Wetouch Technology Inc. Reports Q3 2025 Revenue of $12.18 Million, 5.57% Increase Year-Over-Year

Wetouch Technology Inc. reported its financial results for the third quarter of 2025, revealing a revenue of $12.18 million, a 5.57% increase from $11.54 million in the same period of 2024. For the nine months ending September 30, 2025, the company generated $39.89 million in revenue, up from $38.65 million year-over-year. The gross profit for the third quarter was $3.98 million, compared to $4.44 million in the prior year, while the nine-month gross profit increased to $13.73 million from $12.64 million. The net income for the third quarter was $2.53 million, slightly down from $2.66 million in 2024, but the nine-month net income rose to $7.33 million from $5.92 million.

The company experienced notable changes in its operational metrics, including a significant increase in accounts receivable, which rose to $10.81 million from $7.50 million at the end of 2024. This increase reflects a growing customer base and potentially longer payment cycles. Wetouch's cash reserves also improved, reaching $113.19 million, up from $103.76 million at the end of 2024. The company’s total assets increased to $139.91 million from $128.02 million, indicating a solid financial position.

Strategically, Wetouch has focused on expanding its operational capabilities. The company is in the process of constructing a new facility in Chengdu, China, which is expected to be completed by the end of 2025. This facility aims to enhance production capacity and efficiency. The company has also made adjustments to its accounting practices, including the reclassification of prepayments related to land use rights, which reflects a proactive approach to asset management.

In terms of operational developments, Wetouch reported a stable employee headcount, maintaining its workforce to support ongoing projects. The company continues to engage with its customer base, although it faces challenges related to accounts receivable management, as indicated by the increase in overdue accounts. The company’s market presence remains strong, particularly in the touchscreen display sector, where it competes with various players in both domestic and international markets.

Looking ahead, Wetouch Technology Inc. anticipates continued growth driven by its strategic investments and operational enhancements. The company remains focused on improving its product offerings and expanding its market share, despite potential risks associated with customer retention and market conditions. The management has expressed confidence in its ability to navigate these challenges and achieve its business objectives in the coming quarters.