Financial Performance - The Group achieved its first-ever net profit of US$5.0 million for the year ended December 31, 2024, reversing a net loss of US$60.3 million for the year ended December 31, 2023[31]. - Revenue for the year ended December 31, 2024, was US$298,617 thousand, a 30% increase from US$229,990 thousand in 2023[80]. - Gross profit for 2024 was US$141,430 thousand, reflecting a gross margin improvement from 46.4% in 2023 to 47.3% in 2024[80]. - The net profit for 2024 was US$4,997 thousand, a significant turnaround from a net loss of US$60,315 thousand in 2023[80]. - Non-GAAP net profit for 2024 was US$75,308, up from US$20,438 in 2023, reflecting improved operational efficiency[119]. - The non-GAAP operating margin improved from -10.9% in 2023 to 7.6% in 2024, indicating a turnaround in operational performance[115]. Cash Flow and Liquidity - Net cash generated from operating activities was US$80.4 million for the year ended December 31, 2024, compared to US$36.4 million for the year ended December 31, 2023[31]. - As of December 31, 2024, the balance of cash and cash equivalents was US$1,016.7 million, an increase from US$984.3 million as of December 31, 2023[33]. - The Group did not have any interest-bearing bank and other borrowings as of December 31, 2024[34]. - The Group's gearing ratio was nil as of December 31, 2024, as it had no borrowings[36]. - Cash and cash equivalents at the end of 2023 were $498,688 thousand, expected to increase to $653,384 thousand by the end of 2024, marking a rise of about 31%[85]. Expenses and Cost Management - Research and development expenses decreased to US$95,049 thousand in 2024, down from US$102,277 thousand in 2023, indicating a focus on cost management[80]. - Share-based compensation expenses included in general and administrative expenses were $45,036 thousand for 2023, expected to rise to $48,305 thousand in 2024[83]. - The Company recorded litigation costs of US$2,300 in 2024, which were not present in 2023[115]. Assets and Liabilities - As of December 31, 2024, total assets increased to US$1,103,780 thousand, up from US$1,066,400 thousand as of December 31, 2023, representing a growth of approximately 3.5%[74]. - Total current liabilities increased to US$94,337 thousand as of December 31, 2024, compared to US$87,534 thousand in 2023, marking an increase of approximately 7.5%[74]. - Total accounts receivable decreased from US$9,214 in 2023 to US$7,592 in 2024, with an increase in the allowance for credit losses from US$3,367 to US$4,456[108]. - Total accounts payable increased significantly from US$11,577 in 2023 to US$19,051 in 2024[111]. Shareholder Returns - The Board declared a dividend of US$0.0608 per ordinary share, totaling approximately US$37 million, payable on or around April 9, 2025[57]. - The Company declared a special dividend of US$0.0589 per ordinary share, totaling US$33 million, payable in October 2024[106]. Strategic Initiatives and Market Position - The Group plans to utilize the remaining unutilized net proceeds of approximately HK$34.7 million over the next three years for various strategic initiatives[56]. - The company activated a vibrant global developer community through its AI cloud platform, enhancing its market position in the AIoT ecosystem[66]. Legal Matters - The company continues to face ongoing litigation related to a securities class action lawsuit initiated in August 2022[64].

Group 1 - Tuya Inc. filed its annual report on Form 20-F for the fiscal year ended December 31, 2024, with the SEC on April 24, 2025 [1] - The annual report includes complete audited financial statements and is available on the company's investor relations website and the SEC's website [1] - Tuya Inc. will provide a hard copy of the annual report free of charge to shareholders upon written request [1] Group 2 - Tuya Inc. released its Environmental, Social and Governance (ESG) Report to showcase its ESG strategies, accomplishments, and progress towards sustainability goals [2] - The ESG report can be accessed on the company's investor relations website [2] Group 3 - Tuya Inc. is a leading AI cloud platform service provider focused on building an AIoT developer ecosystem [3] - The company offers a purpose-built AI cloud platform with cloud and generative AI capabilities, providing Platform-as-a-Service (PaaS), Software-as-a-Service (SaaS), and smart solutions [3] - Tuya has activated a global developer community that includes brands, OEMs, AI agents, system integrators, and independent software vendors, promoting a smart solutions ecosystem based on principles of green and low-carbon, security, high efficiency, agility, and openness [3]

Financial Performance - Revenue for the year ended December 31, 2024, was $298.617 million, an increase of 29.9% compared to $229.990 million in 2023[8] - Gross profit for 2024 was $141.430 million, up from $106.655 million in 2023, reflecting a gross margin improvement[8] - The company reported a net profit of $4.997 million for 2024, a significant recovery from a net loss of $60.315 million in 2023[8] - Operating loss decreased to $47.620 million in 2024 from $105.824 million in 2023, indicating improved operational efficiency[8] - Total revenue for the year ended December 31, 2024, was $298.6 million, an increase of approximately 29.8% year-over-year (2023: $230.0 million) [10] - Gross profit margin improved to 47.4%, up 1.0 percentage points year-over-year (2023: 46.4%) [10] - Net profit was $5.0 million, marking the first fiscal year of net profitability under GAAP, compared to a net loss of $60.3 million in 2023 [10] - Operating cash flow net amount was $80.4 million, an increase of 120.5% year-over-year (2023: $36.4 million) [10] - The non-GAAP operating profit for the year was approximately $22.7 million, with an operating profit margin of about 7.6%[19] - The non-GAAP net profit reached $75.3 million, representing a year-over-year increase of approximately 268.5%[19] Assets and Liabilities - Total assets as of December 31, 2024, were $1.104 billion, slightly up from $1.066 billion in 2023[8] - Current assets increased to $903.016 million in 2024 from $847.798 million in 2023, showing better liquidity[8] - Total liabilities remained stable at $96.332 million in 2024 compared to $95.835 million in 2023[8] - Shareholders' equity rose to $1.007 billion in 2024 from $970.565 million in 2023, reflecting a strengthening balance sheet[8] - Cash and cash equivalents, along with short-term and long-term investments, totaled $1,016.7 million, up from $984.3 million in 2023, indicating sufficient liquidity for operational needs[40] Customer and Market Insights - The number of IoT PaaS customers was approximately 3,700, down from 4,000 in 2023, while total customers were about 5,800 (2023: approximately 6,100) [11] - High-quality IoT PaaS customers contributed approximately 86.9% of IoT PaaS revenue, up from 83.4% in 2023 [11] - The number of registered IoT developers exceeded 1,316,000, a growth of 32.6% from approximately 993,000 in 2023 [11] - The company serves approximately 5,800 customers, empowering around 3,700 brands to develop their smart devices [16] - The IoT PaaS currently supports the development of approximately 3,000 categories of smart devices across over 200 countries and regions [16] Strategic Plans and Future Outlook - The company plans to continue investing in new product development and market expansion strategies in the upcoming fiscal year[9] - Future guidance indicates a focus on achieving profitability while maintaining revenue growth momentum[9] - The company anticipates a stable macroeconomic environment in 2024, despite potential challenges from new U.S. tariff policies starting April 2025[26] - The company is actively expanding its market presence and exploring new business opportunities, as indicated by the diverse backgrounds of its leadership team[192][194] Corporate Governance and Compliance - The company has complied with relevant laws and regulations that significantly impact its operations during the reporting period[69] - The board of directors has undergone changes, with Liu Yao resigning as an executive director effective September 16, 2024, and Zhang Yan appointed as an executive director effective November 18, 2024[62] - The company is committed to corporate sustainability through strong relationships with stakeholders, including employees, customers, and suppliers[67] - The independent non-executive directors confirmed that the ongoing related party transactions were conducted in the ordinary course of business and on normal commercial terms[99] Shareholder Information and Equity Structure - The company has a dual-class share structure, with Class A shares having one vote per share and Class B shares having ten votes per share, allowing certain beneficiaries to exert significant control despite not holding a majority economic interest[104] - The total number of Class A and Class B shares controlled by key individuals represents approximately 24.19% of the company's issued shares and about 62.88% of the effective voting power[107] - The company will continue to disclose details related to the contractual arrangements and ongoing related party transactions as required[100] - The largest customer accounted for 3.2% of total revenue, while the top five customers together represented 13.0% of total revenue for the year ended December 31, 2024[109] Leadership and Management - The company has a strong leadership team with over 21 years of experience in software technology and more than 10 years in the IoT industry, led by CEO Wang Xueji[192] - The Chief Operating Officer and newly appointed Chief Financial Officer, Yang Yi, has extensive experience in capital markets and business development[194] - Independent non-executive directors bring over 20 years of experience in the technology and internet sectors, enhancing the board's expertise[197][199] - The leadership team has a strong academic background, with degrees from prestigious institutions, contributing to the company's strategic direction[193][200] Stock Options and Incentive Plans - The company adopted the 2024 Share Plan on June 20, 2024, terminating the 2015 Equity Incentive Plan, aligning with the current requirements of the Listing Rules[146] - The maximum number of Class A ordinary shares that may be issued to service providers under the 2024 Share Plan is 5,745,925 shares, equivalent to 1% of the total issued shares as of June 20, 2024[166] - The total number of options or awards that may be issued for the fiscal year 2024 under the 2015 Equity Incentive Plan and the 2024 Share Plan is 250,000 shares, representing approximately 0.05% of the weighted average of the issued Class A ordinary shares[146] - The total number of unexercised restricted stock units as of December 31, 2024, was 5,810,000 and 4,224,750, accounting for approximately 0.95% and 0.69% of the total shares issued, respectively[154]

Customer Metrics - The number of IoT PaaS customers decreased from 5,108 in 2022 to 3,966 in 2023, and is projected to decline slightly to 3,710 in 2024, primarily due to macroeconomic headwinds and a focus on high-quality customers [549]. - The number of premium IoT PaaS customers increased from 265 in 2023 to 298 in 2024, reflecting successful product enhancement efforts and a focus on long-term partnerships [551]. - The dollar-based net expansion rate for IoT PaaS improved significantly, reaching 122% as of December 31, 2024, compared to 51% in 2022, driven by increasing demand and effective customer-focused strategies [556]. Revenue and Profitability - Total revenue for 2023 was US$229.99 million, with IoT PaaS contributing US$167.69 million, representing 72.9% of total revenue [558]. - Revenue increased by 29.8% from US$230.0 million in 2023 to US$298.6 million in 2024, driven by growth in IoT PaaS and Smart Solution revenue [579]. - Net profit for 2024 was US$5.0 million, marking the first fiscal year of net profitability on a GAAP basis, compared to a net loss of US$60.3 million in 2023 [591]. - The company recorded a net loss of US$146.2 million in 2022, reduced to a net loss of US$60.3 million in 2023, and achieved a net profit of US$5.0 million in 2024, marking its first year of GAAP profitability [596][598]. - Non-GAAP adjusted profit improved from a loss of US$77.2 million in 2022 to a profit of US$20.4 million in 2023, and further to US$75.3 million in 2024 [596]. Cost and Efficiency - The cost of revenue for IoT PaaS decreased from 43.2% of revenue in 2022 to 38.4% in 2024, indicating improved efficiency and economies of scale [563]. - Cost of revenue rose by 27.4% from US$123.3 million in 2023 to US$157.2 million in 2024, in line with revenue growth [580]. - Gross profit for IoT PaaS increased from US$62.92 million in 2022 to US$102.26 million in 2024, with gross margin improving from 41.1% to 47.1% [565]. - Gross profit increased by 32.6% from US$106.7 million in 2023 to US$141.4 million in 2024, with gross margin improving from 46.4% to 47.4% [581]. - Research and development expenses are primarily driven by employee-related costs and cloud infrastructure, indicating a continued investment in innovation [566]. - Research and development expenses decreased by 7.1% from US$102.3 million in 2023 to US$95.0 million in 2024, due to strategic streamlining [585]. - General and administrative expenses fell by 15.4% from US$80.7 million in 2023 to US$68.3 million in 2024, primarily from reduced credit-related impairments [587]. Segment Performance - The Smart Solution segment, rebranded in 2024, generated revenue of US$41.97 million, accounting for 14.0% of total revenue [558]. - IoT PaaS revenue grew by 29.4% from US$167.7 million in 2023 to US$217.1 million in 2024, with a dollar-based net expansion rate increasing to 122% [583]. - Smart Solution revenue surged by 58.3% from US$26.5 million in 2023 to US$42.0 million in 2024, reflecting rising customer demand [583]. Cash Flow and Investments - As of December 31, 2024, the company had US$847.9 million in cash and cash equivalents and short-term investments, with US$537.7 million held in Hong Kong [597]. - The net cash generated from operating activities was US$36.4 million in 2023 and increased to US$80.4 million in 2024 [599][600]. - The company generated US$107.4 million from investing activities in 2024, primarily from the disposal of short-term investments [603]. - Capital expenditures increased significantly from US$0.7 million in 2022 to US$13.1 million in 2024, indicating a focus on growth and infrastructure [610]. - The company has US$6.7 million in remaining non-cancellable contractual commitments related to third-party cloud infrastructure agreements as of December 31, 2024 [611]. - The company incurred share-based compensation expenses of US$67.8 million in 2024, impacting the difference between net profit and cash generated from operating activities [600]. - The company aims to finance future working capital and capital expenditures through anticipated cash generated from operations and financing activities [598]. International Operations and Currency Impact - The company operates internationally with local offices in multiple regions, expecting continued growth in international activities [545]. - The financial statements are affected by currency translation, particularly as revenue is predominantly denominated in RMB while reporting is in U.S. dollars [545]. Strategic Focus - The company has prioritized enhancing its AI cloud platform and products to support long-term growth and efficiency [596].

Core Insights - Tuya Smart emphasizes the integration of AI and IoT at the 2025 TUYA Global Developer Summit, showcasing its commitment to advancing AIoT technologies [1] - The company introduced its AI Agent Development Platform and three major technology engines—Tuya.AI, TuyaOpen, and HEDV—to enhance developer capabilities and accelerate AI commercialization [1] AI Agent Development Platform - The AI Agent Development Platform provides developers with tools to manage intelligent agents, integrating global large language models for seamless functionality [2] - Developers can create customized smart agents for various applications, enhancing user experiences [3] Tuya.AI - Tuya.AI offers comprehensive AI hardware development solutions, addressing challenges in mass production and enabling rapid market access for developers [4][5] - The platform allows for quick integration of AI capabilities into smart devices, significantly improving commercial value and reducing time-to-market [5] TuyaOpen - TuyaOpen is an open-source development framework aimed at fostering innovation in the AIoT industry, supporting a wide range of creative implementations [6][7] - It inherits capabilities from TuyaOS and integrates an AI inference engine, facilitating cloud-edge integration and expediting product commercialization [8] HEDV - The HEDV edge computing platform addresses the need for robust data security and customized development in complex business scenarios [9][10] - It features a distributed architecture for flexible deployment, ensuring data security while maintaining scalability for high-concurrency environments [11] Future Outlook - Tuya aims to empower global developers with advanced tools for AIoT implementation, fostering innovation and driving the commercial era of AIoT [12]

4月23日，全球化 AI 云开发者平台——涂鸦智能举办的2025 TUYA 全球开发者大会在深圳开幕，汇聚 全球智能硬件开发者与产业先锋，共探产业智能化转型。作为 AI 硬件技术与生态共建的重要力量，火 山引擎智能算法负责人吴迪受邀出席主论坛圆桌，围绕 "AI 如何重塑行业生态"分享了火山引擎在 AI+IoT 领域的洞察。 涂鸦智能是全球领先的 AI 云平台服务提供商，致力于构建智慧解决方案的 AIoT 开发者生态，赋能万物智能。 吴迪指出，未来几年 AIoT 芯片与端侧能力将呈几何级爆发，端侧需承担"数据优化师"角色——提供更 精确的传感器输入、更聪明的信息预处理、低功耗低延迟完成意图识别。云侧则依托大模型处理高难 度、高智商的任务。 关于端云协同，吴迪补充道，在断网或高隐私场景下，AIoT 与端模型不可或缺；联网时，端侧完成预 处理后与云侧大模型协作处理复杂任务。长期来看，端侧与云侧互为增益、深度协同。端侧越强，采集 数据越丰富，反哺云侧大模型智能提升；云侧越智能，越能推动用户拥抱 AGI 与智能硬件，形成正向 循环。 依托 ASR 能力，涂鸦智能 AI 产品语音指令识别准确率提升超20%，日常或嘈杂环境 ...

为了帮助个人开发者有效降低开发智能产品的门槛，涂鸦之前推出过完全开源、充分开放的开发框架--- TuyaOpen Framework 。 它基于涂鸦沉淀十年 潜心研发的 TuyaOS 操作系统 所构建 ， 不仅拥有跨平台、跨系统、组件化和安全合规等核心特性，而且更加开放极具可玩性，目前已经经过全球亿级 设备和百万级用户的验证，一经推出就受到了广大开发者的欢迎。 TuyaOpen+AI=无限可能 开发者可以无缝调用国内合规的大模型（如 DeepSeek、通义千问、豆包等），或灵活对接海外顶尖的 AI 大模型服务（如 ChatGPT、Claude、Gemini 等）； 通过涂鸦多样化的工具生态，开发者能够实现文字和语音对话、图片生成、视频生成等多种 AI 功能； 此外，TuyaOpen 支持行业内主流的开源软硬件生态，开发者可以轻松地将项目移植和部署到任意芯片或开发板上。使 开发者能够快速体验 Al 技术带来的 创新，并加速产品开发周期。 功能亮点与应用价值 1、功能亮点 1.1 开放生态，降低开发门槛 因此，涂鸦本次火力全开， 通过深度融合 AI 大模型能力，再次重磅升级 TuyaOpen Framework ...

Core Viewpoint - Tuya Smart's former CFO Liu Yao has joined xTool, a Shenzhen-based laser engraving machine company, to prepare for its potential IPO in Hong Kong or the US [1] Group 1: Company Developments - Liu Yao has extensive experience, having completed over $10 billion in financing projects and served as CFO at Tuya Smart, which went public on the NYSE in 2021 and completed a dual listing in Hong Kong in 2022 [1] - xTool, established in 2021 under the parent company Makeblock, focuses on consumer-grade laser engraving and cutting machines, transitioning from its initial industrial-grade laser equipment [2] - xTool's revenue exceeded 1 billion yuan in 2023, with projections for 2024 revenue between 2 billion to 3 billion yuan [1] Group 2: Strategic Moves - xTool is exploring product diversification beyond laser printers, having participated in the B-round financing of Snapmaker, a company specializing in 3D printers [2] - The company aims to leverage Liu Yao's financial expertise to enhance its market position and facilitate the upcoming IPO process [1]

Group 1 - xTool has surpassed 2 billion in revenue, driven by strong demand in the overseas DIY market, although the industry is becoming increasingly crowded [2] - iMile reported a 52% year-on-year increase in logistics orders during Ramadan, achieving a record high and demonstrating strong capabilities in the Middle East logistics market [4][6] - Ningde Times and Sinopec have signed a framework agreement to build over 500 battery swap stations this year, with a long-term goal of expanding to 10,000 stations [7] Group 2 - In 2024, China became the largest source of car imports for the EU, with an import value of 12.7 billion euros, marking a 1591.3% increase from 2019 [7] - Tesla's sales in Europe have sharply declined, with a 36.8% year-on-year decrease in France and a 63.9% drop in Sweden for March [7] - A surge in interest for "A+H" listing models is observed as mainland companies increasingly seek to go public in Hong Kong, enhancing market liquidity and activity [9]

Core Viewpoint - Liu Yao, former CFO of Tuya Smart, has joined Shenzhen-based laser engraving machine startup xTool, where he will oversee financial and operational aspects. xTool, established in 2021, focuses on laser engraving and cutting machines for various sectors including personal creation, education, and industry. The company is projected to achieve revenue between 2 billion to 3 billion yuan in 2024, following a revenue of over 1 billion yuan in 2023 [1][2]. Company Overview - xTool is a brand under Makeblock, founded in 2021, and specializes in laser engraving and cutting machines. The founder, Wang Jianjun, has a background in aerospace engineering and has maintained a low public profile [1][2]. - The company transitioned from industrial-grade laser equipment to consumer-grade products, leveraging Makeblock's supply chain and marketing channels to become a leading brand in its niche [3]. Financial Performance - xTool's revenue exceeded 1 billion yuan in 2023, with expectations to reach between 2 billion to 3 billion yuan in 2024 [1][2]. - The company has successfully crowdfunded its flagship product, xTool M1, raising over 2.6 million USD in 2021, and its latest clothing printing machine has raised nearly 5 million USD on Kickstarter [3]. Market Dynamics - The global laser engraving machine market was valued at 658 million USD in 2023 and is projected to grow to 1.88 billion USD by 2030, with a compound annual growth rate (CAGR) of 14.67% [4]. - The demand for DIY products has surged, particularly during the pandemic, leading to increased interest in laser engraving machines [4]. Competitive Landscape - While xTool is currently a leading player in the market, it faces competition from emerging brands like Flux and Snapmaker. The industry is becoming crowded, prompting xTool to explore product diversification beyond laser engraving machines [5]. - xTool has participated in the B-round financing of Shenzhen Fast Manufacturing Technology Co., which focuses on 3D printers, indicating a strategic move towards expanding its product offerings [5]. Strategic Importance of Leadership - Liu Yao's extensive experience in strategic planning and fundraising, particularly from his tenure at Swiss Bank, is expected to be crucial for xTool's growth and potential public listing [2][6].