Here Group (NASDAQ:HERE) reported unaudited financial results for the second quarter of fiscal year 2026, covering the period from October to December 2025.
The company posted revenues of RMB177.3 million (US$25.3 million), representing a robust 39.4% increase compared to the previous quarter.
The growth underscores the company’s success in scaling its intellectual property (IP) business, which now features 18 distinct IPs as of December 31, 2025.
Despite the top-line momentum, the company recorded a net loss from continuing operations of RMB25.4 million (US$3.6 million).
On an adjusted basis, the net loss was RMB16.1 million (US$2.3 million).
Management attributed this performance to margin pressure stemming from the rapid expansion of offline retail and distribution channels, a move intended to deepen the market presence of its core character brands.
The company’s capital allocation strategy remains focused on shareholder returns amid its growth phase.
Under an active US$20 million share repurchase program, Here Group has spent US$10.8 million to buy back approximately 1.7 million American Depositary Shares (ADSs) as of March 6, 2026.