Cluster Group Holdings Reports Continued Net Loss and Increased Liabilities for Six Months Ending June 30, 2026

Cluster Group Holdings Limited Co., formerly known as China Teletech Holdings Inc., reported its financial results for the six months ending June 30, 2026, revealing a continued lack of revenue generation. The company recorded a net loss of $14,620 for the period, a decrease from the net loss of $16,402 reported for the same period in 2025. Operating expenses also saw a decline, totaling $14,620, down 10.9% from $16,402 in the previous year, primarily due to reduced professional fees and administrative costs.

The company's balance sheet as of June 30, 2026, showed total liabilities of $76,013, an increase from $61,393 at the end of 2025. The liabilities included $68,994 owed to related parties, reflecting ongoing financial support from its CEO, Yan Ping Sheng, who has been advancing working capital to cover the company's expenses. The stockholders' deficit also widened to $76,013 from $61,393, driven by accumulated losses that now total $7,675,085.

Strategically, Cluster Group Holdings has undergone significant organizational changes, including a name change and a reverse stock split executed in January 2025. The company is actively seeking a merger or acquisition to establish operational activities, particularly in the food and ingredient industry, although no definitive agreements are currently in place. The management has indicated that they are in the preliminary stages of seeking funding to support these efforts, but there are no formal commitments or financing agreements established.

Despite the lack of operational revenue, the company has reported a stable number of shares outstanding, with 40,004,385 common shares issued and 1,500,000 shares of convertible preferred stock. The company’s management continues to evaluate potential business combinations, focusing on a model that integrates community-based demand with digital platform capabilities in the food sector. This model has reportedly been successful in affiliated operations, which serve over 4,000 community stores and 4 million households.

Looking ahead, the company acknowledges substantial doubt about its ability to continue as a going concern due to its lack of revenue and cash reserves. Management's primary plan involves raising additional capital through public or private equity offerings to fund ongoing operations and execute its business strategy. However, the success of these efforts is uncertain and contingent on market conditions and investor interest. The company has not yet identified any alternative sources of capital, which may hinder its ability to sustain operations in the future.