GoodWe Technologies (688390) Q1 2025 earnings summary

Executive summary

• Revenue rose 67.13% year-over-year to RMB 1.88 billion, driven by strong domestic inverter and residential power station sales.

• Net loss attributable to shareholders narrowed to RMB -28.03 million from RMB -28.82 million year-over-year.

• Operating cash flow improved significantly, with net outflow reduced to RMB -253.43 million from RMB -713.27 million year-over-year.

Financial highlights

• Gross margin declined as domestic inverter sales increased their share, impacting profitability.

• Basic and diluted EPS remained at -0.12 RMB, unchanged year-over-year.

• R&D investment totaled RMB 138.73 million, up 2.34% year-over-year, but R&D as a percentage of revenue fell to 7.37% from 12.04%.

• Total assets at quarter-end were RMB 7.83 billion, slightly down from RMB 7.95 billion at year-end 2024.

• Owner's equity attributable to shareholders was RMB 2.73 billion, down from RMB 2.75 billion at year-end.

Outlook and guidance

• Management attributes revenue growth to robust domestic demand and expects continued focus on inverter and residential power station markets.