ASIAINFO TECH (01675) will expand its AI emerging businesses in 2025, with significant improvement in operating cash flow. The dividend payout ratio reaches 40%.

ASIAINFO TECH (01675) released its performance forecast for 2025, with operating revenue estimated at approximately RMB 6.302 billion, a year-on-year decrease of 5.2% but a significant improvement compared to the previous year. It achieved a gross profit of approximately RMB 2.146 billion, a net profit of around RMB 0.104 billion, and an adjusted net profit of about RMB 0.273 billion. The company's operational cash flow significantly improved, changing from a net outflow of approximately RMB 0.104 billion in 2024 to a net inflow of around RMB 0.407 billion in 2025, reflecting a substantial improvement in receivables and providing solid support for its strategic transformation. Furthermore, the Board of Directors always prioritizes shareholder returns and, considering the company's future development, profit situation, and cash flow level, has decided to recommend a year-end dividend for 2025 of HKD 0.054 per share, representing a dividend payout ratio of 40% of net profit. In 2025, the company focused on deepening its presence in the existing operator market while expanding into new regions and attracting new customers to effectively offset the downward pressure in traditional businesses. It seized the incremental demand in the operator market, grasping the opportunity for intensification and domestication to achieve full coverage of a CRM/Billing project for a certain operator across all provinces in China. It actively pursued innovative "AI+" projects, securing over 100 AI innovation projects such as the Wisdom Platform and Intelligent Body Assistant. The company promoted the landing of data in over 10 provinces, facilitated the evolution of operator customers to AN L4, and achieved breakthroughs in network operation support systems for operators in multiple provinces including Zhejiang, Yunnan, and Jiangsu. It focused on expanding its strategic regional customer base, with orders exceeding RMB 180 million in the Hong Kong and Macau region and significant developments in new operator customer layouts, including framework orders exceeding RMB 20 million for CHINA TOWER and breakthroughs in 8 provinces, as well as an order exceeding RMB 14 million from a satellite operator, achieving phased results in customer expansion. Despite being impacted by the overall investment contraction in the operator sector, the company's core system business revenue in 2025 reached around RMB 4.782 billion. In 2025, the company achieved win-win value with its ecosystem partners by deepening collaboration with AI and leading players in vertical industries such as energy and manufacturing. Its delivery capability in AI and large model businesses was highlighted, with over 70 overseas signed projects throughout the year, accumulating over 100 benchmark industry cases, and gaining recognition from top clients in the energy and manufacturing sectors. By building data governance, model optimization, and scene adaptation, the company formed a full-process AI delivery system, establishing a high barrier to industry technological advancements. In terms of ecosystem collaboration, it established value-based partnerships exceeding 3 years with top enterprises such as Alibaba, Huoshan, Kimi, NVIDIA, and ABB, with explosive growth in large model ecology partnerships with Alibaba and Huoshan exceeding 41 times. In the realm of intelligent manufacturing, the company actively capitalized on the opportunities in AI intelligent manufacturing by forming a strategic partnership with ABB, a leading global industrial Siasun Robot&Automation company, to jointly establish a smart joint laboratory. They worked together to advance the application of Physical AI in the industrial sector by integrating ASIAINFO TECH's 5G-A communication, network security, and AI applications with ABBSiasun Robot&Automation's mechanical automation technology. Through training optimization based on Alibaba Cloud's large models and NVIDIA's accelerated computing technology, and leveraging the laboratory's innovative chain of "technology research and development + results transformation + industrial implementation," the company aimed to create replicable and scalable scenario-based solutions. The revenue from intelligent data operation business in 2025 was approximately RMB 0.807 billion, representing a year-on-year growth of 34.1%, accounting for 12.8% of the total revenue and an increase of 3.7 percentage points. The revenue from intelligent connection products was approximately RMB 0.125 billion, showing a year-on-year growth of 6.2%. In the future, the company plans to enter the satellite internet market, focusing on building energy and aerospace intelligence dual growth engines. In 2026, the company established "AI priority" as its core strategic direction for the future, focusing on three major business systems: operator core systems, intelligent data operations, and intelligent connection products, while deepening business synergy with Asiainfo Security Technologies to construct a native security strategy and build an AI growth flywheel for the intelligent connected Internet era.