Autostreets Development (2443) H2 2025 earnings summary

Executive summary

• FY2025 revenue fell 33.7% YoY to RMB271.1m, while net profit recovered to RMB21.7m from a RMB110.6m loss; gross margin held at 62.6%.

• Vehicle volumes declined across the auction, value-added services and trade-in arrangement businesses, amid weaker dealership activity and used-vehicle market pressures.

Financial highlights

• Revenue was RMB271.1m, down 33.7% YoY; gross profit fell 33.5% to RMB169.7m and cost of revenue fell 34.0% to RMB101.3m.

• Profit before tax was RMB25.3m versus a loss of RMB101.4m in 2024; net profit was RMB21.7m versus a loss of RMB110.6m.

• Parent-attributable profit was RMB8.3m versus a RMB123.0m loss; basic and diluted EPS was RMB0.01 versus a loss per share of RMB0.15.

• Selling and distribution expenses declined 27.5% to RMB58.3m; administrative expenses declined 34.7% to RMB87.6m, partly reflecting lower headcount and no listing expenses in 2025.

Outlook and guidance

• Priorities include expanding the auction-site network, strengthening new-energy vehicle capabilities, applying AI and big-data tools, and scaling C2B and institutional auctions.

• Overseas expansion is planned for 2026, with the first used-vehicle shipment expected in April; targeted regions include Southeast Asia, Central Asia, the Middle East and Africa.

• The 2026 focus includes developing the Tencent collaboration in automotive ecosystem, cloud services, AI, marketing and branding.