CXJ GROUP CO., Ltd

ECXJ Group Co., Limited

Business model

• Operates as a U.S. holding company and consolidates a PRC variable interest entity (VIE) under U.S. GAAP.
• Primary PRC entities:
  • SZ CXJ Technology Co., Ltd. (SZ CXJ) — PRC subsidiary (Shenzhen)
  • HZ CXJ (CXJ Technology Hangzhou Co., Ltd.) — VIE
• Core activities are conducted in China through contractual arrangements with the VIE that provide economic exposure and control without direct equity ownership in the VIE.

Operating segments

• Automobile aftermarket products wholesaling
• Auto detailing store consultancy and brand licensing (franchise model)

Brand and offerings

• Franchise brand: Chejiangling / Teenage Hero Car
• Services to franchisees: professional training, store standardization (products, décor, operating procedures), and staff training
• ERP system for franchisee information management and daily operations (PC and mobile access)
• Key products promoted in stores:
  • NOVATE — fully synthetic motor oil (star product)
  • Ksoncar / X-Line — automobile exhaust cleaners
• Product mix: approximately 40 SKUs of auto parts; motor oil sourced from distributors in Germany and Malaysia; other auto parts sourced in China

Customers and network

• More than 85 active franchise auto detailing stores as of May 31, 2026
• Store network spans 23 provinces in China
• Growth target: add approximately 400 stores over the next five years

Corporate history and structure

• Originated in Nevada, USA; CXJ became a wholly owned subsidiary of ECXJ on May 28, 2020
• PRC operations are conducted by SZ CXJ (PRC subsidiary) and the VIE (HZ CXJ) under contractual arrangements
• PRC subsidiaries have not paid dividends to ECXJ as of the reporting date
• VIE agreements are contract-based and have not been tested in PRC courts

Employees and locations

• Total employees: 17 (as of May 31, 2026)
  • Finance: 3
  • Operation center: 8
  • IT and Engineering: 1
  • General and Administrative: 4
  • Supply Chain: 1
• Location split: 16 employees in Hangzhou (HZ CXJ), 1 in Shenzhen (SZ CXJ)
• Principal premises in Hangzhou:
  • Office: ~466.01 m²
  • Warehouse: ~400+ m²
• Leases: two operating leases with remaining terms of 3 to 22 months
  • Office lease: RMB 351,111 per year (~$49,945)
  • Warehouse lease: RMB 70,811 per year (~$10,073)

Financial highlights (years ended May 31)

• Revenue
  • 2026: $531,606
  • 2025: $458,632
• Net income (loss)
  • 2026: net loss of $9,680
  • 2025: net loss of $2,284,025
• Accumulated deficit (as of May 31, 2026): $7,657,185
• Net assets (negative): $(1,624,018)
• VIE consolidated deficits (accumulated)
  • As of May 31, 2026: $2,213,665
  • As of May 31, 2025: $2,015,260
• No dividends paid by PRC subsidiaries or the VIE to ECXJ as of the reporting date

Intellectual property

• Registered assets: 110 trademarks, 11 patents, 17 software copyrights (PRC), and 2 domain names
• IP covers brand, content, and ERP/software

Governance, controls, and public-company status

• Cross-border structure with exposure to PRC regulatory changes and VIE enforceability considerations
• As a Nevada holding company, subject to public-company reporting, governance, and compliance obligations while operating primarily through PRC entities

Current operations

• Sells automotive aftermarket products and supports a network of auto detailing stores under the Chejiangling / Teenage Hero Car brand
• Charges franchisees for brand use and consultancy services via contractual arrangements with the VIE
• ERP platform supports store operations and information management for franchisees
• Business model relies on a growing network of franchisees and distributors; inventory is managed via external suppliers and there are no fixed long-term contracts with major customers

Summary

ECXJ is a U.S.-listed holding company that generates revenue through PRC-based wholesale automotive sales and a franchise/brand-licensing consultancy model, operating in China via a VIE structure. The company reports a small revenue base, a growing store network (85+ stores across 23 provinces), 17 employees, net losses in 2025 and 2026, and substantial accumulated deficits.