Jingbo Technology Reports $6.7 Million Net Loss and Revenue Decline for Fiscal Year Ending February 2026

Jingbo Technology, Inc. reported a net loss of $6.7 million for the fiscal year ending February 28, 2026, compared to a loss of $6.0 million in the previous year. The company's total revenues decreased to $1.54 million from $2.14 million, primarily due to the termination of the Xiaoshan airport project, which significantly impacted parking fee revenues. The cost of revenues also saw a decline, dropping to $1.64 million from $2.54 million, reflecting the reduced operational scale following the project's cessation.

The company’s operational expenses increased to $6.47 million from $5.09 million, driven by a substantial rise in impairment for credit losses, which surged to $2.71 million from $0.54 million. This increase was attributed to a higher allowance for bad debts related to deposits. Selling and marketing expenses decreased significantly to $0.17 million from $0.58 million, while general and administrative expenses also fell to $2.49 million from $3.17 million, indicating a tightening of operational costs.

In terms of strategic developments, Jingbo Technology underwent a significant corporate restructuring, including a share exchange agreement with Intellegence Parking, which was completed in January 2023. This transaction resulted in Intellegence Parking becoming the major shareholder of the company. Additionally, the company has been focusing on expanding its smart parking solutions through its subsidiaries and variable interest entities (VIEs), which include several technology firms engaged in smart parking application software and platform operations.

As of February 28, 2026, Jingbo Technology's total assets were reported at $7.78 million, a decrease from $12.22 million in the previous year. The company’s total liabilities increased to $39.06 million from $35.23 million, reflecting ongoing financial pressures. The company has acknowledged substantial doubt about its ability to continue as a going concern, primarily due to its accumulated deficit of $41.99 million and a working capital deficit of $9.75 million. Management is exploring various financing options, including equity financing and loans, to support its operations and mitigate liquidity risks.

Looking ahead, Jingbo Technology aims to enhance its operational efficiency and revenue generation capabilities while navigating the complexities of the regulatory environment in China. The company is also focused on leveraging its VIE structure to maintain control over its operations in the Chinese market, despite the inherent risks associated with this corporate structure. The management's outlook remains cautious, emphasizing the need for strategic financial planning and potential restructuring to ensure sustainability in the face of ongoing challenges.