China Greatwall Technology Group (000066) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 reached RMB 2.86 billion, up 7.32% year-over-year; net loss attributable to shareholders narrowed to RMB -159.5 million from RMB -249.8 million.

• Operating loss reduced to RMB -139.2 million, reflecting improved business quality and cost control.

• Cash flow from operations improved significantly, with net outflow reduced by 47.63% year-over-year.

Financial highlights

• Gross margin improved as operating costs grew slower than revenue; management expenses rose 78.54% due to equity incentives.

• Other income surged 550.64% year-over-year, mainly from increased government subsidies.

• Basic and diluted EPS at -0.050, up from -0.077 in Q1 2024.

• Total assets at quarter-end were RMB 32.31 billion, down 0.96% from year-end 2024.

Outlook and guidance

• Company continues to focus on core business and technological innovation, aiming for stable growth and further loss reduction.