MTC(SZ:002429) Zheng Quan Ri Bao·2025-10-22 16:37Core Viewpoint - Zhaochi Co., Ltd. reported significant growth in revenue and net profit for Q3 2025, driven by strategic expansions and new business developments [1][2]. Group 1: Financial Performance - In Q3 2025, Zhaochi achieved revenue of 5.413 billion and a net profit of 339 million, with total revenue for the first three quarters reaching 13.896 billion and net profit of 1 billion [1]. - Revenue increased by 13.72% compared to Q2 and by 45.38% compared to Q1, indicating a strong recovery and seasonal performance [1]. Group 2: Business Transformation - Zhaochi has transitioned from a traditional TV ODM business to a diversified model including LED, optical communication, and internet video operations, focusing on upgrading and expanding its business segments [1][2]. - The company’s overseas production capacity reached 11 million units annually, which is crucial for meeting seasonal demand [1]. Group 3: Emerging Business Contributions - Emerging businesses, particularly in the LED and optical communication sectors, contributed over 60% to profits in the first three quarters of 2025, helping to offset pressures from traditional operations [2]. - The LED business is focusing on high-end products, with increasing market share in Mini/MicroLED, automotive LEDs, and high-end lighting [2]. Group 4: Future Outlook - Zhaochi is enhancing its internet video platform, with its subsidiary successfully transitioning to an AI content creation and distribution model, indicating a strategic shift towards integrated digital solutions [3]. - The company anticipates that its traditional business will recover while new sectors will enter a profit phase, positioning Zhaochi for sustained growth and market consolidation [3].