Amlogic (Shanghai) Co (688099) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue reached RMB 1.53 billion, up 10.98% year-over-year, setting a new record for the same period.

• Net profit attributable to shareholders was RMB 188 million, up 47.53% year-over-year.

• Excluding share-based payment expenses, adjusted net profit was RMB 207 million.

• Smart home chip sales grew over 50% year-over-year, with shipments exceeding 10 million units in the quarter.

• Wi-Fi6 chip shipments rose over 35% year-over-year, with Wi-Fi62*2 chips now 25% of W-series shipments.

Financial highlights

• Operating cash flow was RMB 270 million, down from RMB 297 million in Q1 2024.

• Gross margin improved to 36.23%, up 2.01 percentage points year-over-year.

• R&D expenses were RMB 359 million, up RMB 30 million year-over-year, representing 23.45% of revenue.

• Total assets at quarter-end were RMB 7.77 billion, up 5.5% from year-end 2024.

• Net assets attributable to shareholders reached RMB 6.67 billion, up 4.27% from year-end 2024.

Outlook and guidance

• Management expects Q2 2025 results to further improve year-over-year and maintains full-year growth guidance.

• Growth drivers include rising smart home demand, new product launches, and improved operational efficiency.

• Some uncertainty remains regarding the specific magnitude of future results.