Revenue and Growth - Total revenue for the year ended December 31, 2024, was RMB 6,693.1 million, representing a 15% year-on-year increase[3]. - Revenue from the new energy segment increased by 24% to RMB 3,462.0 million, contributing 52% to total revenue[3][10]. - The intelligent driving and networking segment saw a significant revenue growth of 27%, accounting for 8% of total revenue[10]. - The overall automotive market in China grew by 4.5% in 2024, with new energy vehicle sales increasing by 35.5% and achieving a market share of 40.9%[7]. - The group's revenue from the new energy sector increased by 24% year-on-year to RMB 3,462.0 million, accounting for 52% of total revenue as of December 31, 2024[12]. - The body system business recorded an 11% growth to RMB 1,035.3 million, representing 15% of total revenue, driven primarily by domain controller applications[14]. - The intelligent driving and networking business revenue grew by 27% year-on-year to RMB 513.9 million, accounting for 8% of total revenue, supported by rising OEM assembly rates[15]. - Revenue for the year ended December 31, 2024, increased to RMB 6,693,118 thousand, representing a growth of 15.4% compared to RMB 5,802,330 thousand in 2023[60]. - Revenue from mainland China was RMB 6,419,743 thousand, up from RMB 5,623,425 thousand in 2023, reflecting a growth of 14.2%[69]. Profitability and Margins - Gross profit was RMB 968.6 million, with a gross margin of 14.5%, down 4.2 percentage points from the previous year[11]. - Net profit attributable to shareholders was RMB 208.6 million, a decrease of 34% compared to RMB 317.4 million in the previous year, resulting in a net profit margin of 3.1%[11]. - Basic and diluted earnings per share were both RMB 19.18, reflecting a 34% decline from the previous year[3]. - The gross profit decreased by 11% to RMB 968.6 million, with the gross margin dropping from 18.7% in 2023 to 14.5% in 2024[29]. - Net profit decreased by 35% to RMB 204.2 million from RMB 312.5 million in the previous year, attributed to lower gross margins[36]. - Other income and gains fell by 44% to RMB 46.4 million, primarily due to a decrease in fair value gains on financial assets[30]. - The group reported a pre-tax profit of RMB 492,441 thousand for 2024, down from RMB 531,950 thousand in 2023, a decrease of 7.4%[78]. Research and Development - The company maintained R&D expenses at 7.4% of total revenue, amounting to RMB 493.1 million[11]. - R&D expenses for the year were RMB 493.1 million, a decrease of 5.2% year-on-year, representing approximately 7.4% of total revenue[19]. - The company has achieved significant advancements in R&D capabilities, including the establishment of a new testing system compliant with IEC61000-4-4/5 and GB/T17626.4/5 standards[20]. - The Nantong R&D base, covering over 13,000 square meters, has commenced trial operations for electric control power modules and is set to expand its capacity by 2026[21]. - The company plans to continue high R&D investment, maintaining a "light asset, heavy R&D" strategy to enhance research efficiency and product quality[24]. Financial Position and Costs - Financial costs increased by 11% year-on-year due to higher loan amounts associated with business expansion[11]. - Administrative expenses for the year amounted to RMB 561.4 million, a decrease of 6% compared to 2023, with R&D expenses totaling RMB 493.1 million, representing 7.4% of revenue, down 5% year-over-year[32]. - Financing costs increased by 11% to RMB 110.8 million due to increased bank borrowings to support business development and ensure sufficient working capital[34]. - As of December 31, 2024, cash and cash equivalents totaled RMB 916.2 million, up from RMB 517.0 million in 2023, with net current assets valued at RMB 1,716.4 million[37]. - The company’s net debt-to-equity ratio improved to 50% from 51% in the previous year, with outstanding bank loans increasing to RMB 2,038.4 million[37]. - The total current tax expense for mainland China in 2024 is RMB 91,000, a decrease from RMB 123,000 in 2023[83]. Employee and Corporate Governance - As of December 31, 2024, the group employed 1,308 employees, a decrease from 1,539 employees as of December 31, 2023[45]. - The total employee cost amounted to RMB 584.9 million, representing 8.7% of the group's revenue for the year, compared to RMB 597.7 million in 2023[45]. - The board proposed a final dividend of HKD 0.063 per share for the year ended December 31, 2024, down from HKD 0.098 per share in 2023[55]. - The company has maintained a public float of at least 25% of its issued share capital as required by listing rules[58]. - The company has complied with all applicable corporate governance code provisions, except for the separation of the roles of Chairman and CEO[48]. Market and Strategic Initiatives - The company is focusing on enhancing its market share and cost control through increased production and diversified solutions[11]. - The group aims to deepen cooperation with leading AI chip manufacturers to enhance domestic technology applications and innovations[17]. - The group has established long-term partnerships with international leading component suppliers for intelligent driving development projects, aiding in international market expansion[16]. - The intelligent driving network solutions business is expected to grow, with collaborations with semiconductor partners like Infineon and Horizon yielding results[23]. - The company anticipates adding over 150 new mass production projects, focusing on export markets and international business expansion[25]. Other Financial Information - The total assets as of December 31, 2024, amounted to RMB 6,110,273 thousand, an increase from RMB 5,543,352 thousand in 2023[62]. - Current assets increased to RMB 5,037,226 thousand, up from RMB 4,570,992 thousand in the previous year, indicating a growth of 10.2%[62]. - Non-current liabilities totaled RMB 308,219 thousand, up from RMB 285,885 thousand in 2023, reflecting an increase of 7.8%[63]. - The total equity attributable to the parent company owners increased to RMB 2,479,826 thousand from RMB 2,352,790 thousand in 2023, a growth of 5.4%[63]. - The group recognized contract liabilities of RMB 48,433 thousand in 2024, down from RMB 81,787 thousand in 2023, a decrease of 40.7%[73]. - The group received government grants totaling RMB 12,777 thousand in 2024, compared to RMB 11,531 thousand in 2023, an increase of 10.8%[77].
英恒科技(01760) - 2024 - 年度业绩