NARI Technology (600406) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 reached RMB 8.90 billion, up 14.8% year-over-year.

• Net profit attributable to shareholders was RMB 680 million, a 14.1% increase year-over-year.

• Basic and diluted EPS both rose to RMB 0.09, up 14.2% from the same period last year.

Financial highlights

• Operating income for Q1 2025 was RMB 8.90 billion, compared to RMB 7.75 billion in Q1 2024.

• Net profit attributable to shareholders (excluding non-recurring items) was RMB 609 million, up 11.1% year-over-year.

• Gross margin improved as operating costs increased at a slower rate than revenue.

• Net cash flow from operating activities was negative RMB 287 million, a significant improvement from negative RMB 892 million in Q1 2024.

• Total assets at quarter-end were RMB 89.90 billion, down 3.4% from year-end 2024.

Key financial ratios and metrics

• Weighted average ROE was 1.37%, up 0.11 percentage points year-over-year.

• Basic and diluted EPS both at RMB 0.09, up from RMB 0.07 in Q1 2024.

• Owner's equity attributable to shareholders increased 1.6% to RMB 50.08 billion.