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Rebellions Accelerates Global Expansion and Strengthens Customer-centric Strategy with Significant Executive Appointments

Rebellions Appoints Industry Veteran Marshall Choy as Chief Business Officer to Drive Global Expansion

SEOUL, South Korea, Nov. 12, 2025 /PRNewswire/ — Rebellions, Asia’s fastest-growing AI inference chip company, today announced the appointment of Marshall Choy as Chief Business Officer. An industry veteran based in Silicon Valley with more than two decades of experience in enterprise systems and AI, Choy will lead Rebellions’ newly established U.S entity and global business including go-to-market initiatives to accelerate commercialization and market adoption of its AI inference solutions.

Marshall Choy, Chief Business Officer at Rebellions
Marshall Choy, Chief Business Officer at Rebellions

Choy’s appointment to this new leadership role comes as Rebellions enters its next phase of global growth, expanding its presence in APAC, Middle East, and North America. He will lead organizations that are responsible for shaping strategic alliances and business models that connect Rebellions’ cutting-edge technology with the world’s growing demand for efficient and scalable AI infrastructure.

Choy brings over 20 years of experience and leadership in product strategy, go-to-market, and enterprise systems. At SambaNova Systems, he led global teams across product management, sales and marketing, most recently serving as Chief Customer Officer. Prior to SambaNova, he held senior leadership roles at Oracle and Sun Microsystems, including serving as Vice President of Systems Product Management and Solutions Engineering at Oracle, while he drove product and solutions strategy across hardware, software and cloud.

Additionally, Jennifer Glore has been appointed Executive Vice President of Product Management to lead alignment across Rebellions’ development teams and end users to drive delivery of customer-centric products and solutions. Glore has a proven track record of building high-performance teams and delivering customer-focused products and solutions across diverse and complex global markets.

As part of this expansion, Rebellions has officially opened its U.S. entity. The new entity will serve as the company’s North American hub, focusing on business development, strategic partnerships, and customer engagement. Choy will lead Rebellions’ initiatives in the U.S market to strengthen the company’s presence and build long-term customer relationships in the region.

“We are delighted to welcome Marshall Choy and Jennifer Glore to Rebellions as we take the next step in our global expansion,” said Sunghyun Park, CEO of Rebellions. “With our recent global funding success and partnerships with leading technology players, our Chief Business Officer, Marshall Choy’s deep expertise in AI infrastructure and business strategy will make a significant impact as we scale globally, particularly as we strengthen our presence in the U.S. market”

“I am honored and excited to join Rebellions at this critical time in the company’s growth, as they have become one of the most prominent AI innovators in the world,” said Marshall Choy, Chief Business Officer of Rebellions. “Rebellions’ strategic vision and thoughtful product philosophy deeply resonate with me, and I look forward to working with this winning team to expand its global presence to help shape the future of AI.”

About Rebellions

Rebellions is an AI semiconductor and software company powering the next generation of large-scale inference. Building on the proven mass production and deployment of its first-generation ATOM, Rebellions now delivers energy-efficient AI infrastructure at scale with its flagship REBEL-Quad, featuring chiplet architecture and massive HBM3E memory paired with a flexible software stack that enables ease of use, performance, and efficiency in serving open source frontier and reasoning models at data center scale. Strengthened by strategic support from leaders across the semiconductor and AI infrastructure value chain, Rebellions is positioned to scale globally.

Visit us on the Web at Rebellions.ai, follow us on LinkedIn, engage us on X
Press Contact: Jeongin Kim jeongin.kim@rebellions.ai 

 

Jennifer Glore, Executive Vice President of Product Management at Rebellions
Jennifer Glore, Executive Vice President of Product Management at Rebellions

Dah Sing Bank Launches Investor Confidence Index

Overall Optimism at 68 amongst Hong Kong Investors; Those with higher AUM exhibit higher confidence; Those with positive views expect an average gain of 7.9% in next 12 months


HONG KONG SAR – Media OutReach Newswire – 12 November 2025 – Dah Sing Bank, Limited (the “Bank”) today announced the launch of its first-ever Investor Confidence Index (the “Index”), a proprietary study designed to assess investor sentiment and gain deeper understanding on the investment behaviour of Hong Kong residents. The inaugural index debuts at 681, reflecting overall optimism across the city’s investor base, with affluent investors and high net worth (HNW) investors showing notably stronger confidence scores of 70 and 77, respectively. Among those respondents expressing positive outlook in next 12 months, their expected return reached 7.9% on average.

Dah Sing Bank released its inaugural “Investor Confidence Index” to assess investor sentiment and provide strategic insights into the investment behaviour of Hong Kong residents.
Dah Sing Bank released its inaugural “Investor Confidence Index” to assess investor sentiment and provide strategic insights into the investment behaviour of Hong Kong residents.

With an aim to derive insights on emerging wealth management needs and provide reference for development of relevant products and services for different customer segments, the Bank commissioned independent research firm Acorn Organization Limited to conduct a quantitative survey in September 2025. The study engaged 619 Hong Kong residents across three distinct investor segments based on liquid asset excluding property: mass (HK$100K–1M below), affluent (HK$1M–8M), and HNW investors (HK$8M+). This broad scope offers a differentiated view of how investors across wealth tiers manage portfolios spanning multiple asset classes—including stocks, bonds, mutual funds, foreign currencies, commodities, and virtual assets.

Up to 89% of respondents plan to increase (34%) or maintain (55%) their investment allocation in the next 12 months. HNW investors show the strongest intent to increase allocation (39%), compared to 36% of affluent investors and 31% of mass investors. Among different asset classes, investors show particularly strong confidence in deriving positive return from stocks (58%) and bonds (52%).

Technology persists as the most popular investment theme, with 52% of respondents eyeing opportunities in the sector in the next 12 months—a notable 11% increase from the past 12 months.

The study also revealed that most investors monitor their portfolios at least weekly, while the majority trade at least monthly. Many investors make their investment decisions primarily based on their personal analysis of public information, while affluent and HNW investors show a higher tendency of relying on professional advice from relationship managers. Challenges cited in monitoring investment performance include market volatility, difficulty in consolidating performance across asset types, limited information, and time constraints—underscoring the need for timely, relevant insights and trusted guidance.

Mr. Cliff Chan, Executive Director and Group Head of Wealth Management at the Bank, commented, “At Dah Sing Bank, we believe confidence is built on clarity. Aligning with investors’ optimistic outlook, investment behaviour, and return expectations, we are pleased to offer holistic wealth management solutions tailored to support their financial goals. Earlier this year, we made sovereign bonds available to all our customers, providing them with wider choices of relatively stable investment. Furthermore, we are excited to be imminently launching an upgrade to our existing US securities trading service, which will offer round-the-clock* US stock trading at highly competitive brokerage fees. Looking ahead, we are actively exploring to introduce trading of virtual asset exchange traded funds (ETFs), which are gaining popularity among investors.”

“Our VIP Banking segment is dedicated to supporting affluent and HNW customers with the tools and information they need to make informed investment decisions and helping them monitor their portfolio performance. Addressing common challenges such as limited information and time constraints amid market volatility, we aggregate professional market analyses and leverage big data and artificial intelligence to deliver insights and market updates that are timely and relevant to customers.”

The launch of the Index reinforces the strategic value offered by the Bank’s VIP Banking business. Built on a high-tech, high-touch service model, VIP Banking blends digital intelligence with personalised care to help customers achieve their wealth and investment goals. With versatile capabilities in investment and insurance planning, VIP Banking offers a guided wealth journey that empowers customers to act with clarity, purpose, and confidence.

*Disclaimers for round-the-clock US Stock Trading

Despite the addition of U.S. stocks extended trading hours (i.e. the trading hours outside the regular trading hours), the Bank’s servicing channels for U.S. stock trading will not be available during the day end processing period starting daily from Hong Kong Time 8:00 am (during U.S. Summer Time) or 9:00 am (during U.S. Winter Time) until its completion, or during any scheduled system maintenance as notified by the Bank from time to time (“Day End Processing / System Maintenance Period”). Any new orders submitted by customers during the Day End Processing / System Maintenance Period will be rejected. The Bank reserves the right, while processing customers’ orders, to amend or suspend part or all trading during U.S. Stocks Extended Trading Hours at any time without notice.

Risk disclosures:
Investment Service

Investment involves risks. Past performance is not indicative of future performance. Before making an investment decision, customers should refer to the relevant investment product offering documents for detailed information including the risk factors. If customers are in doubt, independent professional advice should be sought.

Unless the context requires otherwise, this document does not constitute any offer, invitation or recommendation to any person to enter into any investment transaction nor does it constitute any prediction of likely future movements in prices of any investment products.

This document has not been reviewed by the Securities and Futures Commission or any regulatory authority in Hong Kong.

Insurance Service

Before applying for an insurance plan, please read and understand the product offering documents including the product and credit risks contained herein. The life insurance and general insurance products distributed by Dah Sing Bank, Limited (“the Bank”) are underwritten by Sun Life Hong Kong Limited (Incorporated in Bermuda with limited liability) (“Sun Life”) and Dah Sing Insurance Company Limited (“Dah Sing Insurance”) respectively. The Bank is the authorized licensed insurance agency of Sun Life and Dah Sing Insurance and distributes their insurance products.

Important Note:

The Bank cannot guarantee the fairness, accuracy, completeness or precision of any information, projections or opinions or the basis of any such projections or opinions contained in this information, and will not accept any liability in the absence of fraud, negligence and willful default. The predictions and opinions expressed in this information are for reference only. It is not an independent research report, and do not constitute investment advice or a guarantee of returns. This Bank reserves the right to amend the content of this information without prior notice. Investors should not rely on the content of this information to make any investment decisions. Our bank shall not be liable for any loss arising from any person’s use of or reliance on this information. Investment involves risks. Prices of securities and investment products may fluctuate and past performance is not indicative of future results. Investors should read relevant product documents and terms including the risk disclosure contained therein carefully before investing. Unless the context requires otherwise, this document does not constitute any offer, invitation or recommendation to any person to enter into any investment transaction nor does it constitute any prediction of likely future movements in prices of any investment products. If investors are in doubt, independent professional advice should be sought.

In respect of an eligible dispute (as defined in the Terms of Reference for the Financial Dispute Resolution Centre in relation to the Financial Dispute Resolution Scheme) arising between the Bank and the customer out of the selling process or processing of the related transaction, the Bank is required to enter into a Financial Dispute Resolution Scheme process with the customer.

The service(s) / product(s) mentioned herein is/are not targeted at customers in the EU.

Hashtag: #DahSingBank

The issuer is solely responsible for the content of this announcement.

About Dah Sing Bank

Dah Sing Bank, Limited (the “Bank”) is a wholly-owned subsidiary of Dah Sing Banking Group, Limited (HKG:2356). Founded in Hong Kong over 75 years ago, the Bank has been providing quality banking products and services to its customers with a vision to be “The Local Bank with a Personal Touch”. Over the years, the Bank has been rigorous in delivering on its brand tagline to grow with its customers in Hong Kong, the Greater Bay Area and beyond – “Together We Progress and Prosper”. Building on our experience and solid foundation in the industry, our scope of professional services now spans retail banking, private banking, business and commercial banking. Meanwhile, the Bank is also making significant investments in its digital banking capabilities to stay abreast with smart banking developments in Hong Kong and to support financial inclusion at large.

In addition to its Hong Kong banking operations, the Bank has wholly-owned subsidiaries including Dah Sing Bank (China) Limited, Banco Comercial de Macau, S.A., and OK Finance Limited. It is also a strategic shareholder of Bank of Chongqing with a shareholding of about 13%. Dah Sing Bank and its subsidiaries now have 63 operating locations in Hong Kong, Macau and Chinese Mainland.

d-Matrix Raises $275 Million to Power the Age of AI Inference

Series C led by global consortium values company at $2 billion, accelerates product and customer expansion as demand grows for faster, more efficient data center inference

SANTA CLARA, Calif., Nov. 12, 2025 /PRNewswire/ — d-Matrix, the pioneer in generative AI inference compute for data centers, has closed $275 million in Series C funding, valuing the company at $2 billion and bringing the total raised to date to $450 million. The new capital will advance the company’s roadmap, accelerate global expansion and support multiple large-scale deployments of the world’s highest performing, most efficient data center inference platform for hyperscale, enterprise, and sovereign customers.

The oversubscribed round attracted leading investment firms across Europe, North America, Asia, and the Middle East. The funding is co-led by a global consortium including BullhoundCapital, Triatomic Capital, and Temasek. The round also includes new participation from the Qatar Investment Authority (QIA) and EDBI, alongside follow-on participation from M12, Microsoft’s Venture Fund, as well as Nautilus Venture Partners, Industry Ventures, and Mirae Asset.

d-Matrix’s full-stack inference platform combines breakthrough compute-memory integration, high-speed networking, and inference-optimized software to deliver 10× faster performance, 3× lower cost, and 3–5× better energy efficiency than GPU-based systems. Solutions powered by d-Matrix’s Corsair™ inference accelerators, JetStream™ NICs and Aviator™ software can produce up to 30K tokens per second at 2ms per token on a Llama 70B model. The platform’s compute-dense design allows customers to run up to 100B-parameter models incredibly fast in a single rack.

This step-change in performance and efficiency directly addresses growing AI sustainability challenges. By enabling one data center to handle the workload of ten, d-Matrix offers a clear path to reducing global data center energy consumption while enabling enterprises to deliver cost-efficient, profitable AI services without compromise.

“From day one, d-Matrix has been uniquely focused on inference. When we started d-Matrix six years ago, training was seen as AI’s biggest challenge, but we knew that a new set of challenges would be coming soon,” said Sid Sheth, CEO and co-founder of d-Matrix. “We predicted that when trained models needed to run continuously at scale, the infrastructure wouldn’t be ready. We’ve spent the last six years building the solution: a fundamentally new architecture that enables AI to operate everywhere, all the time. This funding validates that vision as the industry enters the Age of AI Inference.”

Investor confidence reflects d-Matrix’s differentiated technology, rapid customer growth, and expanding network of global partners — including the recently announced d-Matrix SquadRack™ open standards-based reference architecture with Arista, Broadcom, and Supermicro. A strong product roadmap featuring 3D memory-stacking innovations and a customer-centric go-to-market strategy further establishes d-Matrix as a cornerstone of the new AI infrastructure stack.

Investor Voices
“As the AI industry’s focus shifts from training to large-scale inference, the winners will be those who anticipated this transition early and built for it,” said Per Roman, Founder of BullhoundCapital. “d-Matrix stands out not only for its technical depth but for its clear strategic vision. The team understood before anyone else that inference would define the economics of AI — and they’re executing brilliantly on that insight.”

“AI inference is becoming the dominant cost in production AI systems, and d-Matrix has cracked the code on delivering both performance and sustainable economics at scale,” said Jeff Huber, General Partner at Triatomic Capital. “Their digital in-memory compute architecture is purpose-built for low-latency, high-throughput inference workloads that matter most. With Sid, Sudeep, and their world-class team, plus an exceptional ecosystem of partners, d-Matrix is redefining what’s economically possible in AI infrastructure.”

“The explosion in AI inference demand shows us that efficiency and scalability can be key contributors to revenue capture and profitability for hyperscalers and AI factories,” said Michael Stewart, Managing Partner at M12, Microsoft’s Venture Fund. “d-Matrix is the first AI chip startup to address contemporary unit economics in LLM inference for models of a range of sizes that are growing the fastest, with differentiated elements in the in-memory product architecture that will sustain the TCO benefits with leading latency and throughput.”

Morgan Stanley served as the exclusive placement agent, and Wilson Sonsini Goodrich & Rosati served as legal counsel to d-Matrix.

Key Facts

  • Founded: 2019 | HQ: Santa Clara, CA
  • Global Offices: Toronto (Canada); Sydney (Australia); Bangalore (India); Belgrade (Serbia)
  • Founders: Sid Sheth (CEO), Sudeep Bhoja (CTO)
  • Core Products: Corsair inference accelerators, JetStream networking accelerators, Aviator software stack
  • Employees: 250+ worldwide
  • Series C Funding: $275 million | Total Funding: $450 million | Valuation: $2B

About d-Matrix
d-Matrix is pioneering accelerated computing for AI inference, breaking through the limits of latency, cost and energy. Its Corsair accelerators, JetStream networking, and Aviator software deliver fast, sustainable AI inference at data center scale.

The terms d-Matrix, JetStream, Corsair and Aviator are trademarks and/or registered trademarks of d-Matrix, Inc. in the U.S. and other countries. All rights reserved.

IBM Delivers New Quantum Processors, Software, and Algorithm Breakthroughs on Path to Advantage and Fault Tolerance

  • IBM Quantum Nighthawk: processor built for quantum advantage will deliver circuits with 30 percent more complexity
  • Together with partners, IBM contributes three experiments to open, community quantum advantage tracker, with results comparable to leading classical simulation methods
  • New Qiskit capabilities show 24 percent increase in accuracy with dynamic circuits and decreased cost of extracting accurate results by over 100 times with HPC-powered error mitigation.
  • IBM Quantum Loon demonstrates all hardware elements of fault-tolerant quantum computing
  • Efficient quantum error correction decoding achieved with 10 times speedup over current leading approach1 – completed one year ahead of schedule
  • IBM doubles development speed with shift to 300mm wafer fabrication facility while boosting the physical complexity of quantum chips by 10 times for fault-tolerant error correction roadmap

YORKTOWN HEIGHTS, N.Y., Nov. 12, 2025 /PRNewswire/ — At the annual Quantum Developer Conference, IBM (NYSE: IBM) today unveiled fundamental progress on its path to delivering both quantum advantage by the end of 2026 and fault-tolerant quantum computing by 2029.

IBM researcher holding 300mm IBM Quantum Nighthawk wafer (Credit: IBM)
IBM researcher holding 300mm IBM Quantum Nighthawk wafer (Credit: IBM)

“There are many pillars to bringing truly useful quantum computing to the world,” said Jay Gambetta, Director of IBM Research and IBM Fellow. “We believe that IBM is the only company that is positioned to rapidly invent and scale quantum software, hardware, fabrication, and error correction to unlock transformative applications. We are thrilled to announce many of these milestones today.”

IBM Quantum Computers Built to Scale Advantage

IBM is unveiling IBM Quantum Nighthawk, its most advanced quantum processor yet and designed with an architecture to complement high-performing quantum software to deliver quantum advantage next year: the point at which a quantum computer can solve a problem better than all classical-only methods.

IBM Nighthawk is expected to be delivered to IBM users by the end of 2025, and will offer:

  • 120 qubits linked together with 218 next-generation tunable couplers to their four nearest neighbors in a square lattice, an increase of over 20 percent more couplers compared to IBM Quantum Heron.
  • This increased qubit connectivity will allow users to accurately execute circuits with 30 percent more complexity than on IBM’s previous processor while maintaining low error rates.
  • This architecture will enable users to explore more computationally demanding problems that require up to 5,000 two-qubit gates, the fundamental entangling operations critical for quantum computation.

IBM expects future iterations of Nighthawk to deliver up to 7,500 gates by the end of 2026 and then up to 10,000 gates in 2027. By 2028, Nighthawk-based systems could support up to 15,000 two-qubit gates enabled by 1,000 or more connected qubits extended through long-range couplers first demonstrated on IBM experimental processors last year.

IBM anticipates that the first cases of verified quantum advantage will be confirmed by the wider community by the end of 2026. To encourage their rigorous validation and push forward the best quantum and classical approaches, IBM, Algorithmiq, researchers at the Flatiron Institute, and BlueQubit are contributing new results to an open, community-led quantum advantage tracker to systematically monitor and verify emerging demonstrations of advantage. 

Today, the community tracker supports three experiments for quantum advantage across observable estimation, variational problems, and problems with efficient classical verification. IBM encourages the community to contribute to the tracker and push a back-and-forth with the best classical methods.

“I’m proud that our team at Algorithmiq is leading one of the three projects in the new quantum advantage tracker. The model we designed explores regimes so complex that it challenges all state-of-the-art classical methods tested so far,” said Sabrina Maniscalco, CEO and co-founder, Algorithmiq. “We are seeing promising experimental results, and independent simulations from researchers at the Flatiron Institute validate its classical hardness. These are only the first steps – quantum advantage will take time to verify, and the tracker will let everyone follow that journey.”

“BlueQubit is proud to support IBM’s efforts to track quantum advantage claims and algorithms as quantum computers are entering a regime beyond classical,” said Hayk Tepanyan, CTO and co-founder, BlueQubit. “Through our work around peaked circuits, we are excited to help formalize instances where quantum computers are starting to outperform classical computers by orders of magnitude.” 

To pursue verified quantum advantage on breakthrough quantum hardware, developers need to be able to highly control their circuits and use high-performance classical computers (HPC) to mitigate the errors that arise in computation.

Qiskit is the world’s best-performing quantum software stack, developed by IBM. It is now giving developers more control than ever before by scaling dynamic circuit capabilities that deliver a 24 percent increase in accuracy at the scale of 100+ qubits. IBM is also extending Qiskit with a new execution model that enables fine grain control and a C-API, unlocking HPC-accelerated error mitigation capabilities that decreases the cost of extracting accurate results by more than 100 times.

As quantum computers mature, the global quantum community is expanding to HPC and scientific communities. IBM is delivering a C++ interface to Qiskit, powered by a C-API, to enable users to program quantum natively in existing HPC environments. IBM continues to lead the way in advanced circuit execution capabilities including dynamic circuits and increasing control over circuit execution for error mitigation.

By 2027, IBM plans to extend Qiskit with computational libraries in areas such as machine learning and optimization to better solve fundamental physical and chemistry challenges such as differential equations and Hamiltonian simulations.

IBM Delivers Building Blocks Towards Fault-Tolerant Quantum Computing

In a parallel path, IBM is rapidly delivering milestones towards building the world’s first large-scale, fault-tolerant quantum computer by 2029.

The company is announcing IBM Quantum Loon, its experimental processor that, for the first time, shows that IBM has demonstrated all the key processor components needed for fault-tolerant quantum computing. IBM Loon will validate a new architecture to implement and scale the components needed for practical, high-efficiency quantum error correction. IBM has already demonstrated the breakthrough features that will be incorporated into Loon, including the introduction of multiple high-quality, low-loss routing layers to provide pathways for longer, on-chip connections (or “c-couplers”) that go beyond nearest-neighbor couplers and physically link distant qubits together on the same chip, as well as technologies to reset qubits between computations.

Delivering on another key pillar of fault-tolerant quantum computing, IBM has proven it is possible to use classical computing hardware to accurately decode errors in real-time (less than 480 nanoseconds) using qLDPC codes. This engineering feat has been achieved a full year ahead of schedule. Together with Loon, this demonstrates the cornerstones needed to scale qLDPC codes on high-speed, high-fidelity superconducting qubits which form the core of IBM quantum computers.

IBM Scales Fabrication to 300mm Facilities to Accelerate Quantum Wafer Development

As IBM scales its quantum computers, it is announcing the primary fabrication of its quantum processor wafers is being undertaken at an advanced 300mm wafer fabrication facility at the Albany NanoTech Complex in New York.

State-of-the-art semiconductor tooling and always-on capabilities within this facility have already accelerated the speed at which IBM can learn from, improve, and expand the capabilities of its quantum processors; allowing the company to increase their qubit connectivity, density, and performance. To-date, IBM has been able to:

  • Double the speed of its research and development efforts by cutting the time needed to build each new processor by at least half;
  • Achieve a ten-fold increase in the physical complexity of its quantum chips; and,
  • Enable multiple designs to be researched and explored in parallel.
  1. As compared to recent approach here: https://arxiv.org/abs/2510.25213

About IBM
IBM is a leading global hybrid cloud and AI, and business services provider, helping clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Thousands of governments and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and business services deliver open and flexible options to our clients. All of this is backed by IBM’s legendary commitment to trust, transparency, responsibility, inclusivity and service.
For more information, visit https://research.ibm.com.

Media Contact:

Erin Angelini
IBM Communications
Edlehr@us.ibm.com

Chris Nay
IBM Communications
cnay@us.ibm.com

300mm cleanroom at the Albany NanoTech Complex in Albany, NY (Credit: IBM)
300mm cleanroom at the Albany NanoTech Complex in Albany, NY (Credit: IBM)

 

IBM researcher holds IBM Quantum Nighthawk chip (Credit: IBM)
IBM researcher holds IBM Quantum Nighthawk chip (Credit: IBM)

 

IBM Quantum Loon chip (Credit: IBM)
IBM Quantum Loon chip (Credit: IBM)

 

IBM Corporation logo.
IBM Corporation logo.

 

China Automotive Systems Reports 77.8% EPS Growth in the Third Quarter of 2025 and Raises Full Year Guidance

WUHAN, China, Nov. 12, 2025 /PRNewswire/ — China Automotive Systems, Inc. (NASDAQ: CAAS) (“CAAS” or the “Company”), a leading power steering components and systems supplier in China, today announced its unaudited financial results for the third quarter and nine months ended September 30, 2025.

Third Quarter 2025 Highlights

  • Net sales rose 17.7% year-over-year to $193.2 million from $164.2 million in the third quarter of 2024.
  • Net sales in North America climbed 77.3% and sales in Brazil grew 30.5% higher year-over-year.
  • Gross profit increased by 26.6% year-over-year to $33.4 million from $26.4 million in the third quarter of 2024; gross profit margin was 17.3% in the third quarter of 2025 compared with 16.0% in last year’s third quarter.
  • Income from operations increased by 25.3% year-over-year to $13.9 million.
  • Net income attributable to parent company’s common shareholders increased 75.6% to $9.7 million from $5.5 million in the third quarter of 2024.
  • Diluted earnings per share attributable to parent company’s common shareholders increased by 77.8% to $0.32 compared with $0.18 in the third quarter of 2024.

First Nine Months of 2025 Highlights

  • Net sales grew by 16.1% year-over-year to $536.5 million, compared to $462.2 million in the first nine months of 2024.
  • Gross profit increased by 16.0% year-over-year to $92.5 million, compared to $79.7 million in the first nine months of 2024; gross profit margin was 17.2% in the first nine months of 2025 and 2024.
  • Income from operations rose by 12.6% year-over-year to $35.5 million compared to $31.6 million in the first nine months of 2024.
  • Net income attributable to parent company’s common shareholders increased to $24.4 million from $20.9 million in the first nine months of 2024.
  • Diluted earnings per share attributable to parent company’s common shareholders rose by 17.4% to $0.81 compared with $0.69 in the first nine months of 2024.
  • Cash, cash equivalents and short-term investments were $167.3 million, or approximately $5.54 per share, as of September 30, 2025.

Mr. Qizhou Wu, Chief Executive Officer of CAAS, commented, “We continued to grow our sales, gross profit, net profit and cash flow in the third quarter of 2025. We had increased sales across the board in the third quarter and first nine months of the 2025 period, except for sales to Chery Auto, which demonstrated the strength and breadth of our product portfolio.”

“We continued to transition to more technology-focused advanced steering products. In the third quarter of 2025, based on our iRCB’s (intelligent electro-hydraulic circulating ball power steering), performance and cost-efficiency, new orders in July, 2025 were at a record setting pace in the power steering industry for the ramp up to mass production. Our second-generation iRCB is compatible with L2+assisted driving and has begun mass production in China. By optimizing energy consumption, iRCB products are projected to reduce vehicle operational costs creating substantial economic value for customers.”

“The high quality and high performance of our steering products have allowed us to become a tier-1 supplier of advanced steering systems to large global OEM customers in North America, Europe, Asia and South America. International sales have become our growth engine as we continue to expand our customer base and enhance our sales and profits. In the third quarter of 2025, we won our first R-EPS product order from a large, well-known European automaker. This order, with annual sales expected to exceed $100 million, will start mass production by 2027 and power multiple new models. Subsequent to the third quarter of 2025, we launched our active rear-wheel steering which adds to our ADAS capabilities.”

“During the third quarter of 2025, we re-domiciled CAAS to be a Cayman Islands company. Shares continue to be listed under the trading symbol ‘CAAS’. We believe this move will provide cost savings and added flexibility to enhance shareholder value over the long term.”

Mr. Jie Li, Chief Financial Officer of CAAS, commented, “Maintaining a strong balance sheet and financial resources are our highest priorities. Our North and South American sales grew in the third quarter of 2025, and we expect to enhance our organizational structure to capture more future international market opportunities. Cash, cash equivalents and short-term investments were $167.3 million and net working capital was $173.4 million.”

Third Quarter of 2025

Net sales increased by 17.7% year-over-year to $193.2 million, compared to $164.2 million in the third quarter of 2024. CAAS’s subsidiary, Henglong, continued to increase net sales by 7.7% year-over-year to $88.8 million in the large market for Chinese passenger vehicles. The Jiulong subsidiary’s sales to the domestic commercial vehicle steering market rose by 44.4% to $24.9 million, compared with $17.2 million for the third quarter of 2024. International sales of CAAS steering systems were robust. Sales to North American customers increased by 77.3% to $33.1 million, compared to $18.7 million in the third quarter of 2024. North American sales increased primarily due to improved demand by one customer. Sales in Brazil were 30.5% higher in the third quarter of 2025 to $18.6 million from $14.3 million in the third quarter of 2024.

Gross profit grew by 26.6% year-over-year to $33.4 million from $26.4 million in the third quarter of 2024. Gross profit margin increased to 17.3% in the third quarter of 2025, consistent with the second quarter of 2025, but up from 16.0% in the third quarter of 2024. The increase in gross profit margin was mainly due to a change in product mix with greater sales of relatively higher-margin products.

Gain on other sales was $1.8 million in the third quarter of 2025, compared to $0.6 million in the third quarter of 2024. The increase in gain on other sales was mainly due to higher sales of materials.

Selling expenses increased to $6.3 million in the third quarter of 2025, compared to $4.4 million in the third quarter of 2024, primarily due to an increase in salaries and wages, and a rise in marketing expenses. Selling expenses represented 3.3% of net sales in the third quarter of 2025, compared to 2.7% in the third quarter of 2024.

General and administrative expenses (“G&A expenses”) decreased to $4.4 million, compared to $5.1 million in the third quarter of 2024, primarily due to decreased consulting fees and office expenses.  G&A expenses represented 2.3% of net sales in the third quarter of 2025, compared to 3.1% of net sales in the third quarter of 2024.

Research and development expenses (“R&D expenses”) increased to $10.4 million, compared to $6.4 million in the third quarter of 2024, primarily due to an increase in R&D activities. R&D expenses represented 5.4% of net sales in the third quarter of 2025, compared to 3.9% in the third quarter of 2024. Research and development programs include but were not limited to electric power and hydraulic steering systems, automotive intelligence and software technologies, automobile electronics, high polymer materials, and manufacturing technologies.

Other income was $1.3 million for the third quarter of 2025 which was stable with $1.3 million for the three months ended September 30, 2024. 

Income from operations rose 25.3% to $13.9 million in the third quarter of 2025, from $11.1 million in the third quarter of 2024. The increase was primarily due to higher sales and gross profit. 

Interest expense was $0.5 million in the third quarter of 2025, compared to $0.3 million in the third quarter of 2024.

Net financial income was $0.1 million in the third quarter of 2025, compared to net financial expense of $0.2 million in the third quarter of 2024. The increase in net financial income was primarily due to an increase in the foreign exchange gain due to foreign exchange volatility. 

Income before income tax expenses and equity in earnings of affiliated companies was $14.9 million in the third quarter of 2025, compared to income before income tax expenses and equity in earnings of affiliated companies of $11.9 million in the third quarter of 2024. The change in income before income tax expenses and equity in earnings of affiliated companies was mainly due to higher income from operations in the third quarter of 2025 compared with income in last year’s same quarter.

Income tax expense was $3.2 million in the third quarter of 2025, compared to $4.0 million for the third quarter of 2024. The decrease in income tax expense was primarily due to a one-time income tax expense settlement for the subsidiaries in the PRC in last year’s same quarter.

Net income attributable to parent company’s common shareholders was $9.7 million in the third quarter of 2025, compared to net income attributable to parent company’s common shareholders of $5.5 million in the third quarter of 2024. Diluted earnings per share was $0.32 in the third quarter of 2025, compared to $0.18 per share in the third quarter of 2024.

The weighted average number of diluted common shares outstanding was 30,170,702 in the third quarter of 2025, compared to 30,185,702 in the third quarter of 2024.

Nine Months of 2025

Net sales increased by 16.1% year-over-year to $536.5 million in the first nine months of 2025, compared to $462.2 million in the nine months of 2024 primarily due to increased sales volume. Nine-month’s gross profit increased by 16.0% year-over-year to $92.5 million from $79.7 million in the corresponding period last year. Nine-month gross profit margin was 17.2%, which was stable with the 17.2% in the first nine months of 2024. The gain on other sales was $3.4 million in the first nine months of 2025, compared to $2.8 million in the corresponding period last year.  Income from operations increased by 12.6% year-over-year to $35.5 million in the first nine months of 2025 from $31.6 million in the first nine months of 2024. 

Net income attributable to parent company’s common shareholders was $24.4 million in the first nine months of 2025, compared to net income attributable to parent company’s common shareholders of $20.9 million in the corresponding period in 2024. Diluted earnings per share in the first nine months of 2025 were $0.81, compared to diluted earnings per share of $0.69 in the first nine months of 2024.

Balance Sheet

Cash, cash equivalents and short-term investments were $167.3 million, or approximately $5.54 per share, as of September 30, 2025. Net working capital was $173.4 million. Total accounts receivable including notes receivable were $298.2 million, accounts payable including notes payable were $316.3 million, and short-term loans were $81.2 million. Total parent company stockholders’ equity was $378.8 million as of September 30, 2025, compared to $349.6 million as of December 31, 2024.

Business Outlook

Management has raised revenue guidance for the full fiscal year 2025 to $730.0 million. This target is based on the Company’s current views on operating and market conditions, which are subject to change.

About China Automotive Systems, Inc.

Based in Hubei Province, the People’s Republic of China, China Automotive Systems, Inc. is a leading supplier of power steering components and systems to the Chinese automotive industry, operating through its sixteen Sino-foreign joint ventures and wholly-owned subsidiaries. The Company offers a full range of steering system parts for passenger automobiles and commercial vehicles. The Company currently offers four separate series of power steering with an annual production capacity of over 8 million sets of steering gears, columns and steering hoses. Its customer base is comprised of leading auto manufacturers, such as China FAW Group, Corp., Dongfeng Auto Group Co., Ltd., BYD Auto Company Limited, Beiqi Foton Motor Co., Ltd. and Chery Automobile Co., Ltd. in China, and Stellantis N.V. and Ford Motor Company in North America. For more information, please visit: http://www.caasauto.com.

Forward-Looking Statements

This press release contains statements that are “forward-looking statements” as defined under the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent our estimates and assumptions only as of the date of this press release. Our actual results may differ materially from the results described in or anticipated by our forward-looking statements due to certain risks and uncertainties. As a result, the Company’s actual results could differ materially from those contained in these forward-looking statements due to a number of factors, including those described under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K as filed with the Securities and Exchange Commission on March 28, 2025, and in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission. Any of these factors and other factors beyond our control, could have an adverse effect on the overall business environment, cause uncertainties in the regions where we conduct business, cause our business to suffer in ways that we cannot predict, and materially and adversely impact our business, financial condition and results of operations. A prolonged disruption or any further unforeseen delay in our operations of the manufacturing, delivery and assembly process within any of our production facilities could result in delays in the shipment of products to our customers, increase costs and reduce revenue. We expressly disclaim any duty to provide updates to any forward-looking statements made in this press release, whether as a result of new information, future events or otherwise.

For further information, please contact:

Jie Li
Chief Financial Officer
China Automotive Systems, Inc.
jieli@chl.com.cn

Kevin Theiss
Awaken Advisors
+1-212-510-8922
Kevin@awakenlab.com 

-Tables Follow –

China Automotive Systems, Inc. and Subsidiaries

Condensed Unaudited Consolidated Statements of Operations and Comprehensive Income

(In thousands of USD, except share and per share amounts)

Three Months Ended September 30, 

2025

2024

Net product sales

$

193,203

$

164,215

Cost of products sold

159,825

137,859

     Gross profit

33,378

26,356

Gain on other sales

1,762

553

Less: Operating expenses

Selling expenses

6,345

4,357

General and administrative expenses

4,447

5,070

Research and development expenses

10,437

6,383

Total operating expenses

21,229

15,810

     Income from operations

13,911

11,099

Other income, net

1,308

1,251

Interest expense

(467)

(271)

Financial income/(expense), net

120

(167)

Income before income tax expenses and equity in earnings
  of affiliated companies

14,872

11,912

Less: Income taxes

3,190

4,042

Add: Equity in losses of affiliated companies

98

203

Net income

11,780

8,073

Less: Net income attributable to non-controlling interests

2,113

2,562

Accretion to redemption value of redeemable non-
  controlling interests

—

(7)

     Net income attributable to parent company’s
  common shareholders

$

9,667

$

5,504

Comprehensive income:

Net income

$

11,780

$

8,073

Other comprehensive income:

Foreign currency translation gain, net of tax

3,177

6,584

Comprehensive income

14,957

14,657

Less: Comprehensive income attributable to non-
  controlling interests

2,488

3,287

Accretion to redemption value of redeemable non-
  controlling interests

—

(7)

Comprehensive income attributable to parent company

$

12,469

$

11,363

Net income attributable to parent company’s common
  shareholders per share –

Basic

$

0.32

$

0.18

Diluted

$

0.32

$

0.18

Weighted average number of common shares outstanding
  –

Basic

30,170,702

30,185,702

Diluted

30,170,702

30,185,702

 

China Automotive Systems, Inc. and Subsidiaries

Condensed Unaudited Consolidated Statements of Operations and Comprehensive Income

(In thousands of USD, except share and per share amounts)

Nine Months Ended September 30, 

2025

2024

Net product sales

$

536,542

$

462,217

Cost of products sold

444,032

382,490

     Gross profit

92,510

79,727

Gain on other sales

3,368

2,787

Less: Operating expenses

Selling expenses

15,677

13,044

General and administrative expenses

17,424

18,035

Research and development expenses

27,242

19,879

Total operating expenses

60,343

50,958

     Income from operations

35,535

31,556

Other income, net

4,309

5,389

Interest expense

(1,242)

(712)

Financial income/(expense), net

3,425

(869)

Income before income tax expenses and equity in earnings of
  affiliated companies

42,027

35,364

Less: Income taxes

10,176

7,893

Add: Equity in losses of affiliated companies

(1,244)

(1,379)

Net income

30,607

26,092

Less: Net income attributable to non-controlling interests

6,193

5,159

Accretion to redemption value of redeemable non-controlling
  interests

—

(22)

     Net income attributable to parent company’s common
  shareholders

$

24,414

$

20,911

Comprehensive income:

Net income

$

30,607

$

26,092

Other comprehensive income:

Foreign currency translation gain, net of tax

5,439

3,390

Comprehensive income

36,046

29,482

Less: Comprehensive income attributable to non-controlling
  interests

6,771

5,659

Accretion to redemption value of redeemable non-controlling
  interests

—

(22)

Comprehensive income attributable to parent company

$

29,275

$

23,801

Net income attributable to parent company’s common
  shareholders per share –

Basic

$

0.81

$

0.69

Diluted

$

0.81

$

0.69

Weighted average number of common shares outstanding –

Basic

30,170,702

30,185,702

Diluted

30,170,702

30,185,702

 

China Automotive Systems, Inc. and Subsidiaries

Condensed Unaudited Consolidated Balance Sheets

(In thousands of USD unless otherwise indicated)

September 30, 2025

December 31, 2024

ASSETS

Current assets:

Cash and cash equivalents

$

139,415

$

56,961

Pledged cash

39,285

44,863

Accounts and notes receivable, net

298,165

343,499

Inventories

117,546

112,558

Other current assets

88,249

44,757

     Total current assets

682,660

602,638

Non-current assets:

Property, plant and equipment, net

120,272

103,820

Land use rights, net

9,237

8,835

Long-term investments

62,391

64,332

Other non-current assets

64,581

70,954

     Total assets

$

939,141

$

850,579

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Short-term loans

$

81,235

$

72,566

Accounts and notes payable

316,265

292,808

Accrued expenses and other payables

86,021

59,238

Other current liabilities

25,752

31,870

     Total current liabilities

509,273

456,482

Long-term liabilities:

Other non-current liabilities

4,034

4,308

     Total liabilities

$

513,307

$

460,790

Commitments and Contingencies

Stockholders’ equity:

Common stock, $0.0001 par value – Authorized – 80,000,000 shares; Issued –
  32,338,302 and 32,338,302 shares as of September 30, 2025 and December 31, 2024,
  respectively

$

3

$

3

Additional paid-in capital

69,656

69,656

Retained earnings-

Appropriated

13,667

12,180

Unappropriated

313,199

290,273

Accumulated other comprehensive income

(9,919)

(14,780)

Treasury stock –2,167,600 and 2,167,600 shares as of September 30, 2025 and
  December 31, 2024, respectively

(7,763)

(7,763)

     Total parent company stockholders’ equity

378,843

349,569

Non-controlling interests

46,991

40,220

Total stockholders’ equity

425,834

389,789

Total liabilities and stockholders’ equity

$

939,141

$

850,579

 

SALOMON’s Decade-Long Investment in Chinese Trail Running Culminates in Dominant TsaiGu Trail 2025 Victory

Brand’s “Lighthouse Initiative” and long-term athlete strategy fuels the rise of Chinese trail running, reinforcing its global commitment to the sport.

LINHAI, China, Nov. 12, 2025 /PRNewswire/ — SALOMON, the global leader in trail running, highlights its deep commitment to the sport in China following a dominant team performance at the TsaiGu Trail 2025. SALOMON athletes secured victories across both men’s and women’s divisions in the 25K, 50K, and 105K categories, demonstrating the brand’s decade-long, systemic investment in the Chinese trail running community.

This competitive success stems from SALOMON’s long-term strategy to nurture talent through initiatives like the “Lighthouse Initiative”, which provides structured support, elite training camps, and community development for runners at every level.

Building a Foundation for Long-Term Success in China

For the past decade, the brand has focused on building a complete ecosystem, from introducing international training methodologies to creating pathways for aspiring athletes to turn professional.

This sustained investment is now yielding results. At TsaiGu Trail 2025, 20-year-old Fan Banglin identified through SALOMON’s talent development project, set a new course record of 4:14:33 to win the 50K. Zhang Huohua, supported by the brand since 2021, claimed his third champion title at the event with a victory in the 105K. Another athlete, Chi Lingjie, successfully transitioned from marathon to trail running with a professional training plan from SALOMON, delivering excellent performances this year in multiple races.

Market data confirms this success, showing SALOMON as the top shoe brand in key distances at events like the Golden Trail World Series at Jinshanling and the TsaiGu Trail, underscoring the competitiveness of its product portfolio.

Global Excellence Mirrors Local Commitment 

SALOMON’s athlete development philosophy is consistently applied worldwide, creating champions both in China and across the global stage. This commitment to long-term partnership is exemplified by elite athletes like Rémi Bonnet, who has dominated the Golden Trail World Series with multiple victories, supported by SALOMON’s performance innovation and sports science resources.

Similarly, Courtney Dauwalter’s remarkable career, including her historic triple crown of UTMB, Western States, and Hardrock 100, has been nurtured by SALOMON since 2017. François D’Haene’s four UTMB victories and successful comeback after injury further demonstrate SALOMON’s unwavering support through an athlete’s entire career journey.

Deepening Commitment Through the “Lighthouse Initiative”

The launch of the second phase of SALOMON’s “Lighthouse Initiative” prize fund reinforces the brand’s core commitment to trail running. With total awards across both phases now totaling approximately €120,000 (equivalent to over 1 million RMB), the initiative is designed to provide substantial support for athletes, cultivate a stronger environment for the sport in China, and nurture the next generation of trail running stars.

As a global leader in trail running, SALOMON remains dedicated to advancing the sport’s development and cultural heritage. Moving forward, the brand will continue to leverage the “Lighthouse Initiative” to inspire more athletes to excel and break new ground in competitive trail running, elevating China’s trail running scene to unprecedented heights.

A New Decade of Global Integration

From community building to leading international dialogue, SALOMON will continue its efforts to establish China as a third major hub in the global trail running landscape. The brand aims to attract runners from around the world to experience China’s unique racing venues and cultural offerings, while persistently fostering deeper integration and mutual progress between Chinese trail culture and the global ecosystem.

This ten-year milestone marks both a significant achievement in SALOMON’s dedication to trail running culture and the starting point for an even more ambitious journey ahead.

Innovation Engine Drives Global Expansion: Baida Popping Leads the Industry Towards Premium Quality

CHAOZHOU, China, Nov. 12, 2025 /PRNewswire/ — Against the backdrop of the global food industry’s ongoing pursuit of healthier, more engaging, and premium transformations, Guangdong Shantai Food Co., Ltd. (hereinafter referred to as “Shantai Family “)—a comprehensive snack food enterprise integrating R&D, production, and sales—has consistently pursued a dual strategy of “Technology + Creativity.” Through continuous product innovation and the expansion of its international market presence, Shantai has steadily enhanced its core brand competitiveness.

In the first half of 2025, Shantai successively participated in multiple important domestic and international industry exhibitions, including the 112th National Food and Drinks Trade Fair, the 137th China Import and Export Fair, the SIAL Shanghai, and the 3rd Guangdong (Chaozhou) Specialty Food Industry Conference,THAIFEX-ANUGA ASIA 2025 and World Food Moscow. It comprehensively showcased a series of innovative products centered around “the third-generation popping candy technology”, fully demonstrating the innovative vitality and manufacturing excellence of Chinese food enterprises. This attracted widespread attention and partnership interest from numerous professional buyers, distributors, and consumers both domestically and internationally, further enhancing the brand’s influence and market reputation.


Innovative product system and diversified consumption scenarios

Amid evolving consumption patterns and increasing segmentation in the snack industry, Shantai has systematically built a comprehensive product matrix—spanning six categories and 48 flavors—based on its self-developed “third-generation popping candy technology.” This diversified portfolio addresses various niche demands, including sugar-free options and oat-based healthy ingredients, featuring products such as classic popping candy, milk stick candy, popping stick candy, and popping balloons. An interactive experience zone set up at the exhibition attracted numerous industry professionals and international buyers.

The new-generation Baida popping, with its unique bubble-activation technology, delivers a multi-layered sensory experience—ranging from gentle “sparkling pops” to intense “explosive jumps”—significantly enhancing the product’s playfulness and memorability.

Additionally, Shantai has launched new series such as “Sour Series” and “Cooling Sensation” to cater to regional consumer preferences, further diversifying the sensory experience. Innovative derivative products like “Popping Chocolate Sticks” have also received positive feedback from distributors and international buyers for their fun texture and chewiness.

At the exhibitions, many overseas purchasers engaged in in-depth discussions with Shantai’s sales and international trade teams, conducting substantive negotiations on import policies, customized cooperation, and logistics support. These interactions demonstrated the strong acceptance and business potential of Shantai’s products in global markets.

A century of heritage lays the foundation for a secure, stable, and flexible supply chain

Since its founding in Chaozhou in 1917, Shantai has been passed down through four generations, evolving from a traditional handmade confectionery workshop into a modern food enterprise now recognized as both a “Guangdong Time-honored Brand” and a National High-Tech Enterprise. The company places strong emphasis on quality control and standardization, having established two modern production bases with a total area exceeding 20,000 square meters. Production workshops are strictly designed and managed in compliance with the 100,000-class GMP cleanliness standard. Since 2004, Shantai has obtained multiple international food safety certifications—including HACCP, ISO 22000, IFS, BRC, HALAL, KOSHER, and SMETA—and implemented a comprehensive quality control system covering the entire process from raw material sourcing and production to finished product delivery.

On the technical front, Shantai remains committed to in-house development of key equipment and continuous improvement of production processes. Its third-generation popping candy maintains the signature popping experience while achieving a breakthrough in heat resistance of up to 52°C, significantly enhancing the product’s climate adaptability and logistics reach. Even in high-temperature and high-humidity regions, it retains stable performance. Currently, the company’s annual production capacity exceeds 5 billion packs, with products exported to over 100 countries and regions worldwide. Shantai has become a long-term supplier for numerous international snack brands and retail chains.

Additionally, leveraging 9 self-developed production lines, 20 high-speed automated packaging lines, and a flexible manufacturing system, the company has established a structured product portfolio covering 48 base flavors and numerous customizable options. This system supports diverse product demands—including sugar-free and low-calorie health-oriented concepts.

Through a database of 11 standard product formats and a 72-hour rapid sampling response mechanism, Shantai offers highly customized OEM/ODM solutions, helping brand clients efficiently transition from product concept to mass production. This strengthens its position as a global hub for manufacturing and innovation in popping candy.

In 2023, Shantai was recognized as a “National High-Tech Enterprise,” and in 2025, it was again listed among Chaozhou’s first batch of AEO-certified enterprises—further demonstrating its excellence in technological innovation and international trade compliance.

Eco-Synergistic strategic layout for global markets

Facing the new trends of channel fragmentation and consumption stratification in the snack industry, Shantai strategically enhanced its channel development and brand partnership initiatives in 2025.

In traditional retail and convenience store channels, the company enhanced product visibility and repurchase rates by optimizing packaging and display layouts for its classic items. For emerging brand snack collective stores, Shantai launched multi-size, cost-effective product series, maintaining quality while effectively controlling retail prices to expand reach among younger consumers.

Additionally, customized theme collections compatible with PDQ (Product Display Quickly) systems were developed for membership stores and hypermarkets. These initiatives leveraged the display advantages of such channels to enhance brand visual impact and drive experiential purchasing.

Mr. Hong Yonghong, General Manager of Shantai, stated in an interview that participating in international exhibitions is not only a platform to showcase products and technologies, but also a key initiative to deeply connect with global supply chain partners and co-create an industry ecosystem.

During the series of exhibitions in the first half of the year, Shantai’s booth received industry professionals from East Asia, Southeast Asia, the Middle East, Europe, the United States, and other regions. Extensive discussions were held regarding distribution agreements, technology licensing, and joint product development, laying a solid foundation for further expanding the international market and optimizing regional presence.

Looking ahead, Shantai will remain committed to its strategic vision of “Building the World’s Most Enjoyable Food Enterprise,” by increasing R&D investment and advancing intelligent manufacturing and digital transformation. While consolidating its leading position in the popping candy category, the company will steadily expand into broader snack food segments.

By integrating consumption scenario innovation, flavor science, and health considerations, Shantai is committed to delivering more innovative products that combine fun and high quality to global consumers. Together with value-chain partners, it aims to build a sustainable and mutually beneficial industrial ecosystem.

 

Johnson Electric reports results for the half year ended 30 September 2025

Highlights of FY25/26 Half-Year Results

  • Group sales US$1,833 million – down 1% compared to first half of the prior financial year
  • Gross profit US$441 million or 24.0% of sales (compared to US$438 million or 23.6% of sales in the first half of the prior financial year)
  • Adjusted EBITA US$159 million or 8.7% of sales (compared to US$177 million or 9.5% of sales in the first half of the prior financial year)
  • Net profit attributable to shareholders increased by 3% to US$133 million or 14.21 US cents per share on a fully diluted basis
  • Underlying net profit, excluding the net impact of unrealized gains or losses relating to exchange rate movements and restructuring costs, decreased by 8% to US$123 million
  • Free cash flow from operations US$174 million (compared to US$144 million in the first half of the prior financial year)
  • Total debt to capital ratio of 11% and cash reserves of US$932 million as of 30 September 2025
  • Interim dividend 17 HK cents per share (2.18 US cents per share)

HONG KONG SAR – Media OutReach Newswire – 12 November 2025 – Johnson Electric Holdings Limited (“Johnson Electric”), a global leader in electric motors and motion subsystems, today announced its results for the six months ended 30 September 2025.

Total group sales for the first half of the 2025/26 financial year totalled US$1,833 million, a decrease of 1% over the first half of the prior financial year. Excluding the effect of foreign exchange rate changes, sales declined by 2%. Net profit attributable to shareholders increased by 3% to US$133 million or 14.21 US cents per share on a fully diluted basis. Underlying net profit decreased by 8% to US$123 million.

Automotive Products Group

The Automotive Products Group (“APG”), which accounted for 84% of total Group sales in the period under review, reported a 3% decline in sales on a constant currency basis. On a regional basis, APG’s constant currency sales were lower by 6% in Asia, 1% in the Americas, and 1% in Europe.

The reduced level of sales achieved in the first half reflected the combination of price reductions for more mature product applications and APG’s Sino-foreign joint venture OEM customers in China continuing to experience a significant loss in market share.

Car production in Asia, dominated by China, now accounts for approximately 60 percent of global vehicle volume. Beyond its sheer size, the dynamism of China’s auto sector is transforming the market domestically and, increasingly, globally. Government subsidies, expanding charging infrastructure, and aggressive pricing among the more than 100 brands of electric vehicles have fuelled a structural shift to electrification – with New Energy Vehicles (NEVs) amounting to over half of all passenger vehicles sold in China. Domestic OEM brands are leading this transformation, having almost doubled their market share in less than five years to over two-thirds of domestic sales.

In the short term, APG has been negatively impacted by the rapid shift in automotive OEM market share, since a majority of its sales in China have historically been to Sino-foreign joint venture customers. However, encouraging progress is being made in winning new business from several leading domestic Chinese OEM customers who have found Johnson Electric to be a responsive and cost-competitive partner to support their future growth plans. Those plans include accelerating exports of “Made in China” vehicles, as well as establishing assembly plants elsewhere in the world that will produce a new generation of vehicles “Designed in China”. As the newly awarded programs begin to ramp-up production in the second half of the financial year, APG is on track to return to growth.

Outside of Asia, automotive industry demand over the period under review was relatively subdued. In Europe, consumer interest in NEVs remains strong, especially for plug-in hybrids, but concerns over job security and the comparatively higher price of NEVs are keeping buyers in check. The region’s automakers are themselves faced with enormous structural challenges that include increased competition from Chinese brands who have taken five percent of the market, and excess production capacity that is forcing several OEMs to pause production in some plants and rethink their future vehicle roadmaps.

North America’s automotive sector is similarly navigating a turbulent landscape shaped by trade policy uncertainty, shifting consumer behaviour, and electrification trends. Earlier in the year, the market was lifted by a consumer rush to buy new cars to beat an expected tariff-induced price hike. Demand momentum has since softened, except for a brief boost to electric vehicle sales spurred by the expiry of a federal tax credit. Volatile tariff policies are also disrupting supply chains, requiring OEMs and their suppliers to reconfigure operations across the US, Canada, and Mexico. These changes are increasing costs, leading to higher vehicle prices and reduced affordability.

APG’s strategy in the context of this varied and highly unpredictable global operating environment remains, firstly, to focus on bringing to market innovative motion technologies that enable electrification, reduce emissions, and enhance passenger safety and comfort. Secondly, APG aims to offer its diverse base of customers an unrivalled total cost and value proposition that combines speed, scale, and reliability of production with an adaptable global operating footprint.

Industry Products Group

The Industry Products Group (“IPG”), which accounted for 16% of total Group sales, reported flat sales compared to the first half of the prior financial year on a constant currency basis.

IPG’s sales have stabilized after a difficult period of contraction that resulted from a softening in demand for discretionary hardware products (relative to services) in the post-pandemic era; and low pricing (rather than brand name, functionality, or reliability) increasingly becoming the key purchasing criteria for many consumers.

Management has rationalized and consolidated its production to focus on application segments where it can leverage highly automated assembly lines and digital processes to be more cost competitive. Equally important, new business development has been redirected towards the rapidly growing base of Chinese manufacturers who are capturing an increasing share of the global market for consumer and commercial hardware goods – particularly for low-priced, entry-level products. Although the repositioning of IPG is still at an early stage, the division has secured several recent orders that give rise to optimism.

In parallel to targeting high-volume, standardized motion product applications, IPG has continued to make progress in supplying motion subsystem solutions to more specialized, higher-growth segments, including warehouse automation, medical devices, semiconductor manufacturing equipment, and liquid cooling applications.

Formation of PRC Joint Ventures to pursue opportunities in Humanoid Robotics

In July 2025, the Group announced the formation of two joint venture companies with Shanghai Mechanical & Electrical Industry Co., Ltd, a leading Chinese industrial manufacturing company with extensive interests across a wide range of end markets. This new initiative has been established to enable the end-to-end delivery of high-performance humanoid robotic core components and subsystems to customers across the PRC. The two joint ventures are structured to complement one another – combining sales, business development and customer application support with product design, engineering, and manufacturing expertise.

Gross Margins and Operating Profitability

Gross profit margins increased slightly to 24.0% from 23.6%, primarily due to reduced direct labour costs, material cost deflation, and favourable foreign exchange rate movements that outweighed the effects of price reductions and wage inflation.

Reported earnings before interest, tax and amortization (“EBITA”) was flat at US$171 million. Adjusted to exclude non-cash foreign exchange rate movements and restructuring charges, EBITA was US$159 million or 8.7% of sales.

Free Cash Flow and Financial Condition

Free cash flow from operations increased to US$174 million from US$144 million, largely due to a reduction in working capital that more than offset an increase in capital expenditure. Capital expenditure levels in the near term are expected to remain at a high single-digit percentage of sales due to planned investments in automation and further development of the manufacturing footprint.

The Group remains in a financially robust condition with a total debt to capital ratio of 11% and cash balances of US$932 million as of 30 September 2025.

Interim Dividend

The Board has today declared an interim dividend of 17 HK cents per share, equivalent to 2.18 US cents per share (2024/25 interim: 17 HK cents per share). The interim dividend will be payable on 6 January 2026 to shareholders registered on 9 December 2025.

Chairman’s Comments on the Half-Year Results and Outlook

Commenting on the results, Dr. Patrick Wang, Chairman and Chief Executive, said, “Johnson Electric delivered stable financial results in the six-month period ended 30 September 2025, despite subdued macro-economic conditions and ongoing uncertainty concerning global trade tariffs.”

“Although the global economy is showing resilience in the face of the disruption caused by the radical shift in US international trade policy, overall consumer sentiment in the world’s major economies has remained cautious due to cost of living concerns and softening labour markets. In Johnson Electric’s primary end markets of automotive vehicles and consumer and industrial hardware products, the impact has been mixed. Favourable growth dynamics in several new motion application segments are being offset by sluggish growth of more mature products and by OEM customers delaying the launch of new programs due to ongoing uncertainties related to demand and global supply chain configurations.”

Regarding the outlook for the second half of the financial year, Dr. Patrick Wang commented, “The resilience of the global economy during the first half of the year belied a precarious environment for trade and investment that remains a significant concern for international manufacturing businesses. The new regime of higher US tariffs on imports from almost all countries is still unfolding and its impact on consumer behaviour, business confidence, and manufacturing supply chains is unclear.”

Dr. Patrick Wang further commented, “Notwithstanding the highly uncertain macro-economic outlook, Johnson Electric is cautiously optimistic that its sales in the second half of the financial year will improve modestly over the prior year. Over the medium and longer term – and assuming that the ongoing trade negotiations between the US and China result in a pragmatic agreement – the prospects for profitable growth are encouraging. Our product portfolio of innovative components and subsystems is uniquely well placed to help our customers solve their most critical motion-related problems. And we are continuing to invest in adapting and strengthening our operating model to provide security of supply to customers at the same time as delivering sustainable value creation for shareholders.”

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About Johnson Electric Group

The Johnson Electric Group is a global leader in electric motors, actuators, motion subsystems and related electro-mechanical components. It serves a broad range of industries including Automotive, Smart Metering, Medical Devices, Business Equipment, Home Automation, Ventilation, White Goods, Power Tools, and Lawn & Garden Equipment. The Group is headquartered in Hong Kong and employs over 30,000 individuals in over 20 countries worldwide. Johnson Electric Holdings Limited is listed on The Stock Exchange of Hong Kong Limited (Stock Code: 179). For further information, please visit: .

Forward Looking Statements
This news release contains certain forward looking statements with respect to the financial condition, results of operations and business of Johnson Electric and certain plans and objectives of the management of Johnson Electric.

Words such as “outlook”, “expects”, “anticipates”, “intends”, “plans”, “believe”, “estimates”, “projects”, variations of such words and similar expressions are intended to identify such forward looking statements. Such forward looking statements involve known and unknown risk, uncertainties and other factors which may cause the actual results or performance of Johnson Electric to be materially different from any future results or performance expressed or implied by such forward looking statements. Such forward looking statements are based on numerous assumptions regarding Johnson Electric’s present and future business strategies and the political and economic environment in which Johnson Electric will operate in the future.