Solomon Systech reports lower revenue and profit in first half 2025

For the six months ended June 30, 2025, Solomon Systech (International) Limited reported revenue of $45.9m, a 25.8% decrease from $61.9m in the same period of 2024. Profit attributable to owners of the parent also fell by 46.4% to $4.0m, resulting in basic earnings per share of $0.16, down from $0.30. The board has not recommended an interim dividend for the period.

Despite the revenue and profit decline, the group maintained a gross profit margin of 39.6%, attributed to effective cost control and product mix optimization. Total assets increased by 7.8% to $176.5m, and shareholders' funds grew by 3.0% to $141.1m. The current ratio stands at 4.83, indicating strong liquidity.

The decrease in revenue was primarily due to a drop in average selling price and total shipment quantities, largely influenced by delayed new product launches and intensified market competition. Research and development costs increased by 24.3% to $9.9m, representing 21.6% of total revenue as the company aims to strengthen its leadership in the IC display industry.