Hong Kong – Tianli Holdings reported a marked turnaround for the year ended 31 December 2025, posting profit attributable to owners of the Company of RMB133.45 million versus a RMB153.37 million loss a year earlier.
Revenue rose 23.90% year on year to RMB678.99 million, driven by a 28.40% surge in multi-layer ceramic capacitors (MLCC) sales to RMB638.93 million. Investment and financial-services income softened 20.30% to RMB40.05 million, reflecting lower asset-management fees and a reduced fair-value gain on fund investments.
Group gross profit more than doubled to RMB175.53 million, lifting the overall gross margin to 25.9% from 14.9% in 2024. The MLCC division’s margin jumped to 21.2% (2024: 6.3%) on a richer product mix featuring higher-end industrial and automotive-grade components and tighter cost control.
Earnings were further bolstered by a RMB171.59 million gain recognised on the modification of an unsecured loan, which extended maturity to August 2030 and lowered the coupon rate. Finance costs climbed 18.29% to RMB66.86 million owing to additional bank and other borrowings.
Cash and bank balances totalled RMB71.60 million at year-end, while bank and other loans stood at RMB1.34 billion. Net current assets reached RMB52.26 million, a sharp recovery from a RMB603.42 million deficit a year earlier, and the gearing ratio eased to 73% (2024: 76%). The auditor drew attention to a material uncertainty related to going-concern stemming from covenant breaches on RMB441.52 million of bank loans, though no accelerated repayment has been demanded to date.
Capital expenditure amounted to RMB178.90 million, mainly for production equipment upgrades at Chuzhou and Dongguan MLCC plants. Outstanding capital commitments totalled RMB163.00 million, including US$16.80 million (approximately RMB117.50 million) of undrawn commitments to Group-managed funds.
The board recommended no final dividend for 2025.
Operational outlook highlights include continued capacity expansion in high-end MLCC products for AI servers and new-energy vehicles, alongside tighter cost-efficiency measures. The investment and financial-services arm will focus on post-investment risk management while selectively pursuing new opportunities.