AINNOVATION (02121) surged over 5% in morning trading. As of press time, the stock was up 5.04% to HK$7.5 with trading volume of HK$19.7754 million.
On the news front, AINNOVATION recently released its first half 2025 results. During the reporting period, leveraging its strong foundation in artificial intelligence technology, industry applications, and commercial implementation, the company maintained high-quality growth across all business segments, with continued solid operating cash flow, rising gross margins, and significantly improved loss-narrowing capabilities.
For the first half of 2025, AINNOVATION recorded revenue of RMB 699 million, representing a 22.3% year-over-year increase. Gross profit reached RMB 245 million, up 26.7% year-over-year. The gross margin improved by 1.2 percentage points to 35.0% compared to the same period last year, marking the fifth consecutive reporting period of gross margin improvement since 2023.
Net cash used in operating activities was RMB 8.4 million, a substantial 67.6% improvement year-over-year. Adjusted net loss narrowed significantly to RMB 6.68 million, representing an 82.1% reduction in losses year-over-year, with the adjusted loss margin at 0.96%. Notably, this marks the first time the company's adjusted net loss has dropped to single-digit millions.
It's worth highlighting that AINNOVATION is built on its core strategy of "One Model, One Entity, Two Wings" - using the AInnoGC industrial large model as the foundation, AI intelligent agents as the engine, and industrial robots and industrial software as the two application wings. The company continues to embrace new technologies, driving continuous improvement in large model product maturity.
During the reporting period, R&D investment increased 11.2% year-over-year, with approximately 1,400 patent applications filed cumulatively, of which over 80% are invention patents. The "AInnoGC Industrial Large Model" has been upgraded again, now compatible with multiple open-source foundation models including DeepSeek, featuring enhanced reasoning capabilities, deeper industrial knowledge understanding, and significant advantages in low-cost private deployment, providing solid technical support for various intelligent application solutions.