Zhejiang Jingsheng Mechanical & Electrical (300316) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ¥5.80 billion, down 42.85% year-over-year due to reduced sales scale, especially in photovoltaic equipment and materials.

• Net profit attributable to shareholders was ¥639 million, a 69.52% decrease year-over-year, mainly from lower profitability in the photovoltaic segment.

• Semiconductor business maintained growth, benefiting from industry development and domestic substitution trends.

• Cash flow from operating activities increased 55.84% year-over-year to ¥447 million, mainly due to lower tax payments.

Financial highlights

• Operating income: ¥5.80 billion, down 42.85% year-over-year.

• Net profit: ¥639 million, down 69.52% year-over-year.

• Gross margin for equipment and services: 32.93%; for materials: 6.22%.

• Total assets: ¥31.55 billion, up 9.78% from year-end 2024.

• Net assets attributable to shareholders: ¥16.62 billion, up 3.17% from year-end 2024.

• Basic and diluted EPS: ¥0.49, down 69.38% year-over-year.

Outlook and guidance

• Management expects continued growth in semiconductor equipment and materials, driven by domestic substitution and international expansion.

• Photovoltaic business faces cyclical adjustment, but innovation and digitalization are expected to support long-term competitiveness.

• Ongoing investment in R&D and international projects, including an 8-inch SiC substrate facility in Malaysia.