MicroAlgo Announces Substantial Increase of 143.5% in Net Profit for 2025

Q: What was MicroAlgo's net profit and EPS for 2025 (MLGO)?

Net profit was RMB 127.56 million (USD 18.15 million) in 2025, up 143.5%. According to the company, diluted EPS rose to RMB 14.87 (USD 2.12), a 272.7% increase versus 2024.

Q: How much revenue did MicroAlgo (MLGO) report for 2025 and what was the gross margin?

MicroAlgo reported RMB 422.05 million (USD 60.05 million) in 2025 revenue with a 25.8% gross margin . According to the company, gross profit totaled RMB 108.82 million for the year.

Q: What changed in MicroAlgo's balance sheet at year‑end 2025 (MLGO)?

Total shareholders' equity rose to RMB 2,321.80 million , up 122.8% year‑over‑year. According to the company, the increase reflects improved profitability and retained earnings during 2025.

Q: How did MicroAlgo (MLGO) control costs in 2025 and what was the impact?

Operating expenses decreased by 35.3% in 2025, driven by project completions and cost controls. According to the company, this supported improved operating efficiency and contributed to higher net profit.

Q: What was MicroAlgo's operating profit performance in 2025 and its trend (MLGO)?

Operating profit was RMB 22.38 million in 2025, an 11.1% increase year‑over‑year. According to the company, this reflects gradual operational improvements despite modest absolute operating profit versus revenue.

Rhea-AI Impact

(High)

Rhea-AI Sentiment

(Positive)

Rhea-AI Summary

MicroAlgo (NASDAQ: MLGO) reported full-year 2025 results for the year ended December 31, 2025, with net profit of RMB 127.56 million (USD 18.15 million), up 143.5% year‑over‑year. Diluted EPS rose to RMB 14.87 (USD 2.12), a 272.7% increase.

2025 operating revenue was RMB 422.05 million (USD 60.05 million), gross profit RMB 108.82 million and gross margin 25.8%. Total shareholders' equity reached RMB 2,321.80 million (USD 330.33 million), up 122.8%. Operating expenses fell 35.3%, and operating profit was RMB 22.38 million, up 11.1%.

Positive

Net profit +143.5% to RMB 127.56 million
Diluted EPS +272.7% to RMB 14.87
Shareholders' equity +122.8% to RMB 2,321.80 million
Operating expenses down 35.3% year‑on‑year

Negative

Gross margin was 25.8%, limiting upside on revenue
Operating profit only RMB 22.38 million despite RMB 422.05 million revenue

News Market Reaction – MLGO

+14.94% 10.6x vol

43 alerts

+14.94% News Effect

+31.1% Peak in 2 hr 20 min

+$8M Valuation Impact

$59.82M Market Cap

10.6x Rel. Volume

On the day this news was published, MLGO gained 14.94%, reflecting a significant positive market reaction. Argus tracked a peak move of +31.1% during that session. Our momentum scanner triggered 43 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $8M to the company's valuation, bringing the market cap to $59.82M at that time. Trading volume was exceptionally heavy at 10.6x the daily average, suggesting very strong buying interest.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Net profit 2025: RMB 127.56M (USD 18.15M) EPS 2025 (diluted): RMB 14.87 (USD 2.12) Shareholders' equity: RMB 2,321.80M (USD 330.33M) +5 more

8 metrics

Net profit 2025 RMB 127.56M (USD 18.15M) Full year 2025; up 143.5% vs prior year

EPS 2025 (diluted) RMB 14.87 (USD 2.12) Full year 2025; up 272.7% from RMB 3.99 in 2024

Shareholders' equity RMB 2,321.80M (USD 330.33M) As of Dec 31, 2025; up 122.8% from RMB 1,041.93M

Operating revenue 2025 RMB 422.05M (USD 60.05M) Full year 2025 operating revenue

Gross profit 2025 RMB 108.82M (USD 15.48M) Full year 2025 gross profit

Gross margin 2025 25.8% Full year 2025 gross margin

Operating expenses change -35.3% Year-on-year change in operating expenses, 2025

Operating profit 2025 RMB 22.38M (USD 3.18M) Full year 2025; up 11.1% vs prior year

Market Reality Check

Price: $4.00 Vol: Volume 155,445 is 1.41x t...

normal vol

$4.00 Last Close

Volume Volume 155,445 is 1.41x the 20-day average of 110,353, indicating elevated trading interest. normal

Technical Shares at $3.48 are trading below the 200-day MA of $8.69 and 99.64% below the 52-week high of $972.

Peers on Argus

MLGO gained 11.18%, while peers like VHC (+9.51%), LIDR (+4.02%), XBP (+3.67%) a...

2 Up 2 Down

MLGO gained 11.18%, while peers like VHC (+9.51%), LIDR (+4.02%), XBP (+3.67%) and ALAR (+3.47%) also advanced, pointing to a sector-wide bid that reinforces the strong earnings narrative.

Market Pulse Summary

The stock surged +14.9% in the session following this news. A strong positive reaction aligns with t...

Analysis

The stock surged +14.9% in the session following this news. A strong positive reaction aligns with the robust 2025 metrics, including net profit of RMB 127.56M up 143.5% and diluted EPS rising 272.7%. The move also followed sector peers trading higher, suggesting both company-specific and broader tailwinds. However, shares remain well below the 200-day MA at $8.69 and 99.64% under the 52-week high, so prior volatility and structural risks from past financings remain relevant considerations.

Key Terms

diluted earnings per share, gross profit, gross margin, operating expenses, +4 more

8 terms

gross profit financial

"the Company achieved operating revenue of RMB 422.05 million..., gross profit of RMB 108.82 million..."

Gross profit is the amount a business keeps from sales after subtracting the direct costs to make or buy the products or services sold — like the money left from a lemonade stand after paying for lemons, sugar and cups. Investors watch gross profit to judge how well a company’s core operations and pricing cover those direct costs, revealing its basic profitability and whether margins are improving or shrinking over time.

gross margin financial

"gross profit of RMB 108.82 million (USD 15.48 million), with a gross margin of 25.8%."

Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.

operating expenses financial

"Operating expenses decreased significantly by 35.3% year-on-year..."

Operating expenses are the routine costs a company pays to keep its business running day to day — things like salaries, rent, utilities, office supplies, and marketing. Investors watch them because they reduce the profit available to shareholders and reveal how efficiently a company runs; lower or well-controlled operating expenses (relative to revenue) are like trimming household bills to improve savings.

operating profit financial

"Operating profit amounted to RMB 22.38 million (USD 3.18 million)..."

Operating profit is the amount of money a company makes from its core business activities after subtracting the costs directly related to running those activities, such as wages and supplies. It shows how efficiently a company is generating profit from its main operations, serving as a key indicator for investors to assess its financial health and profitability before considering other expenses like taxes or interest.

central processing algorithms technical

"a leading developer and application provider of bespoke central processing algorithms..."

Central processing algorithms are the core sets of rules and calculations a system uses to collect, combine and act on data—like the brain that turns raw inputs into decisions or outputs. For investors, they matter because these algorithms determine speed, accuracy, risk controls and scalability of products or services; better design can improve performance and reduce errors, while flaws can cause costly outages, mispricing or regulatory problems.

Form 20-F regulatory

"qualified in its entirety by reference to the Company's annual report on Form 20-F."

Form 20-F is the standardized annual disclosure that non-U.S. companies must file with the U.S. securities regulator when their shares are traded in the U.S.; it contains audited financial statements, a plain-language description of the business, management discussion, governance details and key risk factors. It matters to investors because it provides a consistent, comparable company “report card” and rulebook, helping buyers assess financial health, governance and risks before investing.

management discussion and analysis financial

"and a management discussion and analysis covering the first half of 2025."

Management discussion and analysis is the section of a company’s regular financial filing where executives explain recent results, the reasons behind them, current challenges and the outlook in plain language. It’s like a CEO’s guided tour of the company’s performance and plans: it helps investors move beyond raw numbers to understand the assumptions, risks and strategy that will affect future profits and value. Investors use it to judge credibility, spot trends and compare management’s explanations across companies.

AI-generated analysis. Not financial advice.

04/01/2026 - 09:00 AM

SHENZHEN, China, April 1, 2026 /PRNewswire/ -- MicroAlgo Inc. (NASDAQ: MLGO), (the "Company"), a leading developer and application provider of bespoke central processing algorithms, today announced its financial results for the year ended December 31, 2025.

Financial Highlights 2025

The Company's net profit for 2025 was RMB 127.56 million (USD 18.15 million), representing a substantial increase of 143.5% compared with the same period of the prior year, demonstrating the Company's strong profitability.

Diluted earnings per share for 2025 were RMB 14.87 (USD 2.12), compared with RMB 3.99 in 2024, representing an increase of 272.7%.

Total shareholders' equity more than doubled, reaching RMB 2,321.80 million (USD 330.33 million) as of December 31, 2025, representing an increase of 122.8% from RMB 1,041.93 million at the end of 2024.

Operating Performance

The Company continued to focus on its core central processing algorithm services and is committed to providing high-quality solutions for internet advertising customers. In 2025, the Company achieved operating revenue of RMB 422.05 million (USD 60.05 million), gross profit of RMB 108.82 million (USD 15.48 million), with a gross margin of 25.8%.

Operating expenses decreased significantly by 35.3% year-on-year, mainly due to the successful completion of major algorithm development projects and strict cost control measures. Operating profit amounted to RMB 22.38 million (USD 3.18 million), increase of 11.1% compared with the same period, reflecting continuous improvements in the Company's operational efficiency and cost management.

Quote from Min Shu, CEO of MicroAlgo:

"2025 is the year when we achieved outstanding results. We have achieved strong growth in net profit while maintaining stable cash flow and ample liquidity. These achievements fully demonstrate the robustness of the company's core business and our continuous efforts in cost control and operational efficiency improvement. We believe that with a solid financial foundation and clear strategic direction, the company is fully prepared for sustainable growth in the future."

The information disclosed in this press release does not purport to be complete and is qualified in its entirety by reference to the Company's annual report on Form 20-F. The annual report, which contains the Company's audited consolidate statements, can be accessed on the SEC's website at http://www.sec.gov and on the Company's investor relations website at http://ir.microalgor.com/.

About MicroAlgo Inc.

MicroAlgo Inc. (the "MicroAlgo"), a Cayman Islands exempted company, is dedicated to the development and application of bespoke central processing algorithms. MicroAlgo provides comprehensive solutions to customers by integrating central processing algorithms with software or hardware, or both, thereby helping them to increase the number of customers, improve end-user satisfaction, achieve direct cost savings, reduce power consumption, and achieve technical goals. The range of MicroAlgo's services includes algorithm optimization, accelerating computing power without the need for hardware upgrades, lightweight data processing, and data intelligence services. MicroAlgo's ability to efficiently deliver software and hardware optimization to customers through bespoke central processing algorithms serves as a driving force for MicroAlgo's long-term development.

Safe Harbor / Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements." Forward-looking statements are subject to numerous conditions, many of which are beyond the control of MicroAlgo, including those set forth in the Risk Factors section of MicroAlgo's periodic reports on Forms 20-F and 6-K filed with the SEC. Copies are available on the SEC's website, www.sec.gov. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, MicroAlgo's expectations with respect to future performance and anticipated financial impacts of the business transaction.

MicroAlgo undertakes no obligation to update these statements for revisions or changes after the date of this release, except as may be required by law.

View original content:https://www.prnewswire.com/news-releases/microalgo-announces-substantial-increase-of-143-5-in-net-profit-for-2025--302731358.html

SOURCE MicroAlgo Inc.

FAQ

What was MicroAlgo's net profit and EPS for 2025 (MLGO)?

Net profit was RMB 127.56 million (USD 18.15 million) in 2025, up 143.5%. According to the company, diluted EPS rose to RMB 14.87 (USD 2.12), a 272.7% increase versus 2024.

How much revenue did MicroAlgo (MLGO) report for 2025 and what was the gross margin?

MicroAlgo reported RMB 422.05 million (USD 60.05 million) in 2025 revenue with a 25.8% gross margin. According to the company, gross profit totaled RMB 108.82 million for the year.

What changed in MicroAlgo's balance sheet at year‑end 2025 (MLGO)?

Total shareholders' equity rose to RMB 2,321.80 million, up 122.8% year‑over‑year. According to the company, the increase reflects improved profitability and retained earnings during 2025.

How did MicroAlgo (MLGO) control costs in 2025 and what was the impact?

Operating expenses decreased by 35.3% in 2025, driven by project completions and cost controls. According to the company, this supported improved operating efficiency and contributed to higher net profit.

What was MicroAlgo's operating profit performance in 2025 and its trend (MLGO)?

Operating profit was RMB 22.38 million in 2025, an 11.1% increase year‑over‑year. According to the company, this reflects gradual operational improvements despite modest absolute operating profit versus revenue.

MicroAlgo Announces Substantial Increase of 143.5% in Net Profit for 2025