NNCC's performance "soars": Half-year revenue increases by 4 times

Recently, NNCC released its semi-annual report for 2025. NNCC's performance in the first half of 2025 showed explosive growth, setting a historical record. The operating revenue for the first half reached 1.703 billion yuan, with a year-on-year increase of 481.19%. The net profit attributable to the parent company turned from a loss in the same period last year to a profit of 116 million yuan, an increase of 256.59%, significantly enhancing profitability. In terms of quarterly performance, the total operating revenue in the second quarter reached 1.351 billion yuan, a year-on-year increase of 530.21%, accounting for 79.33% of the first half's revenue. The net profit attributable to the parent company for the single quarter was 133 million yuan, a year-on-year increase of 643.67%, not only reversing the loss situation in the first quarter but also making a major contribution to the profitability in the first half. The core reason for NNCC's significant performance improvement is the concentrated delivery of the company's guidance series products at the end of the 14th Five-Year Plan, driving rapid revenue growth. Additionally, profit growth benefited from NNCC's control over expenses. In the first half, the company's total sales expenses, management expenses, and financial expenses amounted to 136 million yuan, with the three expenses accounting for 8% of revenue, a significant decrease of 81.02% year-on-year. Among them, the sales expense ratio dropped from 8.89% in the same period last year to 1.49%, mainly due to the relatively small increase in sales expenses as revenue expanded, demonstrating scale effects; the management expense ratio decreased from 38.05% to 6.74%, indicating significant improvements in management efficiency, possibly achieved through optimizing management processes and streamlining organizational structures to reduce management costs; the financial expense ratio was negative, mainly due to increased interest income and reasonable debt structure arrangements, leading to reduced financial expense expenditures. As of the end of the reporting period, the company's total liabilities amounted to 4.384 billion yuan, a year-on-year increase of 54.25%, primarily due to increased funding needs for raw material procurement and production equipment investment as the business scale expanded, resulting in an increase in liabilities. Monetary funds amounted to 636 million yuan, a year-on-year decrease of 24.24%. During the same period, the company's accounts receivable reached 5.442 billion yuan, a year-on-year increase of 77.77%. The significant increase in accounts receivable reflects both the growth in business volume and the need to pay attention to accounts receivable recovery risks, strengthening accounts receivable management to ensure normal turnover of company funds. Additionally, as of the end of the reporting period, the company's inventory was 615 million yuan, a year-on-year decrease of 4.13%, indicating a reduction in inventory backlog. In the first half of this year, NNCC's cash flow situation improved significantly. The net cash flow generated from operating activities was -676 million yuan, a year-on-year narrowing of 38.86%, mainly due to increased sales collections and reduced procurement expenditures