SHENZHEN TRANSSION (688036) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was RMB 29.08 billion, down 15.86% year-over-year; net profit attributable to shareholders was RMB 1.21 billion, down 57.48% year-over-year.

• Global mobile phone market share reached 12.5%, ranking third globally; smartphone market share was 7.9%, ranking sixth.

• Maintained leading position in Africa and South Asia, with top market share in several countries.

• Proposed interim cash dividend of RMB 8.00 per 10 shares, totaling RMB 912.28 million, representing 75.22% of net profit.

Financial highlights

• Operating income: RMB 29.08 billion, down 15.86% year-over-year.

• Net profit attributable to shareholders: RMB 1.21 billion, down 57.48% year-over-year.

• Operating cash flow: RMB 10.35 million, improved from negative RMB 1.39 billion in H1 2024.

• Basic and diluted EPS: RMB 1.06, down 58.10% and 57.77% year-over-year, respectively.

• Gross margin and net margin declined due to product launch timing, market competition, and supply chain cost pressures.

Outlook and guidance

• Focus on strengthening competitive advantages in Africa, enhancing local operations, and expanding multi-brand strategy in emerging markets.

• Continued investment in R&D and digitalization, with emphasis on AI and new technology integration.

• Plans to maintain healthy operations and pursue sustainable growth in new markets.