Nexchip Semiconductor (688249) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 reached RMB 2.57 billion, up 15.25% year-over-year, with net profit attributable to shareholders rising 70.92% to RMB 135 million.

• Gross margin improved due to higher capacity utilization and lower unit costs.

• Cash flow from operating activities increased 48.5% year-over-year to RMB 586 million.

Financial highlights

• Operating income for Q1 2025 was RMB 2.57 billion, compared to RMB 2.23 billion in Q1 2024.

• Net profit attributable to shareholders was RMB 135 million, up from RMB 79 million year-over-year.

• Basic and diluted EPS both rose to RMB 0.07, a 75% increase year-over-year.

• R&D investment totaled RMB 338 million, accounting for 13.16% of revenue.

• Total assets at quarter-end were RMB 49.2 billion, down 2.38% from year-end 2024.

Outlook and guidance

• Management attributes profit growth to increased revenue, high capacity utilization, and improved gross margin.