Overview

* Zepp Health ( ZEPP ) Q3 revenue grew 78.5% yr/yr, driven by new product launches

* The fitness wearables supplier achieved adjusted operating income breakeven, marking milestone towards profitability

* Zepp Health's ( ZEPP ) cash position strengthened in the quarter, with cash balance increasing to $102.6 mln

Outlook

* Zepp Health expects Q4 2025 revenue between $82 mln and $86 mln

* Company anticipates cash balance growth in Q4 2025

* Zepp Health's ( ZEPP ) forecast reflects continued profitability improvement and favorable product mix

Result Drivers

* NEW PRODUCT LAUNCHES - Revenue growth driven by new products, especially Amazfit T-Rex 3 Pro

* GROSS MARGIN IMPROVEMENT - Improved product mix and new launches boosted gross margin

* SUPPLY CONSTRAINTS AND TYPHOON - Sales impacted by supply issues and end-of-quarter typhoon

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Gross 38.2%

Margin

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the phones & handheld devices peer group is "buy"

* Wall Street's median 12-month price target for Zepp Health Corp ( ZEPP ) is $59.76, about 38% above its November 4 closing price of $37.07

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)