Sungrow Power Supply (300274) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 reached ¥43.53 billion, up 40.34% year-over-year, with net profit attributable to shareholders at ¥7.73 billion, up 55.97% year-over-year.

• Gross margin improved to 34.36%, up 1.94 percentage points year-over-year, driven by brand premium, product innovation, and scale effects.

• Cash flow from operations was ¥3.43 billion, a significant turnaround from a negative ¥2.60 billion in the prior year.

• The board proposes a cash dividend of ¥9.50 per 10 shares, totaling ¥1.95 billion.

Financial highlights

• Operating income: ¥43.53 billion (+40.34% YoY); net profit: ¥7.73 billion (+55.97% YoY).

• Operating cash flow: ¥3.43 billion (+231.91% YoY); total assets: ¥118.39 billion (+2.89% from year-end 2024).

• Basic and diluted EPS: ¥3.73 (+56.07% YoY); ROE: 19.18% (+2.64pp YoY).

• R&D investment: ¥2.04 billion (+37.08% YoY); R&D staff: 7,120, accounting for 40% of total employees.

• Overseas revenue share rose to 58.3% (+88.32% YoY), with strong growth in storage systems (+127.78% YoY).

Outlook and guidance

• Management expects continued global growth in PV and storage, with emerging markets as new drivers.

• The company will focus on innovation, global expansion, and cost optimization to maintain competitiveness.