Sungrow Power Supply (300274) Q1 2025 earnings summary

Executive summary

• Achieved Q1 2025 revenue of RMB 19.04 billion, up 50.92% year-over-year, driven by sales growth.

• Net profit attributable to shareholders reached RMB 3.83 billion, up 82.52% year-over-year.

• Operating cash flow turned positive at RMB 1.79 billion, a significant improvement from negative RMB 488 million in Q1 2024.

• Adjusted net profit (excluding non-recurring items) was RMB 3.68 billion, up 76.46% year-over-year.

Financial highlights

• Gross margin improved as revenue growth outpaced cost increases; operating income rose to RMB 4.58 billion.

• Basic and diluted EPS were both RMB 1.85, up from RMB 1.01 in Q1 2024 (adjusted for share capital changes).

• Total assets increased to RMB 122.77 billion, up 6.69% from year-end 2024.

• Shareholders' equity rose 10.5% to RMB 40.78 billion.

• Significant increase in investment income and fair value gains contributed to profit growth.

Key financial ratios and metrics

• Weighted average ROE reached 9.39% for the quarter.

• Gross margin and operating margin both improved year-over-year.

• Operating cash flow margin turned positive, reflecting improved working capital management.