Huitongda Network Reports 10.8% Increase in Net Income for H1 2025 Despite Revenue Decline

Reuters
Aug 28
Huitongda Network Reports 10.8% Increase in Net Income for H1 2025 Despite Revenue Decline

Huitongda Network Co. Ltd. has announced its unaudited consolidated interim results for the six months ended June 30, 2025. The company reported a decline in revenue year-on-year, attributed to a high base in the first half of 2024 and the impact of national subsidy policy price restrictions on the consumer electronics sector. Despite this, the gross profit of direct sales increased year-on-year. The net income attributable to equity shareholders amounted to RMB139 million, marking a year-on-year increase of 10.8%. The gross profit margin improved significantly by 1.1 percentage points to 4.6%, reflecting a year-on-year rise of 31.4%. Additionally, net cash generated from operating activities saw a substantial increase of 65.7% year-on-year. The Group also focused on high-margin businesses like mobile phone accessories and pan-intelligent equipment, optimizing its revenue structure. AI-related revenue was introduced and achieved notable results, demonstrating the effectiveness of strategic business adjustments. The company's financial indicators, including gross profit margin and net profit margin attributable to equity shareholders, reached their highest levels in the Group's history, indicating a shift towards a sustainable development path prioritizing profitability.

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