Suzhou TFC Optical Communication (300394) Q4 2025 earnings summary

Executive summary

• Achieved record revenue of ¥5.16 billion in 2025, up 58.79% year-over-year, and net profit of ¥2.02 billion, up 50.15% year-over-year, driven by robust demand in AI and data center markets.

• Maintained strategic focus on core optical interconnect business, accelerated high-speed optical device development, and expanded global production capacity, notably in Thailand.

• Enhanced R&D investment by 14.79% to ¥267 million, with R&D staff up 40.98%, supporting next-gen product launches and patent portfolio growth.

• Implemented digital and lean management initiatives, improving quality, efficiency, and risk control across operations.

Financial highlights

• Revenue: ¥5,163,432,471.16, up 58.79% year-over-year.

• Net profit attributable to shareholders: ¥2,017,266,034.08, up 50.15% year-over-year.

• Operating cash flow: ¥1,868,203,465.93, up 47.97% year-over-year.

• Gross margin for optical components: 53.62%, down 3.67 percentage points year-over-year.

• EPS: Basic ¥2.5958, up 50.20% year-over-year; diluted ¥2.5901.

• Total assets: ¥6,449,302,312.06, up 36.16% year-over-year.

• Net assets: ¥5,505,983,414.22, up 38.36% year-over-year.

Outlook and guidance

• 2026 focus on deepening core business, advancing R&D in AI-driven high-speed products, and expanding global capacity, especially leveraging H-share listing.

• Plans to enhance digitalization, supply chain resilience, and risk management, aiming for stable, high-quality growth.