AAC Technologies (2018) investor relations material

Executive summary

• Revenue reached RMB31.82 billion in 2025, up 16.4% year-over-year, with net profit rising 39.8% to RMB2.51 billion, driven by strong optics, high-margin segments, and diversified business growth.

• Basic EPS rose 42.5% to RMB2.18; gross margin remained stable at 22.1%.

• Business diversification and vertical integration accelerated, with significant advances in AI hardware, automotive acoustics, and robotics.

• Major breakthroughs in mass production and delivery of premium AI hardware, automotive audio, and optics products.

Financial highlights

• Gross profit was RMB7.02 billion, up 16.1% year-over-year; gross margin held steady at 22.1%.

• Operating cash inflow was RMB7.18 billion (+38.1%), free cash flow RMB4.88 billion (+65.1%), and CapEx RMB2.83 billion (+21.5%).

• Cash and cash equivalents stood at RMB8.61 billion (+14.2%), with a net gearing ratio of 2.1%, down year-over-year.

• EBITDA increased 13.9% to RMB6.32 billion.

• Basic EPS rose 42.5% to RMB2.18; proposed final dividend of HK$0.35 per share, up 45.8%.

Outlook and guidance

• Revenue growth for 2026 expected at 5%-10% for core segments, with gross margins stable or rising.

• PM segment projected to grow revenue by over 30% in 2026, with gross margin up 2 percentage points.

• Optics ASP to increase 5%-10% in 2026, with gross margin targeted at 35% for plastic lenses.

• Sensors and semiconductors expected to deliver 15%-20% revenue growth.

• Strategic focus on AI perception infrastructure, intelligent cockpits, data center thermal management, XR, and robotics.