LAUNCH TECH Delivers 2025 Revenue of RMB 2.11 Billion, Net Profit Holds at RMB 0.35 Billion; Final Dividend RMB 0.41 per Share

LAUNCH TECH announced audited results for the year ended 31 December 2025. Revenue rose 12.1% year-on-year (YoY) to RMB 2.11 billion, driven largely by a 73% contribution from overseas markets and a 66% surge in software sales to RMB 180.00 million. Gross profit reached RMB 0.99 billion, also up 12.5% YoY, while the gross margin stayed near 47%.

Net profit attributable to shareholders edged up 1.4% to RMB 344.26 million; the net margin slipped two percentage points to 17% as selling, R&D and finance expenses expanded. Selling expenses grew 21.4% to RMB 308.45 million on overseas market expansion, R&D outlays increased 4.7% to RMB 210.94 million, and finance costs swung from a credit of RMB 7.39 million to a charge of RMB 17.34 million, reflecting FX movements and higher borrowing costs. Basic earnings per share stood at RMB 0.83 (2024: RMB 0.82).

The board proposed a final dividend of RMB 0.41 per share, implying a payout ratio of roughly 92% against 2025 earnings. During the year the company also repurchased 5.63 million shares for RMB 54.34 million, reducing outstanding shares to 410.16 million.

Operating cash flow strengthened to RMB 482.46 million (2024: RMB 391.42 million). After RMB 88.15 million of capital expenditure and investment outlays, RMB 320.00 million of dividend payments and RMB 7.00 million of debt repayment, cash and cash equivalents decreased by RMB 4.32 million to RMB 535.76 million at year-end.

Total assets expanded 8.4% to RMB 2.16 billion, supported by higher inventories (up 25.7% to RMB 267.33 million) and construction-in-progress (up 126.8% to RMB 143.86 million). Total liabilities rose to RMB 931.44 million, lifting the gearing ratio (liabilities to equity) to 0.76 from 0.61 a year earlier.

Key business lines showed strong momentum: remote diagnostics revenue jumped 79% to RMB 23.30 million, and automotive data income more than doubled to RMB 22.60 million. The company reported 3.7 million annual active diagnostic terminals worldwide, producing over 1.1 million reports daily.

Management reiterated its strategic focus on AI Diagnostic Service (ADS), AI Auto Service (AAS) and Electric Vehicle Service (EVS), combined with four revenue pillars—hardware, software, services and data—to accelerate its transition toward an “intelligent enterprise” in automotive after-market solutions.