On February 8, Meitu Inc. (1357.HK) issued a voluntary announcement disclosing its latest financial results. Based on the Group's preliminary assessment, according to Non-International Financial Reporting Standards, Meitu's adjusted net profit attributable to shareholders of the parent for 2025 is expected to increase by approximately 60% to 66% year-on-year. 

The significant improvement in Meitu's profitability is mainly attributable to rapid revenue growth from its core imaging and design products, driven primarily by a surge in global paid subscribers. Among them, the growth rate of paid subscribers in international markets exceeds that of the Chinese Mainland market. 

Revenue growth has driven gross profit to rise faster than operating expenses, resulting in operating leverage that has enabled profitability to outpace gross profit growth. 

The announcement also disclosed that, under International Financial Reporting Standards, the net profit attributable to the shareholders of the parent for 2025 is expected to decrease by no more than 30% year-on-year. This is due to two factors: firstly, the high base effect from the one-time net gain of approximately RMB 640 million from Meitu's sale of all cryptocurrencies in 2024; secondly, the one-time, non-cash expense of approximately RMB 512 million arising from Meitu's issuance of convertible bonds to Alibaba in 2025 (according to IFRS 2, this expense is recognized based on the portion of the convertible bonds' fair value on the date of issuance exceeding their US$250 million principal). 

Both of the above items are non-operational and unrelated to the company's main business, imaging and design products. The Board believes that the adjusted net profit attributable to shareholders of the parent better reflects the company's core operating performance. 

Meitu Inc. will release its full-year results for 2025 on March 27.