Jiangsu Zenergy Battery Technologies Group (3677) H1 2025 earnings summary

Executive summary

• Revenue rose 71.9% year-over-year to RMB3,172.0 million for the six months ended June 30, 2025, driven by strong growth in power battery shipments.

• Net profit reached RMB220.4 million, reversing a loss of RMB130.0 million in the prior year period, a year-over-year increase of RMB350.4 million.

• Earnings per share improved from RMB-0.06 to RMB0.09 year-over-year.

• Gross profit increased 210.5% to RMB568.7 million, with gross margin improving from 9.9% to 17.9%.

Financial highlights

• Power battery revenue grew 81.9% to RMB2,985.3 million, accounting for 94.1% of total revenue.

• ESS and other product revenue declined 8.4% to RMB186.7 million due to production prioritization for power batteries.

• Gross profit margin for power batteries rose to 18.3%, and for ESS/others to 12%.

• Administrative expenses rose 28% to RMB172.7 million, mainly due to listing expenses.

• R&D expenses slightly decreased to RMB252.9 million.

• Cash and cash equivalents stood at RMB2,548.7 million as of June 30, 2025.

• Gearing ratio improved to 59.2% from 62.2% at year-end 2024.

• Net cash from financing activities increased to RMB1,783.7 million.

Outlook and guidance

• Plans to expand production capacity from 25.5 GWh to 50.5 GWh by end of 2026, with 10 GWh added by Q4 2025.

• Focus on launching new battery products for various vehicle types and expanding both domestic and overseas customer base and partnerships.

• Continued investment in advanced materials, fast-charging, solid-state battery technologies, and intelligent manufacturing.