Ta Yang Group Returns to Profit on Back of Strategic Transformation

HONG KONG, August 31, 2025 — Ta Yang Group Holdings Limited (1991.HK) has reported a return to profitability in its 2025 interim results, driven by business restructuring, efficiency measures and a push into digital and AI-led transformation.

For the six months ended 30 June 2025, the Group recorded sales revenue of HK$290.7 million, a 43.5% year-on-year decline. However, gross profit surged 66.6% to HK$61.8 million, lifting gross margins by 14 percentage points to 21.3%. Net profit stood at HK$2.4 million, reversing earlier losses.

The turnaround was attributed to optimised business structures, reduced expenses, and improved performance across core segments, particularly Online Marketing Solutions. Selling and distribution expenses fell 10.9% to HK$11.4 million, while administrative expenses dropped 29.3% to HK$44.8 million.

Core Businesses Show Resilience

Despite headwinds including China-US tariff volatility and shifting supply chains, Ta Yang maintained stability in its traditional silicone business, bolstered its digital marketing arm, and streamlined its UK supermarket operations.

The Group’s digital marketing subsidiary, Jusheng Technology, continued to serve as a leading Douyin (TikTok) operations provider in China. While revenues in the segment declined, profitability improved, reflecting a stronger focus on service innovation, cost efficiency and client growth support.

Jusheng offers end-to-end services including content strategy, e-commerce operations, livestream hosting and advertising solutions. The Group highlighted strong confidence in the long-term growth potential of the e-commerce market, signalling further strategic investments in the segment.

Web 4.0 and RWA Tokenisation: The Next Growth Driver

Looking ahead, Ta Yang said it would accelerate its Web 4.0 transformation, combining AI-powered digital humans with the tokenisation of Real World Assets (RWA). The strategy is centred on education, gaming and healthcare, with plans to standardise data, digitalise assets and foster cross-sector collaboration.

The company is developing AI digital humans equipped with humanised intelligent agents, alongside platforms aimed at integrating intelligent assets with industry value chains. These initiatives are expected to support new capital flows into Chinese enterprises and establish a global AI-driven digital entrepreneurship ecosystem.

Chairlady Shi Qi said the company’s pivot towards AI and digital assets marks “an important milestone” for Ta Yang.

“Web 4.0 is an integration of Web 3.0’s decentralised architecture with AI’s autonomous decision-making and human-machine interaction, forming a data-driven, self-evolving Internet ecosystem,” she explained.

“AI, as the ‘ultimate brain’, redefines education by turning data into ‘thinking assets’, while RWA acts as a ‘financial bridge’ to realise value flows. Together, they give rise to ‘intelligent assets’. As Ta Yang Group’s transformation blueprint gradually becomes a reality, it is expected to create more value and deliver attractive returns to shareholders.”

AsiaBizToday