BEIJING, May 21, 2026 /PRNewswire/ -- Scienjoy Holding Corporation ("Scienjoy", the "Company", or "we") (NASDAQ: SJ), a leader in interactive entertainment in China, today announced its financial results for the first quarter ended March 31, 2026.

First Quarter 2026 Operating and Financial Summaries

• Total revenues decreased to RMB282.6 million (US$41.0 million) in the first quarter of 2026 from RMB307.3 million as compared to the same period in 2025.
   
• Gross profit decreased to RMB50.2 million (US$7.3 million) in the first quarter of 2026 from RMB59.5 million as compared to the same period in 2025. Gross margin decreased to 17.7% in the first quarter of 2026 from 19.4% as compared to the same period in 2025.
   
• Income from operations decreased to RMB11.3 million (US$1.6 million) in the first quarter of 2026 from RMB13.7 million as compared to the same period in 2025.
   
• Net income was RMB7.6 million (US$1.1 million) in the first quarter of 2026, as compared to a net loss of RMB13.0 million in the same period of 2025. 
   
• Net income attributable to the Company's shareholders was RMB8.9 million (US$1.3 million) in the first quarter of 2026, as compared to a net loss attributable to the Company's shareholders of RMB9.1 million in the same period of 2025.
   
• Adjusted net income attributable to the Company's shareholders was RMB9.4 million (US$1.4 million) in the first quarter of 2026, as compared to a net loss adjusted attributable to the Company's shareholders of RMB5.5 million in the same period of 2025.
   
• As of March 31, 2026, the Company had RMB326.3 million (US$47.3 million) in cash and cash equivalents, which represented an increase of RMB18.7 million from RMB307.7 million as of December 31, 2025.

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented: "The first quarter of fiscal year 2026 marked a meaningful return to profitability, demonstrating the resilience of our core live streaming business and the effectiveness of our disciplined operating strategy. Our live streaming platform remains a key cash-generating unit, providing Scienjoy a stable stream of cash flow and a user engagement base to support investment in future growth.

At the same time, we are accelerating our AI strategy across both consumer and enterprise markets. Through AI Vista Live!, which was upgraded from AI Vista, and our broader AI initiatives, Scienjoy is positioning itself as an AI enabler, transforming advanced technologies into practical, interactive, and commercially scalable applications. We remain focused on optimizing our current cash-generating businesses while building AI-driven growth engines with the potential to expand our addressable market and create long-term shareholder value."

Mr. Denny Tang, Chief Financial Officer of Scienjoy, added: "We are pleased to report a return to net income in the first quarter of 2026, with net income at RMB7.6 million from a net loss of RMB13.0 million as compared to the same period in 2025. This turnaround reflects disciplined cost management and continued operational optimization.

We maintained prudent expense controls while continually invested in R&D, which reflects our balanced approach to preserving profitability in our core live streaming business and investing in AI capabilities for future growth. With cash and cash equivalents increasing to RMB326.3 million as of March 31, 2026, we believe Scienjoy is well positioned to support AI commercialization, enterprise solutions, and sustainable long-term value creation."

First Quarter 2026 Financial Results

Total revenues decreased to RMB282.6 million (US$41.0 million) in the first quarter of 2026 from RMB307.3 million in the same period of 2025, primarily caused by a decrease in paying users due to competitive landscape of China's mobile live streaming market. Total paying users were 123,266 in the first quarter of 2026, as compared to 151,971 in the same period of 2025.

Cost of revenues decreased to RMB232.5 million (US$33.7 million) in the first quarter of 2026 from RMB247.8 million as compared to the same period in 2025. The decrease was primarily attributable to a decrease of RMB10.1 million in revenue sharing fees and a decrease of RMB6.4 million in user acquisition costs, offset by an increase of RMB1.0 million in other costs. 

Gross profit decreased to RMB50.2 million (US$7.3 million) in the first quarter of 2026 from RMB59.5 million as compared to the same period in 2025. The gross margin decreased to 17.7% in the first quarter of 2026 from 19.4% as compared to the same period in 2025 due to decreased revenue coupled with certain fixed costs that did not decrease proportionally.

Total operating expenses decreased to RMB38.8 million (US$5.6 million) in the first quarter of 2026 from RMB45.8 million as compared to the same period in 2025.

• Sales and marketing expenses decreased to RMB0.9 million (US$0.1 million) in the first quarter of 2026 from RMB2.1 million as compared to the same period in 2025, primarily attributable to less marketing activities. 
   
• General and administrative expenses decreased to RMB18.3 million (US$2.7 million) in the first quarter of 2026 from RMB23.4 million as compared to the same period in 2025. The decrease was primarily due to a decrease of RMB3.1 million in professional consultant fee and a decrease of RMB1.7 million in amortization of intangible assets.
   
• Research and development expenses were approximately the same at RMB19.6 million (US$2.8 million) in the first quarter of 2026 and 2025.
   
• Provision for credit losses decreased to RMB0.01 million (US$0.001 million) in the first quarter of 2026 from RMB0.8 million as compared to the same period in 2025, due to improved collection.

Income from operations decreased to RMB11.3 million (US$1.6 million) in the first quarter of 2026 from RMB13.7 million as compared to the same period in 2025.

Change in fair value of investment in marketable security decreased to loss of RMB1.5 million (US$0.2 million) in the first quarter of 2026 from a loss of RMB24.3 million as compared to the same period in 2025. The change was primarily attributable to the fair value changes in investments in a publicly traded company.

Investments income amounted to RMB0.1 million (US$0.02 million) in the first quarter of 2026, as compared to an investment loss of RMB0.4 million as compared to the same period in 2025. The increase investment income was primarily attributable to more income distributed by long-term investments.

Interest income, net increased by 22.4% to RMB0.7 million (US$0.1 million) in the first quarter of 2026 from RMB0.5 million as compared to the same period in 2025. The increase was primarily due to higher average bank deposits held.

Other income, net decreased to RMB0.1 million (US$0.02 million) in the first quarter of 2026 from RMB1.4 million as compared to the same period in 2025. The decrease was primarily due to decreased one-time compensation income.

Foreign exchange loss was RMB0.3 million (US$0.04 million) in the first quarter of 2026 from RMB1.0 million as compared to the same period in 2025.

Net income was RMB7.6 million (US$1.1 million) in the first quarter of 2026, as compared to a net loss of RMB13.0 million in the same period of 2025.

Net income attributable to the Company's shareholders was RMB8.9 million (US$1.3 million) in the first quarter of 2026, as compared to a net loss attributable to the Company's shareholders of RMB9.1 million in the same period of 2025.

Adjusted net income attributable to the Company's shareholders was RMB9.4 million (US$1.4 million) in the first quarter of 2026, as compared to a net loss adjusted attributable to the Company's shareholders of RMB5.5 million in the same period of 2025.

Basic and diluted net income attributable to the Company's shareholders per ordinary share were both RMB0.21 (US$0.03) in the first quarter of 2026. In comparison, basic and diluted net loss attributable to the Company's shareholders per ordinary share were both RMB0.22 in the same period of 2025.

Adjusted basic and diluted net income attributable to the Company's shareholders per ordinary share were both RMB0.22 (US$0.03) in the first quarter of 2026. In comparison, adjusted basic and diluted net loss attributable to the Company's shareholders per ordinary share were both RMB0.13 in the same period of 2025.

As of March 31, 2026, the Company had cash and cash equivalent balance of RMB326.3 million (US$47.3 million), which represented an increase of RMB18.7 million from RMB307.7 million as of December 31, 2025. 

Use of Non-GAAP Financial Measures

Adjusted net income attributable to the Company's shareholders is calculated as net income attributable to the Company's shareholders adjusted for share-based compensation. Adjusted basic and diluted net income per ordinary share is non-GAAP net income (loss) attributable to ordinary shareholders divided by weighted average number of ordinary shares used in the calculation of non-GAAP basic and diluted net income per ordinary share. The non-GAAP financial measures are presented to enhance investors' overall understanding of the Company's financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measures to its most directly comparable GAAP financial measures. As non-GAAP financial measures have material limitations as analytical metrics and may not be calculated in the same manner by all companies, they may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measures as a substitute for, or superior to, such metrics in accordance with US GAAP. 

For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of Non-GAAP Results" near the end of this release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.8980 to US$1.00, the noon buying rate in effect on March 31, 2026, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB amounts could have been, or could be, converted, realized or settled in U.S. dollars at that rate on March 31, 2026, or at any other rate.

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release. 

For investor and media inquiries, please contact:

Investor Relations Contacts

Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC

Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

Fiscal Year 2025 Operating and Financial Summaries

• Total revenues decreased to RMB1,241.6 million (US$177.5 million) for the year ended December 31, 2025 from RMB1,363.4 million for the year ended December 31, 2024.
  
  
• Gross profit decreased to RMB227.2 million (US$32.5 million) for the year ended December 31, 2025 from RMB245.4 million for the year ended December 31, 2024.
  
  
• Loss from operations was RMB78.9 million (US$11.3 million) for the year ended December 31, 2025, as compared to an income from operations of RMB40.7 million for the year ended December 31, 2024.
  
  
• Net loss was RMB595.0 million (US$85.1 million) for the year ended December 31, 2025, as compared to a net income of RMB26.7 million for the year ended December 31, 2024.
  
  
• Net loss attributable to the Company's shareholders was RMB587.1 million (US$84.0 million) for the year ended December 31, 2025, as compared to a net income attributable to the Company's shareholders of RMB39.7 million for the year ended December 31, 2024.
  
  
• Adjusted net loss attributable to the Company's shareholders was RMB579.6 million (US$82.9 million) for the year ended December 31, 2025, as compared to adjusted net income attributable to the Company's shareholders of RMB50.3 million for the year ended December 31, 2024.
  
  
• As of December 31, 2025, the Company had cash and cash equivalent balance of RMB307.7 million (US$44.0 million), which represented an increase of RMB55.1 million from RMB252.5 million as of December 31, 2024.

Note on Net Loss for Fiscal Year 2025

The net loss of RMB595.0 million (US$85.1 million) reported for the year ended December 31, 2025 was primarily driven by several major non-cash accounting items amounting to RMB712.3 million (US$101.9 million) that had no impact on the Company's cash and liquidity position or its ability to continue as a going concern. These major items include provisions for credit losses, impairment of goodwill and intangible assets.

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented, "2025 was a year of continued execution and strategic progress for Scienjoy. Our live streaming business, given our recent global expansion, continues to be profitable which demonstrates the resilience of our core operations. At the same time, we are accelerating our AI strategy. Building on our AIGC foundation with AI Vista, we are expanding into agentic AI with AI Vista Live!, which serves both B2C and B2B markets. AI Vista enables real-time, interactive AI performers for consumers while also providing scalable enterprise solutions across multiple industries. Supported by strong underlying financial performance and a solid cash position, we are well positioned for future growth and deliver long-term value to our shareholders."

Mr. Denny Tang, Chief Financial Officer of Scienjoy, added, "In the fourth quarter of 2025, we conducted a review of our assets and recorded certain non-cash impairment provisions which did not impact our core operations or cash flow. Apart from these accounting effects, we believe our business remains strong, supported by our core operations and continued Average Revenue Per Paying User (ARPPU) growth. Additionally, our cash and cash equivalents increased by 21.8% during the year, reflecting our operationally-driven capability to sustain on-going business operations and support planned expansion. With a healthy balance sheet, we are well positioned to support continued investment in AI innovation and global expansion."

Fiscal Year 2025 Financial Results

Total revenues decreased to RMB1,241.6 million (US$177.5 million) for the year ended December 31, 2025 from RMB1,363.4 million for the year ended December 31, 2024 primarily caused by a decrease of paying users due to the increasing competitive landscape of China's mobile live streaming market. Total paying users were 383,695 for the year ended December 31, 2025, compared to 494,652 for the year ended December 31, 2024. 

Cost of revenues decreased to RMB1,014.5 million (US$145.1 million) for the year ended December 31, 2025 from RMB1,117.9 million for the year ended December 31, 2024. The decrease was primarily attributable to a decrease of RMB128.3 million in the Company's revenue sharing fees, offset by an increase of RMB23.4 million in the Company's user acquisition costs.

Gross profit decreased to RMB227.2 million (US$32.5 million) for the year ended December 31, 2025 from RMB245.4 million for the year ended December 31, 2024. Gross margins increased to 18.3% for the year ended December 31, 2025 from 18.0% in the year ended December 31, 2024 due to higher average live streaming revenue per paying user ("ARPPU") during the year ended December 31, 2025, demonstrating the Company's effectiveness in converting high-quality paying user to its profit growth.

Total operating expenses increased by 49.5% to RMB306.1 million (US$43.8 million) for the year ended December 31, 2025 from RMB204.7 million for the year ended December 31, 2024.

• Sales and marketing expenses decreased to RMB6.4 million (US$0.9 million) for the year ended December 31, 2025 from RMB7.0 million for the year ended December 31, 2024, primarily attributable fewer sales and marketing activities.
  
  
• General and administrative expenses increased by 16.1% to RMB89.0 million (US$12.7 million) for the year ended December 31, 2025 from RMB76.6 million for the year ended December 31, 2024. The increase was primarily due to an increase of RMB12.4 million in professional consulting fees.
  
  
• Research and development expenses decreased to RMB83.4 million (US$11.9 million) for the year ended December 31, 2025 from RMB90.5 million for the year ended December 31, 2024, due to a decrease of RMB9.0 million in employee salary and welfare and a decrease of RMB1.3 million in share-based compensation, offset by an increase of RMB4.1 million in technical service fee.
  
  
• Provision for credit losses increased by 316.2% to RMB127.3 million (US$18.2 million) for the year ended December 31, 2025 from RMB30.6 million for the year ended December 31, 2024. Given the regulatory and tax policy changes in China for the livestreaming industry starting in the second half of the financial year ended 2025 and increasing credit risk of our third-party virtual currency distributors in the livestreaming industry, we provided additional allowances for credit losses for third-party virtual currency distributors we deem as high risk and with delinquent accounts. As a result, our provision for credit loss increased to RMB127.3 million (US$18.2 million) for the year ended December 31, 2025 from RMB30.6 million for the year ended December 31, 2024. The facts and circumstances of each third-party virtual currency distributors account may require the Company to use substantial judgment in assessing its collectability. The Company will continue to periodically review allowances and make necessary adjustments accordingly.

Loss from operations was RMB78.9 million (US$11.3 million) for the year ended December 31, 2025, as compared to an income from operations of RMB40.7 million for the year ended December 31, 2024.

Change in fair value of investment in marketable security was a loss of RMB29.1 million (US$4.2 million) for the year ended December 31, 2025, as compared to a gain of RMB6.1 million for the year ended December 31, 2024. The change was attributable to the fair value changes in investments in publicly traded companies. 

Investment income increased to RMB8.7 million (US$1.2 million) for the year ended December 31, 2025, as compared to investment loss of RMB5.7 million for the year ended December 31, 2024. The increase in investment income was attributable to share of unrealized gain in long-term investments. 

Impairment of long-term investments was nil for the year ended December 31, 2025, as compared to RMB10.4 million for the year ended December 31, 2024.

Interest income decreased to RMB1.7 million (US$0.2 million) for the year ended December 31, 2025 from RMB3.2 million for the year ended December 31, 2024. The decrease was primarily due to a lower interest rate environment relative to previous periods.

Impairment for goodwill During the fourth quarter of 2025, as a part of its annual impairment assessment,  the Company assessed its internal forecast along with several events and circumstances that could affect the significant inputs used to determine the fair value of the Company's reporting unit, including the significance of the amount, if any, of excess carrying value over fair value, consistency of the Company's current and forecasted operating margins and cash flows, budgeted-to-actual performance, timing of the expected effects of the Company's strategic initiatives, overall change in economic climate, changes in the industry and competitive environment, changes to the Company's risk-adjusted discount rates and earnings quality and sustainability. After considering all available evidence in the evaluation of goodwill impairment indicators including but not limited to regulatory and tax policy changes in China for the livestreaming industry starting in the second half of 2025, a significant decrease in paying users for the year ended December 31, 2025, and a continuous decline in the Company's operating income during the second half of 2025, the Company determined it appropriate to perform the quantitative assessment of the Company as of December 31, 2025. The quantitative impairment test involves the use of significant estimates and assumptions to evaluate the impact of operational and economic changes on each reporting unit. The Company estimates the fair value using the income valuation approach with assistance of a third-party valuation firm. The income approach applies a fair value methodology to the single reporting unit based on discounted cash flows. This analysis requires significant estimates and judgments, including (i) the estimation of future revenue, projected gross profit margins, projected operating costs, projected operating income margins, and projected capital expenditures, which are dependent on internal cash flow forecasts; and (ii) determination of the risk-adjusted discount rates. As a result of such goodwill impairment test, the Company recorded a full impairment of RMB186.2 million (US$26.6 million) on goodwill for the year ended December 31, 2025. The Company bases fair value estimates on assumptions that the Company believes to be reasonable but that are unpredictable and inherently uncertain. Actual future results may differ from those estimates. 

Impairment for intangible assets During annual impairment test performed in the fourth quarter of 2025, the Company identified several triggering events indicating that the carrying value of its intangible assets may exceed their fair value. These indicators included regulatory and tax policy changes in China for the livestreaming industry starting in the second half of 2025, the significant decrease in paying users for the year ended December 31, 2025, and a continuous decline in the Company's operating income during the second half of 2025. The Company performed a quantitative assessment as of December 31, 2025 using an income approach. The income approach utilized a discounted cash flow model based on the assumptions including management's best estimates of the expected future cash flows, risk-adjusted discount rate, and the estimated useful life of the asset group with assistance of a third-party valuation firm. Based on this analysis, the Company determined that the carrying values of its intangible assets were no longer recoverable. As a result of the fair value test, the Group recorded a full impairment of RMB398.8 million (US$57.0 million) on intangible assets for the year ended December 31, 2025.

Other income, net increased by 442.7% to RMB8.7 million (US$1.2 million) for the year ended December 31, 2025 from RMB1.6 million for the year ended December 31, 2024. The increase was primarily due to increased government subsidies and a one-time compensation income. There is no assurance that the Company will continue to receive these subsidies in the future.

Foreign exchange loss was RMB1.6 million (US$0.2 million) for the year ended December 31, 2025, as compared to foreign exchange gain of RMB3.8 million for the year ended December 31, 2024.

Income tax benefit was RMB80.4 million (US$11.5 million) for the year ended December 31, 2025, as compared to income tax expenses of RMB12.6 million for the year ended December 31, 2024.

Net loss was RMB595.0 million (US$85.1 million) for the year ended December 31 2025, as compared to a net income of RMB26.7 million for the year ended December 31, 2024. 

Net loss attributable to the Company's shareholders was RMB587.1 million (US$84.0 million) for the year ended December 31, 2025, as compared to a net income attributable to the Company's shareholders of RMB39.7 million for the year ended December 31, 2024.

Adjusted net loss attributable to the Company's shareholders was RMB579.6 million (US$82.9 million) for the year ended December 31, 2025, as compared to adjusted net income attributable to the Company's shareholders of RMB50.3 million for the year ended December 31, 2024.

Basic and diluted net loss attributable to the Company's shareholders per ordinary share were both RMB14.05 (US$2.01) for the year ended December 31, 2025. In comparison, basic and diluted net income attributable to the Company's shareholders per ordinary share was RMB0.96 and RMB 0.95 for the year ended December 31, 2024.

Adjusted basic and diluted net loss attributable to the Company's shareholders per ordinary share were both RMB13.87 (US$1.98) for the year ended December 31, 2025. In comparison, adjusted basic and diluted net income attributable to the Company's shareholders per ordinary share was RMB1.22 and RMB1.21 for the year ended December 31, 2024.

As of December 31, 2025, the Company had cash and cash equivalent balance of RMB307.7 million (US$44.0 million), which represented an increased by of RMB55.1 million from RMB252.5 million as of December 31, 2024. 

Use of Non-GAAP Financial Measures

Adjusted net income attributable to the Company's shareholders is calculated as net income attributable to the Company's shareholders adjusted for share-based compensation. Adjusted basic and diluted net income per ordinary share is non-GAAP net income (loss) attributable to ordinary shareholders divided by weighted average number of ordinary shares used in the calculation of non-GAAP basic and diluted net income per ordinary share. The non-GAAP financial measures are presented to enhance investors' overall understanding of the Company's financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measures to its most directly comparable GAAP financial measures. As non-GAAP financial measures have material limitations as analytical metrics and may not be calculated in the same manner by all companies, they may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measures as a substitute for, or superior to, such metrics in accordance with US GAAP. 

For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of Non-GAAP Results" near the end of this release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB6.9931 to US$1.00, the noon buying rate in effect on December 31, 2025, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB amounts could have been, or could be, converted, realized or settled in U.S. dollars at that rate on December 31, 2025, or at any other rate.

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts

Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC

Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

Streamer Avatars Launched in China, Unlocking Top Streamer Value

Leveraging its technological capabilities in digital human modeling, voice-driven systems, and real-time interaction, Scienjoy has officially launched a digital avatar livestreaming service on its flagship livestreaming platform in China. These avatars are trained using data from real streamers and can replicate their behavior and hosting styles with high fidelity, enabling round-the-clock broadcasting even when human hosts are offline.

The Company believes that this innovative hybrid model of "real streamer + digital avatar" will achieve uninterrupted content delivery, bridge offline gaps for top streamers, and enhance user retention, content supply, and operational flexibility across the platform. Upon launching the app, users can access real streamers or their clearly labeled digital avatars from the navigation menu. This transparent labeling eliminates potential viewer confusion and ensuring full compliance with Chinese livestreaming regulations—without compromising the quality of the live broadcast experience.

With the support of avatars, real streamers can concentrate on content creation and high-value viewer engagement during peak hours, while delegating routine interactions and long-tail traffic management to their digital avatars. This optimized workflow transforms time-constrained content production into sustainable digital productivity, further improving user retention, content supply, and platform operational efficiency and scalability.

Digital Streamers Piloted Overseas, Demonstrating Cross-Market Adaptability

Built on the same technological foundation, digital streamers have been piloted and deployed on Scienjoy's overseas platform, BeeLive. Unlike the Company's domestic platforms, BeeLive features a dedicated "Digital Streamer" tab, separate from the real human streamer section, allowing users to easily discover and switch between content hosted by human or AI-powered streamers.

These digital streamers are created through a standardized production pipeline and can be rapidly adapted to a wide range of livestreaming scenarios, including entertainment, gaming, and e-commerce. This provides Scienjoy's international operations with a stable, cost-effective, and highly scalable content solution.

The overseas pilot demonstrates the strong replicability of Scienjoy's digital streamer technology across diverse cultural and market environments, supporting the Company's global expansion with consistent and efficient content delivery.

A Unified Technical Infrastructure for Sustained Growth

From streamer avatars trained on real hosts to fully standardized, mass-producible digital streamers, Scienjoy's AI commercialization strategy is built on a unified technical infrastructure. This deployment represents not an endpoint, but a foundation for continued validation and scaling of its AI capabilities.

As AI integration deepens across its product portfolio, Scienjoy is strengthening its technology-driven growth model and accelerating its evolution from a traditional mobile internet company into an AI-powered technology enterprise.

Leadership Perspective

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented: "The deployment of AI-powered streamers across our platforms validates our technical capabilities and, more importantly, reflects our commitment to building a new growth model that integrates technology, real-world scenarios and business value. Moving forward, we will continue to deepen AI applications within our existing operations while expanding into new industry scenarios to build a sustainable growth trajectory."

"By enhancing technological standardization and cross-market adaptability, we aim to deliver more immersive and intelligent interactive experiences for users and provide enterprises with practical, results-driven AI solutions ."

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts
Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC
Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

The Extension follows the expiration on January 6, 2026 of the initial 180-calendar day period to regain bid price compliance. As a result of the Extension, the Company now has until July 6, 2026 to regain compliance with the Rule (the "New Compliance Period"). If during the New Compliance Period, the bid price for Scienjoy's Class A ordinary shares closes at or above US$1.00 per share for a minimum of 10, though generally not more than 20, consecutive business days, it is expected that Nasdaq would formally notify the Company that it has regained compliance with the Rule.

If the Company does not regain compliance with the Rule by July 6, 2026, it may be subject to delisting from Nasdaq. At that time, the Company may request a review of the delisting determination by a Nasdaq Hearings Panel.

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts
Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC
Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

As a newly launched Business-to-Business (B2B) product, AI Vista Live! is designed for broad applications across healthcare, entertainment, tourism, and public services sectors, as China's AI market accelerates toward a projected $202 billion valuation by 2032.

Unlike traditional cloud-based AI solutions, AI Vista Live! delivers tangible, application-focused capabilities through holographic displays and multiple interface options. The platform enables immersive, application-driven experiences that aims to address real operational challenges. The Company believes AI Vista Live! could position itself to capture substantial market share by translating AI capabilities into measurable efficiency gains, cost savings, and enhanced user engagement.

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, stated: "We do not view AI as a demonstration concept or a one-time technological upgrade. We see it as a long-term capability that reshapes how businesses operate. The core value of AI Vista Live! lies not in the technology itself, but in its sustained operation within real business environments designed to drive efficiency and generating tangible commercial returns.

"The depth and scale of the Chinese market provide an ideal testing ground for AI applications. Through our experience in live streaming and digital human scenarios, we are refining a replicable AI application framework and gradually extending this capability to traditional industries and global markets. Going forward, our focus will remain on reliable and durable value creation and profitability, rather than short-term technological narratives."

New Strategic Healthcare Partnership

Scienjoy's recently signed a partnership framework agreement (the "Agreement") with Hebei Wendao Elderly Care Service Group Co., Ltd. ("Wendao") exemplifies the AI Vista Live!'s impact potential.

Pursuant to the Agreement, Scienjoy will develop an AI-powered digital human companion, named "AI Digital Human Butler," across Wendao's elderly care facilities. The solution is expected to address healthcare workforce shortages while elevating care quality standards and elderly well-being.

Platform Adapts Across Multiple Industries

AI Vista Live! can be utilized across various industries. Beyond healthcare settings, entertainment and tourism sectors also benefit from holographic technology that creates immersive visitor experiences. The platform can also function as interactive guides in museums, cultural attractions, and entertainment venues, delivering engaging content that enhances visitor satisfaction while reducing operational costs. Public services applications can streamline citizen interactions with government agencies by efficiently handling routine inquiries and intelligently routing complex issues to appropriate personnel.

Physical AI Presence Creates Competitive Differentiation

Scienjoy's competitive advantage stems from its focus on physical AI presence, which distinguishes the platform from cloud-only competitors. Display options range from standard high-definition screens to holographic presentations, with computing hosts compatible with mainstream systems such as Android and macOS mini, enabling seamless integration across diverse commercial spaces. This flexibility allows organizations to deploy standalone units, integrate with existing infrastructure, or utilize mobile interfaces—tailoring implementation to their operational needs and budgets without rebuilding underlying infrastructure.

The platform emphasizes reliability and security through comprehensive encryption and data protection measures, ensuring compliance with Chinese data sovereignty requirements. Organizations gain confidence in deployment knowing their data remains protected while delivering advanced AI capabilities to end users.

Collaborative Approach Accelerates Market Entry

Scienjoy has adopted a flexible collaborative approach that accelerates deployment timelines of AI Vista Live! while reducing implementation risks. The Company provides comprehensive support throughout the full deployment lifecycle, including needs assessment, system configuration, staff training, and ongoing technical assistance. This approach ensures solutions align with real-world operational requirements rather than forcing organizations to adapt to generic technology platforms.

The platform's modular architecture supports continuous capability integration without requiring complete system replacements, thus protecting organizations' technology investments while enabling continuous improvement and scalability as AI capabilities advance. This future-proof design philosophy distinguishes AI Vista Live! from competitors offering rigid, replacement-dependent upgrade paths.

Market Outlook and Growth Opportunity

China's AI market trajectory creates substantial opportunities for platforms that deliver practical, application-focused solutions. According to Fortune Business Insights, China's AI market was estimated at $21.6 billion in 2024 and is expected to expand from $28.2 billion in 2025 to $202.0 billion by 2032, reflecting a compound annual growth rate (CAGR) of 32.5%.

Scienjoy believes AI Vista Live! is well positioned to capitalize on growing demand in China by 2026, as organizations across the healthcare, entertainment, tourism, and public services sectors seek tangible AI implementations that deliver measurable operational improvements.

By combining physical AI presence, holographic interfaces, and application-driven design, the platform addresses critical market demand for AI solutions that employees and customers can interact with in a real-world environment, creating more intuitive adoption patterns and greater return on investment.

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts

Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC
Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

AI Vista Live! delivers lifelike, real-time interaction through multimodal AI and multi-agent architecture. It is designed to serve both consumer and enterprise markets through multiple deployment formats, including a mobile application for consumers, customizable application programming interfaces (APIs) that allow developers to integrate and customize, and enterprise-grade hardware such as kiosk-style terminals and holographic 3D display systems. The platform offers flexible, dynamic behavioral models and rich content-generation capabilities while requiring minimal bandwidth through edge-side deployment, positioning it as a versatile solution for a wide range of use cases.

The platform's multimodal capabilities enable it to process and respond to diverse inputs, while its multi-agent architecture supports sophisticated, context-aware interactions. Key use cases include customer service, entertainment, education, and corporate communications.

SJ Meta's existing AI Vista App and Vista AI Photo Booth have maintained user engagement across multiple events and locations in the United Arab Emirates. Flagship clients of AI Vista Live! include the Abu Dhabi Securities Exchange, Emirates NBD, and Dubai Police, reinforcing AI Vista's growing reputation as a trusted provider of immersive AI experiences in the region.

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented, "The introduction of AI Vista Live! marks a pivotal moment in Scienjoy's AI innovation roadmap. It bridges the gap between digital interaction and human-like engagement, expanding the possibilities for businesses and consumers to experience and apply AI in real-world scenarios. Dubai serves as our strategic gateway to the Middle East, where demand for advanced AI solutions is accelerating. With AI Vista Live!, Scienjoy is strengthening its presence in next-generation digital human applications in the United Arab Emirates market, demonstrating our commitment to sustained innovation in the rapidly evolving digital-human technology revolution and long-term shareholder value."

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts

Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC

Tina Xiao
+1-646-932-7242
investors@ascent-ir.com

BEIJING, Nov. 27, 2025 /PRNewswire/ -- Scienjoy Holding Corporation ("Scienjoy", the "Company", or "we") (NASDAQ: SJ), an interactive entertainment leader in the Chinese market, today announced its unaudited financial results for the nine months ended September 30, 2025.

Nine Months 2025 Operating and Financial Summaries

• Total revenues decreased to RMB959.3 million (US$134.7 million) for the nine months ended September 30, 2025 from RMB1,012.5 million in the same period of 2024.
• Gross profit decreased to RMB177.9 million (US$25.0 million) for the nine months ended September 30, 2025 from RMB179.6 million in the same period of 2024.
• Income from operations increased by 30.9% to RMB46.2 million (US$6.5 million) for the nine months ended September 30, 2025 from RMB35.3 million in the same period of 2024.
• Net income decreased to RMB14.9 million (US$2.1 million) for the nine months ended September 30, 2025 from RMB34.2 million in the same period of 2024. 
• Net income attributable to the Company's shareholders decreased to RMB20.2 million (US$2.8 million) for the nine months ended September 30, 2025 from RMB42.7 million in the same period of 2024.
• Adjusted net income attributable to the Company's shareholders decreased to RMB26.7 million (US$3.8 million) for the nine months ended September 30, 2025 from RMB50.8 million in the same period of 2024.
• As of September 30, 2025, the Company had RMB254.1 million (US$35.7 million) in cash and cash equivalents, which represented an increase of RMB1.5 million from RMB252.5 million as of December 31, 2024.

Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented, "In the first nine months of 2025, we continued to strengthen our 'live streaming + gaming' ecosystem strategy by leveraging artificial intelligence to enhance user experience and improve both platform performance and internal operational efficiency. Our ongoing integration of AI technologies enables more dynamic user interactions, and streamlined management processes that drive higher productivity across the organization.

Building on this momentum, we are expanding AI Vista, our AIGC-driven creative platform, into AI Vista Live — extending AI-powered interaction to both consumers and enterprise users. AI Vista Live combines real-time digital human performance with creative content generation, unlocking new possibilities for entertainment, education, marketing, and corporate engagement.

At the same time, our global expansion continues to advance steadily, driven by our unwavering commitment to evolving from a domestic interactive entertainment leader into a global AI-powered ecosystem platform. Looking ahead, we will remain focused on deepening AI innovation, enhancing operational efficiency, and creating long-term value for our users, partners, and shareholders worldwide."

Mr. Denny Tang, Chief Financial Officer of Scienjoy, added, "The nine-month results demonstrate both the resilience and balance of our business strategy. Despite non-recurring losses related to investment buyback receivables, fair value changes in security investments, and foreign exchange fluctuations, our operating income maintained a robust year-over-year growth rate of 30.9%, even amid a 5.3% decline in revenue. Our improved gross margin further underscores our profitability and resilience against external headwinds. These key metrics reflect the health of our business and our ability to convert an expanding user base into real profit.

With stable cash reserves, we maintain ample liquidity to support ongoing innovation and global expansion. Going forward, we remain firmly committed to our long-term strategy of global growth and continuous innovation in content and technology, delivering sustainable value for both our company and our shareholders."

Nine Months 2025 Financial Results 

Total revenues decreased to RMB959.3 million (US$134.7 million) for the nine months ended September 30, 2025, from RMB1,012.5 million in the same period of 2024, primarily caused by a decrease of paying users due to competitive landscape of China's mobile live streaming market. Total paying users were 332,408 for the nine months ended September 30, 2025, compared to 386,455 in the same period of 2024.

Cost of revenues decreased to RMB781.3 million (US$109.8 million) for the nine months ended September 30, 2025 from RMB832.9 million in the same period of 2024. The decrease was primarily attributable to a decrease of RMB75.6 million in the Company's revenue sharing fees, partially offset by an increase of RMB22.7 million in user acquisition costs.

Gross profit decreased to RMB177.9 million (US$25.0 million) for the nine months ended September 30, 2025 from RMB179.6 million in the same period of 2024 and the gross margin increased to 18.5% for the nine months ended September 30, 2025 from 17.7% in the same period of last year due to higher average live streaming revenue per paying user and lower revenue sharing fees during the nine months ended September 30, 2025, showing the Company's effectiveness in converting high-quality paying user to its gross margin growth. 

Total operating expenses decreased to RMB131.7 million (US$18.5 million) for the nine months ended September 30, 2025 from RMB144.3 million in the same period of 2024.

• Sales and marketing expenses increased by 36.6% to RMB4.6 million (US$0.7 million) for the nine months ended September 30, 2025 from RMB3.4 million in the same period of 2024, primarily attributable to more sales and marketing activities.
• General and administrative expenses increased by 25.1% to RMB65.6 million (US$9.2 million) for the nine months ended September 30, 2025 from RMB52.5 million in the same period of 2024, primarily caused by an increase of RMB11.7 million in professional consulting fee.
• Research and development expenses increased by 5.1% to RMB60.7 million (US$8.5 million) for the nine months ended September 30, 2025 from RMB57.8 million in the same period of 2024. The increase was primarily due to an increase of RMB8.1 million in technical services fees, partially offset by a decrease of RMB4.4 million in employee salary and welfare. 
• Provision for credit losses decreased to RMB0.7 million (US$0.1 million) for the nine months ended September 30, 2025 from RMB30.6 million in the same period of 2024, due to a one-time write-off of RMB30.0 million in investment buyback receivable for the nine months ended September 30, 2024.

Income from operations increased by 30.9% to RMB46.2 million (US$6.5 million) for the nine months ended September 30, 2025 from RMB35.3 million in the same period of 2024.

Change in fair value of investment in marketable security was a loss of RMB31.3 million (US$4.4 million) for the nine months ended September 30, 2025, as compared with a gain of RMB12.1 million in the same period of 2024. The change was primarily attributable to the fair value changes in investments in a publicly traded company.

Investment loss decreased to RMB1.1 million (US$0.2 million) for the nine months ended September 30, 2025 from RMB4.4 million in the same period of 2024. The investment loss was primarily attributable to one-time share of unrealized loss in the long-term investments.

Interest income, net decreased to RMB1.3 million (US$0.2 million) for the nine months ended September 30, 2025 from RMB2.8 million in the same period of 2024. The decrease was primarily due to lower interest rate.

Other income, net increased by 1,226.9% to RMB9.5 million (US$1.3 million) for the nine months ended September 30, 2025 from RMB0.7 million in the same period of 2024. The increase was primarily due to increased government subsidies and one-time compensation income. There is no assurance that the Company will continue to receive these subsidies in the future.

Foreign exchange loss, net increased by 289.4% to RMB4.0 million (US$0.6 million) for the nine months ended September 30, 2025 from RMB1.0 million in the same period of 2024.

Income tax expenses decreased to RMB5.7 million (US$0.8 million) for the nine months ended September 30, 2025 from RMB11.2 million in the same period of 2024, which was mainly due to less taxable income.

Net income decreased to RMB14.9 million (US$2.1 million) for the nine months ended September 30, 2025 from RMB34.2 million in the same period of 2024 as a result of the foregoing. 

Net income attributable to the Company's shareholders decreased to RMB20.2 million (US$2.8 million) for the nine months ended September 30, 2025 from RMB42.7 million in the same period of 2024.

Adjusted net income attributable to the Company's shareholders decreased to RMB26.7 million (US$3.8 million) for the nine months ended September 30, 2025 from RMB50.8 million in the same period of 2024. 

Basic and diluted net income per ordinary share were both RMB0.49 (US$0.07) for the nine months ended September 30, 2025. In comparison, basic and diluted net income per ordinary share were both RMB1.03 in the same period of 2024.

Adjusted basic and diluted net income per ordinary share were both RMB0.64 (US$0.09) for the nine months ended September 30, 2025. In comparison, adjusted basic and diluted net income per ordinary share were both RMB1.23 in the same period of 2024.

As of September 30, 2025, the Company had RMB254.1 million (US$35.7 million) in cash and cash equivalents, which represented an increase of RMB1.5 million from RMB252.5 million as of December 31, 2024. 

About Scienjoy Holding Corporation

Scienjoy is a pioneering Nasdaq-listed interactive entertainment leader. Driven by the vision of shaping a metaverse lifestyle, Scienjoy leverages AI-powered technology to create immersive experiences that resonate with global audiences, fostering meaningful connections and redefining entertainment. For more information, please visit http://ir.scienjoy.com/.

Use of Non-GAAP Financial Measures

Adjusted net income attributable to the Company's shareholders is calculated as net income attributable to the Company's shareholders adjusted for share-based compensation. Adjusted basic and diluted net income per ordinary share is non-GAAP net income (loss) attributable to ordinary shareholders divided by weighted average number of ordinary shares used in the calculation of non-GAAP basic and diluted net income per ordinary share. The non-GAAP financial measures are presented to enhance investors' overall understanding of the Company's financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measures to its most directly comparable GAAP financial measures. As non-GAAP financial measures have material limitations as analytical metrics and may not be calculated in the same manner by all companies, they may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measures as a substitute for, or superior to, such metrics in accordance with US GAAP.

For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of Non-GAAP Results" near the end of this release.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the noon buying rate in effect on September 30, 2025, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB amounts could have been, or could be, converted, realized or settled in U.S. dollars at that rate on September 30, 2025, or at any other rate.

Safe Harbor Statement

Certain statements made in this release are "forward looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, are: the ability to manage growth; ability to identify and integrate other future acquisitions; ability to obtain additional financing in the future to fund capital expenditures; fluctuations in general economic and business conditions; costs or other factors adversely affecting our profitability; litigation involving patents, intellectual property, and other matters; potential changes in the legislative and regulatory environment; a pandemic or epidemic. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission ("SEC") from time to time. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law. Such information speaks only as of the date of this release.

For investor and media inquiries, please contact:

Investor Relations Contacts

Denny Tang
Chief Financial Officer
Scienjoy Holding Corporation
+86-10-64428188
ir@scienjoy.com

Ascent Investor Relations LLC

Tina Xiao
+1-646-932-7242
investors@ascent-ir.com