Lansi Technology 2025 Annual Report Analysis: Non-recurring Net Profit Up 16.71%, Selling Expenses Down 16.90%

Interpretation of Core Profitability Metrics

Operating Revenue

In 2025, Lens Technology (Blue Star) generated operating revenue of 74.41 billion yuan, up 6.46% year over year, with the revenue scale continuing to expand. By product category, smartphones and computers remain the core sources of revenue, contributing 61.184 billion yuan for the full year, or 82.23%. Revenue from intelligent vehicles and cockpits, intelligent headsets, and intelligent wearables increased by 8.88% and 14.04% year over year, respectively. The share of revenue from emerging businesses continued to rise, becoming a new driver of growth.

Net Profit and Non-GAAP Net Profit (After Deductions)

In 2025, the company’s net profit attributable to shareholders of listed companies was 4.018 billion yuan, up 10.87% year over year; non-GAAP net profit reached 3.835 billion yuan, up 16.71% year over year. The growth rate of non-GAAP net profit was significantly higher than that of net profit. This indicates that the profitability quality of the company’s core business has continued to improve, and the impact of non-recurring gains and losses on profit has been reduced to some extent.

Basic Earnings Per Share and Non-GAAP Earnings Per Share

In 2025, basic earnings per share were 0.79 yuan/share, up 8.22% year over year. Non-GAAP earnings per share was not disclosed separately, but based on the growth rate of non-GAAP net profit, the per-share earnings performance of the core business was better than that of overall earnings per share. This reflects the resilience of the company’s main business profitability growth.

Interpretation of Period Expenses

In 2025, the company’s total period expenses were 6.369 billion yuan, down 2.51% year over year, and the effects of expense control became evident. Among them, the decline in selling expenses was significant, while attention should be paid to the fact that financial expenses turned from negative to positive.

Selling Expenses

Selling expenses decreased by 119.2334 million yuan year over year, mainly due to a reduction in market development service fees and selection fees. This shows that the company’s refined management and control on the marketing side has achieved results. It also reflects the company’s optimization of its customer structure and business model, reducing reliance on external services.

Administrative Expenses

Administrative expenses increased slightly by 2.37%, mainly due to the rise in rigid expenditures such as staff costs, depreciation, and recruitment fees. Overall expense ratios remained stable, without causing obvious erosion to profits.

Financial Expenses

Financial expenses shifted from last year’s net gains of 47.2281 million yuan to net expenditures of 21.1508 million yuan. The core reason is the increase in foreign exchange losses caused by exchange-rate fluctuations. The company’s share of overseas business exceeded 55%, with a relatively high proportion of settlements in foreign currencies such as the U.S. dollar. The impact of exchange-rate fluctuations on financial expenses will need continuous monitoring.

R&D Expenses

R&D expenses increased by 3.08% year over year. Full-year investment reached 2.8711 billion yuan, mainly used for technology breakthroughs in cutting-edge areas such as AI servers, humanoid robots, and aerospace-grade UTG glass. By the end of 2025, the company had accumulated 3,179 patent applications and 2,579 authorizations. R&D investment provides technical support for the company’s deployment in emerging tracks.

Interpretation of R&D Personnel

At the end of 2025, the company had 24,539 R&D personnel, a slight decrease of 0.02% compared with the prior year. However, the educational background structure of R&D personnel was significantly optimized. The number of R&D personnel with a bachelor’s degree or above increased by 35.12% year over year. Among them, the number of master’s degree R&D personnel more than doubled to 410. The proportion of R&D personnel under age 30 increased to 35.45%. The R&D team is becoming younger and more highly educated, with a clear trend of increased educational attainment, injecting vitality into technological innovation.

Cash Flow Interpretation

In 2025, the company’s net decrease in cash and cash equivalents was -1.147 billion yuan, and the year over year movement shifted from positive to negative. This was mainly driven by a substantial outflow of cash from investing activities, though cash flow from operating activities remained stable.

Net Cash Flows from Operating Activities

Net cash inflow from operating activities was 11.465 billion yuan, up 5.29% year over year. Cash received from the sale of goods and the provision of services reached 63.491 billion yuan, up 3.26% year over year. This matches the growth rate of operating revenue. It indicates that the company’s main business collections quality is good, and its cash-flow “blood generation” capability remains stable.

Net Cash Flows from Investing Activities

Net cash flows from investing activities were -9.617 billion yuan. The net cash outflow widened by 58.94% year over year. This was mainly because the amount of purchases of fixed assets increased to 9.443 billion yuan. The company stepped up investments in emerging capacity such as the Changsha Yong’an robot park and the Thailand park. At the same time, the scale of investments in structured deposits increased, indicating that the company’s capacity layout in emerging tracks is accelerating.

Net Cash Flows from Financing Activities

Net cash flows from financing activities were -2.964 billion yuan. The net cash outflow narrowed by 33.47% year over year. This was mainly due to the IPO fund-raising of 5.4 billion HKD in the Hong Kong stock market, which partially covered debt repayments and dividend payments. In 2025, the company completed its H-share listing, providing additional capital for global expansion and the development of emerging businesses.

Interpretation of Compensation for Core Management

In 2025, compensation for the company’s core management remained stable. The chairman, Zhou Qunfei, had a total pre-tax remuneration of 5 million yuan. The general manager (also served by Zhou Qunfei) had total pre-tax remuneration equal to that of the chairman. Deputy general managers Rao Qiaobing, Jiangnan, Liu Shuguang, Cai Xinfeng, and Chen Yunhua all had total pre-tax remuneration of 1 million yuan. The financial director Liu Shuguang also had total pre-tax remuneration of 1 million yuan. The compensation structure matches the company’s performance and industry benchmarks.

Risk Warning Interpretation

Foreign Exchange Fluctuation Risk

The company’s share of overseas revenue exceeds 55%, with U.S. dollars playing a dominant role in settlement. Large fluctuations in the RMB exchange rate will directly affect foreign exchange gains and losses, thereby eroding profits. The change in the company’s financial expenses in 2025 has already reflected the impact of exchange rates. In the future, it will be necessary to monitor exchange-rate trends and the effectiveness of the company’s hedging and risk-mitigation measures.

Investment Risk in Emerging Tracks

The company投入大量资源 in emerging tracks such as embodied intelligence, AI servers, and commercial aerospace. However, these industries have fast technology iteration and business models that have not yet matured. If technological breakthroughs do not meet expectations or market demand rebounds are delayed, investment returns may fail to meet expectations and capacity utilization may be insufficient.

Customer Concentration Risk

Sales from the top five customers account for 81.64%, and the first-largest customer accounts for 45.01%. Customer concentration is relatively high. If demand from core customers fluctuates or orders shift to other suppliers, it could directly impact the company’s revenue and profits.

Macroeconomic Conditions and Consumer Preference Risk

Downstream consumer electronics and the intelligent vehicle market are influenced by macroeconomic conditions, and consumer preferences change quickly. If industry demand weakens or product iteration fails to keep up with market trends, it will affect the company’s product sales volume and gross margin.

Click to view the original announcement>>

Statement: There are risks in the market; investment requires caution. This article is automatically published by an AI large model based on third-party databases and does not represent Sina Finance’s viewpoints. Any information appearing in this article is only for reference and does not constitute personal investment advice. If there are discrepancies, please refer to the actual announcement. If you have any questions, please contact biz@staff.sina.com.cn.

A massive amount of information and precise interpretation—available on the Sina Finance APP

Responsible editor: Xiao Lang Express