Piotech (688072) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue reached RMB 709 million, up 50.22% year-over-year, driven by rapid scale-up of new products and expanded process coverage.

• Net profit attributable to shareholders was -RMB 147 million, a significant decline from RMB 10.5 million in Q1 2024, mainly due to high costs in customer validation and increased expenses.

• Operating cash flow turned positive to RMB 10.9 million, improving by RMB 732 million year-over-year, reflecting strong shipment growth and higher advance payments.

• R&D investment remained high at RMB 159 million, accounting for 22.38% of revenue, supporting ongoing innovation and competitiveness.

Financial highlights

• Revenue: RMB 709 million, up 50.22% year-over-year.

• Net profit attributable to shareholders: -RMB 147 million, down from RMB 10.5 million in Q1 2024.

• Operating cash flow: RMB 10.9 million, a turnaround from -RMB 721 million in Q1 2024.

• Basic EPS: -0.53 yuan, compared to 0.04 yuan in Q1 2024.

• Gross margin declined due to high validation costs and increased period expenses.

Outlook and guidance

• Order backlog at quarter-end increased compared to end-2024, with advance payments and sales collections both rising sharply.

• Management expects continued business growth, supported by strong market demand and ongoing product innovation.