TECO Electric & Machinery (1504) Q2 2025 earnings summary

Executive summary

• Consolidated revenue for the six months ended June 30, 2025 was NT$29,221 million, up 3.4% year-over-year, with net profit attributable to owners at NT$2,596 million, down 7.5% from NT$2,806 million in the prior year period.

• Earnings per share for the six-month period were NT$1.23, compared to NT$1.33 in the same period last year.

• The group completed several acquisitions, including Shen Chang Electric, EVK Company, and NCL Energy Sdn. Bhd., expanding its portfolio in transformers, hairpin motor technology, and solar power engineering.

Financial highlights

• Gross margin for the six months was 24%, consistent with the prior year.

• Operating profit for the six months was NT$2,195 million, down from NT$2,937 million year-over-year.

• Net cash from operating activities was NT$1,625 million, up from NT$1,358 million in the prior year.

• Total assets as of June 30, 2025 were NT$122,797 million, with equity attributable to owners at NT$68,890 million.

Outlook and guidance

• The group aims to leverage recent acquisitions to strengthen its industrial electrification and mechatronics engineering capabilities, targeting growth in AI data centers and global electrification trends.

• A strategic share exchange with Hon Hai Precision Industry Co., Ltd. was approved, effective October 1, 2025, to enhance operational momentum in AI data center development.