TUHU Car (9690) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 rose 10.5% year-on-year to RMB 7.88 billion, with gross profit up 7.4% to RMB 1.98 billion and net profit up 7.8% to RMB 306.5 million.

• Adjusted net profit reached RMB 410.5 million, up 14.6% year-on-year; adjusted EBITDA grew 7.5% to RMB 483.3 million.

• Free cash flow rose 32.2% to RMB 347 million, with cash reserves at RMB 7.5 billion.

• User base expanded to 150.3 million, with 26.5 million transaction users in the past 12 months, up 23.8% year-on-year; store count reached 7,205.

• Maintained strong profitability, with around 90% of stores profitable and user satisfaction above 95% as of June 2025.

Financial highlights

• Revenue grew 10.5% year-on-year to RMB 7.88 billion; gross profit was RMB 1.98 billion (+7.4% YoY); net profit was RMB 306.5 million (+7.8% YoY).

• Adjusted net profit margin rose to 5.2% in H1 2025; adjusted EBITDA margin was 6.1%.

• Gross margin declined to 25.2%, mainly due to price pressure and product mix shift.

• Free cash flow increased by over 30% year-on-year; total cash reserves reached RMB 7.5 billion.

• Earnings per share: Basic and diluted RMB 0.4.

Outlook and guidance

• Store openings in H2 expected to accelerate, especially in city distribution and lower-tier markets.

• Continued investment in AI, automation, and NEV-focused services to drive long-term growth and operational efficiency.

• High cash reserves provide strategic flexibility amid industry downturn.