Hong Kong-listed AUX Electric (02580) released its first full‐year results after listing, reporting mixed performance for the year ended 31 December 2025.
Revenue edged up 1.00% year-on-year to RMB30.05 billion, supported by steady domestic sales and double-digit growth in the rest of Asia. Net profit attributable to shareholders dropped 23.20% to RMB2.23 billion, pulling basic earnings per share down to RMB1.56 from RMB2.23.
Gross profit declined 9.30% to RMB5.66 billion, while the gross margin narrowed 2.2 percentage points to 18.8% due to fiercer competition, higher raw-material costs and elevated inventory in certain regions. Selling and distribution expenses jumped 25.50% to RMB1.60 billion on expanded overseas marketing and the launch of new sales companies, whereas administrative costs were contained at RMB1.09 billion, up 6.00%. R&D spending eased 3.00% to RMB688.70 million following personnel optimisation.
By product, household air conditioners contributed RMB26.24 billion, up 1.30% and representing 87.3% of total sales. Central air conditioners added RMB3.28 billion, rising 1.90%. Geographically, revenue from the Chinese mainland remained the largest at RMB15.31 billion (51.0% of total), while sales to Asia ex-China advanced 11.80% to RMB8.21 billion; North America retreated 30.70% to RMB1.45 billion.
The balance sheet strengthened after the September 2025 IPO. Cash and bank balances surged to RMB6.88 billion, lifting net cash to RMB5.42 billion. Total assets reached RMB31.42 billion, with net assets expanding to RMB9.96 billion. The gearing ratio fell to 68.3%, down 15.8 percentage points from a year earlier. Capital expenditure totalled RMB1.35 billion, mainly for new production facilities.
Directors recommended a final dividend of RMB1.06 per share, equivalent to an aggregate payout of about RMB1.68 billion, subject to shareholder approval at the 5 June 2026 AGM; payment is expected on or before 31 August 2026.
IPO proceeds of approximately HKD3.99 billion have been partly deployed, with HKD1.38 billion spent by year-end on R&D, intelligent manufacturing upgrades, and channel expansion; HKD2.61 billion remains earmarked for the same purposes over the next four years.
Management highlighted continued investment in energy-saving and AI-enabled air-conditioning technologies, further international expansion, and the build-out of central air-conditioning solutions as operational priorities for 2026.