XCHG Limited Financial Results for the Six Months Ended June 30, 2025

XCHG Limited reported a significant decrease in revenues for the six months ended June 30, 2025, down to US$12.5 million from US$20.1 million in the same period of 2024. This decline was primarily attributed to external policy dynamics, including trade policy turbulence and evolving renewable energy regulations, which caused customers to delay procurement decisions. Product revenues decreased by 39.4% to US$12.1 million, while service revenues saw an increase to US$0.4 million. The cost of revenues decreased by 41.3% to US$6.1 million, leading to a gross profit of US$6.4 million, a 35.0% decrease. Operating expenses, however, increased by 41.0% to US$13.9 million, mainly due to higher selling and marketing, research and development, and general and administrative expenses. Consequently, the company reported a net loss of US$7.3 million for the period, a substantial increase from the US$0.2 million net loss in the prior year. The company is exploring strategies for additional funding, including equity and debt financing, to meet future operational needs.