Merida Industry Co., Ltd. (TWSE: 9914) today announced that its consolidated financial results for the first half of 2025 were approved by the Board of Directors on August 13, 2025.

Group operations in 1H 2025 remained generally stable. Although the parent company’s standalone revenue reached NT$9.71 billion, representing a 19.0% increase from 1H 2024, and subsidiaries and investments in Europe and the U.S. turned from loss to profit, overall profitability was tempered by softer demand in the China market and the depreciation of the U.S. dollar. Consolidated group revenue for 1H 2025 totaled NT$14.57 billion, down 3.9% year-over-year. After consolidation, net income was NT$0.81 billion, translating to EPS of NT$2.72, compared to NT$3.58 in the same period last year, representing a year-over-year decline of 24%.

Additional Information from Merida:

1. Recovery in Europe and the U.S. Driving Inventory Reduction and profit from subsidiaries and investment. China Market Requires Careful Management: Over the past year, the European and U.S. markets were still undergoing inventory adjustments. In 1H 2025, bicycle sales in key European markets resumed growth, enabling subsidiaries to return to profitability. While the U.S. market continues to face uncertainty due to tariff policy, strong sales performance from new products also contributed to improved earnings from equity-method investments. Overall, demand in Europe and the U.S. is gradually recovering, with accelerated clearance of older inventory and improved inventory structure. In China, however, slower sales of road bikes have impacted the sales. The Company will continue to strengthen inventory management, flexibly adjust sales strategies, and respond cautiously to market changes to ensure steady operational development.

2. Maintaining Stability Amid the Global Tariff Realignment: Through active government negotiations, Taiwan’s 20% tariff rate to the US – compared with other global bicycle-producing countries such as China, Japan, South Korea, Vietnam, and Cambodia – still enjoys a relative export advantage, as Taiwan possesses a complete supply chain for high- and mid-end bicycle exports. Also, the U.S. market accounts for only a limited portion of the Group’s total revenue. In response to the newly announced 20% U.S. tariff measures, the Company will prudently adjust operating strategies in line with market developments to maintain international competitiveness.