MeiHua Holdings Group (600873) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was RMB 6.27 billion, down 3.36% year-over-year due to lower selling prices for key products despite higher sales volumes.

• Net profit attributable to shareholders rose 35.52% to RMB 1.02 billion, driven by increased sales of lysine, threonine, and isoleucine, as well as lower raw material costs.

• Operating cash flow improved significantly to RMB 453 million, up 1,590.89% year-over-year, mainly due to reduced cash outflows for raw material purchases.

Financial highlights

• Revenue: RMB 6.27 billion, down 3.36% year-over-year.

• Net profit: RMB 1.02 billion, up 35.52% year-over-year.

• Adjusted net profit (excluding non-recurring items): RMB 904.6 million, up 42.07% year-over-year.

• Basic and diluted EPS: RMB 0.36, up 38.46% year-over-year.

• Operating cash flow: RMB 453 million, up 1,590.89% year-over-year.

Key financial ratios and metrics

• Gross margin increased by RMB 288 million, supporting net profit growth.

• Weighted average ROE: 6.78%, up 1.60 percentage points year-over-year.

• Total assets: RMB 24.30 billion, up 2.05% from year-end 2024.

• Shareholders’ equity: RMB 15.45 billion, up 6.01% from year-end 2024.