Circuit Fabology Microelectronics Equipment Co (688630) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 reached RMB 654.33 million, up 45.59% year-over-year, with net profit attributable to shareholders at RMB 142.03 million, up 41.05%.

• Growth driven by high-end PCB and semiconductor equipment demand, especially in AI, advanced packaging, and international markets.

• Company maintained industry leadership in direct imaging and lithography, expanding global presence and accelerating R&D.

Financial highlights

• Operating income: RMB 654.33 million (+45.59% YoY); net profit: RMB 142.03 million (+41.05% YoY).

• Gross margin: 42.06% (down slightly YoY); basic and diluted EPS: RMB 1.08 (+40.26% YoY).

• Net cash flow from operations: -RMB 105.25 million (down 121.89% YoY) due to increased procurement.

• R&D expenses: RMB 60.95 million (+24.56% YoY), representing 9.32% of revenue.

• Dividend payout for 2024: RMB 48.57 million, 30.22% of 2024 net profit.

Outlook and guidance

• Continued high growth expected, supported by robust AI, advanced packaging, and overseas PCB demand.

• Second-phase production base to come online in Q3, boosting capacity for high-end lithography equipment.

• Ongoing expansion in Southeast Asia and further internationalization, including H-share listing plans.