Treasure Global Inc. Reports 89.4% Revenue Decline and $23.38 Million Net Loss for Fiscal Year Ending June 30, 2025

Treasure Global Inc. (TGL) reported a significant decline in financial performance for the fiscal year ending June 30, 2025, with total revenues dropping approximately 89.4% to $2.33 million from $22.07 million in the previous year. The decrease was primarily driven by a substantial reduction in product and loyalty program revenue, which fell by 97.1% to $619,897, as the company streamlined its product offerings and reduced marketing expenditures. In contrast, revenue from customized software development services emerged as a new revenue stream, contributing $1.48 million, marking a notable shift in the company's business model.

The company also experienced a net loss of approximately $23.38 million for the year, compared to a loss of $6.59 million in the prior year. This increase in losses was attributed to a $19.52 million impairment of long-lived assets, reflecting a strategic pivot away from certain product lines. Operating expenses decreased overall, with selling expenses dropping by 92.6% to $129,467, largely due to reduced marketing efforts. General and administrative expenses also fell by 19.5% to $3.63 million, indicating a focus on cost management.

Operationally, TGL reported a registered user base of 2,708,641 and 2,027 registered merchants as of October 2025. However, the company faced challenges in user engagement, with active users declining significantly over the past five quarters. The active user count fell to 4,887, representing a churn rate of 54.9% in the last quarter. This decline was attributed to reduced e-voucher purchases and a strategic decision to cut back on customer rewards and marketing spending, which diminished the platform's appeal.

In terms of strategic developments, TGL has made several acquisitions and partnerships to enhance its service offerings. Notably, the company entered into a partnership with Credilab Sdn. Bhd. to integrate credit services into its ZCITY App, and it has also engaged in software development agreements with various firms to expand its technological capabilities. Despite these efforts, TGL's management expressed substantial doubt about the company's ability to continue as a going concern, citing ongoing losses and the need for additional capital to support operations.

Looking ahead, TGL aims to leverage its partnerships and new revenue streams to stabilize its financial position. The company plans to continue investing in technology and user engagement strategies while exploring opportunities for geographic expansion in Southeast Asia and Japan. However, the management's ability to execute these plans effectively will be critical in determining the company's future performance and sustainability.