Datasea Inc. Reports 648.7% Revenue Growth to $10.35 Million in Latest Quarter

Datasea Inc. reported significant financial growth in its latest quarterly filing, with revenues reaching $10.35 million for the three months ended March 31, 2025, compared to $1.38 million in the same period last year, marking an increase of 648.7%. For the nine months ending March 31, 2025, total revenues were $51.89 million, a 164.6% increase from $19.61 million in the prior year. The company attributed this growth primarily to the rapid expansion of its 5G AI multimodal digital business, which has established a leading market position in China.

The company's gross profit also saw a substantial increase, rising to $297,790 for the quarter and $912,223 for the nine-month period, compared to $9,871 and $186,841, respectively, in the previous year. This improvement in profitability is reflected in a narrowing of the net loss, which decreased by 57% to $1.78 million for the quarter and by 28.5% to $4.88 million for the nine months. The company’s cash balance increased significantly by 378% to $866,737, while accounts receivable dropped by 93.2%, indicating improved capital turnover.

Strategically, Datasea has made notable advancements, including the acquisition of intangible assets that increased by nearly 597% to $3.81 million, underscoring its commitment to innovation and long-term competitiveness. The company has also expanded its customer base, with significant contracts in place with various partners in the beauty and healthcare sectors, which are expected to drive further revenue growth. Additionally, Datasea has established a wholly-owned subsidiary in Delaware to facilitate its international expansion, particularly in the U.S. market.

Operationally, Datasea has focused on enhancing its product offerings and market presence. The company has introduced new acoustic high-tech products and expanded its 5G AI multimodal digital services, which are now being utilized across various industries, including finance, healthcare, and logistics. The company plans to continue its growth trajectory by leveraging its technological advancements and expanding its market reach, with a target revenue of $90 million for the full fiscal year 2025.

Looking ahead, Datasea remains optimistic about its future, emphasizing the importance of ongoing innovation and strategic partnerships to drive growth. The company is committed to improving its operational efficiency and market share while navigating the challenges of the competitive landscape. However, it also acknowledges the need for additional funding to support its operations and growth initiatives, indicating potential future capital raises to ensure continued success.