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ZTO Reports First Quarter 2025 Unaudited Financial Results

Parcels  Volume Increased 19.1% to 8.5 Billion
Adjusted Net Income Grew 1.6% to RMB2.3 Billion
Annual Volume Guidance Reiterated to Grow 20%-24%

SHANGHAI, May 21, 2025 /PRNewswire/ — ZTO Express (Cayman) Inc. (NYSE: ZTO and SEHK: 2057), a leading and fast-growing express delivery company in China (“ZTO” or the “Company”), today announced its unaudited financial results for the first quarter ended March 31, 2025[1]. The Company grew parcel volume by 19.1% year over year while maintaining high quality of service and customer satisfaction. Adjusted net income[2] increased 1.6% to reach RMB2.3 billion. Net cash generated from operating activities was RMB2.4 billion.

F irst  Quarter 2025  Financial Highlights

  • Revenues were RMB10,891.5 million (US$1,500.9 million), an increase of 9.4% from RMB9,960.0 million in the same period of 2024.
  • Gross profit was RMB2,689.2 million (US$370.6 million), a decrease of 10.4% from RMB3,002.1 million in the same period of 2024.
  • Net income was RMB2,039.2 million (US$281.0 million), an increase of 40.9% from RMB1,447.7 million in the same period of 2024.
  • Adjusted EBITDA[3] was RMB3,686.7 million (US$508.0 million), an increase of 0.7% from RMB3,660.4 million in the same period of 2024.
  • Adjusted net income was RMB2,259.3 million (US$311.3 million), an increase of 1.6% from RMB2,224.0 million in the same period of 2024.
  • Basic and diluted net earnings per American depositary share (“ADS”[4]) were RMB2.50 (US$0.34) and RMB2.44 (US$0.34), an increase of 41.2% and 39.4% from RMB1.77 and RMB1.75 in the same period of 2024, respectively.
  • Adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders[5] were RMB2.77 (US$0.38) and RMB2.71 (US$0.37), an increase of 1.1% and 1.1% from RMB2.74 and RMB2.68 in the same period of 2024, respectively.
  • Net cash provided by operating activities was RMB2,363.0 million (US$325.6 million), compared with RMB2,031.0 million in the same period of 2024.

Operational Highlights for F irst  Quarter 2025

  • Parcel volume was 8,539 million, an increase of 19.1% from 7,171 million in the same period of 2024.
  • Number of pickup/delivery outlets was over 31,000 as of March 31, 2025.
  • Number of direct network partners was approximately 6,000 as of March 31, 2025.
  • Number of self-owned line-haul vehicles was over 10,000 as of March 31, 2025, out of which, over 9,400 were high capacity 15 to 17-meter-long models compared to over 9,100 as of March 31, 2024.
  • Number of line-haul routes between sorting hubs was over 3,900 as of March 31, 2025.
  • Number of sorting hubs was 95 as of March 31, 2025, among which 91 were operated by the Company and 4 by the Company’s network partners.

(1)   An investor relations presentation accompanies this earnings release and can be found at http://zto.investorroom.com

(2)   Adjusted net income is a non-GAAP financial measure, which is defined as net income before share-based compensation expense and non-recurring items such as impairment of investments in equity investees, gain/(loss) on disposal of equity investment and subsidiary and corresponding tax impact which management aims to better represent the underlying business operations.

(3)   Adjusted EBITDA is a non-GAAP financial measure, which is defined as net income before depreciation, amortization, interest expenses and income tax expenses, and further adjusted to exclude the shared-based compensation expense and non-recurring items such as impairment of investments in equity investees, gain/(loss) on disposal of equity investment and subsidiary which management aims to better represent the underlying business operations.

(4)   One ADS represents one Class A ordinary share.

(5)   Adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders is a non-GAAP financial measure. It is defined as adjusted net income attributable to ordinary shareholders divided by weighted average number of basic and diluted American depositary shares, respectively.

Mr. Meisong Lai, Founder, Chairman and Chief Executive Officer of ZTO, commented, “During the first quarter, ZTO maintained leading service quality and achieved 8.5 billion of parcel volume and 2.3 billion of adjusted net income. Retail volume increased by 46% year over year for the quarter as we penetrated deeper into reverse logistics, and we continued to work closely with various e-commerce platform and enterprise customers to develop differentiated products and services which include time-definite delivery and customized KA consumer services.”

Mr. Lai added, “We believe competition in China’s express delivery industry has reached the “white-hot” stage, and it is further exacerbated by a greater portion of volume being either low value or loss-making for the logistic service providers. Our approach to network policies has been on maintaining consistency and cultivating long-term stability. At times of fierce competition, we are learning to better leverage our existing competitive advantage and at the same time, stay focused on initiatives that can bring about long-term prospects of profitable growth.”

Ms. Huiping Yan, Chief Financial Officer of ZTO, commented, “ZTO’s core express ASP decreased by 11 cents largely driven by 16 cents in higher volume incentives and 6 cents lower weight average per parcel partially offset by 12 cents increase in KA unit price. Combined unit sorting and transportation costs decreased 9 cents thanks to cost productivity gain initiatives. SG&A as a percentage of revenue was 4.7%. Cash flow from operating activities was 2.4 billion, and capital spending was 2 billion.”

Ms. Yan added, “Volume, backed by high quality of services, remains our top priority. Healthier profitability by the ZTO brand and its network partners relative to our peers are built upon decades of interdependent and cooperative relationship founded on our “shared success” philosophy. Achieving a reasonable level of corporate earnings, and at the same time, laying the groundwork and support our franchise partners to maintain confidence in long-term prospects, to reengineer last mile delivery processes and hereby reduce costs, and to increase their couriers’ share into retail profit, our concerted effort will forge new competitive advantage to expand ZTO’s volume leadership.”

F irst  Quarter 2025  Unaudited Financial Results

Three Months Ended March 31,

2024

2025

RMB

%

RMB

US$

%

(in thousands, except percentages)

Express delivery services

9,240,172

92.8

10,122,290

1,394,889

92.9

Freight forwarding services

202,747

2.0

179,219

24,697

1.7

Sale of accessories

485,062

4.9

560,297

77,211

5.1

Others

32,025

0.3

29,659

4,087

0.3

Total revenues

9,960,006

100.0

10,891,465

1,500,884

100.0

Total Revenues were RMB10,891.5 million (US$1,500.9 million), an increase of 9.4% from RMB9,960.0 million in the same period of 2024. Revenue from the core express delivery business increased by 9.8% compared to the same period of 2024, as a net result of a 19.1% growth in parcel volume and a 7.8% decrease in parcel unit price. KA revenue, generated by direct sales organizations, increased by 129.3% driven by increase in e-commerce return parcels. Revenue from freight forwarding services decreased by 11.6% compared to the same period of 2024 mainly due to declining cross-border e-commerce pricing. Revenue from sales of accessories, largely consisted of sales of thermal paper used for digital waybills’ printing, increased by 15.5%. Other revenues were derived mainly from financing services.

Three Months Ended March 31,

2024

2025

% of

% of

RMB

revenues

RMB

US$

revenues

(in thousands, except percentages)

Line-haul transportation cost

3,371,493

33.9

3,483,065

479,979

32.0

Sorting hub operating cost

2,168,201

21.8

2,314,595

318,960

21.3

Freight forwarding cost

188,382

1.9

172,792

23,811

1.6

Cost of accessories sold

133,047

1.3

133,259

18,364

1.2

Other costs

1,096,798

11.0

2,098,534

289,186

19.2

Total cost of revenues

6,957,921

69.9

8,202,245

1,130,300

75.3

Total cost of revenues was RMB8,202.2 million (US$1,130.3 million), an increase of 17.9% from RMB6,957.9 million in the same period last year.

Line haul transportation cost was RMB3,483.1 million (US$480.0 million), an increase of 3.3% from RMB3,371.5 million in the same period last year. The unit transportation cost decreased 12.8% or 6 cents mainly attributable to better economies of scale, improved load rate and more effective route planning.

Sorting hub operating cost was RMB2,314.6 million (US$319.0 million), an increase of 6.8% from RMB2,168.2 million in the same period of last year. The increase primarily consisted of (i) RMB109.9 million (US$15.2 million) increase in labor-associated costs partially offset by automation-driven efficiency and (ii) RMB69.2 million (US$9.5 million) increase in depreciation and amortization costs associated with equipment and facilities. Sorting hub operating cost per unit decreased 10.0% or 3 cents as automation and standardization in operating procedures plus effective performance evaluation continued to dig deep for productivity gain. As of March 31, 2025, there were 631 sets of automated sorting equipment in service, compared to 461 sets as of March 31, 2024.

Cost of accessories sold was RMB133.3 million (US$18.4 million), increased by 0.2% compared with RMB133.0 million in the same period last year.

Other costs of RMB2,098.5 million (US$289.2 million), increased 91.3% from RMB1,096.8 million in the same period last year, which included an increase of RMB957.4 million (US$131.9 million) for serving higher-valued enterprise customers.

Gross Profit was RMB2,689.2 million (US$370.6 million), decreased by 10.4% from RMB3,002.1 million in the same period last year. Gross margin rate was 24.7% compared to 30.1% in the same period last year.

Total Operating Expenses were RMB283.8 million (US$39.1 million), compared to RMB735.4 million in the same period last year.

Selling, general and administrative expenses were RMB737.5 million (US$101.6 million), decreased by 17.7% from RMB896.6 million in the same period last year. The decrease consisted of a RMB109.1 million (US$15.0 million) decrease in compensation and benefit expenses. Excluding a RMB37.3 million one-time charge in the same period last year for loss on collection with a supplier, the decrease was 14.2% year over year.

Other operating income, net was RMB453.7 million (US$62.5 million), compared to RMB161.3 million in the same period last year. Other operating income mainly consisted of (i) RMB407.6 million (US$56.2 million) of government subsidies and tax rebates, and (ii) RMB35.9 million (US$4.9 million) of rental and other income.

Income from operations was RMB2,405.4 million (US$331.5 million), an increase of 6.1% from RMB2,266.7 million for the same period last year. The operating margin rate was 22.1% compared to 22.8% in the same period last year.

Interest income was RMB198.4 million (US$27.3 million), compared with RMB245.0 million in the same period last year.

Interest expenses was RMB68.9 million (US$9.5 million), compared with RMB83.9 million in the same period last year.

Gain  from fair value changes of financial instruments was RMB36.6 million (US$5.0 million), compared with a gain of RMB42.7 million in the same period last year. Such gain or loss from fair value changes of the financial instruments is quoted by commercial banks according to market-based estimation of future redemption prices.

Income tax expenses were RMB531.6 million (US$73.3 million) compared to RMB566.3 million in the same period last year. Taxable income for the same period last year reflected a RMB478.4 million non-tax-deductible impairment losses on investment in Cainiao Smart Logistics Network Limited upon a tender offer repurchase. 

Net income was RMB2,039.2 million (US$281.0 million), which increased by 40.9% from RMB1,447.7 million in the same period last year.

Basic and diluted earnings per ADS attributable to ordinary shareholders were RMB2.50 (US$0.34) and RMB2.44 (US$0.34), compared to basic and diluted earnings per ADS of RMB1.77 and RMB1.75 in the same period last year, respectively.

Adjusted basic and diluted earnings per ADS attributable to ordinary shareholders were RMB2.77 (US$0.38) and RMB2.71 (US$0.37), compared with RMB2.74 and RMB2.68 in the same period last year, respectively.

Adjusted net income was RMB2,259.3 million (US$311.3 million), compared with RMB2,224.0 million during the same period last year.

EBITDA [1] was RMB3,466.6 million (US$477.7 million), compared with RMB2,884.1 million in the same period last year.

Adjusted EBITDA was RMB3,686.7 million (US$508.0 million), compared to RMB3,660.4 million in the same period last year.

Net cash provided by operating activities was RMB2,363.0 million (US$325.6 million), compared with RMB2,031.0 million in the same period last year.

(1)   EBITDA is a non-GAAP financial measure, which is defined as net income before depreciation, amortization, interest expenses and income tax expenses which management aims to better represent the underlying business operations.

Recent Developments

Change of Board Composition

The Board of Directors of the Company (the “Board”) has announced the following changes, effective April 25, 2025: Ms. Di Xu has been appointed as a director, and Mr. Xudong Chen has resigned from his position as a director. The Company confirms that Mr. Chen’s resignation was not related to any disagreement with the Company.

Company Share Repurchase Program

The Board has approved its share repurchase program in November 2018 and made subsequent modifications, whereby the latest modification increased the aggregate value of shares that may be repurchased to US$2.0 billion and extended the effective period through June 30, 2025. As of March 31, 2025, the Company had purchased an aggregate of 50,899,498 ADSs for US$1,228.3 million on the open market, including repurchase commissions. The remaining funds available under the share repurchase program are US$771.7 million.

On May 20, 2025, the Company announced to extend the current share repurchase program to June 30, 2026. The Company believes that the share repurchase program represents ZTO’s confidence in the overall market opportunities as well as ZTO’s solid operating fundamentals and financial strength for sustained profitable growth and value creation for its shareholders.

Business Outlook

Based on current market and operating conditions, the Company reiterates its 2025 parcel volume guidance of 40.8 billion to 42.2 billion, reflecting a 20% to 24% year over year growth. Such estimates represent management’s current and preliminary view, which are subject to change.

Exchange Rate

This announcement contains translation of certain Renminbi amounts into U.S. dollars at specified rates solely for the convenience of readers. Unless otherwise noted, all translations from Renminbi to U.S. dollars were made at the exchange rate of RMB7.2567 to US$1.00, the noon buying rate on March 31, 2025 as set forth in the H.10 statistical release of the Board of Governors of the Federal Reserve Systems.

Use of Non-GAAP Financial Measures

The Company uses EBITDA, adjusted EBITDA, adjusted net income, adjusted net income attributable to ordinary shareholders, and adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders, each a non-GAAP financial measure, in evaluating ZTO’s operating results and for financial and operational decision-making purposes.

Reconciliations of the Company’s non-GAAP financial measures to its U.S. GAAP financial measures are shown in tables at the end of this earnings release, which provide more details about the non-GAAP financial measures.

The Company believes that such Non-GAAP measures help identify underlying trends in ZTO’s business that could otherwise be distorted by the effect of the related expenses and gains that the Company includes in income from operations and net income. The Company believes that EBITDA, adjusted EBITDA, adjusted net income, adjusted net income attributable to ordinary shareholders and adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders provide useful information about its operating results, enhance the overall understanding of its past performance and future prospects and allow for greater visibility with respect to key metrics used by ZTO’s management in its financial and operational decision-making.

EBITDA, adjusted EBITDA, adjusted net income, adjusted net income attributable to ordinary shareholders and adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders should not be considered in isolation or construed as an alternative to net income or any other measure of performance or as an indicator of the Company’s operating performance. Investors are encouraged to compare the historical non-GAAP financial measures to the most directly comparable GAAP measures. EBITDA, adjusted EBITDA, adjusted net income, adjusted net income attributable to ordinary shareholders and adjusted basic and diluted earnings per American depositary share attributable to ordinary shareholders presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to ZTO’s data. ZTO encourages investors and others to review the Company’s financial information in its entirety and not rely on a single financial measure.

Conference Call Information

ZTO’s management team will host an earnings conference call at 8:30 PM U.S. Eastern Time on Tuesday, May 20, 2025 (8:30 AM Beijing Time on May 21, 2025).

Dial-in details for the earnings conference call are as follows:

United States:

1-888-317-6003

Hong Kong:

800-963-976

Mainland China:

4001-206-115

Singapore:

800-120-5863

International:

1-412-317-6061

Passcode:

7604109

Please dial in 15 minutes before the call is scheduled to begin and provide the passcode to join the call.

A replay of the conference call may be accessed by phone at the following numbers until May 27, 2025:

United States:

1-877-344-7529

International:

1-412-317-0088

Passcode:

5288285

Additionally, a live and archived webcast of the conference call will be available at http://zto.investorroom.com

About ZTO Express (Cayman) Inc.

ZTO Express (Cayman) Inc. (NYSE: ZTO and SEHK:2057) (“ZTO” or the “Company”) is a leading and fast-growing express delivery company in China. ZTO provides express delivery service as well as other value-added logistics services through its extensive and reliable nationwide network coverage in China.

ZTO operates a highly scalable network partner model, which the Company believes is best suited to support the significant growth of e-commerce in China. The Company leverages its network partners to provide pickup and last-mile delivery services, while controlling the mission-critical line-haul transportation and sorting network within the express delivery service value chain.

For more information, please visit http://zto.investorroom.com

Safe Harbor Statement

This announcement contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to,” and other similar expressions. Among other things, the business outlook and quotations from management in this announcement contain forward-looking statements. ZTO may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”) and The Stock Exchange of Hong Kong Limited (the “HKEX”), in its interim and annual reports to shareholders, in announcements, circulars or other publications made on the website of the HKEX, in press releases and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Statements that are not historical facts, including but not limited to statements about ZTO’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: risks relating to the development of the e-commerce and express delivery industries in China; its significant reliance on certain third-party e-commerce platforms; risks associated with its network partners and their employees and personnel; intense competition which could adversely affect the Company’s results of operations and market share; any service disruption of the Company’s sorting hubs or the outlets operated by its network partners or its technology system; ZTO’s ability to build its brand and withstand negative publicity, or other favorable government policies. Further information regarding these and other risks is included in ZTO’s filings with the SEC and the HKEX. All information provided in this announcement is as of the date of this announcement, and ZTO does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

 

UNAUDITED CONSOLIDATED FINANCIAL DATA

Summary of Unaudited Consolidated Comprehensive Income Data:

Three Months Ended March  31,

2024

2025

RMB

RMB

US$

(in thousands, except for share and per share data)

Revenues

9,960,006

10,891,465

1,500,884

Cost of revenues

(6,957,921)

(8,202,245)

(1,130,300)

Gross profit

3,002,085

2,689,220

370,584

Operating (expenses)/income:

Selling, general and administrative

(896,641)

(737,511)

(101,632)

Other operating income, net

161,257

453,669

62,517

Total operating expenses

(735,384)

(283,842)

(39,115)

Income from operations

2,266,701

2,405,378

331,469

Other income/(expenses):

Interest income

245,021

198,392

27,339

Interest expense

(83,916)

(68,876)

(9,491)

Gain from fair value changes of financial instruments

42,720

36,613

5,045

Gain on disposal of equity investees, subsidiaries and others

451

147

20

Impairment of investment in equity investees

(478,364)

Foreign currency exchange gain/(loss)before tax

5,384

(4,044)

(557)

Income before income tax, and share of income in equity method investments

1,997,997

2,567,610

353,825

Income tax expense

(566,305)

(531,574)

(73,253)

Share of income in equity method investments

16,055

3,145

433

Net income

1,447,747

2,039,181

281,005

Net income attributable to non-controlling interests

(21,701)

(45,934)

(6,330)

Net income attributable to ZTO Express (Cayman) Inc.

1,426,046

1,993,247

274,675

Net income attributable to ordinary shareholders

1,426,046

1,993,247

274,675

Net earnings per share attributed to ordinary shareholders

Basic

1.77

2.50

0.34

Diluted

1.75

2.44

0.34

Weighted average shares used in calculating net earnings per ordinary

share/ADS

Basic

804,935,791

798,486,427

798,486,427

Diluted

836,144,858

832,052,527

832,052,527

Net income

1,447,747

2,039,181

281,005

Other comprehensive income/(expenses), net of tax of nil:

Foreign currency translation adjustment

(82,330)

8,701

1,199

Comprehensive income

1,365,417

2,047,882

282,204

Comprehensive income attributable to non-controlling interests

(21,701)

(45,934)

(6,330)

Comprehensive income attributable to ZTO Express (Cayman) Inc.

1,343,716

2,001,948

275,874

 

Unaudited Consolidated Balance Sheets Data:

As of

December 31,

March 31,

2024

2025

RMB

RMB

US$

(in thousands, except for share data)

ASSETS

Current assets

Cash and cash equivalents

13,465,442

12,417,946

1,711,239

Restricted cash

37,517

29,263

4,033

Accounts receivable, net

1,503,706

1,011,360

139,369

Financing receivables

1,178,617

1,001,378

137,994

Short-term investment

8,848,447

10,604,175

1,461,294

Inventories

38,569

35,521

4,895

Advances to suppliers

783,599

857,199

118,125

Prepayments and other current assets

4,329,664

4,533,838

624,780

Amounts due from related parties

168,160

80,108

11,039

Total current assets

30,353,721

30,570,788

4,212,768

Investments in equity investees

1,871,337

1,870,351

257,741

Property and equipment, net

33,915,366

34,527,479

4,758,014

Land use rights, net

6,170,233

6,299,962

868,158

Intangible assets, net

17,043

15,493

2,135

Operating lease right-of-use assets

566,316

552,064

76,076

Goodwill

4,241,541

4,241,541

584,500

Deferred tax assets

984,567

1,102,658

151,950

Long-term investment

12,017,755

11,538,510

1,590,049

Long-term financing receivables

861,453

949,391

130,830

Other non-current assets

919,331

938,888

129,382

Amounts due from related parties-non current

421,667

542,387

74,742

TOTAL ASSETS

92,340,330

93,149,512

12,836,345

LIABILITIES AND EQUITY

Current liabilities

Short-term bank borrowing

9,513,958

9,288,291

1,279,961

Accounts payable

2,463,395

2,541,205

350,187

Advances from customers

1,565,147

1,542,284

212,532

Income tax payable

488,889

479,582

66,088

Amounts due to related parties

202,766

137,613

18,964

Operating lease liabilities

183,373

176,356

24,303

Dividends payable

14,134

2,049,875

282,480

Convertible senior notes

7,270,081

7,238,497

997,492

Other current liabilities

6,571,492

5,602,727

772,073

Total current liabilities

28,273,235

29,056,430

4,004,080

Long-term bank borrowing

17,000

2,343

Non-current operating lease liabilities

377,717

363,217

50,053

Deferred tax liabilities

1,014,545

847,067

116,729

TOTAL LIABILITIES

29,665,497

30,283,714

4,173,205

Shareholders’ equity

Ordinary shares (US$0.0001 par value; 10,000,000,000 shares authorized;

810,339,182 shares issued and 798,622,719 shares outstanding as of December 31,
2024; 804,468,490 shares issued and 799,752,637 shares outstanding as of March
31, 2025)

523

519

72

Additional paid-in capital

24,389,905

24,355,076

3,356,219

Treasury shares, at cost

(1,131,895)

(271,027)

(37,349)

Retained earnings

39,098,553

38,415,878

5,293,850

Accumulated other comprehensive loss

(294,694)

(285,993)

(39,410)

ZTO Express (Cayman) Inc. shareholders’ equity

62,062,392

62,214,453

8,573,382

Noncontrolling interests

612,441

651,345

89,758

Total Equity

62,674,833

62,865,798

8,663,140

TOTAL LIABILITIES AND EQUITY

92,340,330

93,149,512

12,836,345

 

Summary of Unaudited Consolidated Cash Flow Data:

Three Months Ended March  31,

2024

2025

RMB

RMB

US$

(in thousands)

Net cash provided by operating activities

2,031,020

2,362,976

325,627

Net cash used in investing activities

(2,378,652)

(3,158,465)

(435,248)

Net cash provided by / (used in) financing activities

130,130

(261,091)

(35,979)

Effect of exchange rate changes on cash, cash equivalents and restricted cash   

38,603

(12,560)

(1,730)

Net decrease in cash, cash equivalents and restricted cash

(178,899)

(1,069,140)

(147,330)

Cash, cash equivalents and restricted cash at beginning of period

13,051,310

13,530,947

1,864,614

Cash, cash equivalents and restricted cash at end of period

12,872,411

12,461,807

1,717,284

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets that sum to the total of the same such amounts shown in the condensed consolidated statements of cash flows:

As of

December 3 1 ,

March 3 1 ,

2024

2025

RMB

RMB

US$

(in thousands)

Cash and cash equivalents

13,465,442

12,417,946

1,711,239

Restricted cash, current

37,517

29,263

4,033

Restricted cash, non-current

27,988

14,598

2,012

Total cash, cash equivalents and restricted cash   

13,530,947

12,461,807

1,717,284

 

Reconciliations of GAAP and Non-GAAP Results

Three Months Ended March  31,

2024

2025

RMB

RMB

US$

(in thousands, except for share and per share data )

Net income

1,447,747

2,039,181

281,005

Add:

Share-based compensation expense [1]

298,387

220,269

30,354

Impairment of investment in equity investees [1]

478,364

Gain on disposal of equity investees, subsidiaries and others, net of income
   taxes

(451)

(121)

(17)

Adjusted net income

2,224,047

2,259,329

311,342

Net income

1,447,747

2,039,181

281,005

Add:

Depreciation

752,119

789,108

108,742

Amortization

33,980

37,819

5,212

Interest expenses

83,916

68,876

9,491

Income tax expenses

566,305

531,574

73,253

EBITDA

2,884,067

3,466,558

477,703

Add:

Share-based compensation expense

298,387

220,269

30,354

Impairment of investment in equity investees

478,364

Gain on disposal of equity investees, subsidiaries and others, before income
   taxes

(451)

(147)

(20)

Adjusted EBITDA

3,660,367

3,686,680

508,037

 

(1)   Net of income taxes of nil

 

Reconciliations of GAAP and Non-GAAP Results

Three Months Ended March  31,

2024

2025

RMB

RMB

US$

(in thousands, except for share and per share data)

Net income attributable to ordinary shareholders

1,426,046

1,993,247

274,675

Add:

Share-based compensation expense [1]

298,387

220,269

30,354

Impairment of investment in equity investees [1]

478,364

Gain on disposal of equity investees, subsidiaries and others, net of income

   taxes

(451)

(121)

(17)

Adjusted Net income attributable to ordinary shareholders

2,202,346

2,213,395

305,012

Weighted average shares used in calculating net earnings per ordinary share/ADS   

Basic

804,935,791

798,486,427

798,486,427

Diluted

836,144,858

832,052,527

832,052,527

Net earnings per share/ADS attributable to ordinary shareholders

Basic

1.77

2.50

0.34

Diluted

1.75

2.44

0.34

Adjusted net earnings per share/ADS attributable to ordinary shareholders

Basic

2.74

2.77

0.38

Diluted

2.68

2.71

0.37

 

(1)   Net of income taxes of nil

For investor and media inquiries, please contact:
ZTO Express (Cayman) Inc.
Investor Relations
E-mail: ir@zto.com
Phone: +86 21 5980 4508

 

Tuya Reports First Quarter 2025 Unaudited Financial Results

SANTA CLARA, Calif., May 21, 2025 /PRNewswire/ — Tuya Inc. (“Tuya” or the “Company”) (NYSE: TUYA; HKEX: 2391), a global leading cloud platform service provider, today announced its unaudited financial results for the first quarter ended March 31, 2025.

First Quarter 2025 Financial Highlights

  • Total revenue was US$74.7 million, up approximately 21.1% year-over-year (1Q2024: US$61.7 million).
  • IoT platform-as-a-service (“PaaS”) revenue was US$53.7 million, up approximately 17.9% year-over-year (1Q2024: US$45.6 million).
  • Software-as-a-service (“SaaS”) and others revenue was US$10.0 million, up approximately 15.5% year-over-year (1Q2024: US$8.6 million).
  • Smart solution revenue was US$11.0 million, up approximately 47.1% year-over-year (1Q2024: US$7.5 million).
  • Overall gross margin was 48.5%, up 0.7 percentage point year-over-year (1Q2024: 47.8%). Gross margin of IoT PaaS increased to 48.4%, up 2.0 percentage points year-over-year (1Q2024: 46.4%).
  • Operating margin was negative 1.9%, improved by 24.6 percentage points year-over-year (1Q2024: negative 26.5%). Non-GAAP operating margin was 9.1%, improved by 10.0 percentage points year-over-year (1Q2024: negative 0.9%).
  • Net margin was 14.8%, improved by 20.5 percentage points year-over-year (1Q2024: negative 5.7%). Non-GAAP net margin was 25.8%, improved by 5.9 percentage points year- over-year (1Q2024: 19.9%).
  • Net profits were US$11.0 million (1Q2024: negative US$3.5 million). Non-GAAP net profits were US$19.3 million, up approximately 57.2% year-over-year (1Q2024: US$12.3 million).
  • Net cash generated from operating activities was US$9.4 million (1Q2024: US$14.5 million).
  • Total cash and cash equivalents, time deposits and treasury securities recorded as short- term and long-term investments were US$1,023.7 million as of March 31, 2025, compared to US$1,016.7 million as of December 31, 2024.

For further information on the non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”

First Quarter 2025 Operating Highlights

  • IoT PaaS customers1 for the first quarter of 2025 were approximately 2,000 (1Q2024: approximately 2,000). Total customers for the first quarter of 2025 were approximately 2,800 (1Q2024: 3,000). The Company’s key-account strategy has enabled it to focus on serving strategic customers.
  • Premium IoT PaaS customers2 for the trailing 12 months ended March 31, 2025 were 287 (1Q2024: 269). In the first quarter of 2025, the Company’s premium IoT PaaS customers contributed approximately 88.7% of its IoT PaaS revenue (1Q2024: approximately 85.1%).
  • Dollar-based net expansion rate (“DBNER”)3 of IoT PaaS for the trailing 12 months ended December 31, 2025 was 118% (1Q2024: 116%).
  • Registered IoT device and software developers were over 1,417,000 as of March 31, 2025, up 7.7% from approximately 1,316,000 developers as of December 31, 2024.
  1. The Company defines an IoT PaaS customer for a given period as a customer who has directly placed orders for IoT PaaS with the Company during that period.
  2. The Company defines a premium IoT PaaS customer as a customer as of a given date that contributed more than US$100,000 of IoT PaaS revenue during the immediately preceding 12-month period.
  3. The Company calculates DBNER of IoT PaaS for a trailing 12-month period by first identifying all customers in the prior 12-month period (i.e., those have placed at least one order for IoT PaaS during that period), and then calculating the quotient from dividing the IoT PaaS revenue generated from such customers in the current trailing 12-month period by the IoT PaaS revenue generated from the same group of customers in the prior 12-month period. The Company’s DBNER may change from period to period, due to a combination of various factors, including changes in the customers’ purchase cycles and amounts and the Company’s customer mix, among other things. DBNER indicates the Company’s ability to expand customer use of the Tuya platform over time and generate revenue growth from existing customers.

Mr. Xueji (Jerry) Wang, Founder and Chief Executive Officer of Tuya, commented, “In the first quarter, typically a seasonally soft period, we delivered steady growth in GAAP net profit, driven by sustained revenue growth and healthy operating leverage under Tuya’s differentiated business model. Amid ongoing macroeconomic uncertainties and rapid AI evolution, we remain focused on building differentiated AIoT capabilities and empowering global developers. Tuya’s platform model continues to facilitate deeper integration of AI and smart devices, accelerating the intelligent transformation of the industry.”

Mr. Yi (Alex) Yang, Director and Chief Financial Officer of Tuya, added, “We delivered solid financial results in the first quarter of 2025, with revenue increasing 21.1% year-over-year to US$74.7 million and gross margin remaining stable at 48.5%. Continued cost discipline and an optimized expense structure supported steady improvement in GAAP net profit, which reached US$11.0 million, nearly double the full-year total for 2024, with a GAAP net margin reached record high of 14.8%. We also generated positive operating cash flow for the eighth consecutive quarter and ended the period with a healthy net cash position. These results provide both a solid execution base and financial flexibility to support sustained investment in AI innovation and Smart Solution expansion, and to deliver long-term shareholder value across macro volatility.”

First Quarter 2025 Unaudited Financial Results

REVENUE

Total revenue in the first quarter of 2025 increased by 21.1% to US$74.7 million from US$61.7 million in the same period of 2024, mainly due to the increase in IoT PaaS revenue and smart solution revenue.

  • IoT PaaS revenue in the first quarter of 2025 increased by 17.9% to US$53.7 million from US$45.6 million in the same period of 2024, primarily due to increasing demand compared with the same period of 2024 and the Company’s strategic focus on customer needs and product enhancements. As a result, the Company’s DBNER of IoT PaaS for the trailing 12 months ended March 31, 2025 increased to 118% from 116% for the trailing 12 months ended March 31, 2024.
  • SaaS and others revenue in the first quarter of 2025 increased by 15.5% to US$10.0 million from US$8.6 million in the same period of 2024, primarily due to an increase in revenue from cloud software products. During the quarter, the Company remained committed to offering value-added services and a diverse range of software products with compelling value propositions to its customers.
  • Smart solution revenue in the first quarter of 2025 increased by 47.1% to US$11.0 million from US$7.5 million in the same period of 2024, primarily due to the increasing customer demand for smart devices with integrated intelligent software capabilities the Company developed beyond IoT.

COST OF REVENUE

Cost of revenue in the first quarter of 2025 increased by 19.5% to US$38.4 million from US$32.2 million in the same period of 2024, generally in line with the increase in the Company’s total revenue.

GROSS PROFIT AND GROSS MARGIN

Total gross profit in the first quarter of 2025 increased by 22.9% to US$36.3 million from US$29.5 million in the same period of 2024. The gross margin in the first quarter of 2025 was 48.5%, compared to 47.8% in the same period of 2024, reaching a record high since the establishment of the Company.

  • IoT PaaS gross margin in the first quarter of 2025 was 48.4%, compared to 46.4% in the same period of 2024.
  • SaaS and others gross margin in the first quarter of 2025 was 74.4%, compared to 72.3% in the same period of 2024.
  • Smart solution gross margin in the first quarter of 2025 was 25.7%, remained relatively steady sequentially, and compared to 28.3% in the same period of 2024.

Gross margin of each revenue stream increased or fluctuated primarily due to changes in products and solutions mix. As a developer platform with rich ecosystem of smart devices and applications, the Company is committed to focusing on software products with compelling value propositions while maintaining cost efficiency.

OPERATING EXPENSES

Operating expenses decreased by 17.8% to US$37.7 million in the first quarter of 2025 from US$45.9 million in the same period of 2024. Non-GAAP operating expenses decreased by 2.0% to US$29.4 million in the first quarter of 2025 from US$30.0 million in the same period of 2024. For further information on the non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”

  • Research and development expenses in the first quarter of 2025 were US$22.8 million, down 2.8% from US$23.5 million in the same period of 2024, primarily because of (i) the lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized and (ii) partially offset by an increase in cloud services costs. Non-GAAP adjusted research and development expenses in the first quarter of 2025 were US$20.8 million, compared to US$20.0 million in the same period of 2024.
  • Sales and marketing expenses in the first quarter of 2025 were US$8.3 million, down 7.1% from US$9.0 million in the same period of 2024, primarily because of (i) the decrease in employee-related costs, (ii) the lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized, and (iii) partially offset by increased spending in marketing events compared to the same period of 2024. Non-GAAP adjusted sales and marketing expenses in the first quarter of 2025 were US$7.6 million, compared to US$7.6 million in the same period of 2024.
  • General and administrative expenses in the first quarter of 2025 were US$8.9 million, down 42.3% from US$15.5 million in the same period of 2024, primarily because of (i) the lower share-based compensation expenses as equity incentive awards granted at higher valuations in previous years have been gradually amortized and (ii) operational optimization. Non- GAAP adjusted general and administrative expenses in the first quarter of 2025 were US$3.4 million, compared to US$4.6 million in the same period of 2024.
  • Other operating income, net in the first quarter of 2025 was US$2.4 million, primarily due to the receipt of software value-added tax refunds and various general subsidies for enterprises.

LOSS/PROFIT FROM OPERATIONS AND OPERATING MARGIN

Loss from operations in the first quarter of 2025 narrowed by 91.1% to US$1.5 million from US$16.4 million in the same period of 2024. The Company had a non-GAAP profit from operations of US$6.8 million in the first quarter of 2025, compared to a non-GAAP loss from operations of US$0.6 million in the same period of 2024, consistently achieving operating profitability on a non-GAAP basis.

Operating margin in the first quarter of 2025 was negative 1.9%, improved by 24.6 percentage points from negative 26.5% in the same period of 2024. Non-GAAP operating margin in the first quarter of 2025 was 9.1%, improved by 10.0 percentage points from negative 0.9% in the same period of 2024.

NET LOSS/PROFIT AND NET MARGIN

The Company had a net profit of US$11.0 million in the first quarter of 2025, compared to a net loss of US$3.5 million in the same period of 2024.

The difference between loss from operations and net profit in the first quarter of 2025 was primarily because of a US$12.4 million interest income achieved mainly due to well implemented treasury strategies on the Company’s cash, time deposits and treasury securities recorded as short-term and long-term investments.

The Company had a non-GAAP net profit of US$19.3 million in the first quarter of 2025, up 57.2% compared to US$12.3 million in the same period of 2024, demonstrating the Company’s ability to sustain strong profitability on a non-GAAP basis.

Net margin in the first quarter of 2025 was 14.8%, improving by 20.5 percentage points from negative 5.7% in the same period of 2024. Non-GAAP net margin in the first quarter of 2025 was 25.8%, improving by 5.9 percentage points from 19.9% in the same period of 2024.

BASIC AND DILUTED NET LOSS/PROFIT PER ADS

Basic and diluted net profit per ADS was US$0.02 in the first quarter of 2025, compared to basic and diluted net loss of US$0.01 in the same period of 2024. Each ADS represents one Class A ordinary share.

Non-GAAP basic and diluted net profit per ADS was US$0.03 in the first quarter of 2025, compared to non-GAAP basic and diluted net profit of US$0.02 in the same period of 2024.

CASH AND CASH EQUIVALENTS, TIME DEPOSITS AND TREASURY SECURITIES RECORDED AS SHORT-TERM AND LONG-TERM INVESTMENTS

Cash and cash equivalents, time deposits and treasury securities recorded as short-term and long-term investments were US$1,023.7 million as of March 31, 2025, compared to US$1,016.7 million as of December 31, 2024, which the Company believes is sufficient to meet its current liquidity and working capital needs.

NET CASH GENERATED FROM OPERATING ACTIVITIES

Net cash generated from operating activities in the first quarter of 2025 was US$9.4 million, compared to US$14.5 million in the same period of 2024. The net cash generated from operating activities for the first quarter of 2025 mainly due to working capital changes in the ordinary course of business.

For further information on non-GAAP financial measures presented above, see the section headed “Use of Non-GAAP Financial Measures.”

Business Outlook

From the initial enthusiasm at the beginning of the year about the accelerated evolution of AI technologies, to the shift in sentiment and industry slowdown caused by global trade fluctuations under geopolitical policy influences in early April, the macro environment has undergone frequent and dramatic changes. These shifts have posed significant challenges to the cycles of the smart consumer electronics sector and its upstream and downstream supply chains. Although the external environment has shown some recent signs of improvement, uncertainties remain. We will continue to monitor developments in the entire business environment. Nonetheless, we remain positive on the long-term value that intelligent technologies can bring to all stakeholders. Therefore, with the effective implementation of the Company’s customer and product strategies, along with the utilization and innovation of emerging technologies like AI, the Company is confident in its long-term business prospects.

In response to this evolving market environment, the Company will remain committed to continuously iterating and improving its products and services and further enhancing software and hardware capabilities, particularly by leveraging the AI capabilities, expanding key customer base, investing in innovations and new opportunities, diversifying revenue streams, and further optimizing operating efficiency. At the same time, the Company understands that future trajectories may encounter challenges, including shifting consumer spending patterns, regional economic disparities, inventory management, foreign exchange rate and interest rates volatility, the imposition of new tariffs, or adjustments in existing tariffs or trade barriers, and broader geopolitical uncertainties.

Conference Call Information

The Company’s management will hold a conference call at 08:30 P.M. U.S. Eastern Time on Tuesday, May 20, 2025 (08:30 A.M. Beijing Time on Wednesday, May 21, 2025) to discuss the financial results. In advance of the conference call, all participants must use the following link to complete the online registration process. Upon registering, each participant will receive access details for this conference including a conference access code, a PIN number (personal access code), the dial-in number, and an e-mail with detailed instructions to join the conference call.

Online registration:
https://register-conf.media-server.com/register/BIe169304a39d646bcb658aa96f86ff680

Additionally, a live and archived webcast of the conference call will be available on the Company’s investor relations website at https://ir.tuya.com, and a replay of the webcast will be available following the session.

About Tuya Inc.

Tuya Inc. (NYSE: TUYA; HKEX: 2391) is a global leading AI cloud platform service provider with a mission to build an AIoT developer ecosystem and enable everything to be smart. Tuya has pioneered a purpose-built AI cloud platform with cloud and generative AI capabilities that delivers a full suite of offerings, including Platform-as-a-Service, or PaaS, Software-as-a-Service, or SaaS, and smart solutions for developers of smart device, commercial applications, and industries. Through its AIoT developer platform, Tuya has activated a vibrant global developer community of brands, OEMs, AI agents, system integrators and independent software vendors to collectively strive for smart solutions ecosystem embodying the principles of green and low-carbon, security, high efficiency, agility, and openness.

Use of Non-GAAP Financial Measures

In evaluating the business, the Company considers and uses non-GAAP financial measures, such as non-GAAP operating expenses, non-GAAP (loss)/profit from operations (including non-GAAP operating margin), non-GAAP net profit (including non-GAAP net margin), and non-GAAP basic and diluted net profit per ADS, as supplemental measures to review and assess its operating performance. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The Company defines non-GAAP financial measures by excluding the impact of share-based compensation expenses and credit-related impairment of long-term investments from the respective GAAP financial measures. The Company presents the non-GAAP financial measures because they are used by the management to evaluate its operating performance and formulate business plans. The Company also believes that the use of the non-GAAP financial measures facilitates investors’ assessment of its operating performance.

Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. Non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using the aforementioned non-GAAP financial measures is that they do not reflect all items of expenses that affect the Company’s operations. Share-based compensation expenses and credit-related impairment of long-term investments have been and may continue to be incurred in the business and are not reflected in the presentation of non-GAAP measures. Further, the non-GAAP financial measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore their comparability may be limited. The Company compensates for these limitations by reconciling the non-GAAP measures to the most directly comparable U.S. GAAP measures, all of which should be considered when evaluating the Company’s performance. The Company encourages you to review its financial information in its entirety and not rely on a single financial measure.

Reconciliations of Tuya’s non-GAAP financial measures to the most comparable U.S. GAAP measures are included at the end of this press release.

Safe Harbor Statement

This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statements. In some cases, forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “anticipate”, “target”, “aim”, “estimate”, “intend”, “plan”, “believe”, “potential”, “continue”, “is/are likely to” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. The forward-looking statements included in this press release are only made as of the date hereof, and the Company disclaims any obligation to publicly update any forward-looking statements to reflect subsequent events or circumstances, except as required by law. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty.

Investor Relations Contact

Tuya Inc.
Investor Relations 
Email: ir@tuya.com

The Blueshirt Group 
Gary Dvorchak, CFA
Phone: +1 (323) 240-5796
Email: gary@blueshirtgroup.co

HL Strategy
Haiyan LI-LABBE
Email: hl@hl-strategy.com

 

 

TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
 AS OF DECEMBER 31, 2024 AND MARCH 31, 2025
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

As of
December 31,
2024

As of
March 31,
2025

ASSETS

Current assets:

Cash and cash equivalents

653,334

763,788

Restricted cash

50

165

Short-term investments

194,536

89,985

Accounts receivable, net

7,592

9,591

Notes receivable, net

7,485

9,766

Inventories, net

23,840

21,583

Prepayments and other current assets, net

16,179

18,738

Total current assets

903,016

913,616

Non-current assets:

Property, equipment and software, net

6,619

8,557

Land use rights, net

8,825

8,793

Operating lease right-of-use assets, net

4,550

5,248

Long-term investments

180,092

181,875

Other non-current assets, net

678

314

Total non-current assets

200,764

204,787

Total assets

1,103,780

1,118,403

LIABILITIES AND SHAREHOLDERSEQUITY

Current liabilities:

Accounts payable

19,051

19,457

Advances from customers

31,346

27,145

Deferred revenue, current

7,525

7,797

Accruals and other current liabilities

32,257

67,806

Incomes tax payables

360

483

Lease liabilities, current

3,798

3,403

Total current liabilities

94,337

126,091

Non-current liabilities:

Lease liabilities, non-current

851

1,835

Deferred revenue, non-current

377

460

Other non-current liabilities

767

Total non-current liabilities

1,995

2,295

Total liabilities

96,332

128,386

TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)
AS OF DECEMBER 31, 2024 AND MARCH 31, 2025
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

As of
December 31, 2024

As of
March 31, 2025

Shareholdersequity:

Ordinary shares

Class A ordinary shares

25

27

Class B ordinary shares

4

4

Treasury stock

(15,726)

(1,050)

Additional paid-in capital

1,612,712

1,569,409

Accumulated other comprehensive loss

(19,716)

(19,539)

Accumulated deficit

(569,851)

(558,834)

Total shareholdersequity

1,007,448

990,017

Total liabilities and shareholdersequity

1,103,780

1,118,403

TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE (LOSS)/INCOME
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

For the Three Months Ended

March 31, 2024

March 31, 2025

Revenue

61,662

74,687

Cost of revenue

(32,177)

(38,436)

Gross profit

29,485

36,251

Operating expenses:

Research and development expenses

(23,474)

(22,810)

Sales and marketing expenses

(8,983)

(8,347)

General and administrative expenses

(15,474)

(8,929)

Other operating incomes, net

2,079

2,383

Total operating expenses

(45,852)

(37,703)

Loss from operations

(16,367)

(1,452)

Other income

Other non-operating income, net

778

767

Financial income, net

12,807

12,395

Foreign exchange (loss)/gain, net

(105)

44

(Loss)/profit before income tax expense

(2,887)

11,754

Income tax expense

(656)

(737)

Net (loss)/profit

(3,543)

11,017

Net (loss)/profit attributable to Tuya Inc.

(3,543)

11,017

Net (loss)/profit attribute to ordinary shareholders

(3,543)

11,017

Net (loss)/profit

(3,543)

11,017

Other comprehensive (loss)/income

Transfer out of fair value changes of long-term investments

(65)

Foreign currency translation

(428)

177

Total comprehensive (loss)/income attributable to Tuya Inc.

(4036)

11,194

TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE (LOSS)/INCOME (CONTINUED)
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

For the Three Months Ended

March 31, 2024

March 31, 2025

Net (loss)/profit attributable to Tuya Inc.

(3,543)

11,017

Net (loss)/profit attributable to ordinary shareholders

(3,543)

11,017

Weighted average number of ordinary shares used in computing net (loss)/profit per share, basic and diluted

– Basic

559,133,184

606,308,258

– Diluted

559,133,184

608,490,640

Net (loss)/profit per share attributable to ordinary shareholders, basic and diluted

– Basic

(0.01)

0.02

– Diluted

(0.01)

0.02

Share-based compensation expenses were included in:

Research and development expenses

3,506

2,016

Sales and marketing expenses

1,385

738

General and administrative expenses

10,923

5,521

TUYA INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

For the Three Months Ended

March 31, 2024

March 31, 2025

Net cash generated from operating activities

14,490

9,352

Net cash generated from investing activities

16,195

101,183

Net cash generated from financing activities

254

2

Effect of exchange rate changes on cash and cash equivalents, restricted cash

(126)

32

Net increase in cash and cash equivalents, restricted cash

30,813

110,569

Cash and cash equivalents, restricted cash at the beginning of period

498,688

653,384

Cash and cash equivalents, restricted cash at the end of period

529,501

763,953

TUYA INC.
UNAUDITED RECONCILIATION OF NON-GAAP MEASURES TO THE MOST
DIRECTLY COMPARABLE FINANCIAL MEASURES
(All amounts in US$ thousands (US$),
except for share and per share data, unless otherwise noted)

For the Three Months Ended

March 31, 2024

March 31, 2025

Reconciliation of operating expenses to non-GAAP operating expenses                                                       

Research and development expenses           

(23,474)

(22,810)

Add: Share-based compensation expenses

3,506

2,016

Adjusted Research and development expenses

(19,968)

(20,794)

Sales and marketing expenses

(8,983)

(8,347)

Add: Share-based compensation expenses

1,385

738

Adjusted Sales and marketing expenses

(7,598)

(7,609)

General and administrative expenses

(15,474)

(8,929)

Add: Share-based compensation expenses

10,923

5,521

Adjusted General and administrative expenses

(4,551)

(3,408)

Reconciliation of loss from operations to non-GAAP (loss)/profit from operations

Loss from operations

(16,367)

(1,452)

Operating margin

(26.5) %

(1.9) %

Add: Share-based compensation expenses

15,814

8,275

Non-GAAP (loss)/profit from operations

(553)

6,823

Non-GAAP Operating margin

(0.9) %

9.1 %

For the Three Months Ended

March 31, 2024

March 31, 2025

Reconciliation of net (loss)/profit to non-GAAP net profit

Net (loss)/profit

(3,543)

11,017

Net margin

(5.7) %

14.8 %

Add: Share-based compensation expenses

15,814

8,275

Non-GAAP Net profit

12,271

19,292

Non-GAAP Net margin

19.9 %

25.8 %

Weighted average number of ordinary shares used in computing non-GAAP net profit per share

– Basic

559,133,184

606,308,258

– Diluted

591,737,410

608,490,640

Non-GAAP net profit per share attributable to ordinary shareholders

– Basic

0.02

0.03

– Diluted

0.02

0.03

 

 

 

 

Health In Tech to Participate as Gold Sponsor at American Trust Investment Services National Conference 2025

STUART, Fl., May 21, 2025 /PRNewswire/ — Health In Tech (Nasdaq: HIT), an Insurtech platform company backed by third-party AI technology, today announced that CEO Tim Johnson and CFO Julia Qian will represent the company as a Gold Sponsor at the American Trust Investment Services National Conference 2025, to be held June 16–18, 2025, at the Andaz Hotel in San Diego, California.

Hosted by American Trust Investment Services, this exclusive event will bring together registered representatives, advisors, and preferred sponsors for an immersive three-day conference focused on business growth, collaboration, and innovation in financial services. As a Gold Sponsor, Health In Tech will showcase its leading AI-backed underwriting technology and self-funded healthcare solutions designed for small and mid-sized businesses.

“We’re excited to join the 2025 American Trust National Conference as a Gold Sponsor,” said Tim Johnson, Chairman & CEO of Health In Tech. “This event provides a unique opportunity to connect with influential advisors and share how our platform is enhancing transparency, efficiency, and affordability in healthcare benefits.”

HIT will actively participate in one-on-one meetings, engage with attendees in the vendor room, and present its strategic vision to raise awareness of its platform and highlight its role in driving innovation across the healthcare industry.

About Health In Tech

Health In Tech (Nasdaq: “HIT”) is an Insurtech platform company backed by third-party AI technology, which offers a marketplace that aims to improve processes in the healthcare industry through vertical integration, process simplification, and automation. By removing friction and complexities, we streamline the underwriting, sales and service process for insurance companies, licensed brokers, and TPAs. Learn more at healthintech.com.

About American Trust Investment Services

American Trust Investment Services, Inc. (“ATIS”) is a privately owned boutique broker-dealer and investment advisory firm serving clients nationwide. ATIS offers a full range of traditional and alternative investment solutions, including wealth management, insurance consulting, and access to capital markets. With clearing services through RBC and custodial relationships with leading financial institutions, ATIS is committed to supporting advisors through integrity, flexibility, and personalized service. Learn more at https://www.amtruinvest.com/investment-services.

Use of ForwardLooking Statements

Certain statements in this press release are forward-looking statements for purposes of the safe harbor provisions under the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements may include estimates or expectations about Health In Tech’s possible or assumed operational results, financial condition, business strategies and plans, market opportunities, competitive position, industry environment, and potential growth opportunities. In some cases, forward-looking statements can be identified by terms such as “may,” “will,” “should,” “design,” “target,” “aim,” “hope,” “expect,” “could,” “intend,” “plan,” “anticipate,” “estimate,” “believe,” “continue,” “predict,” “project,” “potential,” “goal,” or other words that convey the uncertainty of future events or outcomes. These statements relate to future events or to Health In Tech’s future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause Health In Tech’s actual results, levels of activity, performance, or achievements to be different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements because they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond Health In Tech’s control and which could, and likely will, affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects Health In Tech’s current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to Health In Tech’s operations, results of operations, growth strategy and liquidity.

Investor Contact
Investor Relations
ir@healthintech.com

MWX Announces World’s First Open, Decentralized AI Marketplace for SMEs, Launching Soon to Bring Enterprise-Grade AI to 400 Million Businesses Worldwide

Powered by the team behind Southeast Asia’s premier AI builders, MWX prepares to launch an agentic, self-serve AI marketplace, removing barriers and opening access to ready-to-use AI for the world’s 400 million SMEs

SINGAPORE, May 21, 2025 /PRNewswire/ — MWX today announced its upcoming global launch, introducing the world’s first decentralized, open-access AI marketplace designed to bring powerful, ready-to-use AI tools directly to SMEs, without intermediaries or gatekeepers. Targeting the world’s 400 million SMEs, MWX is positioned as a transformative platform that bridges AI access by enabling business owners to deploy enterprise-grade AI solutions with simplicity, transparency, and autonomy.

MWX is the first decentralized AI marketplace for ready-to-use business solutions
MWX is the first decentralized AI marketplace for ready-to-use business solutions

MWX is built on the expertise and proven leadership of the same pioneers behind MediaWave, Indonesia’s most trusted digital intelligence platform. Over the past decade, the MediaWave team has delivered critical AI-powered platforms that supported nationwide projects and major corporations across Southeast Asia. Their track record includes innovations such as Indonesia’s first social media monitoring platform in 2010, Asia’s first political sentiment AI in 2012, the world’s first GenAI political dashboard Pemilu.AI in 2023, and the launch of Reporthink.AI in 2024, automating sustainability and annual reports.

MWX’s founding team brings together Southeast Asia’s leading AI, digital transformation, and Web3 leaders, including Nanda Ivens, former Tokocrypto CMO and APAC CEO of Mirum Agency, alongside Yose Rizal, the original builders behind MediaWave’s award-winning AI products. Together, they are applying their real-world enterprise experience to create an open, decentralized AI economy purpose-built for SMEs. Supported by global advisor Pandu Sastrowardoyo, the team is focused on removing the friction that has kept AI locked behind corporate firewalls.

Through MWX’s agentic AI marketplace, where next-generation AI agents are designed to act with autonomy, proactivity, and the ability to make decisions on behalf of users, SMEs will soon access self-serve AI services that automate key business functions through intuitive AI solutions and APIs. This empowers small business owners to deploy AI agents that can autonomously interact with other agents, services, and platforms. Built for interoperability, these AI solutions and APIs enable seamless integrations across tools and systems, creating connected, frictionless workflows that scale with business needs.

“At MWX, we are building on the legacy of AI that has served multinational corporations, but now we are doing it for the 400 million SMEs, which is the backbone of the world’s economy,” said Nanda Ivens, Co-Founder and CEO of MWX. “This is about opening the gates to technologies that were once inaccessible and making them work for real businesses, in their daily operations, at their pace. It’s not about buzzwords; it’s about bringing AI down to earth, letting SMEs own it, use it, and shape it. At the same time, we’re enabling AI startups across the region to access global markets, helping them scale their innovations and connect with businesses worldwide.”

Pandu Sastrowardoyo, Global Advisor at MWX, added, “MWX isn’t just riding the wave of generative AI. Instead, it’s built on over 15 years of real-world AI and machine learning tools that are already being used across industries. The platform we’re making allows businesses to not just use digital solutions; they also help shape and grow them. We aim to bridge the AI access gap and to lay the groundwork for any small business to adopt AI and ML in a right-sized way.”

With a roadmap that includes decentralized finance integrations, analytics dashboards, and business growth insights, MWX is setting itself apart as more than just a platform, it is positioning itself as the digital growth partner for SMEs worldwide, aiming to onboard 1,000,000 SME users and thousands AI startups across the region by 2028. MWX will open private beta access in the coming months, followed by community driven governance. To explore how MWX is building the future of decentralized AI for real-world business, visit mwxplatform.ai.

About MWX

MWX is the world’s first fully decentralized AI marketplace designed for ready-to-use business solutions, targeting the global SME market. Built by Southeast Asia’s leading AI and Web3 veterans, MWX brings together agentic AI services, DAO governance, and deflationary tokenomics into a unified ecosystem. The platform allows SMEs to access and transact AI solutions via fiat or crypto (MWXT), while embedding real economic value into its token economy through on-chain buyback and burn mechanisms. Backed by the team behind MediaWave and platforms like Pemilu.AI and Reporthink.AI, MWX merges enterprise-grade AI with Web3-native continuity and transparency. Learn more atmwxplatform.ai.

 

GATE Energy & HD Hyundai Heavy Industries Enter Strategic MOU for Offshore EPC & Commissioning Collaboration

HOUSTON, May 21, 2025 /PRNewswire/ — GATE Energy and HD Hyundai Heavy Industries (HHI) have signed a Memorandum of Understanding (MOU) formalizing their intent to collaborate on offshore energy infrastructure projects, marking a strategic alignment between two leaders in engineering, procurement, construction, and commissioning (EPCC).

GATE Energy and HD Hyundai Heavy Industries (HHI) have signed a Memorandum of Understanding (MOU).
GATE Energy and HD Hyundai Heavy Industries (HHI) have signed a Memorandum of Understanding (MOU).

Under the MOU, the two companies will jointly pursue Engineering, Procurement, Construction, and Installation (EPCI) opportunities in the offshore oil and gas sector, targeting global markets. HHI and GATE Energy will work together as strategic partners, leveraging their respective strengths in EPC and commissioning to deliver seamless project execution, with roles defined according to project-specific needs.

Mark Myhre, President of Commissioning at GATE Energy, commented, “This MOU represents the next chapter in a strong and growing relationship between GATE and HHI. Our collaboration on the King’s Quay and Shenandoah projects demonstrated what’s possible when two organizations align in both technical expertise and delivery mindset. We’re proud to formalize our intent to pursue future opportunities together, delivering value to clients across the offshore landscape.”

Jung-Ho, Park, Vice President of HHI, commented: “This MOU represents the next step in an already strong partnership built on mutual respect, technical excellence, and shared success. Through landmark projects like King’s Quay, Shenandoah, and the ongoing Project, we have forged a collaborative framework that consistently delivers superior outcomes. Together with GATE Energy, we are committed to advancing the offshore energy sector by providing integrated solutions that enhance predictability and create lasting value for our clients worldwide.”

The agreement underscores a shared commitment to delivering turnkey solutions that enhance schedule predictability in complex offshore environments. Both organizations bring proven execution experience across floating production systems, with HHI’s strength in hull and topside EPC delivery complemented by GATE Energy’s commissioning and startup capabilities.

Lee Jordan, CEO at GATE Energy, commented, “This agreement further builds on the deep working relationship between HHI and GATE Energy and positions us to jointly and efficiently deliver the next generation of facilities to the offshore energy industry.

The MOU provides a general framework for future cooperation and information sharing, with the flexibility to align on specific tenders as opportunities arise. It also includes provisions for joint planning, resource integration, and the potential development of execution models tailored to developer requirements.

About GATE Energy

GATE Energy is a 100% employee-owned, global project delivery firm, with a mission to improve project certainty in an uncertain world. They help developers successfully deliver projects —from front-end due diligence and owner’s engineering through construction management, turnkey commissioning, and initial startup. With a global footprint spanning North America, Asia, and Latin America—and decades of experience delivering both large and small projects—GATE Energy combines the scale of a multinational with the agility of a specialized partner that enables predictable project outcomes and safeguards project investments.

For more information on GATE Energy, visit www.gate.energy

About HD Hyundai Heavy Industries

HD Hyundai Heavy Industries (HHI) is a global leader in shipbuilding and EPC with extensive expertise across offshore platforms, FPSOs, FPUs, naval vessels, and large-scale energy infrastructure. Over its 50-year history, HHI has built a strong reputation for delivering complex projects with precision and reliability. Offshore & Energy Business Unit plays a pivotal role in advancing next-generation energy solutions. In addition to its proven capabilities in oil and gas, HHI is expanding its portfolio into eco-friendly energy, including offshore wind power, small modular reactors (SMRs), and carbon capture and storage (CCS) systems. Through these initiatives, HHI supports the global transition toward a low-carbon future.

For more information on HHI, visit https://english.hhi.co.kr

GATE Energy and HD Hyundai Heavy Industries (HHI) have signed a Memorandum of Understanding (MOU).
GATE Energy and HD Hyundai Heavy Industries (HHI) have signed a Memorandum of Understanding (MOU).

 

 

Strong Support for Governing Coalition Ahead of Key MPP Congress Vote

LONDON, May 20, 2025 /PRNewswire/ — On the eve of the Mongolian People’s Party Congress vote on whether to maintain the current governing coalition, new polling shows that the alliance between MPP, DP, and HUN continues to enjoy strong support among the Mongolian electorate.

The nationally representative poll, conducted by international research firm Sancrox Political Advisory from 16 to 23 April, shows that 42% of Mongolian voters approve of the decision to form a coalition between MAH, AH, and HUN, compared to 36% who disapprove and 19% who neither approve nor disapprove. This includes:

  • 57% of 2024 MPP voters who approve the decision to form a coalition and 29% who disapprove
  • 51% of 2024 DP voters who approve and 30% who disapprove
  • 45% of 2024 HUN voters who approve and 29% who disapprove

These figures show that the coalition retains a solid base of support among its founding parties. As the MPP Congress prepares to vote, public opinion remains in favour of continuity.

Strong Support for Governing Coalition Ahead of Key MPP Congress Vote
Strong Support for Governing Coalition Ahead of Key MPP Congress Vote

Sancrox Political Advisory is a leading international polling and strategy firm, providing political insight and public opinion research across the globe.

 

XREAL Unveils ‘Project Aura’ at Google I/O — An Optical See-Through XR Device for Android XR

MOUNTAIN VIEW, Calif., May 21, 2025 /PRNewswire/ — XREAL today announced a strategic partnership with Google to expand the ecosystem of spatial computing devices built on Android XR. As part of this collaboration, XREAL unveiled Project Aura at the Google I/O developer conference — XREAL’s next-generation extended reality (XR) device designed specifically for the Android XR platform.

Introducing Project Aura -- XREAL’s next-generation extended reality device designed specifically for the Android XR platform
Introducing Project Aura — XREAL’s next-generation extended reality device designed specifically for the Android XR platform

Project Aura is the second official device announced for Android XR and marks a major milestone for the platform: the introduction of an optical see-through (OST) XR device. A lightweight and tethered, cinematic, and Gemini AI-powered device, Project Aura brings a large field-of-view experience to the Android XR family — setting a new standard for immersive, wearable computing.

This collaboration also includes Qualcomm Technologies, Inc., bringing together leading innovation across hardware, silicon, and software to build the next wave of XR experiences. Project Aura uses XREAL’s proven track record in lightweight XR hardware, the Android XR software stack, and Qualcomm Technologies’ Snapdragon® XR chipsets optimized for spatial computing.

“Google is thrilled to welcome XREAL to the Android XR family and to build great XR experiences on Project Aura,” said Shahram Izadi, General Manager and Vice President of XR at Google. “Android XR is the first Android platform built in the Gemini era, and it will support a rich ecosystem of immersive devices, both Virtual see-through (VST) and Optical see-through (OST). By combining our platform with XREAL’s leadership in portable XR hardware, we’re expanding spatial experiences to OST form-factors that are truly intuitive and accessible, representing a pivotal moment in our ecosystem.”

“At XREAL, we’ve always pushed the boundaries of what XR hardware can do — combining performance, comfort, and design into something people can wear every day,” said Chi Xu, Co-founder and CEO of XREAL. “Partnering with Google on Android XR takes this vision to the next level. Project Aura reflects the power of this collaboration — merging a robust platform with advanced chipsets and our expertise in optical systems. We believe this is a breakthrough moment for real-world XR.”

“Qualcomm Technologies is excited to have Snapdragon play a significant role in XREAL’s new Android XR solution,” said Ziad Asghar, Senior Vice President and General Manager of XR at Qualcomm Technologies, Inc. “This collaboration marks a significant step forward in the expansion of the Android XR ecosystem. Working with XREAL, Snapdragon allows amazing immersive experiences to come to life in a unique optical see-through product. We are thrilled to see immersive experiences coming to more verticals opening up new possibilities for both consumers and developers.”

The unveiling of Project Aura marks a call-to-action for developers. XREAL, Google, and Qualcomm Technologies invite the developer community to begin envisioning new applications and use cases for this next generation of XR. Developers already building for headsets on the platform will be able to easily bring their apps to Project Aura.

While Project Aura makes its public debut today, further details will be announced at Augmented World Expo (AWE) in June 2025, and later this year.

To learn more about Project Aura and stay updated, please visit: xreal.com/aura.

About XREAL

XREAL is a global leader in augmented reality, creating lightweight AR glasses and spatial computing platforms that blend the digital and physical worlds. Known for its XREAL Air series and Nebula interface, the company is expanding into enterprise and AI-powered experiences — backed by collaborations with Google, Qualcomm Technologies, and a global developer ecosystem.

For Media

Contact: Ralph.Jodice@XREAL.com or press@google.com

Snapdragon is a trademark or registered trademark of Qualcomm Incorporated. Snapdragon is a product of Qualcomm Technologies, Inc. and/or its subsidiaries. 

The GrowHub Partners with Business Engineers Asia to Deliver its Traceability Solution

SINGAPORE, May 21, 2025 /PRNewswire/ — THE GROWHUB LIMITED (“The GrowHub” or the “Company”), a Singapore-based company leveraging blockchain technology to enhance product traceability and authenticity, partners with Business Engineers Asia (“BEA”) to deliver its flagship Traceability Solution to BEA’s partners.

Business Engineers Asia are market entry specialists dedicated to helping companies successfully navigate and de-risk the complexities of entering Singapore’s retail market. BEA supports clients in maximizing profits, minimizing costs, and strategically planning for regional growth. As the longest supporting partner to Singapore’s largest e-grocer, RedMart, and a key third-party logistics partner for NTUC Online, BEA has introduced more than 5,000 SKUs from over 30 countries into the local market. Currently, BEA serves more than 70 partners and actively collaborates with organizations such as Enterprise Singapore, the Singapore Business Federation, as well as various embassies and trade agencies in Singapore.

Through this partnership, BEA will adopt The GrowHub Traceability Solution and offer it to its clients. As a result, the increased adoption of the Company’s traceability solution by BEA’s customers is expected to drive platform user base growth. In turn, BEA positions itself as one of the pioneering logistics service providers to implement traceability as a core offering. With the latest upgrade to the traceability platform, BEA and its clients can look forward to a sleeker, more intuitive user interface and a powerful new analytics dashboard that together delivers a smarter, more seamless user experience across the board. Both parties are also exploring further opportunities for incremental collaboration.

“I am pleased to announce our new partnership with BEA as we expand the reach of our traceability solutions across Singapore,” said Company COO Alec Ngo. “This collaboration presents valuable cross-selling opportunities, allowing us to introduce our solutions to BEA’s strong client network, which includes some of the country’s leading e-grocers. These opportunities will be instrumental in scaling our customer base and further promoting and deploying our traceability solution. We look forward to working closely with BEA and continuing discussions as we explore additional avenues for collaboration.”

About THE GROWHUB LIMITED

The GrowHub Limited is a Singapore-based company specializing in enhancing product traceability and authenticity within supply chains through its proprietary blockchain technology platform. The GrowHub offers solutions such as blockchain traceability, anti-counterfeit measures, AI driven data analytics, and carbon management to promote transparency and sustainability. The GrowHub’s business comprises three main divisions: the GrowHub Platform, a revolutionary traceability blockchain technology solution, product trading facilitation offering, and IT professional services. The GrowHub has offices in Singapore, Malaysia, Japan, Australia, and Vietnam. For more information, visit https://thegrowhub.co/.

Investor Relations
John Yi and Steven Shinmachi
Gateway Group, Inc.
949-574-3860
TGHL@gateway-grp.com