- Completes Tape-Out of New Next-Generation Mining ASIC in July; Commercial Launch on Track for Q4 2026
- H2 2026 Strategy Focused on New ASIC Commercialization, Continued Cost Discipline, and Evaluation of AI-Focused ecosystem expansion opportunities
- Announces
$15 Million Share Repurchase Program
Results for the period reflected continued cyclical softness in altcoin demand, compounded by the PRC’s mining-machine sales restrictions announced in
Mr.
H2 2026 STRATEGY
Commercialize the New Mining ASIC
- In July, Intchains completed tape-out of its new mining ASIC, moving the project from design completion into manufacturing. Next steps are engineering sample production and laboratory validation, performance, reliability and thermal testing against internal benchmarks. Subject to successful validation, the Company expects to begin production ramp and system-level integration ahead of a commercial launch targeted for Q4 2026.
- The ASIC is architected for the economics of proof-of-work algorithm, with an explicit focus on performance per watt to improve unit economics and return on invested capital for miners. Upon the new ASIC mining project’s commercial launch through Goldshell miner series, the Company expects the product family to broaden its addressable market across retail and professional miners and unlock new revenue streams through future system and service offerings. Intchains anticipates modest revenue contribution in H2 2026, scaling to a more meaningful contribution in FY 2027 with full-scale commercialization.
Extend Cost Optimization
- Cost discipline remains a priority through year-end. As a result, as of
June 30, 2026 , the headcount optimization actions completed by the Company represented an estimatedRMB23.1 million reduction in annual labor costs on a full-year basis, driven primarily by organizational restructuring, the divestiture of a non-core chip related business, as well as expanded adoption of AI-enabled tools across overall business operations.
Evaluate AI-Adjacent Growth and M&A
- Intchains plans to invest selectively in new infrastructure opportunities to diversify its revenue base, and is evaluating potential acquisitions that would extend the Company’s core competencies in custom ASIC design and hardware systems integration into AI-enabled computing applications. This strategy is designed to reduce reliance on cryptocurrency market cycles while positioning the Company in higher-value computing markets adjacent to its existing hardware expertise. This exploration is in early stages. The Company has yet to identify any targets or plans to enter into any agreements, and the Company expects to share more details as plans develop.
Maintain a Prudent ETH Treasury and Staking Position, with Expanded Staking Support for Solana
- As of
June 30, 2026 , the fair value of the Company’s cryptocurrency assets excluding stablecoins such as USDT and USDC wasRMB98.9 million (US$14.6 million ), including approximately 9,176 ETH-based cryptocurrencies valued atRMB98.1 million . - As of
August 20, 2026 , the Company’s total units of ETH used in staking were 4,556, of which 3,556 ETH were deposited through the Goldshell Staking platform pending validator activation, while 1,000 ETH was staked on the FalconX platform. - Intchains expects to maintain its existing treasury holdings and continue generating staking yield, while not anticipating material additional accumulation as it prioritizes capital allocation toward next-generation ASIC development and commercialization and exploration of new AI initiatives.
SHARE REPURCHASE PROGRAM
The Company’s Board of Directors has approved a share repurchase program, pursuant to which the Company may repurchase up to
Repurchases under the program may be made from time to time through open market transactions or other means permitted by applicable securities laws and regulations, including Rule 10b-18 under the Securities Exchange Act of 1934, as amended. The timing and amount of any repurchases will be determined by the Company based on market conditions, regulatory requirements, alternative investment opportunities, and other factors. The Company currently expects to fund the Share Repurchase Program from its existing cash balance and other available liquid resources.
The Company believes this Share Repurchase Program underscores the management team’s confidence in Intchains’ long term strategic direction, and the commitment to creating sustainable value for all shareholders. It also aligns directly with our overall strategy of disciplined capital deployment, where we balance returning capital to shareholders with continued investments in advancing new initiatives.
The Company may also, from time to time, enter into Rule 10b5-1 plans to facilitate share repurchases under this authorization. The Company is not obligated to repurchase any specific number of shares, and the program may be modified, suspended, or discontinued at any time without prior notice.
CONFERENCE CALL INFORMATION
The Company will host a conference call to discuss these financial results at
| +1 646-307-1963 | |
| +86 400-030-0308 | |
| +852 800-960-994 | |
| +65 3159-1234 | |
Webcast:
A simultaneous audio webcast may be accessed via the following link: https://edge.media-server.com/mmc/p/uijxgfr2/, or via the investor relations section of the Company’s website https://ir.intchains.com/. For those unable to listen to the live webcast, the replay will be available on the Company’s website shortly after the conclusion of the call.
H1 2026 FINANCIAL RESULTS
Revenue
Revenue was
Cost of Revenue
Cost of revenue was
Operating Expenses
Total operating expenses were
- Research and development expenses decreased by 46.3% to
RMB22.4 million (US$3.3 million ) for H1 2026 fromRMB41.6 million for the same period of 2025, primarily due to lower photomask and IP-related expenses associated with the timing of product development activities, as well as lower personnel expenses following the Company’s headcount optimization initiatives. - Sales and marketing expenses decreased by 58.7% to
RMB1.8 million (US$0.3 million ) for H1 2026 fromRMB4.3 million for the same period of 2025, primarily driven by reduced headcount and scaled back marketing activities. - General and administrative expenses decreased by 5.8% to
RMB17.9 million (US$2.6 million ) for H1 2026 fromRMB19.0 million for the same period of 2025.
Loss from operations
Loss from operations was
Interest Income
Interest income decreased to
Change in fair value of cryptocurrencies
Change in fair value of cryptocurrencies resulted in a loss of
Other Income, Net
Other income, net was
Net Income/(Loss)
As a result of the foregoing, we recorded net loss of
Basic and Diluted Net Income/(Loss) Per Ordinary Share
Basic and diluted net loss per ordinary share both were
Non-GAAP Adjusted Net Income/(Loss)
Non-GAAP adjusted net loss was
Non-GAAP Basic and Diluted Net Income/(Loss) Per Ordinary Share
Non-GAAP adjusted basic and diluted net loss per ordinary share was
Cash position
As of
About Intchains Group Limited
Intchains Group Limited focuses on the development of altcoin mining products, the strategic acquisition, holding, and staking of Ethereum-based cryptocurrencies, and the delivery of Web3 infrastructure services through the operation of a Proof-of-Stake cryptocurrency staking platform. For more information, please visit the Company’s website at: https://intchains.com/.
Exchange Rate Information
The unaudited United States dollar (“US$”) amounts disclosed in the accompanying unaudited financial statements are presented solely for the convenience of the readers. Translations of amounts from RMB into US$ for the convenience of the reader were calculated at the noon buying rate of US$1.00=RMB6.7851 on the last trading day of H1 2026 (June 30, 2026). No representation is made that the RMB amounts could have been, or could be, converted into US$ at such rate.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Forward-looking statements include, but are not limited to, statements about: (i) our goals and strategies; (ii) our future business development, financial condition and results of operations, including our plan for commercializing the new mining ASIC, performing extended cost optimization, evaluating AI-adjacent growth and M&A and investing strategies regarding our cryptocurrency assets; (iii) expected changes in our revenue, costs or expenditures; (iv) growth of and competition trends in our industry; (v) our expectations regarding demand for, and market acceptance of, our products; (vi) general economic and business conditions in the markets in which we operate; (vii) relevant government policies and regulations relating to our business and industry; (viii) fluctuations in the market price of ETH-based cryptocurrencies; gains or losses from the sale of ETH-based cryptocurrencies; changes in accounting treatment for the Company’s ETH-based cryptocurrencies holdings; a decrease in liquidity in the markets in which ETH-based cryptocurrencies are traded; security breaches, cyberattacks, unauthorized access, loss of private keys, fraud, or other events leading to the loss of the Company’s ETH-based cryptocurrencies; impacts to the price and rate of adoption of ETH-based cryptocurrencies associated with financial difficulties and bankruptcies of various participants in the industry; (ix) ADS repurchases under the share repurchase program and the adoption of Rule 10b5-1 plans and (x) assumptions underlying or related to any of the foregoing. Investors can identify these forward-looking statements by words or phrases such as “may,” “could,” “will,” “should,” “would,” “expect,” “plan,” “intend,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “project” or “continue” or the negative of these terms or other comparable terminology. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC, including its annual report on Form 20-F for the fiscal year ended December 31, 2025 filed with the SEC on April 13, 2026.
Use of Non-GAAP Financial Measures
In evaluating the Company’s business, the Company uses non-GAAP financial measures, such as adjusted net income (loss) and adjusted basic and diluted net income (loss) per ordinary share, as supplemental measures to review and assess its operating performance. The Company defines adjusted net income (loss) as net income (loss) excluding share-based compensation expenses, and adjusted basic and diluted net income (loss) per ordinary share as adjusted net income (loss) divided by the applicable weighted average number of ordinary shares outstanding during the period. The Company believes that these non-GAAP financial measures provide useful information about the Company’s results of operations, enhance the overall understanding of the Company’s past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making.
The non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. The non-GAAP financial measures have limitations as analytical tools and investors should not consider them in isolation, or as a substitute for net income (loss), basic and diluted net income (loss) per ordinary share, or other financial measures prepared in accordance with U.S. GAAP. One of the key limitations of these non-GAAP financial measures is that they do not reflect all items of income and expense that affect the Company’s operations. Share-based compensation expenses have been and may continue to be incurred in the Company’s business and are not reflected in the non-GAAP financial measures. Further, the non-GAAP financial measures may differ from similarly titled non-GAAP measures used by other companies, including peer companies, and therefore their comparability may be limited. The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP measures, all of which should be considered when evaluating the Company’s performance.
For investor and media inquiries, please contact:
Intchains Group Limited
Investor relations
Email: ir@intchains.com
The Equity Group
Lena Cati, Senior Vice President
212-836-9611 / lena.cati@theequitygroup.com
Alice Zhang, Associate
212-836-9610 / alice.zhang@theequitygroup.com
| INTCHAINS GROUP LIMITED UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (All amounts in thousands, except share and per share data, or as otherwise noted) | ||||||||||||
| As of | As of | |||||||||||
| 2025 | 2026 | |||||||||||
| RMB | RMB | US$ | ||||||||||
| ASSETS | ||||||||||||
| Current Assets: | ||||||||||||
| Cash and cash equivalents | 221,661 | 306,709 | 45,203 | |||||||||
| USDC | 665 | 89 | 13 | |||||||||
| Cryptocurrency, current | 6,035 | 2,357 | 348 | |||||||||
| Inventories, net | 52,151 | 33,823 | 4,985 | |||||||||
| Prepayments and other current assets, net (including due from related party in the amount of nil and | 55,063 | 53,568 | 7,895 | |||||||||
| Short-term investments | 267,531 | 154,409 | 22,757 | |||||||||
| Total current assets | 603,106 | 550,955 | 81,201 | |||||||||
| Non-current Assets: | ||||||||||||
| Cryptocurrencies, non-current | 187,607 | 98,859 | 14,570 | |||||||||
| Long-term investments | 386 | - | - | |||||||||
| Property, equipment, and software, net | 141,581 | 138,722 | 20,445 | |||||||||
| Intangible assets, net | 11,975 | 10,734 | 1,582 | |||||||||
| Right-of-use assets | 1,100 | 91 | 13 | |||||||||
| Deferred tax assets, net | 65,796 | 55,213 | 8,137 | |||||||||
| Other non-current assets | 8,347 | 8,347 | 1,230 | |||||||||
| Total non-current assets | 416,792 | 311,966 | 45,977 | |||||||||
| Total assets | 1,019,898 | 862,921 | 127,178 | |||||||||
| LIABILITIES, AND SHAREHOLDERS’ EQUITY | ||||||||||||
| Current Liabilities: | ||||||||||||
| Accounts payable | 3,025 | 204 | 30 | |||||||||
| Contract liabilities | 16,462 | 16,122 | 2,376 | |||||||||
| Income tax payable | 39 | - | - | |||||||||
| Lease liabilities, current | 542 | 91 | 13 | |||||||||
| Provision for warranty | 380 | 2 | - | |||||||||
| Accrued liabilities and other current liabilities | 22,340 | 17,541 | 2,585 | |||||||||
| Total current liabilities | 42,788 | 33,960 | 5,004 | |||||||||
| Non-current Liabilities: | ||||||||||||
| Lease liabilities, non-current | 558 | - | - | |||||||||
| Total non-current liabilities | 558 | - | - | |||||||||
| Total liabilities | 43,346 | 33,960 | 5,004 | |||||||||
| Shareholders’ Equity: | ||||||||||||
| Ordinary shares ( | 1 | 1 | - | |||||||||
| Subscriptions receivable from shareholders | (1 | ) | (1 | ) | - | |||||||
| Additional paid-in capital | 211,276 | 216,867 | 31,962 | |||||||||
| Statutory reserves | 51,968 | 51,968 | 7,659 | |||||||||
| Accumulated other comprehensive loss | (1,246 | ) | (5,514 | ) | (813 | ) | ||||||
| Retained earnings | 714,554 | 565,640 | 83,366 | |||||||||
| Total shareholders’ equity | 976,552 | 828,961 | 122,174 | |||||||||
| Total liabilities and shareholders’ equity | 1,019,898 | 862,921 | 127,178 | |||||||||
| INTCHAINS GROUP LIMITED UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS) (All amounts in thousands, except share and per share data, or as otherwise noted) | ||||||||||||
| For the Six Months ended | ||||||||||||
| 2025 | 2026 | |||||||||||
| RMB | RMB | US$ | ||||||||||
| Products revenue – third parties | 175,588 | 279 | 41 | |||||||||
| Products revenue – related party | - | 10,852 | 1,599 | |||||||||
| Total revenue | 175,588 | 11,131 | 1,640 | |||||||||
| Cost of revenue | (89,952 | ) | (22,067 | ) | (3,252 | ) | ||||||
| Gross profit/(loss) | 85,636 | (10,936 | ) | (1,612 | ) | |||||||
| Operating expenses: | ||||||||||||
| Research and development expenses | (41,592 | ) | (22,355 | ) | (3,294 | ) | ||||||
| Sales and marketing expenses | (4,267 | ) | (1,762 | ) | (260 | ) | ||||||
| General and administrative expenses | (19,017 | ) | (17,922 | ) | (2,641 | ) | ||||||
| Total operating expenses | (64,876 | ) | (42,039 | ) | (6,195 | ) | ||||||
| Income/(Loss) from operations | 20,760 | (52,975 | ) | (7,807 | ) | |||||||
| Interest income | 6,234 | 3,631 | 535 | |||||||||
| Foreign exchange loss, net | (542 | ) | (4,182 | ) | (616 | ) | ||||||
| Change in fair value of cryptocurrencies | (27,966 | ) | (89,487 | ) | (13,189 | ) | ||||||
| Other income, net – third parties | 368 | 1,847 | 273 | |||||||||
| Other income – related party | - | 2,830 | 417 | |||||||||
| Loss before income tax expenses | (1,146 | ) | (138,336 | ) | (20,387 | ) | ||||||
| Income tax (expense)/benefit | 5,401 | (10,578 | ) | (1,559 | ) | |||||||
| Net income/(loss) | 4,255 | (148,914 | ) | (21,946 | ) | |||||||
| Foreign currency translation adjustment, net of nil tax | (857 | ) | (4,268 | ) | (629 | ) | ||||||
| Total comprehensive income /(loss) | 3,398 | (153,182 | ) | (22,575 | ) | |||||||
| Weighted average number of shares used in per share calculation | ||||||||||||
| — Basic | 120,480,088 | 121,847,288 | 121,847,288 | |||||||||
| — Diluted | 120,555,532 | 121,847,288 | 121,847,288 | |||||||||
| Net income/(loss) per share | ||||||||||||
| — Basic | 0.04 | (1.22 | ) | (0.18 | ) | |||||||
| — Diluted | 0.04 | (1.22 | ) | (0.18 | ) | |||||||
| INTCHAINS GROUP LIMITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS (All amounts in thousands, except per share data) | ||||||||||||
| For the Six months ended | ||||||||||||
| 2025 | 2026 | |||||||||||
| RMB | RMB | US$ | ||||||||||
| Income/(Loss) from operations | 20,760 | (52,975 | ) | (7,807 | ) | |||||||
| Add: | ||||||||||||
| Share-based compensation expense | 4,183 | 5,591 | 824 | |||||||||
| Non-GAAP adjusted operating income/(loss) | 24,943 | (47,384 | ) | (6,983 | ) | |||||||
| Net income/ (loss) | 4,255 | (148,914 | ) | (21,946 | ) | |||||||
| Add: | ||||||||||||
| Share-based compensation expense | 4,183 | 5,591 | 824 | |||||||||
| Non-GAAP adjusted net income/(loss) | 8,438 | (143,323 | ) | (21,122 | ) | |||||||
| Non-GAAP adjusted net income/(loss) per share | ||||||||||||
| — Basic | 0.07 | (1.18 | ) | (0.17 | ) | |||||||
| — Diluted | 0.07 | (1.18 | ) | (0.17 | ) | |||||||
| INTCHAINS GROUP LIMITED UNAUDITED CRYPTOCURRENCY-ADDITIONAL INFORMATION | ||||||||||||||||||||||
| As of | Cryptocurrency | Approximate Number of Cryptocurrency Held | Approximate Average Cost Per Unit of Cryptocurrency | Original Cost Basis | Market Price Per Unit of Cryptocurrency(a) | Market Value of Cryptocurrency (b) | ||||||||||||||||
| Unit | USD | USD | USD | USD | ||||||||||||||||||
| ETH | 9,176 | 2,564 | 23,524,995 | 1,569 | 14,401,931 | |||||||||||||||||
| Bitcoin | 1.72 | 100,500 | 172,798 | 58,562 | 100,690 | |||||||||||||||||
| USDT&USDC | 359,309 | 1 | 359,731 | 1 | 359,297 | |||||||||||||||||
| Others* | Multiple * | Multiple * | 63,288 | Multiple * | 12,215 | |||||||||||||||||
| Total | 24,120,812 | 14,874,133 | ||||||||||||||||||||
| ETH | 8,150 | 2,604 | 21,226,137 | 2,982 | 24,303,300 | |||||||||||||||||
| ETH-Coinbase Staked | 676 | 2,892 | 1,954,713 | 3,332 | 2,252,432 | |||||||||||||||||
| Bitcoin | 1.44 | 103,810 | 149,486 | 87,584 | 126,121 | |||||||||||||||||
| USDT&USDC | 953,186 | 1 | 953,201 | 1 | 953,186 | |||||||||||||||||
| Others* | Multiple * | Multiple * | 64,736 | Multiple * | 12,783 | |||||||||||||||||
| Total | 24,348,273 | 27,647,822 | ||||||||||||||||||||
* The “Others” category includes various cryptocurrencies that are not presented separately due to their immateriality. “Multiple” indicates that the category includes different types of cryptocurrencies with different per-unit prices. Accordingly, individual unit prices are not presented.
(a) The “Market Price Per Unit of Cryptocurrency” represents the market price of a single unit of cryptocurrency on the Coinbase exchange at the Company’s period-end cut-off time of midnight (UTC+8) on the applicable reporting date, consistent with the Company’s revenue recognition cut-off.
(b) The “Market Value of Cryptocurrency” represents the market price per unit described in note (a) multiplied by the number of units of cryptocurrency held by the Company as of the applicable reporting date.
Source: