Core Viewpoint - Tuya Inc. reported strong financial results for the second quarter of 2025, demonstrating resilience amid global trade uncertainties and supply chain pressures, with significant year-over-year growth in revenue and net profit [1][8]. Financial Highlights - Total revenue for Q2 2025 was US$80.1 million, an increase of approximately 9.3% from US$73.3 million in Q2 2024 [6][9]. - PaaS revenue reached US$58.1 million, up approximately 7.0% year-over-year [6][12]. - SaaS and others revenue increased by approximately 15.6% to US$11.1 million [6][12]. - Smart solution revenue grew by approximately 16.7% to US$10.9 million [6][12]. - Overall gross margin improved to 48.4%, up 0.4 percentage points from 48.0% in the previous year [6][11]. - Operating margin was 1.4%, a significant improvement of 15.5 percentage points from negative 14.1% in Q2 2024 [6][16]. - Net profit surged to US$12.6 million, a 302.4% increase from US$3.1 million in the same period last year [6][17]. - Non-GAAP net profit was US$20.1 million, slightly down from US$20.8 million in Q2 2024 [6][17]. Customer Metrics - The number of PaaS customers remained stable at approximately 2,100, while total customers were around 3,000 [6]. - Premium PaaS customers increased to 285, contributing approximately 88.6% of PaaS revenue [6][8]. - The dollar-based net expansion rate (DBNER) for PaaS was 114%, down from 127% in the previous year [6][12]. Cash Position and Dividend - As of June 30, 2025, total cash and cash equivalents were US$1,006.3 million, a slight decrease from US$1,016.7 million at the end of 2024, primarily due to cash dividend payments [6][22]. - The company declared a cash dividend of US$0.054 per ordinary share, totaling approximately US$33 million, payable on or around October 13, 2025 [26][28]. Business Outlook - The company remains optimistic about long-term growth despite ongoing global trade uncertainties, focusing on AI technologies and customer relationships [24][25]. - Tuya plans to enhance its product offerings and operational efficiency while exploring new market opportunities [24][25].