Shenzhen Capchem Technology (300037) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 reached ¥4.25 billion, up 18.58% year-over-year; net profit attributable to shareholders was ¥484 million, up 16.36% year-over-year.

• All major business segments—battery chemicals, organic fluorine chemicals, and electronic information chemicals—achieved revenue growth, with electronic information chemicals up 25.18% year-over-year.

• The company maintained strong cash flow from operations, with net cash inflow of ¥569 million, a significant turnaround from the prior year.

• Strategic investments and global expansion continued, including new projects in Malaysia and the US, and further integration of the supply chain.

Financial highlights

• Operating income: ¥4.25 billion, up 18.58% year-over-year.

• Net profit attributable to shareholders: ¥484 million, up 16.36% year-over-year.

• Gross margin: 25.05%, down 2.83 percentage points year-over-year.

• Basic EPS: ¥0.64; diluted EPS: ¥0.63.

• Net cash from operating activities: ¥569 million, up 321.57% year-over-year.

• R&D investment: ¥258 million, up 19.51% year-over-year.

Outlook and guidance

• Management expects continued growth in battery chemicals driven by global EV and energy storage demand.

• Organic fluorine chemicals are positioned for growth as international suppliers exit and new applications in AI and green energy expand.

• Electronic information chemicals to benefit from rising demand in data centers, industrial automation, and new energy sectors.