ECARX Announces Second Quarter 2025 Unaudited Financial Results

SHANGHAI, Aug. 26, 2025 (GLOBE NEWSWIRE) -- ECARX Holdings Inc. (Nasdaq: ECX) (“ECARX” or the “Company”), a global mobility tech provider, today announced unaudited financial results for the quarter ended June 30, 2025. “The strong momentum we built in 2024 and early 2025 continued in the second quarter,” said Ziyu Shen, ECARX Chairman and CEO. “Revenue was US$155.6 million, reflecting the impact of typical seasonal headwinds and the timing of certain contracts, while the disciplined execution of our lean operating strategy reduced operating expenses by 20% to US$57.2 million. With a robust pipeline of new projects expected to launch over the next two quarters, we remain firmly on track to hit EBITDA breakeven in each of the remaining quarters and full-year 2025, and deliver close to 20% revenue growth for the year. Shipments of Antora® series solutions surged 112% year-over-year to 135,000 units during the quarter, underpinned by sustained demand across the Geely portfolio, especially the Galaxy brand, which surpassed 1 million cumulative sales—the fastest NEV brand to achieve this milestone—a strong indicator of its future growth momentum. Beyond Geely, we are expanding our footprint by collaborating with a Chinese local partner to supply to a top-five automaker in China and developing a next-generation intelligent cockpit operating system for a premium global brand. Internationally, we have secured contract wins with a total lifetime revenue of over $1 billion. These expanding partnerships demonstrate the strength and scalability of our technology portfolio and how they can drive sales for automakers. In addition, the selection of our lidar technology by a leading developer of robotic lawn mowers during the quarter marks the start of the monetization of our R&D initiatives beyond the automotive sector. A central pillar of our global expansion is our focus on setting new benchmarks for safety, security, and performance for products that can be quickly deployed across multiple applications and markets. Following our first project award from Volkswagen Group in March 2025, I was honored to accept Volkswagen Brazil’s Technical Development & Innovation award on behalf of ECARX at their ‘the One’ partnership celebration earlier this month—recognition that underscores their confidence in our innovation and the growing impact of our solutions globally. With our global headquarters opening in Singapore later this year, we are accelerating R&D collaboration and supply chain optimization to better serve automakers across global markets. Through operational discipline, an expanding pipeline of projects, growing global presence, diversified applications, and investments in technology and infrastructure, we remain well-positioned to drive the industry’s transition to software-defined intelligent vehicles.” Change in reporting currency:During this quarter, the Company decided to change its reporting currency from Chinese Renminbi (“RMB”) to U.S. Dollars (“USD” or “US$”) This change was made as a result of the Company’s assessment that the change will help provide a clearer understanding of the Company’s financial performance to investors and improve comparability of our performance to peers, particularly due to the Company’s ongoing international expansion. The change in the reporting currency is a voluntary change and is accounted for retrospectively. The unaudited condensed consolidated financial statements appended herewith for all periods presented have been translated into the new reporting currency as if the Company always used US$ as the reporting currency. Second Quarter 2025 Financial Results: Total revenue was US$155.6 million, down 10% year-over-year (“YoY”).Sales of goods revenue was US$131.2 million, up 1% YoY. The growth in sales of goods revenue was mainly due to (i) a US$31.2 million increase attributable to the higher volume of automotive computing platform sold and (ii) a US$0.8 million increase attributable to the higher volume of SoC core modules sold, partially offset by a US$30.8 million decrease attributable to lower average selling price of automotive computing platform.Software license revenue was US$1.2 million, down 85% YoY, primarily due to (i) a decline in intellectual property licenses revenue of US$3.9 million, and (ii) a decline in per-vehicle software license revenue of US$2.7 million. Intellectual property licenses contributed US$3.9 million to our total revenue in the same period last year.Service revenue was US$23.2 million, down 34% YoY, mainly due to a decrease in revenue from design and development service contracts for automotive computing platforms compared to the same period last year, partially offset by the growth in overseas connectivity service revenue. Revenue from design and development service contracts decreased by US$14.2 million while overseas connectivity service revenue increased by US$2.6 million. Total cost of revenue was US$138.8 million, up 4% YoY, primarily driven by an increase in the sales volume of automotive computing platform products and SoC core modules.Gross profit was US$16.8 million, down 58% YoY, which resulted in a gross margin of 11%. The decrease in gross margin (from 23% for the same period in 2024) was principally attributed to strategic pricing initiatives taken for purposes of automotive computing platform market expansion, combined with a shift in overall revenue mix compared to the same period last year.Research and development expenses were US$33.8 million, down 19% YoY, due to strategic resource prioritization that enhanced operational efficiencies and captured synergies from R&D integration.Selling, general and administrative expenses and others, net were US$23.4 million, down 22% YoY, largely driven by streamlined global operations and lower share-based compensation expense in the current quarter.Net loss was US$45.4 million, compared with US$42.1 million during the same period last year, primarily attributable to a reduction in product margin and a decrease in software license and service revenue, partially offset by a lower level of operating expenses and equity investment losses.Adjusted EBITDA (non-GAAP) loss was US$29.7 million, compared with adjusted EBITDA (non-GAAP) loss of US$28.7 million in the same period last year. See “Non-GAAP Financial Measure.”Total cash as of June 30, 2025 was US$99.2 million. Recent Business Development Highlights: Expanding Global Footprint and Partnership Over 9.3 million vehicles on the road with ECARX products as of June 30, 2025Shipment of Antora® series solution reached 135 thousand units, a 112% increase year-over-yearCollaborating with a Chinese local partner to supply to one of China’s top five automakers for its next-generation international model, with shipments expected to begin in 2026Building a next-generation customized intelligent cockpit operating system based on Flyme Auto for a premium global automotive brandSecured first non-automotive customer for proprietary solid-state 3D lidar solution marking initial expansion into the high-growth robotics and AI applications market, with global mass production planned for 2026New global headquarters in Singapore, slated to become operational in the second half of 2025, will function as a critical hub for global IP, R&D and supply chain to better serve automakers across global marketsDeepened partnerships with Samsung to accelerate the commercialization of cutting-edge automotive intelligence technologies across automotive intelligence, terminal devices, and smart hardwareFormed strategic partnership with Monolithic Power Systems to collaborate on automotive intelligence, robotics, and AI applications to establish a global supply chain and intelligent industrial ecosystem spanning system integration, platform adaptation, and delivery Technological Advancements and Vehicle Launches Support the launch of pre-sale for Lynk & Co 10 EM-P and the flagship Galaxy M9, the first vehicle programs to integrate Pikes® computing platform, ECARX Cloudpeak® cross-domain software stack and Flyme Auto 2, which immediately had an outsized impact by setting new standards for AI-powered intelligent cockpitsPowered the launch of Galaxy A7, integrated with the AI Enhanced Antora® 1000 computing platform, ECARX Cloudpeak® cross-domain software stack and Flyme Auto OS, quickly becoming the best-selling hybrid mid-size sedan within the first week on the marketSupported the launch of Geely Galaxy EX5 across 26 countries, which quickly became one of the top selling electric vehicles in Australia in just three months and the top selling vehicle in MalaysiaPowered the launch of the fourth-generation Boyue L, equipped with the Antora® 1000 computing platform, Cloudpeak® cross-domain software stack, and Flyme Auto, delivering a modern SUV experience with advanced AI integrationReceived the Technical Development & Innovation award at Volkswagen Brazil’s “the One” partnership celebration in Rio de Janeiro, BrazilReleased a Google Automotive Services integration white paper, showcasing best practices and proprietary tools used to cut GAS certification time by over 50%Completed system software development for the “5-in-1” solution based on the Antora® 1000 SPB and secured its first commercial project winECARX’s Fuyang facility now operates at 80% utilization, attaining an annual capacity of 1 million units ahead of schedule Conference Call and Webcast DetailsECARX will host a webcast of its earnings conference call today, Tuesday, August 26, 2025, at 8:00 a.m. EST. To access the webcast, visit the News and Events section of the ECARX Investor Relations website, or visit the following link – https://edge.media-server.com/mmc/p/wyrqh6ei To join the earnings call by telephone, participants must preregister at https://register-conf.media-server.com/register/BI2a1561151374408b820302a131f38b09 to receive dial-in information. A replay of the webcast and presentation materials will be available on the Company’s Investor Relations website under the results and reports section following the event. About ECARXECARX (Nasdaq: ECX) is a global automotive technology provider with capabilities to deliver turnkey solutions for next-generation smart vehicles, from the system on a chip (SoC), to central computing platforms, and software. As automakers develop new electric vehicle architectures from the ground up, ECARX is developing full-stack solutions to enhance the user experience, while reducing complexity and cost. Founded in 2017 and listed on the Nasdaq in 2022, ECARX now has over 1,600 employees based in 13 major locations in China, UK, USA, Singapore, Malaysia, Sweden and Germany. The co-founders are two automotive entrepreneurs, Chairman and CEO Ziyu Shen, and Eric Li (Li Shufu), who is also the founder and chairman of Zhejiang Geely Holding Group — with ownership interests in global brands including Lotus, Lynk & Co, Geely Galaxy, Polestar, smart, and Volvo Cars. ECARX also works with other well-known automakers, including Volkswagen Group, FAW Group and Dongfeng Peugeot-Citroën. To date, ECARX products can be found in over 9.3 million vehicles worldwide. Forward-Looking StatementsThis release contains statements that are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on management’s beliefs and expectations as well as on assumptions made by and data currently available to management, appear in a number of places throughout this document and include statements regarding, amongst other things, results of operations, financial condition, liquidity, prospects, growth, strategies and the industry in which we operate. The use of words “expects”, “intends”, “anticipates”, “estimates”, “predicts”, “believes”, “should”, “potential”, “may”, “preliminary”, “forecast”, “objective”, “plan”, or “target”, and other similar expressions are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to a number of risks and uncertainties that could cause actual results to differ materially, including, but not limited to statements regarding our intentions, beliefs or current expectations concerning, among other things, results of operations, financial condition, liquidity, prospects, growth, strategies, future market conditions or economic performance and developments in the capital and credit markets and expected future financial performance, and the markets in which we operate. For a discussion of these and other risks and uncertainties that could cause actual results to differ materially from those expressed in any forward-looking statement, see ECARX’s filings with the U.S. Securities and Exchange Commission. ECARX undertakes no obligation to update or revise forward-looking statements to reflect subsequent events or circumstances, except as required by applicable law. Non-GAAP Financial MeasureThe Company uses adjusted EBITDA (non-GAAP) in evaluating its operating results and for financial and operational decision-making purposes. Adjusted EBITDA is defined as net loss excluding interest income, interest expense, income tax expense, depreciation of property and equipment, amortization of intangible assets, and share-based compensation expenses. The Company presents this non-GAAP financial measure because it is used by the management to evaluate the Company’s operating performance and formulate business plans. The Company believes that the non-GAAP measure helps identify underlying trends in its business that could otherwise be distorted by the effects of certain expenses that are included in net loss. The Company also believes that the use of the non-GAAP measure facilitates investors’ assessment of its operating performance. Adjusted EBITDA (non-GAAP) should not be considered in isolation or construed as alternatives to net loss or any other measures of performance or as indicators of the Company’s operating performance. Investors are encouraged to compare the Company’s historical adjusted EBITDA (non-GAAP) to the most directly comparable GAAP measure, net loss. Adjusted EBITDA (non-GAAP) presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to the Company’s data. The Company encourages investors and others to review the financial information in its entirety and not rely on a single financial measure. For more information on the non-GAAP financial measure, please see the table captioned “Unaudited Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this press release. Investor Contacts:Rene Duir@ecarxgroup.com Media Contacts:ecarx@christensencomms.com ECARX Holdings Inc.Unaudited Condensed Consolidated Balance Sheets As ofDecember 31, 2024 As ofJune 30, 2025Millions, except otherwise notedUS$ US$ASSETS Current assets Cash44.3 86.2Restricted cash5.9 13.0Short-term investments17.9 33.4Accounts receivable – third parties, net30.1 27.5Accounts receivable – related parties, net187.3 114.4Notes receivable2.3 8.1Inventories31.9 35.0Amounts due from related parties5.0 37.0Prepayments and other current assets61.4 31.4Total current assets386.1 386.0 Non-current assets Long-term investments2.2 2.0Property and equipment, net21.9 26.1Intangible assets, net42.2 40.7Operating lease right-of-use assets18.2 16.6Goodwill3.5 3.6Other non-current assets – third parties3.9 15.8Other non-current assets – related parties36.4 4.4Total non-current assets128.3 109.2Total assets514.4 495.2 LIABILITIES Current liabilities Short-term borrowings185.2 279.2Accounts payable - third parties220.3 161.2Accounts payable - related parties70.0 56.8Notes payable19.3 28.2Amounts due to related parties24.1 46.9Contract liabilities, current - third parties0.9 2.4Contract liabilities, current - related parties20.5 13.6Operating lease liabilities - current5.6 5.5Convertible notes payable-current64.5 64.9Accrued expenses and other current liabilities85.5 72.5Income tax payable2.8 2.0Total current liabilities698.7 733.2 Non-current liabilities Contract liabilities, non-current - related parties5.1 1.3Operating lease liabilities, non-current16.7 16.4Warrant liabilities, non-current1.2 1.4Provisions15.0 15.9Other non-current liabilities - third parties13.3 20.3Deferred tax liabilities2.1 1.9Total non-current liabilities53.4 57.2Total liabilities752.1 790.4 SHAREHOLDERS' DEFICIT Ordinary shares— —Additional paid-in capital895.0 944.3Treasury shares, at cost(1.0) (30.0)Accumulated deficit(1,124.5) (1,193.5)Accumulated other comprehensive loss(11.9) (17.1)Total deficit attributable to ordinary shareholders(242.4) (296.3)Non-redeemable noncontrolling interests4.7 1.1Total shareholders' deficit(237.7) (295.2)Liabilities and shareholders' deficit514.4 495.2 ECARX Holdings Inc.Unaudited Condensed Consolidated Statements of Comprehensive Loss Six Months EndedJune 30Three Months EndedJune 30 2024 20252024 2025Millions, except share data and per share data, or otherwise notedUS$ US$US$ US$Revenue Sales of goods revenue235.2 251.9130.1 131.2Software license revenue18.2 26.87.8 1.2Service revenue50.1 44.635.4 23.2Total revenue303.5 323.3173.3 155.6Cost of goods sold(198.2) (226.9)(111.8) (117.6)Cost of software licenses(6.1) (16.5)(3.0) (2.2)Cost of services(30.7) (29.9)(18.3) (19.0)Total cost of revenue(235.0) (273.3)(133.1) (138.8)Gross profit68.5 50.040.2 16.8 Research and development expenses(79.3) (68.3)(41.8) (33.8)Selling, general and administrative expenses and others, net(56.6) (46.8)(29.9) (23.4)Total operating expenses(135.9) (115.1)(71.7) (57.2)Loss from operation(67.4) (65.1)(31.5) (40.4) Interest income1.6 1.60.7 0.9Interest expense(6.3) (10.2)(3.3) (5.5)Share of results of equity method investments(9.4) 0.1(6.7) —Foreign currency exchange losses(0.6) (0.5)(0.6) (0.1)Others, net(2.5) 3.6(0.6) 1.5Loss before income taxes(84.6) (70.5)(42.0) (43.6)Income tax expense— (2.1)(0.1) (1.8)Net loss(84.6) (72.6)(42.1) (45.4)Net loss attributable to noncontrolling interests5.5 3.63.1 2.4Net loss attributable to ECARX Holdings Inc. ordinary shareholders(79.1) (69.0)(39.0) (43.0)Net loss(84.6) (72.6)(42.1) (45.4)Other comprehensive loss: Foreign currency translation adjustments, net of nil income taxes2.3 (5.2)1.1 (3.9)Comprehensive loss(82.3) (77.8)(41.0) (49.3)Comprehensive loss attributable to non-redeemable noncontrolling interests5.5 3.63.1 2.4Comprehensive loss attributable to ECARX Holdings Inc.(76.8) (74.2)(37.9) (46.9) Loss per ordinary share - Basic and diluted loss per share, ordinary shares (0.23) (0.20)(0.12) (0.13)Weighted average number of ordinary shares used in computing loss per ordinary share - Weighted average number of ordinary shares 337,935,301 337,210,153337,973,311 341,773,717 Unaudited Reconciliation of GAAP and Non-GAAP ResultsWe use adjusted EBITDA in evaluating our operating results and for financial and operational decision-making purposes. Adjusted EBITDA is defined as net loss excluding interest income, interest expense, income tax expense, depreciation of property and equipment, amortization of intangible assets, and share-based compensation expenses. Adjusted EBITDA should not be considered in isolation or construed as alternatives to net loss or any other measures of performance or as indicators of our operating performance. Investors are encouraged to compare our historical adjusted EBITDA to the most directly comparable GAAP measure, net loss. Adjusted EBITDA presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to our data. We encourage investors and others to review our financial information in its entirety and not rely on a single financial measure. ECARX Holdings Inc.Unaudited Reconciliation of GAAP and Non-GAAP Results Six Months EndedJune 30Three Months EndedJune 30 2024 20252024 2025Millions, except otherwise notedUS$ US$US$ US$Net Loss(84.6) (72.6)(42.1) (45.4)Interest income(1.6) (1.6)(0.7) (0.9)Interest expense6.3 10.23.3 5.5Income tax expense— 2.10.1 1.8Depreciation of property and equipment3.8 3.51.7 1.7Amortization of intangible assets6.2 7.62.7 3.8EBITDA(69.9) (50.8)(35.1) (33.5)Share-based compensation expenses9.8 6.56.3 3.7Adjusted EBITDA(60.1) (44.3)(28.7) (29.7)

ECARX Announces Second Quarter 2025 Unaudited Financial Results

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