ZJK Industrial's Precision Play Fuels AI and EV Revolution

SHENZHEN, China – April 29, 2026 – ZJK Industrial Co., Ltd. (NASDAQ: ZJK), a key manufacturer of high-tech precision hardware, today announced record-breaking financial results for fiscal year 2025, underscoring its successful pivot to becoming a critical supplier for the booming artificial intelligence and electric vehicle industries. The company reported an all-time high revenue of US$56.10 million, a 48.39% increase from the previous year, while net income skyrocketed by an astonishing 177.21% to reach US$10.15 million.

The stellar performance is a direct result of a deliberate strategy to focus on high-value, high-precision components, moving beyond standard hardware to produce the intricate parts that power next-generation technologies. This strategic shift, combined with surging demand in its key markets, has positioned ZJK for what its leadership believes is sustained long-term growth.

Riding the Global Tech Tsunami

ZJK Industrial's remarkable growth is not occurring in a vacuum; it is strategically positioned on the crest of a massive wave of global investment in future-defining technologies. The company's focus on AI infrastructure, electric vehicles (EVs), and advanced smart technologies places it at the heart of sectors experiencing exponential expansion.

The AI infrastructure market, a primary end-market for ZJK, is undergoing a period of unprecedented growth. Industry analysts project the market to swell from approximately US$72 billion in 2025 to over US$90 billion in 2026. This surge is driven by massive capital outlays on AI data centers and a voracious appetite for AI-optimized servers, with spending on the latter expected to jump by nearly 50% in 2026 alone. For a precision parts manufacturer like ZJK, this translates into immense demand for high-performance connectors, thermal management solutions, and complex structural components that are essential for the reliability and performance of AI accelerators and server racks.

Similarly, the electric vehicle revolution is creating a vast new market for specialized components. The global EV parts and components market was valued at over US$210 billion in 2025 and is on a trajectory to exceed US$300 billion by 2031. As automakers transition to electric powertrains and more advanced battery architectures, the need for precisely machined parts for motors, battery enclosures, and charging systems has surged. ZJK's ability to produce these high-tolerance components makes it an indispensable partner in the complex EV supply chain.

A Blueprint for Explosive Profitability

While riding strong market tides is one part of the story, ZJK's financial success is fundamentally rooted in a sophisticated internal strategy that has transformed its profitability profile. The company's 177% jump in net income was powered by an even more dramatic 478.9% surge in income from operations, which reached US$9.46 million. This demonstrates a powerful improvement in core business efficiency.

A key driver of this profitability is a significant expansion of the company's gross margin, which climbed 7.79 percentage points to an impressive 43.67% in 2025. According to the company, this was achieved through a strategic shift towards more complex, high-precision products that command higher prices, coupled with production technology optimization and the economies of scale from increased volume. This move away from lower-margin, commoditized parts towards high-value-added components is a cornerstone of its current success.

Supporting this strategic pivot is a substantial investment in innovation. Research and development expenses more than doubled, increasing 103.07% to US$1.11 million. This spending is not just a line item on an income statement; it is the engine driving the development of the advanced manufacturing processes and proprietary product designs that allow ZJK to meet the stringent requirements of high-end applications like AI servers and semiconductor equipment. "Through continuous innovation in manufacturing processes, automation and precision engineering, we are improving efficiency, optimizing cost structures, and expanding our portfolio of high-performance products," stated Mr. Ning Ding, Chief Executive Officer and Chairman.

Building a Global Manufacturing Footprint

To secure its position and fuel future growth, ZJK is actively executing a global expansion strategy designed to build a more resilient and diversified production network. This forward-looking approach aims to mitigate geopolitical risks and place the company closer to its expanding international customer base.

The company has already made significant strides by "advancing localized manufacturing capabilities in Vietnam," a move that aligns with the broader "China +1" trend of diversifying supply chains beyond a single country. Vietnam offers competitive manufacturing costs and has become a major hub for high-tech electronics production. This diversification strengthens ZJK's ability to provide a flexible and reliable supply of components to its global clients.

Looking further afield, the company is also "considering establishing our presence in U.S.," according to CEO Ning Ding. A potential move into the United States would provide direct access to the burgeoning North American AI and EV markets, shortening lead times and strengthening relationships with key customers. It could also allow ZJK to leverage U.S.-based manufacturing incentives, particularly in strategic sectors. This ambition is supported by a 52.18% increase in selling and marketing expenses, largely driven by business expansion efforts in North America, Singapore, and Taiwan.

"We are very excited to cap 2025 with stellar results and carry strong momentum into 2026, driven by consistent execution of our long-term growth strategy," Mr. Ding commented. "With our continued focus on innovation, operational excellence and targeted global expansion, we believe we are well positioned to deliver sustainable growth and long-term value for our shareholders." As the world accelerates its adoption of AI, electric mobility, and smart technologies, ZJK Industrial has proven it is not just a participant, but a critical enabler building the intricate foundations of that future.