On April 28, Yutong Optics unveiled its 2025 annual report, revealing a revenue of 3.382 billion yuan, marking a 23.27% year-on-year increase. Net profit attributable to shareholders reached 246 million yuan, up 34.09%, while non-recurring net profit soared to 243 million yuan, a staggering 52.18% rise.

The dual achievement of revenue and profit growth, with non-recurring net profit significantly outpacing that attributable to shareholders, underscores a notable enhancement in the core business. This indicates that the world's premier security lens manufacturer is undergoing a structural transformation in profit quality, reducing its dependence on the security sector and solidifying its second growth trajectory.

The security business remains the bedrock of Yutong Optics, maintaining the top global market share for 11 consecutive years. In 2025, security-related revenue reached 1.722 billion yuan. However, as the market transitions into a phase of intense competition, the company is pivoting towards high-value segments such as AI IPC premium matching (supporting products) and thermal imaging lenses. Through structural adjustments, Yutong Optics is countering the slowdown in overall growth. While the security business remains stable, it is no longer the primary driver of growth; instead, incremental growth stems from automotive optics and the emerging consumer sector.

Automotive optics represents the first new growth avenue. In 2025, revenue from this segment surged to 421 million yuan, a 26.15% year-on-year increase, accounting for roughly 12.5% of total revenue. Surround-view, in-cabin monitoring, and ADAS front-view lenses were fully launched, with the development of 8-megapixel high-end ADAS lenses completed. HUD free-form mirrors and LiDAR optical components commenced mass delivery.

Customers encompass leading automakers such as BYD, Toyota, Volkswagen, GAC, and Geely. The underlying capability propelling this leap is molded glass—glass aspherical lenses, which are in high demand for automotive ADAS and LiDAR. Few companies globally can produce these lenses on a large scale, and Yutong Optics is among them, establishing a core competitive barrier in the intelligent driving optics sector.

Driven by the trend of miniaturization and high-definition in consumer electronics, the demand for glass aspherical lenses is surging far faster than that for traditional plastic lenses, positioning Yutong Optics as a major beneficiary. Additionally, revenue from smart home products reached 290 million yuan, and machine vision revenue hit 52 million yuan, up 59.82%, forming a reserve growth pool.

The reshaping of the business portfolio has directly enhanced profitability. Yutong Optics' full-year non-recurring net profit growth far outstripped revenue growth, as high-margin new consumer and automotive segments expanded, while low-margin traditional fixed-focus lenses were phased out.

Global expansion is also gathering pace. In 2025, Yutong Optics' Thai factory commenced operations, and three new wholly-owned subsidiaries were established. These moves aim to stay close to international clients and mitigate trade risks, transitioning the company from China's security leader to a global optical Tier 1 supplier. Simultaneously, R&D investment increased to 202 million yuan, up 16.70%, with R&D personnel accounting for 18.65% of the workforce and a cumulative 1,036 patents, supporting multi-scenario expansion.

The effectiveness of this transformation was swiftly validated in the 2026 Q1 report. In Q1 2026, revenue reached 819 million yuan, a 33.16% year-on-year increase, accelerating from the 2025 full-year growth rate. Net profit attributable to shareholders was 56.7336 million yuan, up 16.14%, and non-recurring net profit was 54.0665 million yuan, up 20.01%, sustaining steady profit growth.

From the annual report to the Q1 report, Yutong Optics is leveraging two consecutive reporting periods of robust performance to transition its growth narrative from logical self-consistency to a data-trackable trajectory. This quality-driven growth, fueled by structural changes, offers valuable insights for the optics industry, and OFweek Optics will continue to monitor its progress.