Shenzhen Goodix Technology (603160) Q2 2025 earnings summary

Executive summary

• Revenue for the first half of 2025 was RMB 2.25 billion, down 0.2% year-over-year, while net profit attributable to shareholders rose 35.7% to RMB 430.6 million, driven by new product commercialization and improved gross margin.

• Gross margin increased from 42.0% to 43.3% year-over-year, supported by lower chip procurement costs and product mix optimization.

• The company maintained a strong financial position with a debt-to-asset ratio of 13.8% and cash reserves of RMB 3.49 billion at period end.

• A cash dividend of RMB 0.15 per share (totaling RMB 69.1 million) is proposed, representing 16.05% of net profit for the period.

Financial highlights

• Operating income: RMB 2,251 million, -0.2% year-over-year.

• Net profit attributable to shareholders: RMB 430.6 million, +35.7% year-over-year.

• Operating cash flow: RMB 437.1 million, -17.5% year-over-year.

• Basic EPS: RMB 0.94, +36.2% year-over-year.

• Gross margin: 43.3%, up from 42.0% a year ago.

Outlook and guidance

• The company expects continued growth in new product shipments, especially in ultrasonic fingerprint, light sensor, and security solutions.

• Ongoing R&D investment will focus on next-generation sensors, enhanced NFC, and haptic drivers.

• Management remains cautious about global semiconductor cycles and downstream demand fluctuations.