ZTE: Revenue in the first quarter of 2025 increased against the trend, but the decline in gross margin has raised market concerns.

In the first quarter of 2025, ZTE's revenue grew against the trend, but the decline in gross margin raised concerns. Key points: Revenue growth is strong: In the first quarter, revenue reached 32.968 billion yuan, a year-on-year increase of 7.82%, indicating that the company's main Business maintains steady growth. Profitability is under pressure: Net income attributable to shareholders is 2.453 billion yuan, a decrease of 10.50% year-on-year; deducting non-recurring items, the net income is 1.957 billion yuan, a significant drop of 26.14% year-on-year. The decline in gross margin is noticeable: The growth rate of cost of goods sold far exceeds the revenue growth rate, with cost of goods sold increasing by 22.13% year-on-year, while revenue only grew by 7.82%. The cash flow situation has worsened: cash from operating activities.

wallstreetcnApr 22 06:41 ET

Brokerage morning meeting highlights: The industry allocation recommendations for April should focus on two main lines.

At today's Brokerage morning meeting, Galaxy Securities stated that the characteristics of a short-term structural economic recovery remain evident, with industries related to new productive forces performing better; HTSC believes that increased investment in global AI computing power is expected to drive the performance of businesses in sectors such as Optical Communications to remain positive; China Securities Co., Ltd. suggested that the industry allocation recommendations for April should focus on two main lines.

cls.cnMar 31 20:46 ET

ZTE focuses on AI applications.

Accelerate the transformation from 'full connectivity' to 'connectivity + computing power.'

wallstreetcnMar 5 22:16 ET

The main Communications business is experiencing a downturn! ZTE's revenue and profit both declined last year, with Net income dropping 9.66% year-on-year | Earnings Reports insights.

ZTE faced pressure on revenue last year, with revenue of 121.299 billion yuan, a year-on-year decrease of 2.38%. Profitability also declined, with net income attributable to ordinary shareholders of the listed company at 8.425 billion yuan, a year-on-year decrease of 9.66%. The company stated that it will accelerate the transformation towards "connectivity + computing power" in an attempt to expand new market space.

wallstreetcnFeb 28 07:53 ET

Trending Industry Today: CHINACOMSERVICE Leads Gains In Telecom Equipment Stocks

Moomoo NewsFeb 21 01:30 ET

【Illustration of Bull and Bear Stocks】The Copper cable high-speed connection Concept is performing strongly against the trend, with ZTE's Block Orders net Inflow reaching 6.198 billion yuan.

① This week, the three major A-share Indices continued the pullback trend from last week, and the market Volume has noticeably shrunk; ② The WeChat small store Concept stocks had significant gains, with Hunan Friendship & Apollo Commercial's weekly increase at 61.30%; ③ Domestic companies are increasingly demanding high-speed Copper cables in the fields of Asia Vets connected Autos, industrial automation, and Datacenter.

cls.cnDec 22, 2024 05:26 ET