Yunhong Green CTI Ltd. Reports 25% Revenue Growth in Q2 2025

Yunhong Green CTI Ltd. reported its financial results for the second quarter of 2025, revealing a net sales increase of 25% to $5.46 million compared to $4.35 million in the same period of 2024. For the first half of 2025, net sales reached $10.26 million, an 11% rise from $9.25 million in the prior year. The company attributed the quarterly growth primarily to increased sales in its film products segment, which saw revenues rise to $350,000 from $171,000 year-over-year, while sales of other products surged by 125% to $2.1 million. However, foil balloon sales decreased slightly to $3.01 million from $3.25 million, attributed to shipment timing.

The company's gross profit for the second quarter was $978,000, up from $692,000 in 2024, while the gross profit margin improved to 18% from 16%. Operating expenses decreased to $959,000 from $863,000, leading to a modest income from operations of $19,000, a significant turnaround from a loss of $171,000 in the same quarter last year. Despite these improvements, Yunhong reported a net loss of $228,000 for the quarter, although this was an improvement from a loss of $470,000 in the prior year.

Yunhong's total assets decreased to $22.74 million as of June 30, 2025, down from $25.58 million at the end of 2024. Current assets also fell to $12.24 million, primarily due to a reduction in cash and accounts receivable. The company’s current liabilities decreased significantly to $8.20 million from $11.41 million, reflecting a reduction in its line of credit and accrued liabilities. Shareholders' equity increased to $11.35 million, up from $10.70 million, driven by the issuance of common stock and preferred stock.

Operationally, Yunhong continues to rely heavily on a limited customer base, with two customers accounting for 38% and 44% of net sales in the second quarter. The company has also faced challenges related to supply chain disruptions and inflationary pressures, which have impacted its operations and financial performance. As of June 30, 2025, the company had cash and cash equivalents of $18,000, a decrease from $22,000 a year earlier, raising concerns about liquidity.

Looking ahead, Yunhong Green CTI Ltd. is focused on improving its financial position and operational efficiency. The company plans to explore additional financing options to support its operations and growth initiatives. Management has expressed uncertainty regarding its ability to continue as a going concern, emphasizing the need for adequate capital to fund its operating plan. The company is also monitoring compliance with Nasdaq listing requirements, as it seeks to regain compliance with the minimum bid price rule by October 2025.