HIGHLY(SH:600619)2025-04-29 08:48Financial Performance - The company's operating revenue for 2024 reached ¥18,747,075,574.94, representing a 10.08% increase compared to ¥17,030,741,715.80 in 2023[22]. - The net profit attributable to shareholders for 2024 was ¥33,848,546.92, up 10.93% from ¥30,512,924.40 in 2023[22]. - The net cash flow from operating activities increased by 53.27% to ¥1,643,111,567.53 in 2024, compared to ¥1,072,005,355.52 in 2023[23]. - The total assets of the company at the end of 2024 were ¥23,494,568,287.06, a 10.44% increase from ¥21,274,525,084.60 at the end of 2023[22]. - The basic earnings per share remained stable at ¥0.03 for 2024, unchanged from 2023[23]. - The weighted average return on equity increased to 0.55% in 2024, up from 0.50% in 2023[23]. - The company achieved operating revenue of 18.747 billion yuan, a year-on-year increase of 10.08%[33]. - The gross profit margin was 13.52%, up 1.71 percentage points year-on-year[33]. - Net profit attributable to shareholders was 33.85 million yuan, representing a year-on-year growth of 10.93%[33]. - The company reported a significant increase in revenue, achieving a total of 36 billion yuan for the fiscal year, representing a 15% year-over-year growth[132]. Dividend and Share Capital - The company plans to distribute a cash dividend of 0.13 RMB per 10 shares, totaling approximately 13.95 million RMB, which represents 41.22% of the net profit attributable to ordinary shareholders for the year 2024[6]. - The total share capital as of December 31, 2024, is 1,073,344,406 shares[6]. - The company does not plan to increase capital reserves or issue new shares this year[6]. - The company distributed cash dividends of 0.10 RMB per 10 shares, totaling 10,777,690.06 RMB, which represents 41.22% of the net profit attributable to ordinary shareholders[154][157]. - Over the last three accounting years, the cumulative cash dividend amount (including tax) reached 35,563,961.40 RMB, with an average annual net profit of 33,272,563.76 RMB[160]. Risks and Challenges - The company faces various risks including industry environment risks, technology risks, trade friction, and legal litigation risks[9]. - The management's future operational outlook is based on current economic policies and market conditions, and does not constitute a performance commitment[9]. - The company anticipates challenges in the home appliance industry, particularly in air conditioning, due to global economic uncertainties and a potential weakening of consumer stimulus policies[108]. - The company is addressing risks from global trade policies and tariffs by optimizing its supply chain and enhancing regional capabilities[110]. - The company has seen an increase in litigation cases due to business expansion, which may negatively impact future performance if outcomes are unfavorable[112]. - The company has established a strict credit limit control and legal risk management to mitigate potential losses from litigation[112]. Research and Development - The company has 1,530 R&D personnel, accounting for 17% of the total workforce[71]. - R&D projects focus on energy-saving, emission reduction, and material conservation, including the development of new energy vehicle thermal management systems and R290 high-efficiency variable frequency compressors[72]. - The company is committed to increasing R&D investment and expanding its research team to enhance technological capabilities and maintain industry leadership[109]. - The company invested 500 million yuan in research and development for new technologies in the past year, aiming to lead in energy efficiency[132]. Strategic Initiatives - The company is focusing on new product development in the automotive parts sector, securing multiple new projects with major clients such as Geely and BYD[35]. - A three-year technology action plan has been established to enhance technological development and research capabilities[39]. - The company is enhancing its strategic management capabilities through a closed-loop management model integrating strategy, budget, and performance[36]. - The company is advancing its integrated management system to strengthen centralized control and improve operational efficiency[38]. - The company aims for high-quality development, focusing on energy conservation and smart technology, while expanding into the automotive parts sector[98]. - The company plans to enhance its global operations and smart manufacturing capabilities, aiming to become a leader in core components and related industries[98]. Environmental and Social Governance (ESG) - The company has implemented a comprehensive ESG governance structure to accelerate green transformation and sustainability efforts[42]. - The company invested CNY 1,173.8 million in environmental protection during the reporting period[169]. - The company achieved a reduction of 29,444 tons in carbon emissions through green electricity consumption and renewable energy initiatives, with a total renewable energy consumption of 54.87 million kWh[184]. - The company has committed to a green low-carbon operational system, enhancing its energy structure through agreements for green electricity procurement[184]. - The company has established an environmental self-monitoring plan to ensure compliance with emission standards and regularly publishes monitoring results[179]. Management and Governance - The company has a robust governance structure in place, ensuring compliance with relevant laws and regulations, and protecting the rights of stakeholders[118]. - The company maintains independence from its controlling shareholder, Electric Holdings, in terms of assets, personnel, finance, and operations[120]. - The company is actively enhancing its internal governance and financial control processes to improve operational efficiency[119]. - The company has implemented strict internal controls and audits for its foreign exchange trading to manage operational risks effectively[91]. - The company has ongoing appointments and changes in senior management roles[136]. Market and Sales Performance - The company sold 37.34 million rotary compressors, a year-on-year increase of 23.7%, significantly outpacing the industry growth of 14.1%[33]. - Export sales reached 7.3 million units, marking a historical high with a year-on-year growth of 35.1%[33]. - The production scale of household air conditioners in China is projected to reach 20.16 million units in 2024, with a year-on-year growth of 19.5%[44]. - The rotor compressor industry in China is expected to achieve a production volume of 29.59 million units in 2024, marking a year-on-year increase of 13.5%[44]. - The total sales volume of new energy vehicles in China is anticipated to reach 1.29 million units in 2024, reflecting a year-on-year growth of 34.4%[46]. Financial Management - The company’s financial expenses increased by 55.00% due to a rise in exchange losses compared to the previous year[55]. - The company reported a decrease in credit impairment losses of 4.6 million RMB year-on-year, primarily due to a reduction in the provision for accounts receivable[56]. - The company’s investment losses increased by 8.23 million RMB year-on-year, primarily due to higher losses from long-term equity investments in joint ventures[56]. - The company has seen an increase in receivables and sales rebates during the reporting period[82]. - The company has a performance evaluation mechanism for senior management based on annual operational targets set by the board of directors[162]. Compliance and Audit - The company plans to appoint Ernst & Young Hua Ming as the financial audit institution for 2024, ensuring compliance with audit requirements[143]. - The internal control audit report issued by Ernst & Young confirmed that the company maintained effective financial reporting internal controls in all material aspects[164]. - The company has not faced any delisting risks or bankruptcy restructuring matters during the reporting period[196]. - The company has maintained a good integrity status, with no significant debts overdue or unfulfilled court judgments during the reporting period[196].