力劲科技(00558) - 2025 - 年度财报

Company Overview Company Profile L.K. Technology Group is a global leader in die-casting machines, injection molding machines, and CNC machining centers, with production and R&D bases in China and Italy, and sales operations in the US and India - The Group primarily engages in the design, manufacturing, and sales of three major product series: die-casting machines, injection molding machines, and computer numerical control (CNC) machining centers[10] - The Group has production bases and R&D centers in Shenzhen, Zhongshan, Ningbo, Shanghai, Fuxin, Kunshan, Taiwan, and Italy, with sales and service companies in the United States and India to expand overseas markets[10] Chairman's Statement This fiscal year, the Group achieved HKD 5.82 billion in revenue and HKD 403 million in net profit, actively investing in magnesium alloy die-casting R&D to capitalize on lightweighting trends in new energy vehicles and robotics FY2024/25 Performance Overview | Metric | Amount (HKD Millions) | % of Total Revenue | | :--- | :--- | :--- | | Operating Revenue | 5,824.9 | 100% | | Gross Profit | 1,597.2 | - | | Net Profit | 403.0 | - | | Die-Casting Segment Revenue | 3,866.6 | 66.4% | | Injection Molding Segment Revenue | 1,757.5 | 30.2% | | CNC Machining Center Revenue | 200.8 | 3.4% | - Automotive lightweighting and robotics industry growth are expected to significantly boost demand for magnesium alloy castings, with market forecasts indicating a global CAGR of 34% for automotive lightweighting (2024-2027) and 93% for humanoid robot magnesium alloy demand (2024-2030)[12][13] - The Group is actively seizing growth opportunities in the magnesium alloy die-casting market, expanding direct R&D investment, and committed to deepening integrated die-casting solutions for new energy vehicles[13] Financial Highlights This fiscal year, the Group's revenue remained stable at HKD 5.825 billion, while gross profit increased by 0.6%; however, operating profit and net profit declined by 18.7% and 22.2% respectively, with cash and cash equivalents decreasing by 34.3% Financial Highlights (As of March 31) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Operating Performance | | | | | Revenue (HKD Thousands) | 5,824,959 | 5,837,373 | -0.2% | | Gross Profit (HKD Thousands) | 1,597,207 | 1,588,260 | 0.6% | | Gross Margin | 27.4% | 27.2% | 0.2% | | Operating Profit (HKD Thousands) | 535,720 | 658,751 | -18.7% | | Net Profit (HKD Thousands) | 403,041 | 517,739 | -22.2% | | Basic Earnings Per Share (HK Cents) | 25.7 | 35.3 | -27.2% | | Financial Position (As of March 31) | | | | | Total Assets (HKD Thousands) | 11,914,252 | 10,905,823 | 9.2% | | Cash and Cash Equivalents (HKD Thousands) | 1,560,253 | 2,375,176 | -34.3% | | Total Borrowings (HKD Thousands) | 2,148,860 | 1,792,919 | 19.9% | Management Discussion and Analysis Industry Development Trends and Macroeconomic Environment The automotive industry's shift to new energy, particularly in China with over 40% penetration, drives demand for integrated die-casting and high-precision injection molding, despite global economic uncertainties and trade protectionism - In 2024, China's new energy vehicle sales reached 12.866 million units, a 35.5% year-on-year increase, accounting for 70.5% of the global share, with penetration exceeding 40%[19] - Integrated die-casting technology is widely applied in core components of new energy vehicles, such as body structural parts, rear floors, and battery trays, due to its advantages in weight reduction and efficiency improvement[20] - Trends in automotive intelligence and comfort have increased precision and quality requirements for injection molded products, driving growth in the high-performance injection molding machine market[20][21] - Global economic uncertainty, trade measures, and rising commodity prices have increased cost pressures on the manufacturing industry and suppressed corporate investment willingness[22] Performance and Core Business Analysis The Group's total revenue reached HKD 5.82 billion, with second-half growth of 24.5% driven by a 38.3% half-on-half increase in die-casting machine revenue and 23.3% year-on-year growth in injection molding machines Operating Performance by Business Segment | Business Segment | Revenue (HKD Millions) | YoY/HoH Change | Key Driver | | :--- | :--- | :--- | :--- | | Die-Casting Machine | 3,866.6 | Second-half revenue increased 38.3% HoH | Scaled delivery of ultra-large die-casting machines | | Injection Molding Machine | 1,757.5 | Increased 23.3% YoY | National equipment upgrade policies, rising sales of high-end models | | CNC Machining Center | 200.8 | Increased 19.3% YoY | Management optimization, channel expansion, overseas market growth | - Injection molding machine business revenue in consumer goods, home appliances, packaging, and toy industries increased year-on-year by 62%, 47%, 41%, and 57% respectively, indicating strong market demand[26] - CNC business performed strongly in overseas markets, with sales revenue in Vietnam and Indonesia increasing year-on-year by 53.9% and 28.6% respectively[27] - The Group has partnered with several leading automotive manufacturers and entered a strategic finance lease cooperation with ORIX for its CNC business, accelerating market penetration[28][29] Industry Technology and Application Innovation The Group leads in magnesium alloy forming with its innovative TPI semi-solid technology, which reduces energy consumption by 50% and enhances product toughness by 20%, earning an IMA award for its modular modification solution - Magnesium alloy application in automotive lightweighting is accelerating, with single new energy vehicle magnesium usage reaching 10kg in 2024, significantly higher than 1.5–3kg in 2020, and the magnesium-aluminum price ratio has fallen to a historical low, highlighting its cost advantage[30][31] - The Group's TPI semi-solid magnesium alloy forming technology can transform traditional die-casting machines into semi-solid process systems, reducing energy consumption by 50% and increasing product toughness by 20%[32][33] - TPI technology has formed Micro, Super, and Giga product series, adaptable to 500-ton to 7000-ton die-casting machines, covering demands from small precision parts to ultra-large structural components[33] - The TPI technology's "Modular Modification Solution for Traditional Cold Chamber Die-Casting Machines" received the International Magnesium Association (IMA) "Process Excellence Award" (2024), demonstrating its global technological leadership[34] Future Outlook The Group plans to drive market penetration through a global sales network and a dual R&D strategy, focusing on customized solutions like ultra-large die-casting machines and pioneering technologies such as TPI semi-solid magnesium alloy, while collaborating in new materials and AI - Market Strategy: Leveraging over 60 localized sales and service centers globally to provide 24-hour immediate response services, transforming technological achievements into performance drivers[35][36] - Technology Innovation Strategy: Adopting a dual-track approach of "customized R&D" and "forward-looking R&D", with a successful case of customized R&D being the increase of die-casting machine clamping force from 6000T to the world's largest 16000T[36] - A successful case of forward-looking R&D is the early deployment of TPI semi-solid forming technology during the initial commercialization of magnesium alloys, seizing market opportunities[37] - Future focus will be on new materials (magnesium alloys, composite materials, etc.) and frontier areas (artificial intelligence, low-altitude economy), building technological foundations through collaborative research and early strategic planning[38] Annual Milestones This fiscal year, L.K. Technology achieved significant milestones, including a Guangdong Provincial Science and Technology First Prize for its die-casting technology, a strategic partnership with ORIX, the opening of L.K. Thailand, delivery of a 7000T ultra-large die-casting unit to Europe, and European Inventor and industry contribution awards for its Giga Press and semi-solid technologies - April 2024: The project "Research and Industrial Application of Integrated Die-Casting Equipment for Large Thin-Walled Body Structures," jointly developed with Xpeng and Huazhong University of Science and Technology, won the First Prize of Guangdong Provincial Machinery Industry Science and Technology Award[39] - May 2024: Established a strategic cooperation with ORIX Financial Leasing (China) to jointly explore the intelligent manufacturing equipment market[43] - June 2024: Exported a 7000T ultra-large intelligent die-casting unit to Minth Group's Serbian subsidiary for mass production of European new energy vehicle battery casings and body structural parts[46] - July 2024: Engineers from its subsidiary IDRA won the "2024 European Inventor Award" for "Giga Press" and "5S Injection Technology"[47] - December 2024: The Group received the "Outstanding Contribution Award for Semi-Solid Technology Application" from the China Foundry Association[57] Governance Structure Biographies of Directors and Senior Management This section outlines the backgrounds and qualifications of the company's board members, including three Executive Directors and three Independent Non-Executive Directors, and key senior management personnel - Executive Directors: Ms. Cheung Chiu Hung (Chairperson), Mr. Liu Cho Ming (Chief Executive Officer), Mr. Tse Siu Sze[63] - Independent Non-Executive Directors: Dr. Lau Siu Kei, Dr. Lui Ming Wah, Mr. Luk Tung[64][65][66] Corporate Governance Report The Company maintains high corporate governance standards, with a balanced Board comprising three Executive and three Independent Non-Executive Directors, detailing Board operations, committee functions, risk management, and internal control practices - The Board of Directors comprises 3 Executive Directors and 3 Independent Non-Executive Directors, with separate roles for the Chairman and CEO to ensure checks and balances[71][76] Board and Committee Meeting Attendance | Director Name | Board Meetings | Audit Committee | Nomination Committee | Remuneration Committee | | :--- | :--- | :--- | :--- | :--- | | Ms. Cheung Chiu Hung | 6/6 | Not Applicable | Not Applicable | Not Applicable | | Mr. Liu Cho Ming | 6/6 | Not Applicable | Not Applicable | Not Applicable | | Mr. Tse Siu Sze | 6/6 | Not Applicable | Not Applicable | Not Applicable | | Dr. Lau Siu Kei | 6/6 | 3/3 | 2/2 | 1/1 | | Dr. Lui Ming Wah | 6/6 | 3/3 | 2/2 | 1/1 | | Mr. Luk Tung | 6/6 | 3/3 | 2/2 | 1/1 | - The Audit Committee, Remuneration Committee, and Nomination Committee are all composed of Independent Non-Executive Directors, with one serving as Chairman[83][87][89] - The Group has established a risk management and internal control framework, which the Board annually reviews for effectiveness and deems effective and sufficient[97][98][104] Report of the Directors This report summarizes the Group's core businesses, financial performance, and dividend distribution, including a recommended final dividend of 4.5 HK cents per share, alongside disclosures on shareholdings, incentive schemes, and related party transactions - The Board recommends a final dividend of 4.5 HK cents per share for the year ended March 31, 2025[115] - As of March 31, 2025, controlling shareholder Girgio Industries Limited and its concert parties (including Ms. Cheung and Mr. Liu Cho Ming) collectively held approximately 62.23% of the company's equity[141][142] - Under the share option scheme granted in September 2021, 22,935,000 share options remained unexercised as of the end of this fiscal year[146][147] - This year, the Group had approximately 5,409 employees, with total staff costs amounting to HKD 1.009 billion[185] Financial Report Independent Auditor's Report PricewaterhouseCoopers issued an unmodified opinion on the Group's consolidated financial statements, highlighting the "recoverability of trade receivables" as a key audit matter due to significant management judgment - The auditor believes the consolidated financial statements fairly and truly reflect the Group's financial position and performance, and issued an unmodified opinion[192] - A key audit matter is the "recoverability of trade receivables" because determining their recoverability requires significant management judgment and estimation[197][198][199] - Procedures performed by the auditor for this matter included understanding internal controls, assessing the appropriateness of the provisioning method, and testing the accuracy of expected credit loss calculations, concluding that management's judgments and estimates were sufficiently supported by evidence[200][201] Consolidated Financial Statements This year, the Group's revenue was HKD 5.825 billion (down 0.2%), gross profit was HKD 1.597 billion (up 0.6%), but net profit declined by 22.2% to HKD 403 million, with operating cash flow turning into a net outflow of HKD 225 million Consolidated Statement of Profit or Loss Summary (For the year ended March 31) | Metric (HKD Thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | 5,824,959 | 5,837,373 | | Gross Profit | 1,597,207 | 1,588,260 | | Operating Profit | 535,720 | 658,751 | | Profit Before Income Tax | 475,801 | 598,998 | | Profit for the Year | 403,041 | 517,739 | | Profit Attributable to Owners of the Company | 350,094 | 484,118 | Consolidated Statement of Financial Position Summary (As of March 31) | Metric (HKD Thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Total Non-Current Assets | 3,945,936 | 3,274,900 | | Total Current Assets | 7,968,316 | 7,630,923 | | Total Assets | 11,914,252 | 10,905,823 | | Total Equity | 4,116,554 | 4,016,099 | | Total Non-Current Liabilities | 2,871,873 | 2,734,139 | | Total Current Liabilities | 4,925,825 | 4,155,585 | | Total Liabilities | 7,797,698 | 6,889,724 | Consolidated Statement of Cash Flows Summary (For the year ended March 31) | Metric (HKD Thousands) | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash (Outflow)/Inflow from Operating Activities | (224,810) | 65,939 | | Net Cash Outflow from Investing Activities | (828,216) | (505,103) | | Net Cash Inflow from Financing Activities | 250,977 | 2,225,304 | | Net (Decrease)/Increase in Cash and Cash Equivalents | (802,049) | 1,786,140 | Notes to the Consolidated Financial Statements The notes detail accounting policies, key estimates, and financial items, showing the die-casting business as the primary revenue source, exposure to interest rate and foreign exchange risks, and a gearing ratio shift to 14.3% from a net cash position - Segment information shows that the die-casting machine segment contributed the majority of revenue and profit, with revenue of HKD 3.87 billion and segment results of HKD 475 million[358] - The gearing ratio (net debt/total equity) was 14.3%, compared to a negative value (cash exceeding borrowings) in the prior year, primarily due to increased bank borrowings during the year to enhance production capacity[337] - Loss allowance for trade receivables increased from HKD 126 million at the beginning of the year to HKD 156 million at year-end[329] - The Group has two employee incentive schemes for its Chinese subsidiaries (L.K. Plastic Machinery and Shenzhen L.K.), where contributions are recognized as redeemable liabilities due to repurchase clauses, totaling approximately HKD 241 million[423][425] Five-Year Financial Summary The five-year financial summary shows the Group's revenue steadily growing from HKD 4 billion to HKD 5.8 billion, with net profit peaking at HKD 626 million in FY2022, and continuous expansion in total assets and liabilities Five-Year Financial Summary (For the year ended March 31, HKD Thousands) | Metric | 2025 | 2024 | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | 5,824,959 | 5,837,373 | 5,896,349 | 5,362,474 | 4,021,206 | | Profit for the Year | 403,041 | 517,739 | 532,235 | 625,509 | 343,667 | | Total Assets | 11,914,252 | 10,905,823 | 8,539,878 | 7,599,524 | 5,478,376 | | Total Liabilities | 7,797,698 | 6,889,724 | 4,684,162 | 3,896,525 | 3,017,104 | | Total Equity | 4,116,554 | 4,016,099 | 3,855,716 | 3,702,999 | 2,461,272 |