Inkeverse Group sees profit double despite revenue decline

Inkeverse Group reported a profit of RMB273,979 thousand for the first half of 2025, a 102.8% increase from RMB135,115 thousand in the corresponding period of 2024. Operating profit also surged by 170.2% to RMB369,356 thousand. This growth was achieved despite a 24.2% decrease in revenue, which stood at RMB2,677,543 thousand, down from RMB3,533,173 thousand in the prior year, primarily attributed to strategic business adjustments and early-stage innovative business lines.

Gross profit for the period decreased by 23.1% to RMB1,276,962 thousand. However, the gross profit margin remained relatively stable at approximately 47.7% compared to 47.0% in 2024. The group's administrative and research and development expenses saw decreases of 17.5% and 16.6% respectively due to staff structure optimization. Other gains, net, saw a significant shift from a net loss of RMB18,527 thousand in 2024 to a net gain of RMB297,206 thousand, largely due to increased fair value of financial assets.

As of June 30, 2025, Inkeverse Group's current ratio improved to 5.9, up from 3.7 at December 31, 2024, indicating enhanced liquidity. Capital expenditures increased significantly to RMB231,200 thousand, up from RMB69,600 thousand in the prior year, primarily for equipment, leasehold improvements, and intangible assets.