Rego Interactive (2422) H2 2025 earnings summary

Executive summary

• FY2025 revenue rose 105.8% YoY to RMB503.6m, while gross profit fell 32.1% to RMB44.7m and loss attributable to owners widened to RMB73.2m.

• Performance reflected rapid growth in advertising placement services alongside a shift to lower-margin revenue; investment priorities include AI lottery and sports capabilities.

Financial highlights

• Revenue was RMB503.6m, up 105.8% YoY; cost of sales increased 156.7% to RMB458.9m.

• Gross profit declined 32.1% to RMB44.7m; gross margin contracted to 8.9% from 26.9%.

• Loss before tax was RMB73.4m; loss attributable to owners was RMB73.2m versus RMB38.0m in FY2024.

• Adjusted net loss was RMB52.5m versus RMB27.9m; adjustments included fair-value losses, goodwill impairment, FX differences and a supplier advance write-off.

• Basic and diluted loss per share widened to RMB0.05 from RMB0.03.

Outlook and guidance

• FY2026 priorities include focusing capital on core businesses, improving operating efficiency, cautious risk management and pursuing cross-industry opportunities.

• Plans call for scaling proprietary AI agents across lottery networks, monetising AI sports services around major 2026 events, and targeting a return to profitability through cost controls and Sports + Digital synergies.

• Corporate digitalisation plans emphasize reliable customers and suppliers, omnichannel marketing, enterprise welfare services and expanded virtual- and physical-goods supply chains.