Lucas GC Limited Announces 1H 2025 Financial Results

Lucas GC Limited (NASDAQ: LGCL) reported its financial results for the first half of 2025. The company's revenue was RMB386.89 million (US$54.01 million), a decrease of 36.11% compared to the same period in 2024. Despite the revenue decline, the gross margin improved to 33.74%, up by 200 basis points. Net income for the period was RMB21.49 million (US$3.0 million), down from RMB53.93 million in 1H 2024. The net income margin decreased to 5.56% from 8.91%. CEO Howard Lee attributed the revenue decrease to the slowdown in the Chinese economy, a strategic shift towards higher-margin products, and the initiation of operations outside China. The company continued to invest in R&D, with expenses accounting for 11.86% of revenue, and obtained an additional patent related to AI technology, bringing the total to 20.