GoerTek (002241) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was RMB 16.30 billion, down 15.57% year-over-year, while net profit attributable to shareholders rose 23.53% to RMB 468.85 million.

• Basic EPS increased 27.27% year-over-year to RMB 0.14.

• Operating cash flow remained stable at RMB 1.54 billion, up 0.13% year-over-year.

Financial highlights

• Gross margin improved as net profit grew despite a significant revenue decline.

• Non-recurring gains of RMB 176.59 million, mainly from government subsidies and financial asset gains, contributed to profit.

• Total assets at quarter-end were RMB 78.52 billion, down 5.06% from year-end 2024.

• Shareholders’ equity increased 1.48% to RMB 33.68 billion.

Key financial ratios and metrics

• Weighted average ROE was 1.40%, up 0.16 percentage points year-over-year.

• Basic EPS: RMB 0.14; Diluted EPS: RMB 0.13.

• Net profit margin improved due to higher non-recurring income and cost control.