Shanghai Fudan (01385) announced its interim results for the six months ended June 30, 2025. The group achieved operating revenue of approximately RMB 18.39 billion, representing an increase of 2.49% compared to the same period last year. The comprehensive gross margin was 56.80%, up 0.31 percentage points year-on-year. Net profit attributable to shareholders of the parent company was approximately RMB 194 million, a decrease of about 44.38% from the previous year. Net profit attributable to shareholders of the parent company excluding non-recurring gains and losses was approximately RMB 182 million, down about 40.96% year-on-year.

The group faces intense market competition across all product lines. The group actively expanded into new products and markets to consolidate or expand market share. Except for non-volatile memory, all product lines in the integrated circuit design segment achieved growth, leading to increased operating revenue.

Due to reduced VAT additional deductions for integrated circuit design enterprises and decreased government subsidies following project verification, other income declined. Inventory provisions increased due to declining demand for certain products and extended aging of inventory, resulting in a decrease in net profit attributable to shareholders of the parent company during the reporting period.

As of June 30, 2025, the group's total assets were approximately RMB 93.03 billion, an increase of about 2.90% from the beginning of the reporting period. Net assets attributable to shareholders of the parent company were approximately RMB 60.34 billion, up about 2.37% from the beginning of the reporting period.

During the reporting period, cash flows from operating activities amounted to approximately RMB 186 million, an increase of 45.94% compared to the same period last year, primarily due to increased cash received from goods sales, leading to higher cash inflows from operating activities.