AIOS Tech Inc. Annual Report: A Year of Transformation

I’ve put together this guide to help you understand how AIOS Tech Inc. performed this year. My goal is to cut through the corporate jargon and give you the facts you need to decide if this company belongs in your portfolio.

1. The Big Picture

AIOS Tech Inc. (formerly Nisun International) has undergone a complete strategic shift. On December 31, 2025, the company divested its legacy supply chain financing business to focus exclusively on Artificial Intelligence (AI), data solutions, and IT services. Operating from Hong Kong through its subsidiary, YD Network, the company now centers its business model on AI-driven data processing and cloud infrastructure. Effectively, AIOS is operating as a startup with a new mission, relying heavily on the infrastructure and team transitioned through YD Network.

2. The Bottom Line

The company reported a loss of $220.9 million for 2025. This figure was heavily impacted by $185 million in one-time costs associated with the divestiture of the legacy financial business. Operating expenses rose by 45% as the company invested $35 million into AI research and expanded its headcount by 60% to acquire specialized data engineering talent. With a current cash burn rate of $4 million per month, the company projects that profitability remains a goal for late 2027.

3. Strategic Highlights

• Simplified Structure: The move to a direct ownership model reduces legal complexity and provides clearer financial visibility for U.S. shareholders.
• Market Positioning: The company is entering a highly competitive landscape. The recent pivot utilized nearly 70% of available cash, leaving the firm with limited room for error as it builds its track record in the AI sector.

4. Financial Health

AIOS trades on the Nasdaq as a "non-accelerated filer," which entails less frequent disclosure requirements than larger corporations. With 4.98 million Class A shares outstanding and $12.5 million in cash on hand, the company faces a potential need for capital. To fund its planned $50 million in operational spending for 2026, the company may need to issue additional shares—which would dilute current ownership—or take on new debt.

5. Key Risks

• Competitive Pressure: AIOS competes against well-capitalized tech giants. The company currently lacks the scale to compete on price or research volume.
• Regulatory Environment: The company must navigate complex data privacy laws in Hong Kong and evolving legal frameworks as it expands into Southeast Asia.
• Legacy Liabilities: The company retains potential exposure to lawsuits or tax audits related to its former business, with estimated costs potentially exceeding $10 million.
• Revenue Stability: Current contracts are short-term, which may lead to unpredictable revenue streams as the company works to secure long-term client loyalty.

6. Leadership

Co-CEOs Xin Liu and Li Guo are leading this transition. Their compensation packages are tied to long-term stock performance, which aligns their incentives with the goal of scaling AI-driven revenue.

7. Future Outlook

The company’s growth strategy hinges on its ability to scale its AI services. Management has set a target to grow AI revenue from $5 million in 2025 to $25 million by the end of 2026. Success will depend on maintaining their 15 current enterprise clients while navigating the regulatory hurdles of the AI industry.

8. Investor Takeaway

The shift to AI is a bold attempt to modernize the company, but it remains a work in progress. Investors should view this as a high-risk, high-reward situation where the current stock price is driven by future potential rather than established profitability. Given the cash burn and the need for further funding, this is a stock that requires close monitoring of quarterly revenue growth and capital management.