Sieyuan Electric (002028) Q2 2025 earnings summary

Executive summary

• Revenue rose 37.8% year-over-year to ¥8.50 billion, with net profit up 45.71% to ¥1.29 billion.

• Overseas sales surged 88.95% year-over-year, now 33.68% of total revenue.

• R&D investment increased 25.95% year-over-year, supporting new product launches and market expansion.

• The company maintained stable operations and continued to invest in innovation and sustainable development.

• Cash flow from operations turned negative at -¥713 million, mainly due to inventory buildup and supplier payments.

Financial highlights

• Operating profit rose 44.77% year-over-year to ¥1.53 billion.

• Basic and diluted EPS: ¥1.66, up 47.04% and 45.61% year-over-year, respectively.

• Gross margin for power transmission/distribution: 31.94%; overseas gross margin: 35.69%.

• Total assets: ¥25.29 billion, up 7.74% from year-end; net assets: ¥13.38 billion, up 8.05%.

• Non-recurring profit: ¥56.63 million, mainly from government grants and financial asset gains.

Outlook and guidance

• Management expects continued growth in overseas and domestic markets, driven by new energy and grid upgrades.

• The company is leveraging opportunities in the new power systems sector and increasing investment in innovation to drive long-term sustainable growth.

• Focus remains on innovation, cost control, and expanding international presence.