Amid the global wave of AI computing power demand, Zhongji Innolight Co.,Ltd., a dominant leader in the high-speed optical module sector, delivered an exceptional financial performance for the full year 2025.
The financial report released on Monday revealed that the company's annual revenue exceeded 38.24 billion yuan, marking a significant increase of 60.25% year-over-year. Net profit attributable to shareholders reached 10.797 billion yuan, surging by 108.78% compared to the previous year. Non-GAAP net profit also grew by over 111%, with the company leading the industry in both growth rate and profitability quality.
Regarding revenue structure, the company maintained its strategy of "high focus and global delivery": optical communication transceiver modules contributed 97.95% of total revenue, overseas revenue accounted for 90.58%, and direct sales represented 98.69% of total sales.
Concurrently, the company proposed a substantial cash dividend distribution of 10 yuan per 10 shares, totaling over 1.1 billion yuan in cash payouts, rewarding shareholders with significant returns.
The 60% annual revenue growth and doubled profits were accompanied by a strengthening growth trajectory in the fourth quarter. Quarterly performance demonstrated sequential improvement rather than a decline:
Q1/Q2/Q3/Q4 revenues were 6.674 billion, 8.115 billion, 10.216 billion, and 13.235 billion yuan, respectively. Q1/Q2/Q3/Q4 net profits attributable to shareholders were 1.583 billion, 2.412 billion, 3.137 billion, and 3.665 billion yuan, respectively. Against the backdrop of sustained growth in AI-related demand and ongoing product portfolio upgrades toward higher speeds, both fourth-quarter revenue and profit reached annual quarterly peaks, reflecting strong alignment between delivery capabilities and customer procurement cycles.
For the full year, the company's financial metrics showed comprehensive improvement, with all key indicators reaching historical highs. In terms of profitability, net profit attributable to shareholders reached 10.797 billion yuan and non-GAAP net profit was 10.710 billion yuan, both surpassing the 10-billion-yuan milestone. The profit growth rate significantly outpaced revenue growth, demonstrating enhanced profit elasticity driven by scale effects and product mix optimization. Basic earnings per share were 9.80 yuan, an increase of 107.63% year-over-year, indicating substantially improved returns for shareholders.
The company's performance growth was entirely driven by its core business of optical communication transceiver modules. In 2025, this business segment generated revenue of 37.457 billion yuan, a year-over-year increase of 63.67%, accounting for 97.95% of total revenue and indicating further concentration on the core business. Continuous migration towards higher-end products, with increasing shipment proportions of high-margin, high-speed optical modules such as 800G and 1.6T, directly contributed to a 7.96 percentage point year-over-year improvement in gross margin, reaching 42.61% and representing a qualitative leap in profitability.
Both sales volume and production capacity expanded significantly. Annual optical module sales reached 21.09 million units, up 44.55% year-over-year, while production output was 23.76 million units, increasing by 54.69% year-over-year, with capacity utilization remaining high.
Overseas revenue amounted to 34.637 billion yuan, comprising 90.58% of total revenue and growing 67.20% year-over-year. The company has deepened its relationships with leading North American cloud providers and AI giants, continuously expanding its advantage in international markets. Zhongji Innolight has established a comprehensive product matrix covering the full range of high-speed optical modules from 100G to 1.6T, and is one of the few global manufacturers capable of mass-producing and delivering 1.6T high-end products, showcasing deep technological and product barriers.
Notably, the company was among the first in the industry to launch a full series of 1.6T OSFP products, including the industry-leading 1.6T-DR8 OSFP224 LPO solution. It has also strengthened its dual-platform layout for 800G OSFP and QSFP-DD, while scaling the application of silicon photonics solutions. Development of next-generation technologies such as LPO and CPO is progressing concurrently. Mass production of 1.6T products began in the third quarter of 2025, with volumes ramping rapidly in the fourth quarter, establishing a new profit growth driver.
Looking ahead, with the continued explosive growth in AI computing power, the company's future growth path appears clear. The financial report statement indicated that in 2026, the company will prioritize the delivery of 1.6T and 800G high-end products to consolidate its overseas market advantage. It will continue to increase R&D investment to advance next-generation technologies including 3.2T and higher-speed optical modules, silicon photonics, coherent technology, and CPO, thereby strengthening its technological moat. Simultaneously, the company plans to deepen its industrial chain presence, explore new business growth opportunities, and enhance overall competitiveness.
From an industry perspective, Zhongji Innolight forecasts that the global market size for data communication optical modules will reach 22.8 billion USD in 2026, with 800G and 1.6T products dominating the market, indicating sustained high industry prosperity. As the only global manufacturer possessing both large-scale mass production and delivery capabilities for 800G and 1.6T products, Zhongji Innolight is positioned to fully capitalize on industry tailwinds, with ample momentum for continued performance growth.
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