Chervon Auto Narrows 2025 Losses Amid Revenue Growth But Remains Unprofitable

Recently, Chervon Auto released its 2025 annual earnings forecast, projecting a net loss attributable to owners of the parent company in the range of RMB 290 million to RMB 340 million. Although the company remains in the red, this represents a significant narrowing compared to the RMB 517 million loss in 2024. During the reporting period, the company achieved year-over-year growth in sales revenue, driven by rising penetration of new energy vehicles and increased production volumes from customer-awarded models. However, intensified industry competition has compressed gross margins, and combined with substantial prior capital investments, the company has yet to return to profitability. Nevertheless, the improved net loss indicates an overall improvement in operating performance. Moving forward, the company will need to further refine its strategies to address market challenges and strive to achieve profitability as soon as possible.