Cheetah Net Supply Chain Service Inc. Announces Third Quarter 2026 Results and Provides Corporate Update

Revenue surged on a new acquisition, but net losses nearly doubled year-over-year.

What the company is saying

Cheetah Net Supply Chain Service Inc. is emphasizing a dramatic increase in quarterly revenue to $3,557,805, up 883% from the prior year, attributing this to the acquisition of Super International Trading Limited in May 2026. The company frames this as validation of its business diversification strategy, highlighting the international trading segment's $3.56 million in quarterly revenue. Management, led by Chairman and CEO Tony Liu, acknowledges ongoing challenges in the logistics and warehousing segment, which reported zero revenue for the quarter after the disposition of Edward and expiration of TWEW's contracts. The narrative stresses continued focus on operational efficiency, disciplined capital allocation, and the pursuit of strategic opportunities. The tone is measured, balancing optimism about the trading segment with transparency about persistent losses and restructuring in legacy operations. The company explains the reduced operating loss by citing higher gross profit and the absence of a prior-year impairment, while also noting that higher general and administrative expenses and a $2,783,884 non-cash loss on contingent consideration drove the net loss higher.

What the data suggests

The financials reveal that while quarterly revenue soared to $3,557,805 from $361,935, this growth was entirely due to the newly acquired Super International Trading Limited, as the legacy logistics and warehousing business contributed no revenue. Operating loss narrowed to $821,890 from $1,564,479, aided by a $237,229 increase in gross profit and the absence of a $731,307 impairment, but was offset by a $287,851 rise in general and administrative expenses. Net loss from continuing operations nearly doubled to $2,547,995 from $1,314,650, primarily due to a $2,783,884 loss from the change in fair value of acquisition-related contingent consideration. Interest income rose to $398,232 and other income to $666,508, but these were insufficient to offset the large non-cash charge. For the nine months, net loss from continuing operations was $3,093,215, up from $2,581,087, and net cash used in operations was approximately $2.5 million. Liquidity remains strong with $14.5 million in cash, $87.1 million in working capital, a $41.8 million investment deposit receivable due by year-end, and $29.5 million in loans receivable. The company’s path to profitability is unclear, as revenue gains are not translating into bottom-line improvement due to high expenses and significant non-cash losses.

Analysis

The announcement is a factual quarterly and nine-month financial update, with all major claims supported by detailed numerical disclosures. The tone is neutral, and there is no evidence of exaggerated or promotional language. While revenue increased sharply due to the acquisition of Super International Trading Limited, the company remains loss-making, with net losses increasing year-over-year. Forward-looking statements are present but are generic (e.g., focus on growth, operational efficiency) and not paired with specific, unsubstantiated projections. The capital intensity signals (acquisition, investment deposit) are already realised and fully disclosed, with no claims of imminent large-scale future benefits. The gap between narrative and evidence is minimal, as the release is transparent about both improvements and ongoing challenges.

Risk flags

• ●Sustained and growing net losses pose a significant financial risk, with quarterly net loss from continuing operations rising to $2,547,995 and nine-month net loss reaching $3,093,215. This trend, despite revenue growth, suggests the company has not yet achieved operational leverage.
• ●The logistics and warehousing segment generated no revenue this quarter, reflecting the loss of legacy business after the disposition of Edward and contract expirations. The company's ability to restore this revenue stream is uncertain, as renegotiations are still in progress.
• ●A $2,783,884 non-cash loss from the change in fair value of acquisition-related contingent consideration asset materially impacted results, highlighting exposure to volatile accounting items linked to recent M&A activity.
• ●The company is reliant on a $41.8 million receivable from the withdrawal of an investment deposit, which is due by December 30, 2026. Any delay or default on this repayment could materially affect liquidity.
• ●While liquidity is currently strong, with $14.5 million in cash and $87.1 million in working capital, ongoing negative cash flow from operations ($2.5 million used in nine months) could erode this position if losses persist and the receivable is not collected on time.

Bottom line

Cheetah Net Supply Chain Service Inc. delivered a sharp revenue increase driven solely by its new international trading business, but this did not translate to improved profitability. Net losses nearly doubled year-over-year, mainly due to a large non-cash charge related to acquisition accounting and persistently high expenses. The legacy logistics and warehousing business is effectively dormant, with no revenue this quarter and uncertain prospects for contract renewals. Liquidity is currently robust, but the company is dependent on the timely collection of a $41.8 million receivable by year-end to maintain this position. The most important takeaway is that while the acquisition has transformed the top line, the business remains structurally unprofitable, and the sustainability of recent revenue gains and the outcome of contract renegotiations will determine whether the company can reverse its negative cash flow trend.

Announcement summary

(NASDAQ:CTNT) Cheetah Net Supply Chain Service Inc. reported total revenue of $3,557,805 for the quarter ended September 30, 2026, an increase of $3,195,870 or 883.0% compared to $361,935 in the same period in 2025. The company recorded an operating loss of $821,890 for the quarter, down from an operating loss of $1,564,479 in Q3 2025, a decrease of $742,589 or 47.5%. The reduction in operating loss was primarily due to an increase of $237,229 in gross profit and the absence of an impairment loss of $731,307 recognized in Q3 2025, partially offset by an increase of $287,851 in general and administrative expenses. Other expenses, net, were $1,726,105 for the quarter, mainly due to a $2,783,884 loss from the change in fair value of acquisition-related contingent consideration asset, partially offset by interest income of $398,232 and other income of $666,508. The company reported a net loss from continuing operations of $2,547,995 for Q3 2026, compared to $1,314,650 in Q3 2025, an increase in net loss of $1,233,345 or 93.8%. For the logistics and warehousing segment, revenue was $nil in Q3 2026, down from $361,935 in Q3 2025, due to the disposition of Edward and expiration of TWEW’s legacy contracts. Cost of revenue for this segment was $nil in Q3 2026, down from $317,757 in Q3 2025. Gross profit for the segment was $nil, a decrease of $44,178 from Q3 2025. General and administrative expenses for logistics and warehousing decreased by $90,368 to $17,068 in Q3 2026. For the international trading segment, revenue was $3,557,805 in Q3 2026, all generated by Super International Trading Limited, acquired on May 27, 2026. Cost of revenue for this segment was $3,276,398 in Q3 2026. Gross profit was $281,407 for Q3 2026. General and administrative expenses for international trading were $23,349 in Q3 2026. Corporate unallocated general and administrative expenses increased by $354,870 to $1,048,697 in Q3 2026. Share-based compensation expenses were $14,183 in Q3 2026, down from $76,087 in Q3 2025. Interest income was $398,232 in Q3 2026, up from $244,776 in Q3 2025. Interest expense was $6,961 in Q3 2026, down from $7,849 in Q3 2025. Net other income was $666,508 in Q3 2026, up from $12,902 in Q3 2025. The company had a receivable from withdrawal of investment deposit of $41,762,995 as of September 30, 2026, representing RMB 280,000,000 contributed by Naiside to a PRC investment fund, repayable by Shanghai Kesheng by December 30, 2026. An unrealized foreign exchange gain of $652,422 was recognized on this receivable in Q3 2026. Excluding this non-cash gain, loss from continuing operations before income taxes would have been approximately $3,200,417 for Q3 2026. For the nine months ended September 30, 2026, revenue from logistics and warehousing was $92,700, down from $1,195,860 in 2025. Cost of revenue for this segment was $72,833, down from $1,060,526. Gross profit was $19,867, down from $135,334. General and administrative expenses for logistics and warehousing were $173,757, down from $353,506. For international trading, revenue was $4,426,714 for the nine months, with $4,217,805 attributable to Super International. Cost of revenue was $4,125,807. Gross profit was $300,907. General and administrative expenses for international trading were $43,433. Corporate unallocated general and administrative expenses were $2,529,043, up from $2,253,581. Share-based compensation expenses were $42,547, down from $102,716. Interest income was $814,069, up from $725,094. Interest expense was $21,460, down from $24,721. Net other income was $1,669,286, up from $42,658. An unrealized foreign exchange gain of approximately $1,631,708 was recognized in the nine months ended September 30, 2026. Excluding this non-cash gain, loss from continuing operations before income taxes would have been approximately $4,719,313. Other expense from the change in fair value of acquisition-related contingent consideration asset was $2,783,884 for the nine months ended September 30, 2026. Net loss from continuing operations for the nine months was $3,093,215, compared to $2,581,087 in 2025. The company reported a net loss of approximately $3.1 million for the nine months ended September 30, 2026, and net cash used in operating activities of approximately $2.5 million. As of September 30, 2026, cash and cash equivalents were approximately $14.5 million, working capital was $87.1 million, receivable from withdrawal of investment deposit was $41.8 million, and loans receivable from third parties were approximately $29.5 million.

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