First Applied Materials forecasts significant profit decline

Hangzhou First Applied Material (SSE:603806) has announced a preliminary forecast indicating a significant decline in its financial performance for the first half of 2025. The company projects net profit attributable to shareholders of CNY 473.09 million, a 49.05% decrease compared to the same period last year. Net profit after deducting non-recurring gains and losses is estimated at CNY 425.77 million, representing a 52.65% year-over-year decrease. The anticipated decline is attributed to overcapacity in the photovoltaic industry, intensified market competition leading to lower selling prices for photovoltaic film, and ongoing strategic investments in new materials, impacting overall profitability. While facing short-term challenges, the company emphasizes its strong competitive position in photovoltaic films and ongoing expansion into new materials like electronic materials.