VTech (303) announced its interim results for the six months ended 30 September 2025, reporting revenue of US$991.1 million, down 9.0% compared to the corresponding period of the previous financial year. Profit attributable to shareholders decreased by 14.5%, from US$87.4 million to US$74.7 million. Basic earnings per share fell from US34.6 cents to US29.5 cents.

According to the announcement, the main factors behind the decline in both revenue and profit included lower sales of Electronic Learning Products (ELPs) and Contract Manufacturing Services (CMS). The results were partially offset by an increase in Telecommunication (TEL) products, where revenue climbed in Europe.

Gross profit margin improved to 31.9%, compared to 31.5% in the same period last year, amid lower material costs and a more favorable product mix. The Board declared an interim dividend of US17.0 cents per ordinary share, unchanged from the same period in the previous financial year.

By region, North America revenue declined 12.1%, impacted by tariff uncertainties. Europe’s revenue decreased 7.2%, with higher sales of ELPs and TEL products offset by lower CMS orders. Asia Pacific saw a 5.6% decrement, as declines in TEL and CMS outweighed a stable performance in certain product lines, while revenue from Other Regions fell by 11.3%. Looking ahead, VTech forecasts a recovery in ELPs in the second half of the financial year and expects a slight improvement for TEL products, while CMS revenue is anticipated to decrease for the full financial year.