Samudy Announces 2025 Interim Results

Samudy Precision Tool Co Ltd

Samudy Holdings Limited

Announces2025Interim Results

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Revenue Reached10.5Hundred Million HKDProfit Reached8,680Ten Thousand HKD

Interim Dividend4.3HK CentsPayout Ratio Reached41.3%

Maintaining a Diversified Customer and Market Strategy Improvement in Consumer Product Demand Expected in the Second Half of the Year

One of the World's Leading One-Stop Injection Molding Solution Suppliers ─ Samudy Holdings Limited(“Samudy” or the “Group”), today announced its interim results for the six months endedJune 30, 2025 (the “Period”).

In the first half of 2025, the global economic environment faced numerous challenges and uncertainties, including the implementation of the U.S. reciprocal tariff policy and heightened geopolitical conflicts in the Middle East, which caused notable market volatility. Affected by trade policy uncertainty and concerns that tariffs would lead to higher inflation, rising unemployment and economic recession, U.S. consumer spending turned cautious and consumer willingness to spend declined. The procurement strategies of some consumer electronics brand customers became more conservative, and the pace of new product development showed signs of slowing.In the first half of 2025, the Group's revenue reached1,050.3 million HKD (2024first half of 2024:1,007.2million HKD), up4.3% year on year. Affected by the cautious procurement strategies of some downstream industry customers, revenue from the injection molded component manufacturing business declined by5.2%, while the mold-making business recorded strong growth, up30.4% year on year.

During the period, benefiting from the strong growth of the higher-margin mold-making business, the Group's gross profit rose by6.1%to265.4 million HKD (2024 first half of 2024:250.0 million HKD), with gross margin up0.5 percentage points to25.3%(2024 first half of 2024:24.8%); profit attributable to owners of the Company rose year on year by8.8%, reaching86.8 million HKD (2024 first half of 2024:79.7million HKD). Net margin increased by0.4percentage points to8.3%(2024first half of 2024:7.9%), and basic earnings per share were10.5HK cents (2024 first half of 2024:9.6 HK cents), up9.4% year on year.

The Board has resolved to recommend, for the six months endedJune 30, 2025, an interim dividend of4.3HK cents per share, representing a payout ratio of41.3%.

Outlook

Looking ahead tothe second half of 2025, the overall economic situation remains full of uncertainties. To continue the “trade-in” policy from the first half of the year and further boost the domestic demand market, China is expected to release approximately RMB1,380hundred million of national subsidy funds, boosting economic performance in the second half of the year and driving continued improvement in demand for consumer products. A number of rising, high-quality Chinese consumer electronics brands are actively preparing to launch new products, and management remains cautiously optimistic about future business development.

Mr. Li Peiliang, Chairman of Samudysaid: “The Group has successfully established an overseas production base in Vietnam,and further expanded production capacity during the period, adding approximately5,000square meters of plant area, forming a ‘China+ Vietnam’ dual-production-base layout, providing supply options beyond China and enabling flexible allocation of production output based on customer orders, enhancing flexibility and efficiency, and making the Group more competitive in expanding into the Southeast Asian and European and American markets. Meanwhile, the Suzhou plant will further expand capacity to comprehensively strengthen production efficiency and capture the new opportunities continuing to emerge in East China. The Shenzhen Guangming District headquarters will also continue to increase capital investment, expanding the fully automated cleanroom workshop for medical consumables on the one hand and advancing mold manufacturing technology and precision on the other, maintaining a leading position in the industry through solid technical strengths and meeting the increasingly stringent structural design and precision requirements of medical devices and high-end consumer electronics, while providing customers with higher-quality, innovative overall plastic product solutions.” He further said: “The Group actively responds to the national new quality productive forces strategy, and by combining data middle platforms, artificial intelligence and Industry 4.0 technologies, it is comprehensively optimizing production management, improving process precision and automation, effectively increasing production efficiency and achieving cost reduction and efficiency gains.”

Mr. Weng Jianxiang, Executive Director and Chief Executive Officer of Samudyadded: “The Group has continuously advanced technological breakthroughs and innovation, steadily enhancing its mold, injection molding and related process capabilities to create diversified, high-end plastic shell products for domestic and international brand customers, facilitating the rapid iteration of end products. In July this year, the Group entered into a strategic cooperation with Finland-basedTactoTek, officially obtainingTactoTek authorized in-mold structural electronics(IMSE^®)technology patent license, becoming the first automotive-gradeIMSE^®electrical functional film supplier in China.The Group has completed deployment at its Shenzhen, Huizhou and Suzhou production bases ofIATF 16949compliantIMSE^® dedicated production lines, achieving vertical integration from mold development and materials engineering to mass production and successfully shortening the related product development cycle by50% or more, while significantly reducing cross-border supply chain complexity and transportation costs.” He further added: “AI technology is accelerating hardware upgrades and continuously driving growth in the consumer electronics industry. Seizing this opportunity, the Group is deepening strategic cooperation with consumer electronics brands, actively investing in new product R&D and expanding its market presence. It has also successfully entered the supply chain of a leading enterprise in the metaverse industry, providing all-round support from mold manufacturing to product design for the development ofARsmart glasses and driving the faster commercialization of more cutting-edge technologies.”

In 2025, the Group engaged Boston Consulting Group (BCG) as a corporate advisor, with the aim of achieving a major breakthrough in Samudy's business through a systematic organizational diagnostic and strategic upgrade program. The program primarily combines internal diagnostics with analysis and benchmarking of the external mold and injection molding markets to precisely identify areas for improvement in the Group's strategic planning, organizational structure, performance management and talent development, and to formulate scientific and feasible improvement plans with clear short-, medium- and long-term action measures, injecting new momentum into the Group's sustainable, high-quality development.

2025Interim Business Review

As one of the world's leading one-stop integrated injection molding solution suppliers, Samudy provides tailored, cost-effective and high-precision injection molded products and services to numerous internationally renowned enterprises.

The Group's injection molding business has long served numerous leading international consumer electronics brands. Affected by weak consumer confidence in Europe and the United States early in the year, product demand contracted in the second quarter of the period, with some brand customers adjusting order volumes or postponing shipment plans. However, benefiting from a diversified customer base, revenue from the mobile phone and wearable devices segment and the smart home segment only declined slightly year on year, by3.8% and0.7%. Revenue from the commercial communications equipment segment pulled back from last year's peak in line with customers' procurement cycles, declining year on year by45.4%. During the period, revenue from the medical and personal care segment increased year on year by14.8%. Among these, orders from several medical consumables brand customers rebounded successively, with revenue increasing significantly year on year by24.0%; revenue from personal care brand customers grew steadily, increasing year on year by4.5%. The Group will continue to intensify its efforts to develop medical brand customers at home and abroad, actively seize the long-term development opportunities in the medical and broader health industries, and further expand its market share.

Injection Molded Component Manufacturing Business (accounting for approximately66.6%)

In the first half of 2025, revenue from the injection molded component manufacturing segment was approximately699.7 million HKD (2024 first half of 2024:738.3 million HKD), down5.2%. The Group's injection molding business order volume was dragged down by the slowdown in the consumer market, and the gross margin of the injection molding business declined by0.3 percentage points to21.4%(2024 first half of 2024:21.7%).

Mold-Making Business (accounting for approximately33.4%)

In the first half of 2025, revenue from external customers in the mold-making business was approximately350.6million HKD, compared with approximately268.9million HKD in the same period last year, up approximately30.4%. The Group's mold demand has continued to grow steadily since it2023recovered at the end of 2023. To respond to the strong market demand, the Group has been gradually increasing investment since the beginning of this year to enhance precision mold manufacturing capabilities and precision, maintaining its position at the technological forefront of the mold industry while actively expanding into promising market areas such as medical, consumer electronics and smart home, and diversifying its customer base. Investment in precision mold manufacturing capabilities led to a slight decline in the segment's gross margin during the period of0.6percentage points to32.9%(2024 first half of 2024:33.5%).