Core Viewpoint - Niu Technologies reported strong financial performance in Q2 2025, with significant revenue growth and a return to profitability compared to the same period last year [1][4]. Financial Highlights - Revenues for Q2 2025 reached RMB 1,255.7 million, marking a 33.5% increase year-over-year [3][4]. - The company achieved a net income of RMB 5.9 million, a turnaround from a net loss of RMB 24.9 million in Q2 2024 [4][8]. - Adjusted net income (non-GAAP) was RMB 13.7 million, compared to an adjusted net loss of RMB 19.5 million in the same period last year [9][26]. Sales Performance - The total number of e-scooters sold in Q2 2025 was 350,090, reflecting a 36.7% increase year-over-year [4][10]. - E-scooter sales from the China market amounted to RMB 1,056.9 million, a 45.4% increase year-over-year, representing 91.1% of total e-scooter revenues [10][4]. - International e-scooter sales generated RMB 103.1 million, a decrease of 20.9% year-over-year, accounting for 8.9% of total e-scooter revenues [10][4]. Cost and Margin Analysis - Gross margin improved to 20.1% in Q2 2025, up from 17.0% in Q2 2024, driven by a higher proportion of e-scooter sales and cost-reduction initiatives [4][6]. - Cost of revenues was RMB 1,003.2 million, an increase of 28.5% year-over-year, consistent with revenue growth [5][4]. - The cost per e-scooter sold decreased by 6.0% to RMB 2,866 from RMB 3,048 in Q2 2024 [5][4]. Operating Expenses - Total operating expenses were RMB 264.9 million, a 38.1% increase year-over-year, representing 21.1% of revenues [6][7]. - Selling and marketing expenses surged by 68.2% to RMB 202.2 million, primarily due to increased spending on advertising during online shopping festivals [11][4]. - Research and development expenses rose by 35.5% to RMB 43.7 million, reflecting higher staff costs and increased design and testing expenses [11][4]. Business Outlook - The company anticipates Q3 2025 revenues to be between RMB 1,433 million and RMB 1,638 million, indicating a year-over-year increase of 40% to 60% [13][4].
Niu Technologies Announces Unaudited Second Quarter 2025 Financial Results