DALIAN, China, Aug. 18, 2025 (GLOBE NEWSWIRE) -- CBAK Energy Technology, Inc. $(CBAT)$ ("CBAK Energy," or the "Company") a leading lithium-ion battery manufacturer and electric energy solution provider in China, today reported its unaudited financial results for the second quarter and the first half of 2025 ended June 30, 2025.
Second Quarter of 2025 Financial Results
Net revenues(1) were $40.52 million, down 15% from $47.79 million in the same period of 2024. The decline was largely attributable to our Dalian facilities, where most customers operate in the residential energy supply sector. These facilities are currently upgrading their product portfolio, shifting from Model 26650 to Model 40135. Customers who previously purchased Model 26650 are now in the process of testing and validating the new Model 40135, and we expect a gradual recovery once both existing and potential customers complete this validation. In addition, capacity for Model 32140 produced at our Phase I Nanjing facilities is fully booked. To meet growing demand, we are expanding Model 32140 capacity at our Phase II Nanjing facilities. Once Phase II operations commence by year-end, we anticipate a significant acceleration in growth from our Nanjing facilities.
Among these revenues, detailed revenues from our battery business are:
2024 Second 2025 Second % Change
Battery Business Quarter Quarter YoY
------------------
Net Revenues ($) 35,598,124 21,090,137 -40.8
Gross Profits ($) 12,917,293 3,411,633 -73.6
Gross Margin 36.3% 16.2% -
Net Income ($) 7,892,641 (2,071,334) -126.2
-------------------- ----------- ----------- --------
Net Revenues from
Battery Business
on Applications
($)
------------------ ----------- ----------- --------
Electric Vehicles 199,258 142,139 -28.7
-------------------- ----------- ----------- --------
Light Electric
Vehicles 1,825,501 2,426,624 33
-------------------- ----------- ----------- --------
Residential Energy
Supply &
Uninterruptable
supplies 33,573,365 18,521,374 -44.8
-------------------- ----------- ----------- --------
Total 47,793,045 40,524,333 -15.2
(1) Net revenues consist of the Company's self-operated
battery business and Hitrans, which was acquired in
2021, an independently managed raw materials business.
Cost of revenues was $36.06 million, representing an increase of 2.84% from $35.07 million in the same period of 2024.
Gross profit was $4.46 million, representing a decrease of 64.95% from $12.73 million in the same period of 2024. Gross margin was 11%, compared to 26.6% in the same period of 2024.
Operating loss amounted to $3.53 million, compared to an operating income of $5.95 million in the same period of 2024.
Net loss attributable to shareholders of CBAK Energy was $3.07 million, compared to net income attributable to shareholders of CBAK Energy of $6.45 million in the same period of 2024.
Basic and diluted loss per share were both $0.03, compared to basic and diluted income per share of $0.07 in 2024.
First Half of 2025 Financial Results
Net revenues(1) were $75.46 million, a 29.2% decrease from $106.62 million in the same period of 2024, reflecting the factors discussed above.
Among these revenues, detailed revenues from our battery business are:
2024 2025 % Change
Battery Business First Half First Half YoY
------------------
Net Revenues ($) 80,435,993 41,453,475 -48.5
Gross Profits ($) 31,375,815 8,131,735 -74.1
Gross Margin 39% 19.6% -
Net Income ($) 19,575,070 (1,734,473) -108.9
-------------------- ----------- ----------- --------
Net Revenues from
Battery Business
on Applications
($)
------------------ ----------- ----------- --------
Electric Vehicles 679,439 679,646 0.03
-------------------- ----------- ----------- --------
Light Electric
Vehicles 3,335,793 5,271,498 58
-------------------- ----------- ----------- --------
Residential Energy
Supply &
Uninterruptable
supplies 76,420,761 35,502,331 -53.5
-------------------- ----------- ----------- --------
Total 106,615,477 75,463,234 -29.2
(1) Net revenues consist of the Company's self-operated
battery business and Hitrans, which was acquired in
2021, an independently managed raw materials business.
Cost of revenues was $66.2 million, representing a decrease of 11.86% from $75.1 million in the same period of 2024.
Gross profit was $9.26 million, representing a decrease of 70.6% from $31.5 million in the same period of 2024. Gross margin was 12.28%, compared to 29.5% in the same period of 2024.
Operating loss amounted to $6.4 million, compared to an operating income of $16.2 million in the same period of 2024.
Net loss attributable to shareholders of CBAK Energy was $4.65 million, compared to net income attributable to shareholders of CBAK Energy of $16.3 million in the same period of 2024.
Basic and diluted loss per share were both $0.05, compared to basic and diluted income per share of $0.18 in 2024.
Zhiguang Hu, Chief Executive Officer of the Company, commented, "As noted in our Q1 earnings, this year marks a strategic transition in battery models at our key manufacturing base. Our Dalian facilities are scheduled to begin mass production of Model 40135 in September, with customers already testing and validating the product and providing highly positive feedback. We expect a gradual recovery at Dalian beginning in Q4. Meanwhile, the completion of Phase II expansion for Model 32140 at our Nanjing facilities has been postponed to Q4. At present, customers at Dalian are transitioning to Model 40135, while capacity at Nanjing is fully booked, necessitating further expansion to meet demand. Once Model 40135 enters mass production in Dalian and the additional Model 32140 capacity in Nanjing comes online by year-end, we anticipate a strong rebound in production and sales."
Jiewei Li, Director and Chief Financial Officer, added, "The performance of our battery segment has historically been strong, but this year we are undergoing a strategic upgrade to our product portfolio--introducing Model 40135--while also facing significantly higher-than-expected demand for our most popular model, the Model 32140. As Mr. Hu noted, we are confident that our financial performance will experience a gradual and solid recovery in the near term. We are also close to finalizing agreements with several internationally renowned customers. Our customer base is highly global, including leading players such as top-five manufacturers in India's two- and three-wheeler market, top-five companies in the portable power bank sector, and other major names in the energy storage industry. As always, we will try our best to seek customer consent and announce these names and agreements to ensure transparency for our shareholders. We are working hard to ensure our shareholders and investors that we are a fast-growing company with a solid customer structure and a strong commitment to future growth."
Conference Call
CBAK Energy's management will host an earnings conference call at 8:00 AM U.S. Eastern Time on Monday, August 18, 2025 (8:00 PM Beijing/Hong Kong Time on August 18, 2025).
For participants who wish to join our call online, please visit:
https://edge.media-server.com/mmc/p/f2mt5wdg
Participants who plan to ask questions during the call will need to register at least 15 minutes prior to the scheduled call start time using the link provided below. Upon registration, participants will receive the conference call access information, including dial-in numbers, a unique pin, and an email with detailed instructions.
Participant Online Registration:
https://register-conf.media-server.com/register/BI4c5379149ee143008b639d88955a3194
Once completing the registration, please dial-in at least 10 minutes before the scheduled start time of the conference call and enter the personal pin as instructed to connect to the call.
A replay of the conference call may be accessed within seven days after the conclusion of the live call at the following website: https://edge.media-server.com/mmc/p/f2mt5wdg
The earnings release and the link for the replay are available at ir.cbak.com.cn
About CBAK Energy
CBAK Energy Technology, Inc. (NASDAQ: CBAT) is a leading high-tech enterprise in China engaged in the development, manufacturing, and sales of new energy high power lithium and sodium batteries, as well as the production of raw materials for use in manufacturing high power lithium batteries. The applications of the Company's products and solutions include electric vehicles, light electric vehicles, energy storage and other high-power applications. In January 2006, CBAK Energy became the first lithium battery manufacturer in China listed on the Nasdaq Stock Market. CBAK Energy has multiple operating subsidiaries in Dalian, Nanjing, Shaoxing and Shangqiu, as well as a large-scale R&D and production base in Dalian.
For more information, please visit ir.cbak.com.cn
Safe Harbor Statement
This press release contains "forward-looking statements" that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, including statements regarding our future results of operations and financial position, strategy and plans, and our expectations for future operations, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. We have attempted to identify forward-looking statements by terminology including "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "should," or "will" or the negative of these terms or other comparable terminology. Our actual results may differ materially or perhaps significantly from those discussed herein, or implied by, these forward-looking statements.
Any forward-looking statements contained in this press release are only estimates or predictions of future events based on information currently available to our management and management's current beliefs about the potential outcome of future events. Whether these future events will occur as management anticipates, whether we will achieve our business objectives, and whether our revenues, operating results, or financial condition will improve in future periods are subject to numerous risks. There are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including: significant legal and operational risks associated with having substantially all of our business operations in China, that the Chinese government may exercise significant oversight and discretion over the conduct of our business and may intervene in or influence our operations at any time, which could result in a material change in our operations and/or the value of our securities or could significantly limit or completely hinder our ability to offer or continue to offer securities to investors and could cause the value of such securities to significantly decline or be worthless, the effects of the global Covid-19 pandemic or other health epidemics, changes in domestic and foreign laws, regulations and taxes, the volatility of the securities markets; and other risks including, but not limited to, the ability of the Company to meet its contractual obligations, the uncertain markets for the Company's products and business, macroeconomic, technological, regulatory, or other factors affecting the profitability of our products and solutions that we discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 10-K as well as in our other reports filed or furnished from time to time with the SEC. You should read these factors and the other cautionary statements made in this press release. If one or more of these factors materialize, or if any underlying assumptions prove incorrect, our actual results, performance or achievements may vary materially from any future results, performance or achievements expressed or implied by these forward-looking statements. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.
For further inquiries, please contact:
In China:
CBAK Energy Technology, Inc.
Investor Relations Department
Email: ir@cbak.com.cn
CBAK Energy Technology, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
As of December 31, 2024 and June 30, 2025
(Unaudited)
(In US$ except for number of shares)
December 31, June 30,
2024 2025
------------- -------------
Assets
Current assets
Cash and cash equivalents $ 6,724,360 $ 5,679,756
Pledged deposits 54,061,642 53,697,312
Term deposits 4,237,090 2,129,996
Trade and bills receivable, net 32,938,918 34,655,174
Inventories 22,851,027 37,443,143
Prepayments and other receivables 20,004,966 9,359,355
Receivables from former subsidiary 12,399 2,945
Income tax recoverable 566,458 480,234
------------ ------------
Total current assets 141,396,860 143,447,915
Property, plant and equipment, net 85,486,829 83,891,222
Construction in progress 42,526,859 71,635,858
Long-term investments, net 2,246,494 2,323,089
Prepaid land use rights 11,075,973 12,226,229
Intangible assets, net 382,962 154,251
Deposit paid for acquisition of
long-term investments 15,864,318 16,164,605
Operating lease right-of-use
assets, net 3,237,849 3,251,097
------------ ------------
Total assets $ 302,218,144 $ 333,094,266
============ ============
Liabilities
Current liabilities
Trade and bills payable 84,724,386 97,634,483
Short-term bank borrowings 26,087,350 33,885,284
Other short-term loans 335,715 336,391
Accrued expenses and other
payables 58,285,635 65,324,756
Payable to a former subsidiary,
net 419,849 414,046
Deferred government grants,
current 556,214 566,742
Product warranty provisions 23,426 23,312
Operating lease liability, current 1,268,405 1,229,323
------------ ------------
Total current liabilities 171,700,980 199,414,337
Long-term bank borrowings - 4,871,716
Deferred government grants,
non-current 7,580,255 10,269,732
Product warranty provisions 420,688 449,122
Operating lease liability,
non-current 2,449,056 2,245,219
------------ ------------
Total liabilities 182,150,979 217,250,126
------------ ------------
Commitments and contingencies
Shareholders' equity
Common stock $0.001 par value;
500,000,000 authorized;
90,083,396 issued and 89,939,190
outstanding as of December 31,
2024; and 90,099,500 issued and
88,867,313 outstanding as of June
30, 2025 90,083 90,099
Donated shares 14,101,689 14,101,689
Additional paid-in capital 247,842,445 247,892,318
Statutory reserves 1,230,511 3,042,602
Accumulated deficit (122,605,730) (129,070,018)
Accumulated other comprehensive
loss (14,919,345) (12,542,048)
------------ ------------
125,739,653 123,514,642
Less: Treasury shares (4,066,610) (5,303,730)
------------ ------------
Total shareholders' equity 121,673,043 118,210,912
Non-controlling interests (1,605,878) (2,366,772)
------------ ------------
Total equity 120,067,165 115,844,140
------------ ------------
Total liabilities and
shareholder's equity $ 302,218,144 $ 333,094,266
============ ============
BAK Energy Technology, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations and
Comprehensive Income (Loss)
For the three and six months ended June 30, 2024 and
2025
(Unaudited)
(In US$ except for number of shares)
Three months ended Six months ended
June 30, June 30,
--------------------------- ---------------------------
2024 2025 2024 2025
------------ ------------ ------------ ------------
Net revenues $ 47,793,045 $ 40,524,333 $106,615,477 $ 75,463,234
Cost of revenues (35,065,019) (36,061,924) (75,106,404) (66,199,091)
----------- ----------- ----------- -----------
Gross profit 12,728,026 4,462,409 31,509,073 9,264,143
----------- ----------- ----------- -----------
Operating
expenses:
Research and
development
expenses (2,955,509) (3,613,478) (5,771,027) (6,637,439)
Sales and
marketing
expenses (1,368,373) (950,777) (3,092,405) (1,846,827)
General and
administrative
expenses (3,129,994) (3,350,859) (7,222,521) (7,154,996)
Allowance for
expected credit ) )
loss, net 673,330 (75,871 787,343 (17,476
----------- ----------- ----------- -----------
Total operating
expenses (6,780,546) (7,990,985) (15,298,610) (15,656,738)
----------- ----------- ----------- -----------
Operating income
(loss) 5,947,480 (3,528,576) 16,210,463 (6,392,595)
Finance income
(loss), net 688,721 (163,303) 698,384 (118,183)
Other income, net 141,975 352,951 509,413 1,065,743
Share of income
(loss) of equity
investee 88 (21,470) (18,736) 33,655
Gain on disposal
of equity
investee 45,648 - 45,648 -
----------- ----------- ----------- -----------
Income before
income tax 6,823,912 (3,360,398) 17,445,172 (5,411,380)
Income tax
expenses (800,727) - (1,849,513) -
----------- ----------- ----------- -----------
Net income (loss) 6,023,185 (3,360,398) 15,595,659 (5,411,380)
Less: Net loss
attributable to
non-controlling
interest 422,277 287,434 686,253 759,182
----------- ----------- ----------- -----------
Net income (loss)
attributable to
CBAK Energy
Technology, ) )
Inc. $ 6,445,462 (3,072,964 $ 16,281,912 $ (4,652,198
=========== =========== =========== ===========
Net income (loss) 6,023,185 (3,360,398) 15,595,659 (5,411,380)
Other
comprehensive
loss
-- Foreign
currency
translation
adjustment (829,769) 1,675,741 (2,735,817) 2,375,585
----------- ----------- ----------- -----------
Comprehensive
income (loss) 5,193,416 (1,684,657) 12,859,842 (3,035,795)
Less:
Comprehensive
loss
attributable to
non-controlling
interest 423,171 318,078 697,394 760,894
----------- ----------- ----------- -----------
Comprehensive
income (loss)
attributable to
CBAK Energy
Technology, ) )
Inc. $ 5,616,587 $ (1,366,579 $ 13,557,236 $ (2,274,901
=========== =========== =========== ===========
Income (loss)
per share
-- Basic $ 0.07 $ (0.03) $ 0.18 $ (0.05)
----------- ----------- ----------- -----------
-- Diluted $ 0.07 $ (0.03) $ 0.18 $ (0.05)
----------- ----------- ----------- -----------
Weighted average
number of shares
of common
stock:
-- Basic 89,931,617 89,007,924 89,931,727 89,852,405
=========== =========== =========== ===========
-- Diluted 90,111,613 89,007,924 90,289,544 89,852,405
=========== =========== =========== ===========
(END) Dow Jones Newswires
August 18, 2025 07:00 ET (11:00 GMT)