Revenue and Profitability - Revenue for the six months ended June 30, 2024, was $2,098,927 thousand, a slight decrease of 0.1% compared to $2,101,830 thousand for the same period in 2023[2] - Gross profit increased to $210,927 thousand, up 10.5% from $190,831 thousand in the previous year[2] - Operating profit decreased to $41,311 thousand, down 11.0% from $46,818 thousand in the prior period[2] - Net profit for the period was $23,061 thousand, a decline of 38.4% compared to $37,402 thousand in the same period last year[2][3] - Basic and diluted earnings per share for the period were $0.006, down from $0.014 in the previous year[2] - Adjusted EBITDA for the six months ended June 30, 2024, was $197,295 thousand, an increase from $186,134 thousand in the same period of 2023, representing a growth of 5.8%[21] - The company reported a net profit before tax of $40,790 thousand for the six months ended June 30, 2024, down from $45,799 thousand in 2023, a decrease of 11%[21] - The net profit attributable to equity holders for the six months ended June 30, 2024, was $15.7 million, representing 0.7% of total revenue, a decrease of $18.3 million from $34.0 million (1.6% of total revenue) for the same period in 2023[51] Assets and Liabilities - Total assets as of June 30, 2024, were $3,359,230 thousand, a decrease from $3,404,593 thousand as of December 31, 2023[5][7] - Total liabilities decreased to $1,364,231 thousand from $1,393,752 thousand at the end of 2023[7] - Accounts receivable totaled $806.5 million as of June 30, 2024, compared to $752.2 million on December 31, 2023, with a provision for impairment of $6.2 million[36] - The company’s accounts payable amounted to $810.3 million as of June 30, 2024, down from $833.4 million on December 31, 2023[39] - As of June 30, 2024, total borrowings amounted to $47.9 million, a decrease of $1.2 million from $49.1 million as of December 31, 2023[69] Market Performance - North America generated $664,380 thousand in revenue for the six months ended June 30, 2024, down from $709,033 thousand in 2023, a decrease of 6.3%[22] - The Asia-Pacific region, particularly China, saw revenue increase to $524,420 thousand in 2024 from $464,570 thousand in 2023, marking a growth of 12.9%[22] - The North America segment's revenue decreased by $75.5 million or 6.3% due to poor market performance of specific customer projects and the conclusion of several customer projects in 2023[47] - The Asia-Pacific segment's revenue increased by $50.6 million or 9.3%, driven by a significant number of new projects launched in recent years, despite a 21.0 million adverse impact from foreign currency translation[48] - The Europe, Middle East, Africa, and South America segment's revenue increased by $5.2 million or 1.4%, despite a decline in light vehicle production in Europe and South America[49] Costs and Expenses - The cost of goods sold, including inventory used, was $1,339,211,000 for the six months ended June 30, 2024, compared to $1,391,251,000 in 2023, reflecting a decrease of approximately 3.7%[27] - Employee labor and benefits costs increased to $322,679,000 from $288,777,000, marking an increase of about 11.7%[27] - The total administrative expenses for the six months ended June 30, 2024, were $2,059,040,000, slightly up from $2,056,312,000 in 2023[27] - Engineering and product development costs for the six months ended June 30, 2024, were $88.6 million, representing 4.2% of revenue, an increase of $20.6 million or 30.3% from $68.0 million (3.2% of revenue) for the same period in 2023[54] - Selling, distribution, and general and administrative expenses for the six months ended June 30, 2024, were $82.4 million, accounting for 3.9% of revenue, an increase of $5.1 million or 6.6% from $77.3 million (3.7% of revenue) for the same period in 2023[56] Foreign Exchange and Taxation - The company reported a foreign exchange loss of $25,256 thousand for the period, compared to a loss of $10,086 thousand in the previous year[4] - The income tax expense for the six months ended June 30, 2024, was $17,729,000, compared to $8,397,000 for the same period in 2023, indicating a significant increase of approximately 111.0%[30] - The group's income tax expense for the six months ended June 30, 2024, was $17.7 million, representing 43.5% of pre-tax profit, an increase of $9.3 million from $8.4 million (18.3%) for the same period in 2023[60] Strategic Focus and Future Outlook - The company continues to focus on expanding its market presence in North America, Europe, and Asia, particularly in the development of advanced driver-assistance systems (ADAS) and autonomous driving technologies[8] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[20] - The company aims to maintain a leading position in advanced steering and powertrain systems, focusing on electrification, driving assistance, and ADAS technology[75] Corporate Governance and Compliance - The company has adopted internal controls and corporate governance policies in compliance with the Hong Kong Corporate Governance Code[78] - The chairman and CEO roles are distinct, with the current chairman also serving as CEO since June 21, 2022, to provide consistent leadership[79] - All directors confirmed compliance with the standard code of conduct for securities trading as of June 30, 2024[81] - The company has adopted a risk management and internal control system, which is regularly reviewed for effectiveness[82]
耐世特(01316) - 2024 - 中期业绩