Revenue increased 29% year over year to US$20.2 million, with gross profit increasing 17.5% to US$6.1 million
Core food business delivered positive non-GAAP Adjusted EBITDA of US$1.2 million
Working capital improved to positive US$39.4 million as of June 30, 2026, from negative US$12.2 million as of December 31, 2025
Total shareholders' equity attributable to DDC Enterprise Limited grew to US$180.8 million as of June 30, 2026, from approximately US$71.2 million as of December 31, 2025
DDC held 2,899 Bitcoin as of the date of this press release, compared with 1,181 Bitcoin as of December 31, 2025

NEW YORK, Sept. 02, 2026 (GLOBE NEWSWIRE) -- DDC Enterprise Limited (NYSEAMERICAN: DDC) ("DDC" or the "Company"), a global Asian food platform and digital asset treasury company, today released its unaudited financial results for the six months ended June 30, 2026. The results reflect strong growth and improving operating leverage in DDC's core Asian food business, continued execution of its Bitcoin treasury strategy and an expanded capital allocation framework.

First Half 2026 Financial Highlights

RMB and US$ in actual amounts; figures below are reproduced from the unaudited financial statements and non-GAAP reconciliation in the Company's Form 6-K.

	Six Months Ended June 30, 2025	Six Months Ended June 30, 2026	Six Months Ended June 30, 2026
	RMB	RMB	US$
Revenue	111,909,938	136,747,757	20,154,126
Gross profit	37,334,808	41,538,184	6,121,971
Total operating expenses	(22,850,802)	(55,414,415)	(8,167,075)
Income/(loss) from operations	14,484,006	(13,876,231)	(2,045,104)
Net income/(loss)	37,133,644	(260,644,187)	(38,414,200)
Adjusted EBITDA	18,504,237	8,140,470	1,199,756

Management Commentary

"The first-half 2026 results mark meaningful progress on our dual mandate strategy," said Norma Chu, Founder, Chairwoman and Chief Executive Officer of DDC Enterprise Limited. "Our core Asian food business delivered strong revenue growth and achieved positive Adjusted EBITDA, demonstrating tangible operational improvement in our primary operating franchise. At the same time, we substantially strengthened our balance sheet during the period. Working capital moved from negative $12.2 million at year-end 2025 to positive $39.4 million as of June 30, 2026, and total shareholders' equity attributable to DDC grew significantly. Meanwhile, we maintained our strategic framework under which Bitcoin serves as a core corporate reserve asset, complementing our food business.

"GAAP results are subject to volatility from non-cash Bitcoin mark-to-market accounting adjustments. We advanced our Bitcoin treasury objective, holding 2,899 Bitcoin as of the date of this press release. Together with the balance sheet improvements achieved this period, we now have multiple capital allocation levers to build long-term shareholder value. We will continue balancing investment in food business scaling with prudent treasury decisions while safeguarding corporate liquidity."

First Half 2026 Financial Summary

All comparisons are with the first half of 2025 unless otherwise noted.

Revenue: Revenue increased 29% to US$20.2 million, driven by broader retail penetration and expanded distribution reach for DDC's culinary brand portfolio.
Gross profit: Gross profit increased 17.5% to US$6.1 million.
Gross margin: Gross margin was 30.4%, compared with 33.4% in the prior year period. The change reflected expansion into higher volume sales channels to support top line scale.
Adjusted EBITDA: The core food business delivered positive non-GAAP Adjusted EBITDA of US$1.2 million.
GAAP net loss: Net loss was US$38.4 million, largely driven by a US$34.3 million non-cash unrealized fair value loss on digital assets. The accounting adjustment did not represent an operating cash outflow from the core food business.
Liquidity: As of the date of this press release, cash and cash equivalents were US$2.5 million and, together with short term investments, totaled US$21.6 million.
Working capital: Working capital improved materially from negative US$12.2 million as of December 31, 2025 to positive US$39.4 million as of June 30, 2026, significantly strengthening the Company’s financial resources for continued growth.
Net debt: Net debt was US$10.2 million as of June 30, 2026, compared to US$60.6 million as of December 31, 2025.

First Half 2026 Bitcoin Summary

Bitcoin holdings: DDC held 2,899 Bitcoin as of the date of this press release, compared with 1,181 Bitcoin as of December 31, 2025, representing a 145% increase since the start of 2026.
Treasury discipline: Future Bitcoin acquisitions will be evaluated against market conditions, balance sheet liquidity, risk parameters and expected per share value accretion.

Capital Allocation Update

On July 1, 2026, DDC's Board of Directors authorized a share repurchase program of up to US$10 million or 20% of the Company's outstanding Class A ordinary shares, whichever is lower, over a period of up to 18 months.

The program gives management flexibility to repurchase shares when such action offers attractive risk-adjusted returns for shareholders. The authorization does not obligate the Company to repurchase any shares and may be modified, suspended or terminated by the Board at any time.

About DDC Enterprise Limited

DDC Enterprise Limited (NYSEAMERICAN: DDC) is participating proactively in the corporate Bitcoin treasury evolution while maintaining its foundation as a leading global Asian food platform. The Company has strategically positioned Bitcoin as a core reserve asset while continuing to expand its portfolio of culinary brands. DDC is at the forefront of public companies integrating Bitcoin into their financial architecture. For more information, visit www.ddc.xyz.

Use of Non-GAAP Financial Measures

Adjusted EBITDA is a Non-GAAP financial measure. The Company uses Adjusted EBITDA, Non-GAAP financial measures, in evaluating its operating results and for financial and operational decision making purposes. The Company defines Adjusted EBITDA as net income/(loss) excluding interest expense, interest income, income tax expense, impairment losses, depreciation and amortization, non-cash mark-to-market fair value adjustments associated with financial instruments, including Bitcoin holdings, and share based compensation. Adjusted EBITDA should not be considered in isolation or as a substitute for net income/(loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.

For more information on the Non-GAAP financial measures, please see the table captioned "Unaudited Reconciliations of GAAP and Non-GAAP Results" set forth in this announcement.

Caution Regarding Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions.

Examples of a forward-looking statements include those related to the Company's financial performance and results, business prospects, Bitcoin accumulation strategy, share-repurchase program, capital-allocation plans and its goals, strategy and future activity. These statements are subject to uncertainties and risks, including the risk factors discussed in the Risk Factors and Management's Discussion and Analysis of Financial Condition and Results of Operations sections of the Company's Forms 20-F, 6-K and other reports filed with the U.S. Securities and Exchange Commission ("SEC") and available at www.sec.gov.

It is inherent in forward-looking statements that there are risks, uncertainties and other factors beyond the Company's ability to predict or control. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure investors that such expectations will prove correct. Actual results may differ materially from anticipated results. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent events, circumstances or changes in expectations, except as required by law.

Media and Investor Contacts

Investor and Media Relations: pr@ddc.xyz

DDC ENTERPRISE LIMITED UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS)

	For the Six Months Ended June 30，
	2025			2026
	RMB			RMB			US$


Productrevenues		111,909,938			136,747,757			20,154,126

Cost ofproducts		(74,575,130	)		(95,209,573	)		(14,032,155	)

Gross profit		37,334,808			41,538,184			6,121,971

Operating expenses:
Fulfilment expenses		(2,877,103	)		(4,042,980	)		(595,862	)
Sales and marketing expenses		(2,517,469	)		(4,820,391	)		(710,438	)
General and administrative expenses		(14,304,907	)		(24,796,325	)		(3,654,526	)
Share based compensation		(3,151,323	)		(21,754,719	)		(3,206,249	)
Total operating expenses		(22,850,802	)		(55,414,415	)		(8,167,075	)

Income/(loss) from operations		14,484,006			(13,876,231	)		(2,045,104	)

Interest expenses		(1,173,379	)		(15,318,820	)		(2,257,715	)
Interest income		675,860			6,208,417			915,007
Foreign currency exchange loss, net		(5,560	)		-			-
Other income		1,162,890			2,172,663			320,211
Unrealized gain/(loss) on digital assets		27,566,664			(232,541,989	)		(34,272,447	)

Income/(loss) before income tax expenses		42,710,481			(253,355,960	)		(37,340,048	)

Income tax expense		(5,576,837	)		(7,288,227	)		(1,074,152	)
Netincome/(loss)		37,133,644			(260,644,187	)		(38,414,200	)

Netincome/(loss) attributable to ordinary shareholders		37,133,644			(260,644,187	)		(38,414,200	)

Net income attributable to non-controlling interest		8,990,337			8,745,872			1,288,982

Netincome/(loss) attributable to DDC Enterprise Limited		28,143,307			(269,390,059	)		(39,703,182	)

DDC ENTERPRISE LIMITED UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS) - (Continued)

	For the Six Months Ended June 30，
	2025			2026
	RMB			RMB			US$

Other comprehensive income, net of nil income taxes:
Foreign currency translation adjustment, net of nil income taxes		(4,334,444	)		(7,916,256	)		(1,166,712	)
Net unrealized gains on available-for-sale debt Securities		8,485,964			(972,717	)		(143,361	)

Total other comprehensive income		4,151,520			(8,888,973	)		(1,310,073	)

Comprehensive income/(loss):		41,285,164			(269,533,160	)		(39,724,273	)
Comprehensive income attributable to non-controlling interests		8,990,337			8,745,872			1,288,982

Comprehensive income/(loss) attributable to DDC Enterprise Limited		32,294,827			(278,279,032	)		(41,013,255	)

Net income/(loss) per ordinary share
— Basic and diluted – Class A		7.41			(7.91	)		(1.17	)
— Basic and diluted – Class B		-			-			-

Weighted average number of ordinary shares outstanding used in computing net loss per ordinary share
— Basic and diluted – Class A		3,798,369			34,072,617			34,072,617
— Basic and diluted – Class B		875,000			1,750,000			1,750,000

DDC ENTERPRISE LIMITED

CONSOLIDATED BALANCE SHEETS

	As of		As of
	December 31,		June 30,
	2025		2026
	(Audited)		(Unaudited)
	RMB		RMB		US$

ASSETS
Current assets
Cash and cash equivalents		21,121,206		4,925,383		725,912
Restricted cash		16,828		-		-
Short-term investment		130,400,312		129,427,595		19,075,267
Accounts receivable, net		41,564,871		40,894,396		6,027,088
Inventories		8,229,291		9,344,044		1,377,142
Prepayments and other current assets		383,805,123		402,771,272		59,361,139

Total current assets		585,137,631		587,362,690		86,566,548

Non-current assets
Property, plant and equipment, net		303,325		226,016		33,311
Operating lease Right-of-use assets		8,581,133		7,474,341		1,101,582
Intangible assets, net		1,610,713		1,335,790		196,871
Goodwill		4,973,027		4,973,027		732,933
Digital assets		730,150,140		1,098,494,475		161,898,052
Other non-current assets		64,814,066		73,307,126		10,804,133

Total non-current assets		810,432,404		1,185,810,775		174,766,882

Total assets		1,395,570,035		1,773,173,465		261,333,430

DDC ENTERPRISE LIMITED CONSOLIDATED BALANCE SHEETS - (Continued)

	As of		As of
	December 31,		June 30,
	2025		2026
	(Audited)		(Unaudited)
	RMB		RMB		US$

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Short-term bank borrowings		37,430,000		35,050,800		5,165,849
Current portion of long-term bank borrowings		549,012		608,033		89,613
Accounts payable		25,524,921		27,373,609		4,034,371
Contract liabilities		13,977,338		11,645,751		1,716,371
Shareholder loans, at amortized cost		23,207,757		21,449,891		3,161,323
Amounts due to related parties		8,160,511		5,413,606		797,867
Accrued expenses and other current liabilities		557,130,576		217,319,173		32,028,882
Current portion of lease liabilities		2,047,880		1,392,622		205,247

Total current liabilities		668,027,995		320,253,485		47,199,523

Non-current liabilities
Long-term bank borrowings		3,876,918		3,486,980		513,917
Operating lease liabilities		6,405,503		5,942,889		875,873
Shareholder loans, at amortized cost		16,483,576		16,483,576		2,429,378
Convertible loans, at amortized cost		137,501,657		126,228,857		18,603,831
Deferred tax liabilities		1,264,873		1,264,873		186,419
Other non-current liabilities		10,405,554		10,405,554		1,533,589

Total non-current liabilities		175,938,081		163,812,729		24,143,007

Total liabilities		843,966,076		484,066,214		71,342,530

DDC ENTERPRISE LIMITED CONSOLIDATED BALANCE SHEETS - (Continued)

	As of			As of
	December 31,			June 30,
	2025			2026
	(Audited)			(Unaudited)
	RMB			RMB			US$

Shareholders’ equity
Class A ordinary shares (US$0.4 par value per share, 200,000,000 shares and 200,000,000 shares authorized as of December 31, 2025 and June 30, 2026, respectively; 23,281,620 shares and 45,627,607 shares issued and outstanding as of December 31, 2025 and June 30, 2026, respectively)		65,584,619			126,326,916			18,618,284
Class B ordinary shares (US$0.016 par value per share, 1,750,000 shares and 1,750,000 shares authorized, issued and outstanding as of December 31, 2025 and June 30, 2026, respectively)		196,479			196,479			28,957
Convertible Preferred Shares		230,544,640			-			-
Additional paid-in-capital		2,498,773,335			3,675,612,130			541,718,196
Accumulated deficit		(2,171,283,787	)		(2,440,673,846	)		(359,710,814	)
Accumulated other comprehensive loss		(125,758,629	)		(134,647,602	)		(19,844,601	)
Total shareholders’ equity attributable to DDC Enterprise Limited		498,056,657			1,226,814,077			180,810,022

Non-controlling interest		53,547,302			62,293,174			9,180,878

Total shareholders’ equity		551,603,959			1,289,107,251			189,990,900

Total liabilities and shareholders’ equity		1,395,570,035			1,773,173,465			261,333,430

DDC ENTERPRISE LIMITED UNAUDITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS

	For the Six months Ended June 30,
	2025			2026			2026
	RMB			RMB			US$
Net income/(loss)		37,133,644			(260,644,187	)		(38,414,200	)
Add:
Income tax expense		5,576,837			7,288,227			1,074,152
Interest expenses		1,173,379			15,318,820			2,257,715
Interest income		(675,860	)		(6,208,417	)		(915,007	)
Foreign currency exchange loss, net		5,560			-			-
Other income		(1,162,890	)		(2,172,663	)		(320,211	)
Unrealized (gain)/loss on digital assets		(27,566,664	)		232,541,989			34,272,447
Depreciation and amortization		868,908			261,982			38,611
Share-based compensation		3,151,323			21,754,719			3,206,249
Adjusted EBITDA		18,504,237			8,140,470			1,199,756