Financial Performance - Revenue for the six months ended June 30, 2024, was $2,067 million, an increase of 15.9% compared to $1,784 million for the same period in 2023[2] - Profit for the six months ended June 30, 2024, was $33 million, compared to a loss of $9 million for the same period in 2023[2] - Basic earnings per share attributable to the company's owners for the six months ended June 30, 2024, was 0.46 cents, compared to a basic loss per share of 0.13 cents for the same period in 2023[2] - Operating profit for the six months ended June 30, 2024, was $93.175 million, up from $47.170 million in the same period in 2023[3] - The company reported a total comprehensive loss of $51.780 million for the six months ended June 30, 2024, compared to a total comprehensive loss of $74.630 million for the same period in 2023[4] - The company reported a profit before tax of $61,395 thousand for the six months ended June 30, 2024, compared to $7,525 thousand for the same period in 2023, indicating a strong improvement in financial performance[14][17] - The net profit attributable to the company's owners for the six months ending June 30, 2024, was $32,524,000, compared to a loss of $8,952,000 in the same period of 2023[28] - The company recorded a net profit of $33 million for the six months ended June 30, 2024, compared to a net loss of $9 million in the same period of 2023[49] Revenue Breakdown - The revenue from the semi-finished products segment was $1,765,915 thousand, while the consumer goods segment generated $300,845 thousand, indicating a significant contribution from the semi-finished products[15][16] - Major customers contributed significantly to revenue, with Customer A generating $812,794 thousand and Customer B contributing $244,853 thousand for the six months ended June 30, 2024[21] - The geographical revenue breakdown shows that the United States contributed $906,525 thousand, followed by China at $347,731 thousand, highlighting the importance of these markets[19] - Revenue from the smartphone component market decreased by 4.8% year-over-year, while revenue from the network infrastructure market increased by 19.2% due to AI-driven demand[36] - The electric vehicle market revenue surged by 217.0% year-over-year, bolstered by the acquisition of Prettl SWH Group[36] - Revenue from the electric vehicle segment increased by 217.0% to $227 million, primarily due to the acquisition of FIT Voltaira Group GmbH[42] - Revenue from network infrastructure increased by 19.2% to $261 million, attributed to a rebound in copper-based component shipments[42] - Revenue from system terminal products grew by 14.2% to $672 million, driven by new business from high-end wireless Bluetooth headsets[42] Assets and Liabilities - Total assets as of June 30, 2024, were $4,963 million, a decrease from $5,093 million as of December 31, 2023[5] - Total liabilities as of June 30, 2024, were $2,577 million, compared to $2,656 million as of December 31, 2023[6] - Cash and cash equivalents as of June 30, 2024, were $1,025 million, down from $1,316 million as of December 31, 2023[5] - Total bank borrowings increased to $1,501 million as of June 30, 2024, compared to $1,383 million as of December 31, 2023, with short-term borrowings at $902 million and long-term borrowings at $599 million[50] - The debt-to-equity ratio rose to 13.9% as of June 30, 2024, compared to 2.6% as of December 31, 2023[57] Expenses - The operating expenses for the six months ended June 30, 2024, were $352,180 thousand, which reflects the company's cost management strategies[14] - The total expenses for the six months ending June 30, 2024, were $1,997,645,000, compared to $1,757,560,000 in the same period of 2023[24] - Distribution and sales expenses rose by 31.9% to $62 million, mainly due to the integration of FIT Voltaira Group GmbH[44] - Administrative expenses increased by 66.2% to $118 million, reflecting the increase in personnel following the acquisition[45] - R&D expenses increased by 23.7% to $172 million, driven by increased investment in new product development[46] - Employee benefits expenses totaled $461 million for the six months ended June 30, 2024, up from $358 million for the same period in 2023[59] Dividends and Shareholder Information - The company did not declare any interim dividend for the six months ended June 30, 2024[2] - The company did not declare any interim dividends for the six months ending June 30, 2024, consistent with the previous year[31] - The company reported a total of 7,085,255,000 weighted average shares outstanding for the six months ending June 30, 2024[28] Market Outlook and Strategy - The company anticipates that the new accounting standards and amendments will not have a major impact on its consolidated interim financial information[12] - The company anticipates stable market demand in the second half of 2024, despite economic uncertainties and inflation affecting consumer spending[37] - The company is focusing on expanding its electric vehicle product offerings and enhancing its data transmission systems through the acquisition of FIT Voltaira Group GmbH[38] - The company expects growth in system terminal products driven by increasing demand for acoustic and wireless fast-charging products in the consumer electronics market[38] Compliance and Governance - The company has adopted a prudent foreign exchange hedging policy to mitigate foreign exchange risks[61] - The company has complied with all applicable corporate governance code provisions during the reporting period[65] - The independent auditor reviewed the interim financial information in accordance with international auditing standards[63] - The company has implemented restricted stock incentive plans to align employee interests with shareholder value[72] - The company has a compensation committee to oversee executive remuneration, promoting accountability[73] Foreign Exchange and Risk Management - The company has a foreign exchange risk due to operations in multiple currencies, primarily USD, TWD, and RMB, which can significantly impact financial performance[61] - As of June 30, 2024, the company has forward foreign exchange contracts with a nominal principal amount of $100 million for hedging purposes[61] Acquisitions and Investments - The company entered into a conditional sale agreement to acquire certain assets and shares of Auto-Kabel Group for €72.5 million, subject to adjustments[64] - There were no significant investments, acquisitions, or disposals during the six months ended June 30, 2024[53]
FIT HON TENG(06088) - 2024 - 中期业绩