Kuang-Chi Technologies (002625) Q4 2025 earnings summary

Executive summary

• Achieved revenue of ¥2.05 billion in 2025, up 31.32% year-over-year; net profit attributable to shareholders reached ¥687 million, up 5.37% year-over-year.

• Core business in metamaterial structural components for advanced equipment, with significant growth in both product and R&D service revenue.

• Maintained industry leadership as the only domestic company with large-scale metamaterial production and application.

• Major contracts executed and new batch production contracts signed, supporting future revenue.

Financial highlights

• Revenue: ¥2,045.7 million (+31.32% YoY); net profit attributable to shareholders: ¥686.95 million (+5.37% YoY).

• Gross margin for metamaterial products: 52.22%; overall gross margin: 49.17%.

• Operating cash flow: ¥808.38 million (up 1,039.81% YoY); significant improvement in cash generation.

• R&D investment: ¥156.53 million (+24.90% YoY), representing 7.65% of revenue.

• EPS: ¥0.32 (basic and diluted, +6.67% YoY); weighted average ROE: 7.40%.

• Total assets: ¥11.88 billion (+19.81% YoY); net assets: ¥9.63 billion (+7.75% YoY).

Outlook and guidance

• 2026 plan focuses on high-quality growth, expanding metamaterial applications in core and civilian markets, and improving operational efficiency.

• Continued investment in R&D and production capacity, with emphasis on the fifth-generation metamaterial technology and “Mass Production 2.0”.

• Guidance to increase market penetration and accelerate the second growth curve in civilian sectors.