Yeahka (9923) H1 2025 earnings summary

Executive summary

• Achieved robust overseas growth, with overseas GPV exceeding RMB1.5 billion in H1 2025, surpassing 2024's full-year total, and secured key payment licenses in the US and Japan.

• AI-driven innovations and product advancements led to significant cost reductions, efficiency gains, and profitability across business lines, with AI-generated content accounting for a notable share of production.

• Revenue rose 4.0% year-over-year to RMB1,641.5 million, with gross profit up 27.6% to RMB383.0 million and profit for the period up 27.0% to RMB41.4 million.

• Strategic partnerships expanded, including with HSBC, Alipay, WeChat Pay, and ByteDance, supporting global expansion and operational excellence.

• Enhanced profitability and operational efficiency through upgrades in in-store e-commerce and merchant solutions.

Financial highlights

• Revenue for H1 2025 reached RMB1,641.5 million, up 4.0% year-over-year, mainly from one-stop payment services.

• Gross profit increased 27.6% year-over-year to RMB383.0 million, with gross margin rising from 19.0% to 23.3%.

• Profit for the period grew 27.0% year-over-year to RMB41.4 million, with profit margin up from 2.1% to 2.5%.

• Adjusted EBITDA increased 6.2% to RMB173.3 million.

• Finance costs decreased 52.7% year-over-year to RMB19.8 million.

Outlook and guidance

• Focus on international expansion and product innovation, leveraging AI, blockchain, and digital currencies, with ongoing investments in global licenses, R&D, and local teams.

• Overseas business expected to contribute a larger share of gross profit, with continued penetration into key economies.

• One-stop payment services to remain the foundation, with optimization of merchant solutions and in-store e-commerce.