Overview
China battery maker's interim revenue up 16%, returning to profit from prior-year loss
Gross margin fell to 6.5% from 7.5% due to product mix and competition
Mobile battery and power bank sales offset weaker tablet battery demand
Outlook
Company expects supply chain pressures to persist until H2 2027 before easing
Veson to prioritize profitability over operating income growth and monitor market competition
Company plans to continue investing in R&D and AI technology to drive future growth
Result Drivers
MOBILE BATTERIES - Revenue from mobile phone batteries rose 27.6% year-on-year, expanding their share of total sales to 65.8%, driven by sustained demand and market position
TABLET BATTERIES - Tablet battery revenue fell 29.3% amid weaker consumer demand and intensified competition
POWER BANKS - Power bank sales surged 62.6%, aided by regulatory changes favoring certified products and growing consumer adoption
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
RMB 2.76 bln
H1 Net Income Attributable
RMB 21.30 mln
Analyst Coverage
The stock recently traded at 2 times the next 12-month earnings vs. a P/E of 2 three months ago
Reuters Recommended Reads
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