Due to the restricted control over AMS (Anshi Semiconductor), Wingtech Technology is expected to post a loss of 9 to 13.5 billion yuan in 2025 | Financial Report News

Wingtech Technology is expected to record a maximum loss of 13.5 billion RMB in 2025, with this performance decline mainly driven by major asset impairment resulting from restricted control over its European core subsidiary, Nexperia Semiconductor.

According to the company’s earnings forecast disclosed on January 31, net profit attributable to owners of the parent company in 2025 is expected to be -9 billion to -13.5 billion RMB. This projected loss is significantly larger than the 2.833 billion RMB loss in the same period of 2024.

Excluding non-recurring gains and losses, the company expects a net profit loss of 200 to 300 million RMB, indicating that the anticipated loss mainly comes from a one-off accounting adjustment rather than operating performance of its core business.

The expansion of the loss is primarily due to regulatory changes in the fourth quarter of 2025. According to a Global Times report last November, Dutch officials stated that intervention in Nexperia Semiconductor had been suspended. On November 13, a spokesperson for China’s Ministry of Commerce stated that since the issue with Nexperia arose, China has always taken a responsible attitude toward the stability and security of the global semiconductor supply chain, held multiple rounds of consultations with the Dutch side, and agreed to the request of the Dutch Ministry of Economic Affairs to send personnel to China for negotiations. We hope the Dutch side will sincerely cooperate with China and promptly propose substantive, constructive solutions to address the issue, taking concrete action to quickly and effectively restore the safety and stability of the global semiconductor supply chain from the source.

Wingtech states in its report that as of the end of the reporting period, although the order from the Dutch Ministry of Economic Affairs and Climate Policy has been suspended, the verdict of the Amsterdam Court of Appeal’s Enterprise Chamber remains in effect. The restricted control of Nexperia has significant uncertainty on the impact of financial statements, and communication results with relevant Dutch parties are still unclear. Based on the principle of prudence, the company decided to recognize large amounts of investment loss and asset impairment loss.

The company also notes that due to major uncertainties associated with the restricted control of Nexperia and its ensuing impacts, despite its best reasonable estimates of how this factor affects financial statements, there may still be inaccuracies or deviations from forecasts. Currently, the company remains in communication with relevant Dutch parties, but the progress and final outcome of discussions remain uncertain. Investors should closely follow the subsequent formal disclosure of the 2025 annual report.

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