QDM INTERNATIONAL REPORTS 248% GROWTH IN 9-MONTH REVENUE, DEBT-FREE BALANCE SHEET, AND STRATEGIC EXPANSION PLANS IN BUSINESS UPDATE

HONG KONG, April 22, 2026 (GLOBE NEWSWIRE) -- QDM International Inc. (“QDM” or the “Company”) (OTCQB: QDMI), a Florida holding company with operations primarily conducted through its indirectly wholly-owned subsidiary, Hong Kong YeeTah Insurance Broker Limited (“YeeTah”), today provided a business update highlighting the Company’s financial performance, competitive positioning, and strategic priorities.

Overview

QDM is a Florida holding company with operations primarily conducted through its indirectly wholly-owned subsidiary YeeTah in Hong Kong. As of December 31, 2025, YeeTah offered approximately 582 insurance products spanning life and medical insurance, general insurance (auto, property, liability, and homeowner insurance policies), and mandatory provident fund (“MPF”) retirement services, through partnerships with 23 insurance companies. These 23 partners are the product of rigorous institutional selection and collectively cover the mainstream underwriters and core product categories in Hong Kong’s insurance market, enabling the Company to address the full breadth of client protection needs. QDM serves both Hong Kong residents and visitors from mainland China.

Insurance firms pay YeeTah commissions, typically a percentage of the insured’s premium. After a 21-day cooling-off period, commissions are paid. The Company does not bear underwriting risk; it operates instead as an independent trusted advisor to individual policyholders.

A Growing Market

Hong Kong has one of the most advanced insurance markets in the world. In 2022, insurance penetration reached 20.0% of GDP, the highest globally, compared to 11.6% in the United States and just 3.9% in mainland China. Hong Kong’s insurance industry is expected to further grow. Key demand drivers include:

Rising disposable income: Hong Kong’s GDP per capita rose from approximately $32,550 in 2010 to approximately US$56,000 in 2025, expanding the addressable pool of life and health insurance customers.
An aging population: A growing cohort of seniors and individuals in Hong Kong and mainland China with chronic conditions is driving sustained demand for life and health insurance products.
Cross-border demand: Following the lifting of COVID-19 related travel restrictions, traveling within Guangdong Province, Hong Kong, and Macao (the “Greater Bay Area”), continues to draw mainland Chinese customers to Hong Kong’s tax-advantaged, product-rich insurance market.
Growing mass-affluent segment: We expect Hong Kong’s affluent population to drive sustained investment in property, vehicles, and financial protection products.

What Sets QDM Apart

A focus on life insurance. We have deliberately prioritized life insurance, a segment generally producing more substantial commissions and meaningful recurring renewal income. First-year commissions for life and medical insurance products range from 2.75% to 90%, while renewal commissions can reach 64.8%.
Partnering with insurers. Since 2015, YeeTah has worked with Hong Kong’s leading insurance companies, passing their strict annual reviews and earning competitive commission rates.
Quality customer services. YeeTah offers individualized guidance throughout the entire insurance-buying process—from needs assessment and product customization through evaluation, selection, and claims handling.
Experienced team. Mr. Huihe Zheng, the chief executive officer of YeeTah and QDM, has over a decade of experience in the insurance and finance industry. Additionally, each of the five members of YeeTah’s sales team has over ten years of field experience, and is further supported by its rigorous in-house training program.

Financial Performance

During the fiscal year ended March 31, 2025, QDM’s revenue totaled $8.38 million, with net income of $4.82 million—a year-over-year increase of 31.7% in revenue and 208.3% in net income compared to fiscal year 2024.

The momentum continued. For the nine months ended December 31, 2025, revenue reached $12.33 million, already exceeding our full prior fiscal year, representing a 248.4% increase from the comparable nine-month period of the previous fiscal year. Net income for the same period of fiscal year 2025 was $2.35 million, representing an increase of 42.1% year over year. This growth is driven by the expansion of the Company’s insurer partnerships, an increase in the number of policies generating commissions, and improved commission rates. The management believes the revenue acceleration represents a normalized channel expansion and deepening client relationships, a structural improvement in the business, not a pull-forward of demand.

During the first half of fiscal year 2026, referral fee rates rose significantly in response to competitive market conditions, an industry-wide dynamic in which operators adjusted cost structures ahead of new regulatory guidance. The Company calibrated its rates to approximately 90% during the April–September 2025 period. Following guidance from the Hong Kong Insurance Authority, which adopted a 50% benchmark for referral fees, the Company reduced its rates to approximately 40–50% beginning in October 2025. Going forward, the Company expects a meaningful recovery from the temporary compression experienced during the regulatory transition period.

General and administrative expenses increased year over year, primarily reflecting professional fees associated with the Company’s proposed Nasdaq uplisting, a non-recurring cost category that management expects to diminish following successful completion of the listing process.

The Company’s balance sheet is clean and strong. As of December 31, 2025, the Company held $12.35 million in cash and cash equivalents, against total liabilities of $4.80 million. The Company’s total shareholders’ equity reached $10.38 million. The Company carries no debt. Cash provided by operating activities for the nine months ended December 31, 2025 was approximately $3.84 million, more than doubled compared to the prior-year period.

Looking Ahead: Growth and Milestones

The Company is pursuing several strategic priorities that it believes will drive the next chapter of value creation for shareholders.

Expansion of life insurance business. The Company intends to devote significant resources to growing its life insurance business, the highest-margin segment of the Hong Kong insurance market, through active recruitment of sales professionals, productivity improvements, and cross-selling to existing non-life customers.
Distribution network expansion. The Company is actively building referral relationships with business partners in Hong Kong and mainland China, including wealth management companies, financial institutions, real estate companies, trust companies, and overseas immigration agencies, to drive premium volume and access high-net-worth customers. Consistent with the Company’s operating model and the Hong Kong Insurance Authority’s requirements, insurance agreements are executed exclusively in Hong Kong, ensuring full regulatory compliance regardless of a client’s origin.
Strengthening insurer partnerships. As sales volumes grow, the Company intends to pursue more favorable commission rates, exclusive distribution rights for high-margin products, and collaborative product development with insurance company partners.
Diversifying revenue streams. The Company’s referral partnership with a Hong Kong trust company, through which the Company connects customers with asset management services in exchange for referral fees, demonstrates its commitment to expanding revenue beyond traditional brokerage commissions.

Management Commentary

“QDM has entered a new phase of growth anchored by a clear strategic agenda,” said Mr. Huihe Zheng, Chairman, CEO, and President of QDM. “Our nine-month revenue through December 2025 has already surpassed our full prior fiscal year, and our balance sheet is strong with over $12 million in cash and no debt. The gross margin compression we experienced during the regulatory transition period is behind us. We are now operating at normalized referral-fee levels, and expect a meaningful recovery from the temporary compression experienced during the regulatory transition period. Our growth has been driven by genuine channel expansion and deepening client relationships, and we expect that foundation to carry into fiscal year 2027 and beyond. The path ahead, expanding our footprint across Asian markets and completing a listing on a national securities exchange, represents a series of value catalysts that we believe make QDM a compelling story for long-term investors.”

About QDM International Inc.

QDM is a Florida holding company with operations primarily conducted through its indirectly wholly-owned subsidiary YeeTah in Hong Kong. YeeTah is an independent, licensed insurance broker offering approximately 582 insurance products as of December 31, 2025, spanning life and medical insurance, general insurance (auto, property, liability, and homeowner insurance policies), and mandatory provident fund (“MPF”) retirement services, through partnerships with 23 insurance companies. These 23 partners are the product of rigorous institutional selection and collectively cover the mainstream underwriters and core product categories in Hong Kong’s market, enabling the Company to address the full breadth of client protection needs. QDM serves both Hong Kong residents and visitors from mainland China. For more information, please visit https://www.qdmi.net.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, the Company’s representatives may from time to time make forward-looking statements, orally or in writing. The Company bases these forward-looking statements on its expectations and projections about future events, which the Company derives from the information currently available to it. Such forward-looking statements relate to future events or the Company’s future performance, including: its financial performance and projections; its revenue and earnings growth; its business prospects and opportunities; its ability to expand its distribution network and insurer partnerships; the anticipated growth of Hong Kong’s insurance market and the professional insurance intermediary sector; and the Company’s plans to pursue a listing on a national securities exchange. You can identify forward-looking statements by those that are not historical in nature, particularly those that use terminology such as “may,” “should,” “expects,” “anticipates,” “contemplates,” “estimates,” “believes,” “plans,” “projected,” “predicts,” “potential,” or “hopes” or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors, including: the Company’s ability to attract and retain customers, including mainland Chinese visitors to Hong Kong; its ability to maintain and expand relationships with insurance company partners and obtain favorable commission rates; changes in laws, regulations, or regulatory guidance in Hong Kong, including those issued by the Insurance Authority, that could impact the Company’s business or commission structures; the impact of political, economic, and social conditions in Hong Kong and mainland China; the Company’s ability to recruit and retain qualified sales professionals and key management personnel; the competitive environment of the insurance brokerage industry in Hong Kong; and the Company’s ability to complete a proposed public offering and listing on a national securities exchange. These and other factors may cause our actual results to differ materially from any forward-looking statement. Forward-looking statements are only predictions. We are not obligated to update or revise any forward-looking statement publicly, whether as a result of new information, future events, uncertainties, or assumptions, except as required by applicable law. The forward-looking events discussed in this press release and other statements made from time to time by the Company or its representatives may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions about the Company. For a more detailed discussion of risk factors, please refer to the Company’s filings with the Securities and Exchange Commission, including the “Risk Factors” section of the Company’s Registration Statement on Form S-1.

Investor Relations Contact:
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

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