CXMT (688825) H2 2025 earnings summary

Executive summary

• Leading DRAM manufacturer in China, ranked fourth globally by capacity and sales, with a focus on R&D, production, and sales of DRAM products.

• Achieved rapid revenue growth and narrowed losses, turning profitable in 2025, driven by scale, product upgrades, and industry upcycle.

• IPO on the STAR Market, raising up to RMB 66.6 billion, with strategic investors and employee participation in the offering.

Financial highlights

• 2025 revenue reached RMB 61.8 billion, up 155.6% year-over-year; net profit attributable to shareholders was RMB 1.87 billion, reversing prior losses.

• Gross margin improved to 41.0% in 2025 from 5.6% in 2024, reflecting scale effects and product mix optimization.

• 2026 Q1 revenue surged 719% year-over-year to RMB 50.8 billion, with net profit of RMB 33.0 billion.

• Operating cash flow turned positive, reaching RMB 36.5 billion in 2025.

Outlook and guidance

• Management expects continued strong growth in 2026, with H1 revenue projected at RMB 110–120 billion and net profit at RMB 66–75 billion.

• DRAM market demand remains robust, but management cautions on potential volatility due to industry cycles and AI demand uncertainty.