ZK International ZKIN

ZK International Group Co., Ltd. primarily conducts its business through its subsidiary Zhejiang Zhengkang Industrial Co., Ltd. in China, focusing on providing systematic solutions for construction projects requiring sophisticated piping systems. The company specializes in designing and producing pipes and fittings such as double-press thin-walled stainless steel tubes, carbon steel tubes, and single-press tubes and fittings for use in water and gas transmission, residential housing, food and beverage production, oil and gas exploitation, and agricultural irrigation.

The company generates revenue through the design, manufacture, and sale of stainless steel pipes, fittings, and related products, including steel strip, steel pipe, light gauge stainless steel pipe, and pipe connections and fittings. Its products are primarily sold in China but are also exported and distributed to Europe, Africa, and Southeast Asia, serving customers in the water and gas supply industries, real estate development, hospitality, hospitals, and school sectors.

The company operates through the following segments: Manufacturing Segment - Stainless Steel Pipe and Technology Segment - xSigma DeFi Project and xSigma Trading.

• The Manufacturing Segment - Stainless Steel Pipe focuses on the design, manufacture, and sale of stainless steel pipes, fittings, and related products used in drinking water and gas transmission systems, as well as minor applications in pharmaceutical, medical, food and beverage industries. This segment includes production of steel strip, carbon steel and stainless steel pipes, light gauge stainless steel pipe with 40% thinner walls, and a wide range of pipe connections and fittings such as couplings, adapters, unions, caps, plugs, elbows, three-way fittings, tees, crosses, side-inlet elbows, wyes, reducers, bushings, pipe fasteners, and flanges. The segment has grown significantly, with increased revenue from connections and fittings reflecting a strategic shift to offer more value-added products and engineering solutions to clients.

• The Technology Segment - xSigma DeFi Project and xSigma Trading involved the development of a decentralized finance (DeFi) protocol, a stablecoin exchange platform built on smart contracts, and xSigma Trading, which included platforms for CFD trading, crypto, crypto options, and crypto derivatives trading. These platforms were intended for internal use to provide services to customers, with no external marketing or sales planned. During fiscal year 2023, the company evaluated the recoverability of these platforms and concluded that their carrying value may not be recoverable due to projected continuing losses and likelihood of disposal before the end of their estimated useful life, resulting in a write-off of $10,346,769.

The company positions itself as a leading manufacturer and engineer of high-performance stainless steel pipes in China, leveraging its experience to offer urban planners and real estate developers sophisticated pipe and fitting products and engineering expertise. It differentiates itself through cutting-edge technology, superb quality, and a focus on safety, quality, and productivity, supported by certifications such as ISO9001, ISO14001, and National Industrial Stainless Steel Production License. The company faces competition in the highly competitive pipe production industry in China but seeks to distinguish itself through engineered solutions and long-term client relationships.

The company serves customers in the water transmission, gas transmission, water treatment, real estate development, hospitality, hospital, gas supply, and school industries. Its products are primarily embraced by end users in the water transmission and gas transmission sectors, with a focus on clients requiring high-quality specialty steel pipes and fittings with just-in-time delivery, technical consultancy, and post-sale support. The company has no major customers accounting for more than 10% of overall revenues in the fiscal years ended September 30, 2025, 2024, and 2023.