GigaCloud Technology authorizes $111 million share repurchase program

EL MONTE, Calif. - GigaCloud Technology Inc (NASDAQ:GCT) announced Monday that its Board of Directors has authorized a new share repurchase program of up to $111 million of its Class A ordinary shares over the next three years, effective August 17, 2025. According to InvestingPro data, the company has demonstrated strong financial health with an excellent overall score, supporting its aggressive share buyback strategy.

The program replaces a previous buyback initiative that has been terminated. According to the company, GigaCloud has returned nearly $71 million to shareholders through buybacks since its initial public offering in 2022.

"This performance reflects our strong execution and the market’s recognition of our strategy," said Larry Wu, Founder, Chief Executive Officer and Chairman, noting that the company’s share price has appreciated by 163% since its $41 million IPO in 2022, based on August 15 figures.

The company may repurchase shares through various means, including open market transactions, privately negotiated transactions, and block trades, in compliance with Securities Exchange Act regulations.

Chief Financial Officer Erica Wei stated that the program is supported by the company’s "strong balance sheet, including zero debt and consistent positive operating cashflows." This statement is backed by key financial metrics, including a healthy current ratio of 2.11 and strong profitability with a P/E ratio of 8.72. InvestingPro analysis reveals 12 additional key financial insights available to subscribers.

The timing and number of shares repurchased will depend on factors including price, trading volume, and market conditions. The Board will review the program periodically and may modify, suspend, or terminate it at any time.

GigaCloud Technology describes itself as a provider of global end-to-end B2B technology solutions for large parcel merchandise, operating a marketplace that connects manufacturers primarily in Asia with resellers mainly in the U.S., Asia, and Europe.

The announcement was made on the third anniversary of the company’s IPO, according to the press release statement.

In other recent news, GigaCloud Technology Inc. reported impressive financial results for the second quarter of 2025, outperforming earnings and revenue expectations. The company’s earnings per share were $1.14, significantly higher than the anticipated $0.51, representing a 123.53% surprise. Additionally, GigaCloud’s revenue reached $323 million, surpassing the forecasted $303.21 million by 6.39%. These results highlight the company’s strong financial performance during this period. In other developments, GigaCloud Technology announced the appointment of Kerry Lebensburger to its Board of Directors, effective August 17, 2025. Lebensburger, with nearly three decades of executive experience from Ashley Furniture, replaces Lorri Kelley, who is retiring. These recent developments indicate strategic changes and strong financial health for GigaCloud Technology.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.