TOYO Co., Ltd (TOYO) 2025 Q2 法說會逐字稿

Thank you for standing by. My name is Kate, and I will be your conference operator today. At this time, I would like to welcome everyone to TOYO Co., Ltd. announces first-half 2025 financial results. (Operator Instructions)

感謝您的支持。我叫凱特，今天我將擔任您的會議主持人。現在，我歡迎大家參加東洋株式會社發布的2025年上半年財務表現。（操作員指示）

I would now like to turn the call over to Cracker Coulson, Investor Relations. Please go ahead.

現在我想將電話轉給投資人關係部門的 Cracker Coulson。請繼續。

Thanks so much, Kate. Hello, everyone. Thank you for joining us to review TOYO's 2025 first-half results. This morning, TOYO posted both the earnings release and the related investor presentation to its website, and you can find that at investors.toyo-solar.com.

非常感謝，凱特。大家好。感謝您與我們一起回顧 TOYO 2025 年上半年業績。今天早上，TOYO 在其網站上發布了收益報告和相關投資者介紹，您可以在 investors.toyo-solar.com 上找到。

With us on the call today, we have Mr. Junsei Ryu, TOYO's Founder and Chief Executive Officer. We also have Raymond Chung, TOYO's Chief Financial Officer; and Simon Shi. The senior management team is in New York today in advance of participating in the HCW Conference today and tomorrow, and they will also be present at the RE+ Conference on September 10 and 11. After the prepared remarks are concluded, we're going to open up this call to your questions.

今天參加電話會議的有 TOYO 創辦人兼執行長 Junsei Ryu 先生。我們還有 TOYO 財務長 Raymond Chung 和 Simon Shi。高階管理團隊今天已抵達紐約，準備參加今天和明天的 HCW 會議，他們也將出席 9 月 10 日和 11 日的 RE+ 會議。準備好的發言結束後，我們將開始回答大家的提問。

But before we begin, I'd like to let you know that some statements in the teleconference are forward-looking within the meaning of federal securities laws. Although we believe these statements are reasonable, we can provide no assurance that they will prove to be accurate because they're prospective in nature. Actual results could differ materially from those we discuss today. We encourage you to review the most recent report on Form 6-K and other SEC filings for risk factors that could materially impact our results. As I mentioned, the earnings release is available on our website at investors.toyo-solar.com.

但在開始之前，我想讓大家知道，電話會議中的某些聲明在聯邦證券法的定義範圍內具有前瞻性。儘管我們認為這些陳述是合理的，但我們無法保證它們的準確性，因為它們本質上是前瞻性的。實際結果可能與我們今天討論的結果有重大差異。我們鼓勵您查看最新的 6-K 表格報告和其他 SEC 文件，以了解可能對我們的結果產生重大影響的風險因素。正如我所提到的，收益報告可以在我們的網站 investors.toyo-solar.com 上查閱。

With those formalities now out of the way, it's my great pleasure to turn this call over to Mr. Junsei Ryu, Chief Executive Officer. Ryu-san. Please go ahead.

現在這些手續已經完成了，我很高興將這個電話轉給執行長 Junsei Ryu 先生。竜桑。請繼續。

(interpreted) Against the highly dynamic backdrop for the renewable energy sector marked by shifting tariff structures and evolving global supply chain, our team has executed with agility and precision. We have successfully adapted our sourcing and production strategy to maintain (inaudible).

（解釋）在再生能源產業高度動態的背景下，以不斷變化的關稅結構和不斷發展的全球供應鏈為標誌，我們的團隊以敏捷和精確的方式執行了任務。我們已成功調整採購和生產策略，以維持（聽不清楚）。

(interpreted) Last week, we announced the acquisition of the VSUN brand from our sister company, Vietnam Sunergy Joint Stock Company, a strategic move to streamline and unify TOYO's operations by bringing the VSUN brand fully under our umbrella.

(翻譯) 上週，我們宣布從姊妹公司越南太陽能股份公司收購 VSUN 品牌，這是一項戰略舉措，旨在透過將 VSUN 品牌完全納入我們的旗下，簡化和統一 TOYO 的運營。

(interpreted) VSUN and TOYO have long operated as sister companies, not only through common control under our majority shareholder, Abalance Corporation, but also through deep ongoing business collaborations. This acquisition of the VSUN brand positions us to accelerate TOYO's growth and expansion to the next level.

(翻譯) VSUN 和 TOYO 長期以來一直是姊妹公司，不僅透過我們大股東 Abalance Corporation 的共同控制，而且還透過深入的持續業務合作。此次收購 VSUN 品牌使我們能夠加速 TOYO 的成長和擴張，使其更上一層樓。

(interpreted) Since 2018, many of VSUN-branded solar modules have been delivered to the US market, a testament to the brand's strong customers and success in utility scale deployment. Recognized by leading financial institutions and backed by insurance from (inaudible), the VSUN brand strengthens TOYO's market credibility, reinforces customer confidence (inaudible).

(翻譯) 自 2018 年以來，許多 VSUN 品牌太陽能組件已交付到美國市場，這證明了該品牌強大的客戶群和在公用事業規模部署中的成功。VSUN 品牌得到了領先金融機構的認可，並獲得了（聽不清楚）的保險支持，增強了 TOYO 的市場信譽，增強了客戶信心（聽不清楚）。

(interpreted) Our new solar cell manufacturing facility in Ethiopia is now operating at a full 2-gigawatt capacity. As we have commenced production for an additional 2-gigawatt capacity in Ethiopia, we remain on track, double (inaudible) 4 gigawatts by October 2025. This facility provides us with a compelling cost structure, state-of-the-art technology, abundant green power, and some of the lowest tariff rates available. It's expected that this trend will continue.

(翻譯) 我們在衣索比亞的新太陽能電池製造廠目前已達到 2 千兆瓦的滿載生產能力。由於我們已經開始在衣索比亞生產額外的 2 千兆瓦產能，我們仍有望在 2025 年 10 月之前將產能翻倍（聽不清楚）達到 4 千兆瓦。該設施為我們提供了極具吸引力的成本結構、最先進的技術、豐富的綠色能源以及最低的電價稅率。預計這一趨勢將會持續下去。

(interpreted) In the United States, we have commenced trial production at our new module facility in the Houston metropolitan area, delivering on our made-in-USA or the USA strategy. Through our sister company, VSUN, we will leverage the newly acquired VSUN brand to build on VSUN's long-standing relationships with many of North America's leading utility-scale developers. These partners are eager to deploy panels that combine industry-leading performance with the benefits of (inaudible).

(翻譯) 在美國，我們已經開始在位於休士頓大都會區的新模組工廠進行試生產，實施我們的「美國製造」或「美國製造」策略。透過我們的姊妹公司 VSUN，我們將利用新收購的 VSUN 品牌來鞏固 VSUN 與北美許多領先的公用事業規模開發商的長期合作關係。這些合作夥伴渴望部署結合了行業領先性能和以下優勢的面板：（聽不清楚）。

(interpreted) Looking ahead, we will continue to work closely with our industry partners to migrate the key components to the US, wherever possible, further strengthening our supply chain and reinforcing our commitment to American manufacturing.

（翻譯）展望未來，我們將繼續與我們的行業合作夥伴密切合作，盡可能將關鍵部件遷移到美國，進一步加強我們的供應鏈並加強我們對美國製造業的承諾。

(interpreted) I will now turn the call over to our CFO, Raymond Chung, to review our financial results.

（翻譯）現在我將把電話轉給我們的財務長 Raymond Chung，來審查我們的財務結果。

Thank you, Ryu-san. Let me take over from here. In the first half of 2025, we delivered 1.6 gigawatts of solar cells, up from 985 megawatts in the same period last year. In terms of revenue, we generated approximately $139 million in the first half of 2025, which increased 0.7% from $138.1 million in the same period last year. The increase was due to the positive contribution of our new solar cells line in Ethiopia, which began in April 2025, serving US end customers, and providing more attractive pricing and margin opportunities.

謝謝你，Ryu-san。讓我來接管這裡。2025年上半年，我們交付了1.6吉瓦的太陽能電池，高於去年同期的985兆瓦。就收入而言，我們在 2025 年上半年創造了約 1.39 億美元的收入，較去年同期的 1.381 億美元成長 0.7%。這一增長是由於我們在埃塞俄比亞的新太陽能電池生產線的積極貢獻，該生產線於 2025 年 4 月開始運營，為美國終端客戶提供服務，並提供了更具吸引力的價格和利潤機會。

Our cost of revenue was approximately $160 million for the first half of 2025, compared to $111.4 million for the same period last year. Gross profit margin was 16.6% for the first half of 2025, compared to 19.3% for the same period last year. The decrease was due to the increasing unit cost of raw materials.

2025 年上半年我們的營收成本約為 1.6 億美元，去年同期為 1.114 億美元。2025年上半年毛利率為16.6%，去年同期為19.3%。減少是由於原料單位成本增加所致。

Total operating expenses increased 219.9% to approximately $30 million for the first half of 2025, from $4.2 million for the same period last year. Selling expenses were approximately $3 million for the first half of 2025, compared to $40,000 for the same period last year. The increase was attributable to higher sales commission from new customers. General and administrative expenses were approximately $11 million for the first half of 2025, compared to $3.8 million for the same period last year. The increase was primarily due to expenses related to managing new facilities in Houston and Ethiopia, as well as increased expenses associated with being a public company.

2025 年上半年總營運費用從去年同期的 420 萬美元增加 219.9% 至約 3,000 萬美元。2025 年上半年銷售費用約 300 萬美元，去年同期為 4 萬美元。成長歸因於新客戶的銷售佣金增加。2025 年上半年的一般及行政開支約為 1,100 萬美元，而去年同期為 380 萬美元。成長的主要原因是與管理休士頓和埃塞俄比亞的新設施相關的費用，以及作為上市公司相關的費用增加。

Non-GAAP adjusted EBITDA of approximately $23 million for the first half of 2025, compared to $33 million for the same period last year, reflecting increase in operating expenses and reduced sales volume to the US market as Vietnamese capacity was allocated to non-US regions, while Ethiopia's operations only commenced in April 2025, as well as changes in fair value of contingent consideration payable related to earn-out shares.

2025 年上半年非公認會計準則調整後 EBITDA 約為 2,300 萬美元，而去年同期為 3,300 萬美元，反映了營運費用的增加和對美國市場的銷售量的減少，因為越南的產能被分配到美國以外地區，而衣索比亞的業務在 2025 年 4 月才開始，以及與對高價的價值的價值變動或價值變動。

Net income attributable to our shareholders was approximately $4 million for the first half of 2025, compared to $19.6 million for the same period last year. Earnings per share, basic and diluted, were $0.10 compared to earnings per share, basic and diluted, of $0.48 for the same period last year.

2025 年上半年歸屬於我們股東的淨收入約為 400 萬美元，而去年同期為 1,960 萬美元。基本每股收益和稀釋每股收益均為 0.10 美元，而去年同期的基本每股收益和稀釋每股收益均為 0.48 美元。

Turning to our balance sheet. As of June end 2025, we had a total of approximately $30 million in cash and current restricted cash, compared to $15.1 million as of December end 2024.

轉向我們的資產負債表。截至 2025 年 6 月底，我們的現金和流動受限現金總額約為 3,000 萬美元，而截至 2024 年 12 月底為 1,510 萬美元。

As we move into second half of 2025 our priorities are clear. We are expanding solar cell production at our Ethiopian facility for the 4 gigawatts run rate, while strategically redirecting output from our Vietnam operations to a high-growth market that are not impacted by the elevated US tariffs.

隨著我們進入 2025 年下半年，我們的優先事項很明確。我們正在埃塞俄比亞工廠擴大太陽能電池產量，以實現 4 千兆瓦的運作率，同時策略性地將越南業務的產量轉移到不受美國關稅上調影響的高成長市場。

In the US, we will take a measurable approach to expanding our module capacity, aligning that growth with the refinement of our sourcing strategy and disciplined allocation of investment.

在美國，我們將採取切實可行的方法來擴大我們的模組產能，並將這種成長與我們採購策略的完善和嚴格的投資分配結合起來。

Even with recent shift in energy policy, we remain confident that solar is the fastest, the most cost-effective way to add capacity to the energy grid and meet the increasing rise in electricity demand across the US and other development countries.

即使最近能源政策發生了變化，我們仍然相信太陽能是增加電網容量和滿足美國和其他發展中國家日益增長的電力需求的最快、最具成本效益的方式。

The cash flow generated from our facilities will give us the flexibility to fund this expansion from within. The launch of US production also marks the beginning of our strategic consolidation of the VSUN brand, sales channels, and customer base into TOYO. This integration will create a streamlined unified organization capable of delivering the high-performance solar solution that utility scale customers expect.

我們的設施產生的現金流將使我們能夠靈活地從內部為此擴張提供資金。美國生產的啟動也標誌著我們將 VSUN 品牌、銷售通路和客戶群策略性地整合到 TOYO 的開始。此次整合將創造一個精簡統一的組織，能夠提供公用事業規模客戶期望的高性能太陽能解決方案。

Geared with all these strategic initiatives, for the full year of 2025, we expect to exceed our previous guidance of 3.5 gigawatt in solar cell shipment, projecting approximately 4.2 to 4.4 gigawatts for the full-year 2025. This is anticipated to drive revenue in the range of approximately $375 million to $400 million, with projected net income between approximately $39 million and $45 million.

借助所有這些策略舉措，我們預計 2025 年全年太陽能電池出貨量將超過先前預測的 3.5 吉瓦，預計 2025 年全年出貨量約為 4.2 至 4.4 吉瓦。預計這將推動收入達到約 3.75 億美元至 4 億美元，預計淨收入約為 3,900 萬美元至 4,500 萬美元。

We look forward to sharing more on our strategy in the near future as we believe it will meaningfully strengthen our financial profile and enhance the value we deliver to our shareholders.

我們期待在不久的將來分享更多有關我們策略的信息，因為我們相信它將顯著增強我們的財務狀況並提高我們為股東提供的價值。

With that, we'll be happy to address your questions.

我們將很樂意解答您的問題。

(Operator Instructions)

（操作員指示）

Justin Smith, Maxim Group.

賈斯汀史密斯（Justin Smith），馬克西姆集團（Maxim Group）。

Hi. Thank you, guys. Congratulations on the good quarter and first half of the year. My question was relating to gross profit margin you guys discussed. I saw that it briefly declined or very marginally declined year-over-year. But as the Ethiopia facility reaches scale and Houston production comes online, do you see any way where those gross margins start trending back higher up to where they were in the first half of '24? Or are some of these tariff-related costs sort of weighing on that and putting a cap on that?

你好。謝謝你們。恭喜本季和上半年取得良好業績。我的問題與你們討論的毛利率有關。我發現它同比出現了短暫的下降或小幅下降。但是，隨著埃塞俄比亞工廠達到規模並且休士頓生產上線，您是否認為這些毛利率會開始回升至 2024 年上半年的水平？或者這些與關稅相關的成本是否會對此造成影響並限制其發展？

Hi Justin. Thank you for the question. Yes, our gross margin decreased slightly for the first half of the year, mainly for two reasons. Number one, the blend of the product destination for our product shift earlier this year was changed from last year. Last year, over 80% actually were shipped to US. And for the first half of the year, we have only 44% going to US. And with the change of the product blend, our margin was slightly affected.

你好，賈斯汀。謝謝你的提問。是的，我們上半年的毛利率是稍微下降了，主要有兩個原因。首先，我們今年稍早的產品轉變的產品目的地組合與去年有所不同。去年，實際上超過80％的貨物都運往了美國。而今年上半年，我們只有44%的出口到美國。隨著產品組合的變化，我們的利潤受到了輕微的影響。

Secondly, also because we were in the process of ramping up of the production in Ethiopia. So the overall cost of the products was still in the process of being refined. So that's the two main reasons our gross margin is slightly lower than what it was last year. And going forward, with our efforts to refine our cost structure and sourcing strategy, we do hope to see our gross margin level to at least go back to what it was last year, Justin.

其次，也是因為我們正在提高衣索比亞的產量。所以產品整體成本還在不斷細化的過程中。這就是我們的毛利率略低於去年的兩個主要原因。展望未來，透過努力完善成本結構和採購策略，我們確實希望看到我們的毛利率水平至少恢復到去年的水平，賈斯汀。

Okay. That's very helpful and thank you for the detail there. I appreciate it. Once again, congrats on the good results.

好的。這非常有幫助，感謝您提供的詳細資訊。我很感激。再次恭喜您取得的良好成績。

(Operator Instructions) I will now turn the call back over to Junsei Ryu for closing remarks.

（操作員指示）現在我將把電話轉回給 Junsei Ryu 作結束語。

So we want to thank you, all, for your time this morning. I know that the company is going to be visiting with a number of investors and analysts later this week. And happy to answer your questions in person. If anybody has any follow-up questions after the call, please reach out to Investor Relations, and we're happy to either get back to you or schedule a meeting with management. This now concludes our call. Operator, thank you so much.

因此，我們要感謝大家今天早上抽出時間。我知道該公司本週晚些時候將會拜訪一些投資者和分析師。並很高興親自回答您的問題。如果通話後任何人有任何後續問題，請聯絡投資者關係部，我們很樂意回覆您或安排與管理層會面。我們的通話到此結束。接線員，非常感謝您。

Ladies and gentlemen, that concludes today's call. Thank you, all, for joining. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。謝謝大家的參與。您現在可以斷開連線。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

本記錄中標記（翻譯）的部分是由現場通話中的翻譯人員說的。翻譯由贊助此活動的公司提供。