Following the release of its 2024 annual results, GCL Technology (03800.HK) has announced further positive news.

On April 6, the company issued an update on its photovoltaic materials business, reporting that EBITDA (earnings before interest, taxes, depreciation and amortization) for the first quarter of 2025 reached RMB 505 million, making it one of the first companies in the industry to achieve stable positive operating cash flow.

Under International Financial Reporting Standards, EBITDA is a key indicator for accurately presenting a company’s underlying profitability and short-term cash-flow position. The metric reflects earnings performance before interest, taxes, depreciation and amortization, enabling stakeholders to gain a clearer and more direct view of a company’s operating efficiency and financial health, thereby providing a solid basis for investment decisions and business evaluations. GCL Technology’s return to positive EBITDA underscores its business resilience and going-concern strength.

Notably, the company also disclosed that the average cash production cost of granular silicon in the first quarter declined further from RMB 27.14/kg recorded in January–February to RMB 27.07/kg, while the tax-inclusive average selling price rose steadily to RMB 36.15/kg.

“Under the current industry environment, the return to positive cash flow is highly significant. It means the company has sufficient cash to sustain daily operations, its debt-servicing capability is strengthened, and its credit standing with financial institutions and investors is enhanced. When the industry rebounds, the company will be better positioned to seize opportunities and capture market share,” an industry insider told the reporter.

Link：http://www.zqrb.cn/gscy/gongsi/2025-04-07/A1743997148011.html