TrioTech International reported Q2 2025 revenue of $8.62 million, down 29% year-over-year and 12% quarter-over-quarter from Q1 2025, underscoring ongoing cyclical softness in semiconductor equipment markets. Despite the revenue decline, gross profit was $2.22 million, yielding a stable gross margin of 25.7%. EBITDA was $1.40 million (EBITDA margin 16.2%), and net income reached $0.51 million (EPS $0.12). Operating income was virtually breakeven at a margin of -0.03%, reflecting disciplined cost management against softer top-line activity.
The company generated robust operating cash flow of $2.11 million and free cash flow of $1.93 million in the quarter, supporting a solid liquidity position with cash and cash equivalents of $10.32 million and total cash/cash equivalents plus short-term investments around $16.45 million. Net debt remained negative, indicating a net cash position of approximately -$8.29 million. The balance sheet remains healthy with a current ratio of 4.54 and modest leverage (long-term debt $0.79 million; total debt $2.03 million; debt-to-equity around 6%).
Management did not issue explicit forward-looking guidance in the QQ2 2025 release; the near-term narrative centers on margin stabilization, cash generation, and positioning for a potential upcycle in semiconductor demand. Valuation remains reasonable for a micro-cap with strong liquidity, trading around a price-to-sales multiple of 2.86 and a price-to-earnings multiple near 12x, suggesting limited downside given cash strength but requiring revenue stabilization for meaningful multiple expansion.