Tingyi Cayman Islands (322) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 declined 2.7% year-over-year to RMB40.092 billion, with instant noodles and beverages both seeing slight decreases.

• Gross margin improved by 1.9 percentage points to 34.5% due to cost optimization and operational efficiency.

• Net profit attributable to owners rose 20.5% year-over-year to RMB2.271 billion, with basic EPS up 6.84 cents to 40.30 cents.

• EBITDA increased 13.0% year-over-year to RMB5.451 billion.

• The company maintained a stable dividend policy, continued investment in product innovation and digital transformation, but no interim dividend was declared for H1 2025.

Financial highlights

• Revenue: RMB40.092 billion (down 2.7% year-over-year).

• Gross profit: RMB13.815 billion (up 2.8% year-over-year); gross margin: 34.5% (up 1.9 ppt year-over-year).

• EBITDA: RMB5.451 billion (up 13.0% year-over-year).

• Net profit attributable to owners: RMB2.271 billion (up 20.5% year-over-year).

• Bank balance and cash (including long-term time deposits): RMB19.491 billion as of June 30, 2025.

• Gearing ratio: -35.0% as of June 30, 2025.

Outlook and guidance

• The company expects a complex and volatile economic environment in H2 2025, with continued focus on product innovation, channel optimization, and digital transformation.

• Emphasis on sustainable development, brand strengthening among young consumers, and improving profit margins.