May 29, 2026
FosRich Company Limited (FOSRICH)
Unaudited financials for the first quarter ended March 31, 2026:
FosRich Company Limited (FOSRICH) for the first quarter ended March 31, 2026, reported a 51% decrease in revenue totalling $415.19 million compared to $852.91 million in the corresponding three months last year.
Cost of Sales amounted to $273.91 million (2025: $547.34 million), representing a decrease of 50% year over year. Consequently, gross profit decreased by 54% to $141.28 million compared to $305.57 million for the first quarter ended March 31, 2025. Gross profit margin came in at 34.0% (2025: 35.8%).
Other Income increased significantly to $7.74 million (2025: $779,235), while Administrative and other expenses decreased by 9% from $337.37 million in 2025 to $307.02 million for the three months. The Expected Credit Loss Adjustment for the first quarter amounted to a $22.23 million gain (2025: $8.90 million gain).
Operating loss for the three months amounted to $136.59 million, a 460% deterioration relative to the operating loss of $24.37 million reported in 2025.
Finance cost totalled $42.22 million, a marginal 5% decrease from the corresponding period last year (2025: $44.23 million).
Loss before taxation for the first quarter ended March 31, 2026, amounted to $178.81 million, a 161% deterioration relative to the net loss of $68.60 million reported in 2025.
No taxes were reported for the three months ended March 31, 2026 (2025: Nil). As such, Net Loss for the three months amounted to $178.81 million, a 161% increase from the $68.60 million net loss reported in 2025.
FosRich noted that revenue continues to be impacted by the substantial fall in solar panel costs on world markets. The company also highlighted that global partners, amid continuing uncertainties in the US market, have offered more favourable credit terms in an effort to broaden and deepen relationships with non-US customers, which is beginning to provide measurable benefits. Management has outlined a series of turnaround initiatives including a sale and lease-back of real estate properties to liquidate existing loans and fund inventory purchases, the anticipated opening of a new Molynes Superstore by end of Q3 2026, inventory rationalisation focused on high-performing products, continued discipline around administrative expenditures, and vertical integration strategies through partnerships with property developers.
Consequently, Loss Per Share for the three months amounted to $0.04 (2025: LPS $0.01). The twelve-month trailing LPS was $0.12, and the number of shares used in these calculations was 5,078,485,197.
Notably, FOSRICH’s stock price closed on May 28, 2026, at a price of $1.98.
Balance Sheet Highlights
The company’s total assets stood at $6.49 billion (2025: $7.05 billion), reflecting a 8% contraction year over year, driven primarily by a 23% decline in inventories to $1.84 billion (2025: $2.38 billion) and a 23% reduction in receivables to $494.02 million (2025: $645.29 million).
Shareholders’ equity was $1.31 billion (2025: $1.93 billion), representing a book value per share of $0.26 (2025: $0.38). The decline in equity reflects the accumulation of net losses over the intervening period, with retained earnings falling to $254.54 million from $870.95 million at March 2025.
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