Merida Industry (9914) Q2 2025 earnings summary

Executive summary

• Net revenue for Q2 2024 was NT$7.0 billion, down 25% year-over-year; first half revenue was NT$14.6 billion, a 4% decrease from the prior year.

• Net income attributable to owners for Q2 2024 was NT$394 million, a 40% decline year-over-year; first half net income was NT$813 million, down 24%.

• Basic and diluted EPS for Q2 2024 were both NT$1.32, compared to NT$2.19 in Q2 2023.

Financial highlights

• Gross margin for Q2 2024 was 15%, down from 21% in Q2 2023; first half gross margin was 16%.

• Operating income for Q2 2024 was NT$706 million, a 38% decrease year-over-year; first half operating income was NT$1.31 billion, down 21%.

• Foreign exchange losses of NT$529 million in H1 2024 significantly impacted net profit.

• Cash and cash equivalents at June 30, 2024, were NT$3.42 billion, down from NT$4.15 billion a year earlier.

Outlook and guidance

• Management continues to monitor global demand and supply chain risks, with ongoing evaluation of market and currency volatility.