,737)
(2,048,126)
Total shareholders’ equity
453,969,747
552,430,402
81,418,165
Total Liabilities and Shareholders’ Equity
¥
525,621,125
¥
639,446,774
$
94,242,791
* Retrospectively restated for the 1-for-200 reverse stock split on August 18, 2026.
RECON TECHNOLOGY, LTD
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
For the years ended
June 30,
2024
2025
2026
2026
RMB
RMB
RMB
US Dollars
Revenue
¥
68,854,280
¥
66,285,032
¥
109,898,245
$
16,196,997
Cost of revenue
47,976,836
51,044,495
73,410,205
10,819,325
Gross profit
20,877,444
15,240,537
36,488,040
5,377,672
Selling and distribution expenses
10,374,388
9,343,480
5,267,001
776,260
General and administrative expenses
63,765,583
49,645,680
55,495,066
8,178,961
Allowance for (net recovery of) credit losses
4,086,505
(2,856,803)
4,094,917
603,516
Research and development expenses
14,288,879
16,427,892
12,858,639
1,895,129
Operating expenses
92,515,355
72,560,249
77,715,623
11,453,866
Loss from operations
(71,637,911)
(57,319,712)
(41,227,583)
(6,076,194)
Other income (expenses)
Subsidy income
131,428
85,762
37,185
5,480
Interest income
22,897,763
13,390,041
11,944,760
1,760,440
Interest expense
(1,070,449)
(1,110,984)
(1,041,518)
(153,501)
Loss from investment in unconsolidated entity
—
—
(1,102,361)
(162,468)
Loss (gain) in fair value changes of warrants liability
(933,995)
6,226
671
99
Foreign exchange transaction gain (loss)
(881,695)
952,815
(79,217)
(11,675)
Other income
59,049
296,155
(178,542)
(26,314)
Other income, net
20,202,101
13,620,015
9,580,978
1,412,061
Loss before income tax
(51,435,810)
(43,699,697)
(31,646,605)
(4,664,133)
Income tax expenses (benefits)
30
1,580
(1,609)
(237)
Net loss
(51,435,840)
(43,701,277)
(31,644,996)
(4,663,896)
Less: Net loss attributable to non-controlling interests
(1,564,581)
(1,112,723)
(1,984,948)
(292,545)
Net loss attributable to Recon Technology, Ltd
¥
(49,871,259)
¥
(42,588,554)
¥
(29,660,048)
$
(4,371,351)
Comprehensive loss
Net loss
(51,435,840)
(43,701,277)
(31,644,996)
(4,663,896)
Foreign currency translation adjustment
2,009,476
(3,642,754)
(6,360,441)
(937,413)
Comprehensive loss
(49,426,364)
(47,344,031)
(38,005,437)
(5,601,309)
Less: Comprehensive loss attributable to non- controlling interests
(1,564,581)
(1,112,723)
(1,984,948)
(292,545)
Comprehensive loss attributable to Recon Technology, Ltd
¥
(47,861,783)
¥
(46,231,308)
¥
(36,020,489)
$
(5,308,764)
Net loss per share – basic and diluted*
¥
(1,974.16)
¥
(936.18)
¥
(266.52)
$
(39.28)
Weighted – average shares – basic and diluted*
25,262
45,492
111,286
111,286
* Retrospectively restated for the 1-for-18 reverse stock split effective on May 1, 2024 and 1-for-200 reverse stock split on August
18, 2026.
RECON TECHNOLOGY, LTD
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the years ended June 30,
2024
2025
2026
2026
RMB
RMB
RMB
US Dollars
Cash flows from operating activities:
Net loss
¥
(51,435,840)
¥
(43,701,277)
¥
(31,644,996)
$
(4,663,896)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization
2,844,025
3,147,936
2,870,387
423,043
Loss from disposal of property and equipment
35,325
12,410
314
46
(Gain) loss in fair value changes of warrants liability
933,995
(6,226)
(671)
(99)
Allowance for (net recovery of) credit losses
4,086,505
(2,856,803)
4,094,917
603,516
Allowance (reversal) for slow moving inventories
886,991
(1,251,279)
(30,722)
(4,528)
Amortization of right of use assets
1,636,215
4,571,501
2,915,356
429,670
Restricted shares issued for management and employees
22,427,682
10,279,881
12,687,016
1,869,835
Restricted shares issued for services
1,070,143
—
—
—
Loss from investment in unconsolidated entity
—
—
1,102,361
162,468
Cash position changes due to the decrease of ownership interest
—
—
(32,811)
(4,836)
Accrued interest income from loans to third parties
(6,998,866)
(5,288,121)
(9,116,577)
(1,343,617)
Accrued interest income from short-term investment
(885,394)
(17,411)
(5,007)
(738)
Expensing of deferred financing costs
—
—
2,529,724
372,835
Changes in operating assets and liabilities:
Notes receivable
2,400,570
1,341,820
(200,000)
(29,476)
Accounts receivable
(12,151,359)
1,686,887
(12,107,973)
(1,784,494)
Inventories
5,590,058
267,413
(28,080)
(4,138)
Other receivables
31,908
(531,445)
(5,840,026)
(860,713)
Other receivables-related parties
(275,976)
208,000
(332,024)
(48,934)
Purchase advances
(2,422,123)
(5,057,967)
(43,515,113)
(6,413,334)
Contract costs
(4,400,442)
(363,721)
29,704,410
4,377,888
Prepaid expense
(51,467)
12,370
(412,401)
(60,781)
Operating lease liabilities
(2,907,014)
(4,869,474)
(2,008,468)
(296,012)
Accounts payable
(604,203)
1,940,574
(4,208,390)
(620,240)
Other payables
(3,020,216)
3,399,579
(2,645,098)
(389,839)
Other payables-related parties
(293,326)
628,308
(2,277,818)
(335,709)
Contract liabilities
(927,884)
2,898,774
(3,049,519)
(449,443)
Contract liabilities-related parties
—
—
400,000
58,953
Accrued payroll and employees’ welfare
854,644
(24,937)
1,714,862
252,739
Taxes payable
(171,884)
(197,966)
634,382
93,496
Net cash used in operating activities
(43,747,933)
(33,771,174)
(58,801,965)
(8,666,338)
Cash flows from investing activities:
Investment in unconsolidated entity
—
—
(700,000)
(103,167)
Purchases of property and equipment
(282,184)
(1,010,812)
(307,295)
(45,290)
Proceeds from disposal of property and equipment
20,000
2,000
3,580
528
Purchase of land use right
(15,000,251)
—
—
—
Repayments of loans to third parties
117,522,129
100,478,982
96,417,165
14,210,132
Payments made for loans to third parties
(196,437,504)
(140,490,800)
(166,200,000)
(24,494,849)
Payments and prepayments for construction in progress
(219,132)
(8,924,101)
(52,653,099)
(7,760,107)
Payments for short-term investments
(203,481,600)
(3,581,800)
(9,000,000)
(1,326,436)
Redemption of short-term investments
300,863,518
87,239,515
3,496,550
515,328
Net cash (used in) provided by investing activities
2,984,976
33,712,984
(128,943,099)
(19,003,861)
Cash flows from financing activities:
Proceeds from short-term bank loans
11,581,000
10,476,000
15,305,000
2,255,678
Repayments of short-term bank loans
(11,632,755)
(11,319,623)
(15,582,198)
(2,296,532)
Proceeds from short-term borrowings-related parties
10,000,000
—
—
—
Repayments of short-term borrowings-related parties
(10,018,222)
—
—
—
Proceeds from sale of ordinary shares, net of issuance costs
77,711,533
(2,529,724)
121,893,839
17,964,929
Redemption of warrants
(32,617,499)
—
—
—
Payments to Acquire noncontrolling interests
—
—
(1,950,000)
(287,394)
Capital contribution by controlling shareholders
—
100,000
—
—
Net cash (used in) provided by financing activities
45,024,057
(3,273,347)
119,666,641
17,636,681
Effect of exchange rate fluctuation on cash and restricted cash
1,722,165
(8,626,292)
(1,058,680)
(156,030)
Net increase (decrease) in cash and restricted cash
5,983,265
(11,957,829)
(69,137,103)
(10,189,548)
Cash and restricted cash at beginning of year
104,857,345
110,840,610
98,882,781
14,573,519
Cash and restricted cash at end of year
¥
110,840,610
¥
98,882,781
¥
29,745,678
$
4,383,971
Reconciliation of cash and restricted cash, beginning of year
Cash
¥
104,125,800
¥
109,991,674
¥
98,874,577
$
14,572,310
Restricted cash
731,545
848,936
8,204
1,209
Cash and restricted cash, beginning of year
¥
104,857,345
¥
110,840,610
¥
98,882,781
$
14,573,519
Reconciliation of cash and restricted cash, end of year
Cash
¥
109,991,674
¥
98,874,577
¥
29,745,574
$
4,383,955
Restricted cash
848,936
8,204
104
16
Cash and restricted cash, end of year
¥
110,840,610
¥
98,882,781
¥
29,745,678
$
4,383,971
Supplemental cash flow information
Cash paid during the year for interest
¥
659,472
¥
1,070,781
¥
1,042,505
$
153,646
Cash paid during the year for income tax
¥
—
¥
1,609
¥
—
$
—
Non-cash investing and financing activities
Right-of-use assets obtained in exchange for operating lease obligations
¥
8,303,099
¥
—
¥
6,752,841
$
995,246
Reduction of right-of-use assets and operating lease obligations due to early termination of lease agreement
¥
61,301
¥
1,886,347
¥
1,371,606
$
202,150
Payable for construction in progress
¥
—
¥
7,270,577
¥
21,712,302
$
3,199,997
Capital contribution receivable due from non-controlling Interest
¥
—
¥
724,408
¥
—
$
—
Investment in unconsolidated entity resulting from transfer out of control
¥
—
¥
—
¥
1,124,974
$
165,801
View original content:https://www.prnewswire.com/news-releases/recon-technology-ltd-reports-financial-year-results-for-fiscal-year-2026-302894412.html
SOURCE Recon Technology, Ltd
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Technology
NGEN Mission Critical Launches Single-Accountability Service Model, Helping Data Center Developers Unlock Manufacturing Capacity for Power and Cooling Equipment
Published
28 minutes agoon
September 30, 2026By
LITTLETON, Colo., Sept. 30, 2026 /PRNewswire/ — NGEN Mission Critical today launched its single-accountability service model, designed to help data center developers unlock manufacturing capacity for mission-critical power and cooling equipment. This model supports access to qualified global and U.S. OEM manufacturing, backed by U.S.-based engineering and full lifecycle accountability. NGEN’s service model provides supply chain transparency and scale, helping customers reduce lead times despite supply constraints. In addition, NGEN and Arizona-based manufacturer Air2O today announced a strategic partnership to deliver high-performance custom thermal management solutions.
AI infrastructure buildouts are straining supply chains, with limited equipment availability delaying data center development. Large power transformers can now carry lead times of up to four years, reinforcing the need for additional qualified supply channels and stronger coordination across procurement, certification and delivery. Many global manufacturers produce high-quality equipment but have a limited U.S. market presence due to complicated international trade requirements. Securing sufficient capacity can require developers to source across multiple manufacturers, introducing disparate equipment configurations and documentation packages that create additional complexity.
Instead of coordinating across several OEMs, NGEN acts as a single accountable partner, responsible for engineering oversight, documentation and certification, logistics and delivery support, equipment staging, field service, spare parts management and warranty coordination. This approach enables developers to access global manufacturing capacity that might otherwise be unavailable due to challenging engineering and documentation coordination, and lack of logistics and field support. NGEN’s U.S.-based engineering team also works with global and domestic OEM partners to fulfill the documentation requirements needed to meet customer specifications and applicable U.S. standards.
“This is a partnership we’re genuinely excited about. NGEN brings exactly the kind of engineering depth and project delivery capability that lets us focus on what we do best -and combining that with Air2O’s manufacturing expertise and 15 years of experience delivering high-performance, energy-efficient, and environmentally responsible thermal management systems means we can move faster and deliver better outcomes for mission-critical projects,” said Mike Sullivan, CEO of Air2O. “Customers get real, hands-on coordination across engineering, delivery and long-term support, backed by manufacturing purpose-built for environments where failure isn’t an option.”
Under the agreement, NGEN leads project delivery, solutions engineering and U.S. code-compliant documentation, with installation, commissioning and maintenance support delivered jointly. Air2O provides engineering support, technician training and certification, on-site repair support and long-term spare-parts availability.
NGEN Mission Critical was founded by infrastructure engineers and developers with deep experience in building mission-critical facilities and managing global manufacturing ecosystems. The founders recognized a gap between accelerating U.S. infrastructure demand and the constrained equipment supply, extended lead times and fragmented procurement models limiting data center development.
By combining U.S.-based infrastructure engineering and development expertise with established manufacturing capabilities across Asia and the U.S., NGEN helps customers access additional equipment capacity through a more transparent, accountable and coordinated supply chain.
“With today’s supply constraints, the industry needs a better way to tap into resilient supply channels and keep projects on schedule,” said Jean Esquier, CEO and Co-Founder of NGEN Mission Critical. “Our service model helps data center developers achieve those goals. Built on transparency, accountability and scale, we remove those traditional barriers, providing our customers with access to qualified manufacturing capacity through a single partner.”
Learn more about NGEN Mission Critical’s single-accountability service model.
About NGEN Mission Critical
NGEN Mission Critical is a U.S.-based provider of critical power and cooling infrastructure, serving data centers, AI factories and utility-scale power generation. NGEN reduces lead times by pairing global and domestic manufacturing scalability with a fully integrated American engineering and service platform. In a market defined by equipment scarcity, extended procurement cycles and heightened regulatory scrutiny, NGEN delivers deployment certainty through disciplined regulatory compliance, coordinated sourcing and lifecycle accountability. From engineering validation through commissioning and ongoing operational support, NGEN ensures compliance, documentation integrity and performance continuity in mission-critical environments.
Media Contact
Jeannette Bitz, Engage PR
+1 510 295 4972
View original content to download multimedia:https://www.prnewswire.com/news-releases/ngen-mission-critical-launches-single-accountability-service-model-helping-data-center-developers-unlock-manufacturing-capacity-for-power-and-cooling-equipment-302893497.html
SOURCE NGEN Mission Critical
Technology
Bay Area’s Valley Humane Society Helps Turn Local Experience into First-in-the-Nation California Law
Published
28 minutes agoon
September 30, 2026By
Governor signs SB 1288, closing a gap in the transfer of beneficiary-designated securities and extending protections to individual beneficiaries. A two-and-a-half-year struggle by Pleasanton-based Valley Humane Society to receive their share of a donor’s IRA designations has resulted in a California law designed to help ensure all beneficiaries are notified of securities left to them, the first of its kind in the nation.
Bay Area’s Valley Humane Society Helps Turn Local Experience into First-in-the-Nation California Law
Governor signs SB 1288, closing a gap in the transfer of beneficiary-designated securities and extending protections to individual beneficiaries
PLESANTON, Calif., Sept. 30, 2026 /PRNewswire-PRWeb/ — A two-and-a-half-year struggle by Pleasanton-based Valley Humane Society to receive their share of a donor’s IRA designations has resulted in a California law designed to help ensure all beneficiaries are notified of securities left to them, the first of its kind in the nation.
Governor Gavin Newsom signed Senate Bill 1288, the Legacy Act, authored by Senator John Laird (D-Santa Cruz) and co-sponsored by Valley Humane Society, San Diego Humane Society and CalNonprofits.
The new law addresses a gap in California’s system for securities registered for nonprobate transfer, which allows an account owner to designate beneficiaries to receive assets directly after death without probate or estate administration. While a financial institution may have both knowledge of an account holder’s death and the names of designated beneficiaries, existing law does not require the institution to notify those beneficiaries. At the same time, trustees, attorneys and family members attempting to settle the person’s affairs might encounter privacy restrictions that prevent the institution from disclosing beneficiary information to them.
“Most people who name a beneficiary reasonably believe the financial institution will contact that person when they die,” said Melanie Sadek, President and CEO of Valley Humane Society. “But we discovered that wasn’t necessarily happening. The institution could have the beneficiary’s name in its records while the beneficiary had no idea the asset even existed. That undermines the very reason people use beneficiary designations in the first place.”
Valley Humane discovered the issue after being named as one of nine nonprofit beneficiaries of a donor’s IRA. The organization knew about the gift only because the donor’s sister found paperwork identifying the account and contacted the beneficiaries. Even with that information, administrative requirements delayed distribution of the gift for approximately two and a half years.
The experience raised a larger question: What happens when no one finds the paperwork?
Nonprobate transfers are intended to provide a direct path for assets to reach designated beneficiaries without probate administration. But if a beneficiary does not know an asset exists, the institution does not notify them, and those handling the deceased person’s affairs cannot obtain the beneficiary information, that intended path can break down.
Over time, dormant financial property can ultimately be transferred to California’s Unclaimed Property Program, creating an entirely different process for recovering assets that the owner had already designated to specific beneficiaries.
“The troubling part for us was realizing how easily someone’s wishes could be lost in that gap,” Sadek said. “People carefully complete beneficiary designations because they want their assets to go to specific people or organizations. A system designed to avoid probate should have a reliable way to connect those assets with the beneficiaries already named on the account.”
SB 1288 places responsibility for notification with the registering entity that already possesses the beneficiary information. Once a registering entity receives information establishing knowledge of an owner’s death, it must initiate its beneficiary notification process and, within 60 days, make a reasonable and good-faith effort to notify each named beneficiary. The initial notification does not disclose account balances, transaction history or other private financial information.
The law also addresses barriers beneficiaries may encounter when attempting to receive designated assets. Among its provisions:
Registering entities must make a reasonable and good-faith effort to notify each named beneficiary within 60 days after receiving information establishing knowledge of the owner’s death.Nonprofits can establish their legal identity using organizational information without requiring employees or board members to provide extensive personal information.Beneficiaries cannot be required to open an account or become customers of the financial institution simply to receive assets designated to them.Multiple beneficiaries cannot be required to coordinate their claims or submit them simultaneously.Once all required documentation has been provided, a beneficiary must receive the designated share within 60 days, subject to specific legal, regulatory and asset-related exceptions.
The legislation does not change an account owner’s beneficiary designation or determine who is entitled to an asset. It establishes a process intended to help ensure that the designation already on file is carried out.
Other states have adopted versions of legislation commonly known as the Release IRA Funds Timely (RIFT) Act, focused on barriers charitable organizations encounter when collecting beneficiary-designated assets. California’s approach goes further. SB 1288 is the first such measure in the nation to extend these protections beyond charitable organizations to individual beneficiaries.
Beginning January 1, 2027, the provisions apply to qualifying nonprofit and charitable beneficiaries when the death of the final owner occurs on or after that date. Beginning January 1, 2028, the protections extend to other beneficiaries, including individuals, when the death of the final owner occurs on or after that date.
Valley Humane worked with San Diego Humane Society, which had experienced similar barriers, and CalNonprofits to pursue the legislative solution. The three organizations co-sponsored SB 1288, with Senator Laird authoring and carrying the legislation.
Throughout the legislative process, the co-sponsors worked with Senator Laird and his staff, legislators, financial institutions and other stakeholders through multiple rounds of amendments. The final legislation addressed notification, documentation, distribution timelines, legal exceptions and implementation. Financial-industry organizations that initially opposed the legislation ultimately moved to neutral.
“Senator Laird and his staff took a problem we were experiencing in the real world and helped turn it into workable legislation,” Sadek said. “San Diego Humane Society and CalNonprofits brought their experience and expertise, and the financial industry worked with us to address legitimate implementation concerns. We are incredibly proud that an experience here in Pleasanton helped create a first-in-the-nation solution for nonprofits, families and individual beneficiaries throughout California.”
MEDIA MATERIALS
Interviewees:
Melanie Sadek, CAWA, is President and CEO of Valley Humane Society and chair of the Legislative & Advocacy Committee for the California Animal Welfare Association. Valley Humane co-sponsored SB 1288 after experiencing delays in receiving an estate gift left by a donor. Sadek can explain how such delays affect nonprofits and their ability to carry out a donor’s wishes. Her work with animal welfare organizations across California also gives her a broader perspective on why clear standards for distributing charitable gifts matter.
Johni Hays, J.D., FCEP, is Executive Vice President of Thompson & Associates and a nationally recognized expert in charitable estate planning and planned giving. She has extensive experience helping donors, families, and nonprofit organizations navigate estate plans and the transfer of inherited retirement assets. Hays helped advance Iowa’s Release IRA Funds Timely (RIFT) law; the nation’s first state law focused on the timely release of IRA funds left to charitable beneficiaries. Her expertise provides important national context for the problems SB 1288 addresses and the growing effort to ensure that financial institutions honor account holders’ beneficiary designations.
Robert Moore became the executor and successor trustee of his mother’s estate after her death. Her assets included IRA and traditional brokerage accounts held at multiple financial institutions and divided among several beneficiaries, including charities. Although legally responsible for administering the estate, Moore could not obtain information confirming whether the institutions had distributed the funds as directed. More than two years after his mother’s death, money remained in her accounts. His experience provides an important consumer perspective on the notification and distribution problems SB 1288 was created to address.
Interview clips featuring Melanie Sadek, Johni Hay, J.D, FCEP, and Robert Moore for media use here.
Video credit: Valley Humane Society
ABOUT VALLEY HUMANE
Envisioning a world in which every animal is loved and every person knows the love of an animal, Valley Humane Society creates a brighter future for cats and dogs by encouraging and strengthening the bond between people and pets. Valley Humane rescues and rehabilitates companion animals, champions responsible caretaking, shares pets’ soothing affections with people in need of comfort, and supports and preserves existing pet-guardian relationships. Whether you’d like to adopt an animal, share your passion for pets, or meet like-minded people, Valley Humane Society is Your Means to a Friend™.
Media Contact
Melanie Sadek, Valley Humane Society, 1 925-462-8041, msadek@valleyhumane.org, https://valleyhumane.org
View original content to download multimedia:https://www.prweb.com/releases/bay-areas-valley-humane-society-helps-turn-local-experience-into-first-in-the-nation-california-law-302894027.html
SOURCE Valley Humane Society
Technology
Britive Launches Frictionless PAM Transformation Program to Modernize Privileged Access for the Autonomous Era
Published
28 minutes agoon
September 30, 2026By
Britive’s new Frictionless PAM Transformation Program helps enterprises move from fragmented, traditional Privileged Access Management (PAM) environments to a modern authorization model built for AI agents, non-human identities, and cloud-speed operations.
LOS ANGELES, Sept. 30, 2026 /PRNewswire/ — Britive today announced the Frictionless PAM Transformation Program, a new initiative designed to help enterprises modernize privileged access from fragmented, static, credential-centric approaches to a dynamic runtime authorization model built for the autonomous era, where AI agents act alongside human and non-human identities at machine speed.
Traditional PAM architectures were designed to protect administrator accounts, manage persistent credentials, and control access to relatively static infrastructure. But the environment has changed: cloud infrastructure is dynamic, SaaS has proliferated, machine identities continue to multiply, and AI agents have emerged as a new digital workforce, taking action autonomously and often with privileged access. The traditional question, “What access should we give this identity?” is no longer sufficient. The more important question: “Should this specific action be allowed right now?”
Across our customer base, we consistently see privileged access environments that have become fragmented, with traditional infrastructure governed one way, cloud another, and non-human identities through entirely separate controls,” said Mohit Vaish, CEO, CyberSolve. “Organizations recognize that static models designed decades ago weren’t built for the cloud, automation, and AI use cases now in front of them. And the traditional answer has been to bolt another module onto the same architecture, which adds tools without changing the model and deepens the fragmentation it was meant to solve. The challenge isn’t seeing the problem. It’s knowing how to get their arms around it.”
That is the runtime question every organization now faces: should this specific action be allowed right now? Answering it requires dynamic, contextual authorization rather than standing privilege. It is what the Britive platform delivers for every identity, and what Britive ARC™ (Agentic Runtime Control), launched last month, extends to the AI workforce. Rather than adding another tool, Britive ARC™ brings agents onto the same platform, under the same policies, authorization engine, and audit trail, so securing the newest identity type does not create the next silo. The Frictionless PAM Transformation Program gives enterprises a practical path from yesterday’s siloed PAM architecture to a single unified architecture capable of governing autonomous agents, non-human identities, and human identities across cloud, SaaS, and traditional infrastructure.
“Privileged access is going through a fundamental shift,” said Garrett Long, VP of Business Development and Channel, Britive. “As AI agents become part of the workforce, enterprises can no longer think only in terms of what access an identity should have. They increasingly need to determine, in real time, whether a specific action should be allowed. This program helps organizations understand where they are today and chart the path toward the authorization model they will need for the future.”
A Practical Roadmap for Transformation
At the center of the program is a PAM Modernization Readiness Review, which establishes a clear view of the current environment and builds a prioritized path forward. The review covers:
Current PAM architecture and operating model
Privileged identity inventory across AI agents, non-human identities, and humans
Standing privilege exposure
Cloud, SaaS, automation, and machine identity access patterns, including readiness for agentic runtime control
Continuous authorization readiness, including Shared Signals Framework (CAEP/RISC) adoption
Gaps between current controls and cloud, Zero Trust, and AI initiatives
Total cost of ownership and cost-rationalization opportunities
The outcome is a PAM Modernization Roadmap and Executive Business Case deliverable aligned to the organization’s security, operational, and financial priorities, established before any product decision.
“Traditional privileged access was built on giving people accounts, granting them privileges, and then trying to manage those privileges. That worked when environments were slower and there were few people. Now identities have exploded, and the blast radius of any standing account is bigger than it has ever been. If we get the identity model right for humans and non-humans, the same model extends to AI agents. If we don’t, we end up bolting AI access onto an architecture that’s already showing its age,” said Sameer Patwardhan, former SVP of Technology at Forbes, where he led the company’s move to Britive.
Delivered With Leading Advisory Partners
Privileged access transformation is a security and business transformation, not a technology replacement. Britive delivers it with leading cybersecurity advisory partners, who use the Britive platform to discover and classify existing privileged access exposure across cloud and on-premises environments and to build the transformation roadmap. As projects move into implementation, Britive provides the platform capabilities for ephemeral access, runtime authorization, and Zero Standing Privilege, including Britive ARC™ to extend the same model to AI agents. Authorization remains continuous after access is granted: inbound Shared Signals Framework events can revoke an agent’s active access mid-task, and every agent tool call is recorded with the prompt, tool, arguments, and, where supplied, the agent’s stated intent.
“Enterprises understand that privileged access has to evolve. What they struggle with is how to make the leap from years of existing investments and siloed solutions to a more modern unified approach,” said David (DJ) Morimanno, Field CTO, Xalient. “That’s where they rely on partners to assess where privilege and exposure exist today, and to guide them along a pragmatic roadmap toward dynamic authorization built for an increasingly autonomous world.”
Addressing the Commercial Side of Modernization
Commercial complexity can also stall modernization. Many organizations maintain multiple overlapping access tools, each with its own licensing and operational burden. As part of the program, Britive and its partners advise on the commercial aspects of consolidation, including incentives that remove cost duplication during the transition, so decisions can be driven by security and business priorities rather than contract timing.
Getting Started
To request more information, schedule a demo, or connect with an advisory partner about the program, visit https://www.britive.com/resource/events/modernization-readiness-review
About Britive
Britive is the runtime authorization platform for privileged access across every identity that runs the modern enterprise: AI agents, non-human identities, and people. Instead of managing standing privileged accounts and long-lived credentials, Britive creates privileged access at the moment an authorized action requires it and removes it when the work is done, across cloud, SaaS, databases, servers, and on-premises systems that still depend on traditional credentials. One access model and one audit trail govern every identity in one platform, with no endpoint software to deploy.
Britive ARC™ (Agentic Runtime Control) brings that model to every action an AI agent takes. Each tool call is authorized as it happens, privilege is created for that action without handing the agent a credential, and disallowed commands are blocked before they reach the resource. When the task ends, the access is gone, so nothing is left standing between tasks. Learn more at britive.com
Media Contact
Miad Moussawi
miad.moussawi@britive.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/britive-launches-frictionless-pam-transformation-program-to-modernize-privileged-access-for-the-autonomous-era-302893915.html
SOURCE Britive
NGEN Mission Critical Launches Single-Accountability Service Model, Helping Data Center Developers Unlock Manufacturing Capacity for Power and Cooling Equipment
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