Venustech Group (002439) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥1.13 billion, down 28.03% year-over-year, with net loss attributable to shareholders at ¥93.35 million, a 48.78% improvement from the prior year.

• Gross margin improved by 3.4 percentage points year-over-year, driven by a higher proportion of high-margin products and improved receivables management.

• Operating cash flow improved significantly, with net outflow reduced by 68.77% year-over-year.

• The company accelerated AI-driven product innovation, commercialized new security solutions, and maintained market leadership in multiple cybersecurity segments.

Financial highlights

• Revenue: ¥1,132,582,026.18, down 28.03% year-over-year.

• Net loss attributable to shareholders: ¥93,350,044.62, a 48.78% improvement year-over-year.

• Gross margin: 60.12%, up 3.48 percentage points year-over-year.

• Operating cash flow: -¥161,990,541.19, improved by 68.77% year-over-year.

• Basic and diluted EPS: -0.0767, improved by 48.87% year-over-year.

• Total assets: ¥13,301,173,321.32, down 3.46% from year-end 2024.

Outlook and guidance

• The company expects continued pressure on short-term cybersecurity demand but remains optimistic about long-term growth, driven by digital transformation, AI adoption, and regulatory compliance.

• Strategic focus remains on AI security, data security, and cloud-native solutions, with ongoing investment in R&D (37.67% of revenue in H1 2025).