Guangzhou Guangri (600894) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 was RMB 1.25 billion, down 10% year-over-year from RMB 1.39 billion.

• Net loss attributable to shareholders was RMB -13.0 million, compared to a net loss of RMB -7.2 million in Q1 2024.

• Cash flow from operating activities was negative RMB -208.3 million, a significant deterioration from the prior year.

Financial highlights

• Operating income decreased as revenue declined and costs remained high.

• Basic and diluted EPS were both -0.0154, down from -0.0084 year-over-year.

• Weighted average ROE dropped by 0.07 percentage points to -0.15%.

• Total assets at quarter-end were RMB 14.32 billion, down 2.68% from year-end 2024.

• Shareholders’ equity decreased slightly to RMB 8.78 billion.

Outlook and guidance

• Management attributes profit decline to lower investment income from associates and reduced interest income due to smaller deposit balances.

• Increased material procurement payments contributed to negative operating cash flow.