Core Viewpoint - Lege Co., Ltd. reported a mixed performance in its 2025 mid-year financial results, with significant revenue growth but a decline in net profit, indicating potential challenges in profitability despite increased sales [1] Financial Performance - Total revenue reached 3.145 billion yuan, a year-on-year increase of 29.56% [1] - Net profit attributable to shareholders was 129 million yuan, down 19.47% year-on-year [1] - Gross margin decreased to 25.69%, down 18.06% year-on-year [1] - Net margin fell to 4.1%, a decline of 37.85% year-on-year [1] - Operating cash flow per share increased by 50.71% to 0.77 yuan [1] Accounts Receivable and Debt - Accounts receivable amounted to 418 million yuan, representing 124.32% of the latest annual net profit [1][11] - Interest-bearing liabilities increased to 2.774 billion yuan, a rise of 19.51% [1] Operational Insights - The increase in revenue was attributed to the growth of overseas warehouse operations, which saw a 66% year-on-year increase in income despite challenges from tariffs [12] - The company has been investing in automation and information technology to enhance operational efficiency and reduce costs [13] Market Position and Future Outlook - The company’s overseas warehouse business is expected to maintain profitability and scale, with a projected shipment volume exceeding 20 million pieces for the year [12] - The competitive landscape in the overseas warehouse sector is shifting towards operational efficiency and service reliability as key differentiators [13]