We recorded net operating cash outflow of RMB88.6 million, RMB125.6 million, RMB78.1 million and RMB110.1 million in 2023, 2024, 2025 and the six months ended June 30, 2026, respectively.
Financial Information · 第 241 页
Our net cash outflow from operating activities were primarily due to (i) our losses for the relevant periods, and (ii) the increases in our working capital, in particular our trade and bills receivables, in line with our business growth.
Financial Information · 第 241 页
By implementation of the foregoing measures, we expect a material improvement in our operating cash flow position and cash conversion cycle in the next 12 months, achieving industry leading levels.
For the six months ended June 30, 2026, our net cash used in operating activities was RMB5,871.3 million, which was primarily due to an increase in inventories, driven by (i) the increase in the prices of memory chips, one of our key raw materials, and (ii) our strategic increase in the volume of memory chips purchased in response to such price increase, in order to secure sufficient supply, maintaining supply chain stability and locking in procurement costs against further price increases.
We recorded net cash used in operating activities of RMB77.0 million, RMB94.5 million, RMB65.3 million, RMB46.6 million and RMB32.6 million in 2023, 2024, 2025, and the six months ended June 30, 2025 and 2026, respectively.
Business · 第 158 页
The improvement in operating cash outflows from RMB94.5 million in 2024 to RMB65.3 million in 2025 and from RMB46.6 million in the six months ended June 30, 2025 to RMB32.6 million in the same period in 2026 reflects the acceleration of project acceptances during the periods, which reduced the working capital locked in contract fulfillment costs.
We recorded operating cash outflow of RMB70.0 million for the six months ended June 30, 2026, primarily attributable to (i) our proactive inventory stocking in line with our business expansion and sales growth, causing increases in inventories as well as trade receivables; (ii) increased receivables from overseas offline distributors as their sales continued to grow under the credit terms introduced in 2025, as reflected by the 68.6% increase in revenue generated from overseas offline distribution from the six months ended June 30, 2025 to the six months ended June 30, 2026; and (iii) an increase in trade receivables from Amazon, as most of our major promotional campaigns in 2026 took place in June, compared with July in 2025.
Financial Information · 第 239 页
Therefore, our Directors are of the view that the net cash outflow from operating activities is a structural byproduct of our hyper-growth phase rather than a reflection of underlying profitability issues.
Financial Information · 第 239 页
To improve our net operating cash outflow position, we have continued to implement liquidity management measures, including prudent cash flow operations and budgeting, collaboration with the sales team, adoption of rolling budgets and active follow-up on customer payments.
For the year ended December 31, 2025, we recorded negative cash flows from operating activities, reflecting the impact of increased working capital needs, primarily driven by higher inventory levels.
Financial Information · 第 234 页
We remain committed to maintaining sufficient liquidity to support our operations and growth strategy, and we will continue to monitor cash flow closely to ensure adequate funding for our business needs.
Financial Information · 第 234 页
Our Directors confirm that taking into account the financial resources presently available to our Group, including our internal resources and the estimated [REDACTED] of the [REDACTED], our Group has sufficient working capital for our present requirements for at least the next 12 months from the date of this document.
The net cash used in our operating activities in 2023 and 2025 reflected an increase in working capital driven by the increase in revenue during those years, rather than any structural deterioration in our cash generation capacity.
Financial Information · 第 254 页
We intend to continue improving our operating cash flow position through sustained revenue growth, the continued ramp-up of NBC solutions, ongoing receivables management enhancements and disciplined cost control.
Our net cash used in operating activities in 2023, 2024, 2025 and the four months ended April 30, 2026 was RMB120.1 million, RMB27.2 million, RMB86.7 million and RMB64.5 million, respectively.
Business · 第 175 页
We believe this phase is transitional until we achieve greater scale, operational efficiency and market penetration.
Our net operating cash outflow expanded from 2023 to 2024, mainly due to higher loss before tax and increased receivables, prepayments and deposits as our business scale grew.
Summary · 第 9 页
Net cash used in operating activities decreased to RMB394.4 million in 2025, primarily due to lower working capital consumption, with increases in trade and other payables partially offsetting funding needs.
Summary · 第 9 页
Our principal sources of liquidity have been cash generated from financing activities.
For the three months ended March 31, 2026, our net cash used in operating activities was RMB450.6 million, which was primarily attributable to profit before taxation of RMB558.7 million, partially offset by tax paid of RMB141.2 million, adjusted for certain non-cash and non-operating items, including (i) increase in inventories from RMB4,997.1 million as of December 31, 2025 to RMB5,568.9 million as of March 31, 2026 and (ii) a decrease in contract liabilities from RMB552.5 million as of December 31, 2025 to RMB335.4 million as of March 31, 2026.
Our net cash used in operating activities in the years ended December 31, 2023, 2024 and 2025 was primarily attributable to our continued investment in building up our NHPs for breeding and the impact of market conditions on our nonclinical study service business.
Summary · 第 10 页
Excluding cash payments for NHPs for breeding, we recorded net cash generated from operating activities in each period.
In 2023, 2024 and 2025, we recorded net cash used in operating activities of RMB164.8 million, RMB338.2 million and RMB297.1 million, respectively.
Business · 第 162 页
Together with our loss-making operations, these factors contributed to our net cash used in operating activities during the Track Record Period.
Business · 第 158 页
Going forward, we plan to strengthen customer credit assessment, payment tracking and collection procedures, improve inventory planning based on production schedules and sales forecasts and manage procurement, prepayments and deposits based on actual production and project needs.
南京硅基智能科技集团股份有限公司Nanjing Silicon Intelligence Technology Group Co., Ltd.
往绩期经营活动现金净流出
We had a net operating cash outflow throughout the Track Record Period primarily due to our proactive approach to improving technological strengths, fulfilment capacity and customer acquisition, which resulted in large amounts of project fulfillment costs, cloud service fees and employee benefit expenses.
Business · 第 178 页
Consequently, along with notable revenue growth, our net operating cash outflow position is expected to be improved in the long term.
Furthermore, we had net cash outflow from operating activities of RMB130.1 million in 2024. We believe that such short-term net operating cash outflow shall not have continuous material impact on our working capital in the long run.
Financial Information · 第 230 页
In 2025, we have tightened our credit policy for customers to improve our cash flow, such as shortening our credit term granted to certain customers, and bringing forward the settlement date.
We had relatively high cash burn rate in 2025, attributable to net cash used in operating activities of RMB182.5 million, which resulted from our (i) strategic focus on expanding the sales of robot bodies and the associated increase in inventory levels, and (ii) an increase in our contract fulfillment costs due to the increase in solutions scheduled for delivery subsequent to the Track Record Period.
Financial Information · 第 247 页
Additionally, a significant portion of our business is centered on robotics solutions, which have a long operating cycle and require relatively high upfront working capital investment. This resulted in net cash outflows from operating activities.
We recorded net cash inflows from operating activities of RMB14.6 million in 2024, and net cash outflows from operating activities of RMB26.1 million in 2023.
Summary · 第 6 页
We recorded net cash outflows from operating activities of RMB86.4 million in 2025, mainly due to an increase in trade receivables.
Summary · 第 6 页
To improve our net operating cash flow position, we plan to engage customers with credible payment histories and intensify our collection efforts on outstanding trade receivables, thereby reducing such balances and accelerating cash inflows, while concurrently negotiating with suppliers to extend payment terms on our procurements to better manage cash outflows.
While we have recorded net operating cash outflows during the Track Record Period, we believe we have sufficient liquidity to ensure continuous operations, as the net operating cash outflow has been primarily used in working capital purposes as a consequence of rapidly expanding business operations and the rapid increase in sales volume rather than concerns about liquidity or recoverability, while we have recorded a corresponding significant increase in net profit in line with our rapid business growth.
Financial Information · 第 244 页
We have adopted various liquidity and capital management policies to ensure sufficient liquidity for our operations.
Our net operating cash outflows as of December 31, 2025 were partly attributable to (i) bulk purchases of ICs for our new products' inventory, and (ii) more investment in procurement and inventory management as our business scale expanded.
We recorded net cash flows used in operating activities of RMB107.0 million and RMB31.3 million for the years ended December 31, 2022 and 2024, respectively, and recorded net cash flows generated from operating activities of RMB24.6 million for the year ended December 31, 2023.
Business · 第 302 页
In 2024, we recorded net cash used in operating activities of RMB31.3 million, mainly due to increased working capital requirements to support our business expansion, such as the increase in our inventories to support our expanding sales activities.
Our net cash used in operating activities increased from RMB42.5 million in the six months ended June 30, 2024 to RMB208.2 million in the six months ended June 30, 2025, primarily due to a significant increase in trade receivables.
Financial Information · 第 380 页
we proactively negotiate with customers and suppliers to optimize credit terms. For example, we negotiate with suppliers to settle payments only after receiving payments from customers for certain projects, thereby effectively alleviating cash flow pressure