Revenue Up 35.4% Year-on-Year API Token Call Volume Surges Nearly 6 Times

HONG KONG SAR – Media OutReach Newswire – 22 May 2026 – Phancy Group Co., Ltd. (“Phancy” or “The Company”, stock code: 6682.HK), a leading general artificial intelligence company, today announced its unaudited consolidated results for the first quarter ended 31 March 2026.

During the period, Phancy achieved revenue of approximately RMB1.458 billion, representing a 35.4% year-on-year increase. Gross profit margin remained at 35.1%. Phancy leveraged its deep expertise in full-stack AI cloud services, to capitalize on the accelerating adoption of localized computing power and strong enterprise demand for AI solutions. The Company achieved robust growth in its core businesses, accelerated product innovation, and secured several major partnerships, sustaining strong operational momentum.

2026 First Quarter Business Highlights:

Unified Enterprise AI Platform Drives Explosive Core Business Growth

Global computing resources remain constrained, while demand for both private enterprise AI deployments and API-based model calls continues to grow rapidly. Phancy’s enterprise-grade AI platform is built on a unified core architecture that seamlessly supports both API calling scenarios and dedicated private deployments. This significantly boosts AI application efficiency and resource utilization. Supported by a mature computing power supply chain developed over many years, Phancy’s deployable computing power resources have increased by over 200%. This enables the Company to effectively meet surging Token demand and consistently deliver stable, high-quality AI services to its customers.

In the first quarter of 2026, API Token call volume surged nearly 6 times compared to the same period in 2025, and already accounted for nearly 40% of the full-year 2025 total. Meanwhile, the Agentic AI business expanded rapidly, with deepening commercial adoption. Orders on hand grew nearly 100% compared to the end of 2025, emerging as a major growth driver for the Company.

AI Technology Iteration Accelerates, Commercialization Beats Expectations

Building on its continued push into digital employee applications and AI empowerment across business units, Phancy has significantly shortened the product development cycle from R&D to commercialization, enhancing overall operational efficiency and customer satisfaction.

As of mid-May 2026, ModelHub XC has completed adaptation and optimization for over 70,000 AI models on domestic chips, achieving more than 70% of its full-year target – well ahead of schedule.

In May, Phancy launched PhanthyMovie, a professional-grade AI video generation platform designed to enhance creativity, control, and stability in video production, enabling standardized and large-scale content creation for the industry.

Leveraging its advanced technology and proven execution capabilities, PhanthyMovie achieved rapid commercial traction. Just days after launch, the Company entered into a strategic cooperation agreement with Huanxi Media, covering approximately US$200 million in AI Token usage. The two parties will also collaborate on the development of a next-generation AI-powered film and television content production platform, further strengthening Phancy’s position in the AI-driven cultural and creative sector.

Core Products Align Closely with Policy Trends, Strengthening Compute-Model Integration

Since May 2026, China’s AI sector has seen a series of positive policy developments focused on computing infrastructure, data element circulation, and open-source compliance governance. Phancy’s core products, including HAMi vGPU and ModelHub XC, are well-aligned with national policy directions and mainstream industry trends.

In terms of computing resource allocation, policies emphasize cross-regional collaboration and broader access to computing power. Phancy’s HAMi vGPU offers unified scheduling and fine-grained resource partitioning, effectively improving utilization rates, optimizing data center energy efficiency, and supporting unified management across multiple chips to boost single-card efficiency.

In data and model governance, the government continues to promote high-quality dataset development and compliance management. ModelHub XC supports multi-model adaptation and optimization, incorporates data traceability and security certification features to help enterprises reduce compliance risks, and uses the EngineX engine for batch adaptation of domestic chips and models. This significantly improves compatibility while enhancing Token output efficiency through targeted model tuning.

Through deep integration of its computing and model layers, Phancy has built a comprehensive “Compute–Model” integrated solution. This addresses key industry needs such as efficient computing utilization, secure data supply, enterprise compliance, and domestic substitution, while strengthening its technological moat. The Company is well positioned to capture policy dividends and industry opportunities, supporting enterprises in their digital and intelligent transformation.

Hashtag: #PhancyGroup

The issuer is solely responsible for the content of this announcement.

About Phancy Group

Phancy Group (6682.HK) is a leading full-stack AI cloud services platform, providing comprehensive solutions for the AI 2.0 era. Our offerings include SageAIOS, HAMi vGPU and ModelHub XC, delivering efficient and scalable AI infrastructure with end-to-end capabilities. We provide a complete solution from heterogeneous compute resource management and optimization to the deployment of intelligent agent models. These solutions empower digital transformation across a wide range of industries, supporting our vision of building a large-scale and efficient “Token Factory.”

Guided by the mission of “AI for Everyone” and positioned as the “Navigator of AI,” Phancy Group is committed to becoming a global leader in Artificial General Intelligence.

Over Half of Youth Feel Inferior Due to Parental Criticism: Accumulated Emotions Increase Risks of Depression

HONG KONG SAR – Media OutReach Newswire – 22 May 2026 – Save the Children Hong Kong today released its research report, “Hearing Children” – Child-led Research Report: How Family Interactions Affect Youth Mental Health (Full Report). Following the implementation of the Mandatory Reporting of Child Abuse Ordinance (the “Ordinance”), there has been ongoing public debate on how to enhance child wellbeing; however, unlike physical harm, psychological trauma is significantly more difficult to identify. According to the latest figures from the Social Welfare Department, a total of 1,354 child abuse cases were recorded in 2025. Of these, only 16 cases—a mere 1.2%—were classified as “psychological abuse”.

The organisation believes that whilst the vast majority of parents care deeply for their children, they may inadvertently cause psychological trauma through their disciplinary methods, communication styles, and the way expectations are conveyed. Save the Children Hong Kong recommends that parents adopt “Positive Parenting” to strengthen parent-child non-violent communication, expressing their thoughts through mutual understanding and respect. Simultaneously, the Government should allocate additional resources to community and school settings to bolster mental health support for children and young people. Regarding the 25 categories of professionals specified under the Ordinance, training on identifying psychological abuse should be strengthened to support frontline practitioners in making clearer judgements on reporting thresholds and to facilitate timely intervention.

Over 80% of Youth Feel Pressure to be “Perfect”: 40% Told to Improve Even When Praised

The study was designed by six youth researchers aged 14 to 17, under the guidance of Professor Gary Tang Kin Yat, Associate Professor of the Department of Social Science at The Hang Seng University of Hong Kong. It aimed to explore the psychological and emotional harm hidden behind parental “love and discipline”. The study surveyed 408 children and adolescents aged 13 to 18, and found that 20.4% of respondents experience heavy pressure to “be perfect”. Furthermore, 41.2% reported that even when parents praise their achievements, it is often accompanied by reminders of “how to do better next time”. Over half of the respondents felt inferior to others due to parental disparagement, while more than 30% felt that no matter how hard they tried, they could never meet their parents’ expectations.

Ms. Wong Shek Hung, Director of Hong Kong Programme of Save the Children Hong Kong, noted that while parents genuinely care for their children, yet when faced with their own stresses and anxieties, they may struggle to find the most appropriate way to express their care. Consequently, their love can inadvertently become a burden for the child. “This reflects the pivotal role parents play in their children’s lives. Children place immense value on every word their parents say; as such, comments we may seem insignificant can directly impact how a child views themselves,” she said.

The survey also explored parental behaviours that adolescents found most distressing. Respondents identified the most hurtful remarks as toxic comparisons (e.g., “Why can’t you be more like them?”), invalidation of worth (“You are such a disappointment”), and dictatorial commands (“Because I said so”). The most resented behaviours included losing emotional control (“Losing their temper”), invading privacy (“Checking my phone”), and micromanagement (“Having to control everything”).

Table: The True Voices of Youth – What We Want Parents to Know

Avoiding Adults: A Widening Gap in Mental Health Support for Children

Another alarming phenomenon is the significant gap emerging in Hong Kong’s mental health safety net for children and adolescents. Unlike physical trauma, psychological distress is difficult to identify and often relies on the victims seeking help themselves. However, the study found that when children and young people feel distressed, their help-seeking behaviour tends to “avoid adults”. A vast majority of respondents (86.3%) prioritise speaking to friends or venting on social media (78.7%). Conversely, the overwhelming majority “rarely or never” seek help from teachers (96.8%), social workers (97.5%), or parents (73.3%).

Nearly half of the respondents (49.6%) tend to internalise and handle their problems alone. Beyond the habit of self-reliance (47.3%), key reasons for this include a feeling that “no one truly understands or can help” (45.3%), a desire not to become a burden to others (29.9%), and a fear of being judged, misunderstood, or getting into trouble after seeking help (18.4%).

Ms. Wong Shek Hung expressed concern that current child protection systems—such as school-based social workers and helplines—may become ineffective if children actively avoid adult assistance, thereby limiting opportunities for timely intervention. She warned that if stress and emotions continue to accumulate without an outlet, the consequences could be severe.

Invisible Wounds: The Link Between Mental Stress and Psychosomatic Symptoms

Whilst psychological stress leaves no visible scars, its latent harm can be more enduring and profound. The study reveals that when adolescents are under mental pressure, their physical health is equally affected. When facing conflicts or difficulties at home, over a third of respondents (37.1%) reported “sometimes” experiencing insomnia, stomach aches, or headaches. Similarly, over a third (38.1%) indicated they “sometimes” experience acute anxiety reactions, such as nervous tension, trembling, or a racing heart.

Dr. Phyllis Chan Kwok-ling, Adviser of Save the Children Hong Kong and Psychiatrist, noted that psychological trauma is difficult to detect, which may lead to more severe cumulative consequences. “This is especially true if children and adolescents conceal their trauma or lack the self-awareness to address it. As trauma accumulates, it may become a root cause of emotional problems and increase the risk of developing conditions such as depression.” Dr Chan explained. She also expressed concern that the study found neither parents nor teachers are seen as confidants. “When adolescents face difficulties, they need adults to listen and share experiences. If they turn only to social media or peers, the lack of adult guidance may amplify their distress. Furthermore, relying solely on peers carries the risk of an ‘echo chamber’ effect; mutual validation amongst friends may deepen their sense of hurt and intensify wariness or hostility towards parents.”

Ms. Wong Shek Hung added that adolescents may not know how to articulate their inner needs, leading them to remain silent or cope in isolation. “In reality, as long as both parties are willing to take the first step towards better communication and empathy, a warm and intimate parent-child relationship can be maintained.”

Strengthening Systemic Support and Empowering Children with Emotional Regulation Skills

Beyond the family unit, society bears a responsibility to provide support across schools, communities, and institutional levels. We must systematically foster emotional management skills in children and assist parents in adopting positive communication and parenting techniques. To this end, the organisation proposes the following recommendations:

1. Mainstream “Social and Emotional Learning” (SEL): Integrate SEL into the regular school curriculum to strengthen students’ ability to manage and articulate their emotions.
2. Promote “Positive Parenting” through Home-School Cooperation: Implement comprehensive Positive Parenting initiatives to develop disciplinary communication skills and foster empathy within parent-child interactions.
3. Enhance Mandatory Reporting Training: In relation to the Mandatory Reporting of Child Abuse Ordinance, training for professionals should be strengthened to include content on “identifying psychological abuse”, supported by real-life case studies to help frontline staff clarify reporting criteria and enable timely intervention.

(For detailed information on these recommendations, please refer to the full report.)

Ms. Wong Shek Hung emphasised that family dynamics cannot be addressed with a “one-size-fits-all” legislative framework, nor is punishing parents an ideal way to manage family relationships. “The law provides only the most basic safety net. As previously mentioned, most parents care deeply for their children; the gap lies in communication and mutual understanding, as well as in adopting positive ways of interaction. Beyond legislation, we hope to improve parent-child relationships in the long term through support services and public education.”
Hashtag: #SavetheChildrenHongKong #香港救助兒童會 #positiveparenting #正向管教 #mentalhealth #精神健康

https://savethechildren.org.hk/en/
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YouTube: https://www.youtube.com/user/savehk

The issuer is solely responsible for the content of this announcement.

Save the Children Hong Kong

Save the Children believes every child deserves a future. In Hong Kong and around the world, we do whatever it takes – every day and in times of crisis – so children can fulfil their rights to a healthy start in life, the opportunity to learn and protection from harm. With over 100 years of expertise, we are the world’s first and leading independent children’s organisation – transforming lives and future.

Established in 2009, Save the Children Hong Kong is part of the global movement which operates in around 100 countries. We work with children, families, schools, communities and our supporters to deliver lasting change for children in Hong Kong and around the world.

Dr. Chana Poomee, Honourary Chairman of TCMA and President of ASEAN Federation of Cement Manufacturers (AFCM), stated that today’s “National Milestone” reflects the power of collaboration at both national and international levels. The initiative is led by the United Nations Industrial Development Organization (UNIDO), in partnership with TCMA and key Thai government agencies, including the Department of Climate Change and Environment and the Department of Industrial Works, with financial support of CAD 8 million from the Government of Canada through Environment and Climate Change Canada (ECCC), to accelerate tangible greenhouse gas reductions in the cement and concrete sector.

TCMA, as the industry representative, serves as a central platform connecting stakeholders across the entire value chain, driving the implementation of the “Thailand 2050 Net Zero Cement and Concrete Roadmap.” This aligns with Thailand’s NDC 3.0 targets, strengthening industrial competitiveness, attracting green investment, and fostering sustainable economic growth.

“Decarbonization is not only a pressing challenge but also a strategic opportunity to enhance national competitiveness. The progress achieved under this project spans policy development, innovation, technology deployment, standards, and capacity building-key enablers that will accelerate the industry’s transition toward Net Zero”, Dr. Chana said.

A key technological advancement under the project is the introduction of the Mobile Carbon Capture Unit (MCCU) from CETRI, Canada. This advanced and flexible technology is designed for real-world industrial operations and will be piloted starting in June, rotating across cement plants of TCMA members in the SARABURI SANDBOX. The pilot aims to validate performance under diverse operational conditions and pave the way for large-scale industrial application.

“The deployment of MCCU in Thailand highlights the strength of international collaboration in bringing advanced technologies into real-world application. It accelerates learning-by-doing, validates technological performance, strengthens local technical capabilities, and reduces investment risks-laying a strong foundation for future scale-up”,
Dr. Chana added.

From an investment perspective, the development of technology-ready and standards-aligned projects enhances investor confidence, increases the attractiveness of green investment, and improves access to sustainable finance-key drivers in accelerating the industry’s transition to Net Zero.

TCMA continues to advance the industry under a “Collaborative Mindset-Action-Value,” promoting the systematic adoption of low carbon technologies, including low carbon cement innovations such as Limestone Calcined Clay Cement (LC³), Carbon Capture, Utilization and Storage (CCUS). These solutions not only reduce emissions but also improve efficiency, lower long-term costs, and strengthen global competitiveness.

At the regional level, TCMA is expanding its role through AFCM by fostering collaboration and advancing the AFCM Decarbonization Roadmap, which serves as a shared framework to reduce carbon emissions across ASEAN’s cement industry while enhancing regional technology, standards, and competitiveness.

“As President of the AFCM, TCMA is committed to driving ASEAN toward becoming a low carbon region by leveraging collaboration as a key mechanism to accelerate technology transfer, strengthen the industry capabilities, and unlock new regional economic opportunities”,
Dr. Chana said.

TCMA reaffirmed its commitment to strengthening collaboration and welcoming international support in both technology and finance to accelerate the transition toward a low carbon industry, while enhancing Thailand’s competitiveness on the global stage.

Hashtag: #TCMA #CementActionToNetZero #NetZero2050 #Decarbonization

The issuer is solely responsible for the content of this announcement.