Financial Performance - Total revenue for Johnson Electric Holdings Limited was $1,833 million, a decrease of 1% compared to the same period last year[8]. - Gross profit amounted to $441 million, representing 24.0% of total revenue, up from 23.6% in the previous year[8]. - Adjusted EBITDA was $159 million, or 8.7% of total revenue, down from 9.5% in the previous year[8]. - Net profit attributable to shareholders increased by 3% to $133 million, or $0.1421 per share[8]. - Basic net profit decreased by 8% to $123 million after excluding unrealized gains or losses related to exchange rate fluctuations and restructuring costs[8]. - Free cash flow from operations was $174 million, compared to $144 million in the previous year[8]. - For the first half of the 25/26 fiscal year, total revenue decreased by $20.7 million or 1% to $1,833.5 million compared to the previous year[24]. - Adjusted EBITDA margin decreased from 9.5% to 8.7%, with adjusted EBITDA of $158.7 million for the first half of the fiscal year[23]. - For the six months ended September 30, 2025, the company reported revenue of $1,833,483 thousand, a decrease of 1.1% compared to $1,854,168 thousand for the same period in 2024[116]. - The operating profit was $156,235 thousand, down from $157,854 thousand, reflecting a decrease of 1.0% year-over-year[116]. - Net profit attributable to shareholders for the period was $133,263 thousand, an increase of 2.0% from $129,613 thousand in the previous year[116]. - Basic earnings per share for the period was 14.40 cents, compared to 14.05 cents for the same period last year, showing a growth of 2.5%[116]. Segment Performance - The automotive products segment accounted for 84% of total revenue, with a revenue decline of 3% at constant exchange rates[10]. - The industrial products segment represented 16% of total revenue, with stable sales compared to the previous year[13]. - Automotive product segment revenue decreased by 3% to $1,542 million, maintaining an 84% share of total revenue[28]. - For the industrial products segment, revenue remained flat compared to the first half of the 24/25 fiscal year, accounting for 16% of total group revenue[33]. - The industrial products segment saw a 5% revenue decline in the Asia-Pacific region, attributed to intense price competition[37]. - In Europe, the industrial products segment experienced a 7% revenue increase due to replenishment orders and new product launches[37]. - In the Americas, the industrial products segment's revenue decreased by 3%, mainly due to weak customer demand and the end of life cycle for certain projects[37]. Cash Flow and Liquidity - Free cash flow from operations rose from $144 million to $174 million, driven by a decline in working capital, which outweighed the increase in capital expenditures[16]. - The company maintains a strong financial position with net cash of $572.8 million as of September 30, 2025[23]. - Cash and cash equivalents increased by $141.9 million to $932.5 million as of September 30, 2025, compared to $790.6 million on March 31, 2025[62]. - Operating cash flow for the six months ended September 30, 2025, was $317,906 thousand, compared to $262,094 thousand in 2024, representing a 21.3% increase[123]. - Net cash from operating activities increased to $290,001 thousand in 2025 from $222,780 thousand in 2024, reflecting a growth of 30.2%[125]. Debt and Financing - As of September 30, 2025, the total debt-to-capital ratio was 11%, with cash reserves of $932 million[8]. - The company's total debt-to-capital ratio remains stable at 11%, with cash reserves of $932 million as of September 30, 2025[17]. - The total loan amount as of September 30, 2025, was $359,683 thousand, slightly up from $359,335 thousand on March 31, 2025, indicating a marginal increase of 0.1%[169]. - The company secured a $400 million financing agreement in August 2023, which includes $200 million in term loan financing and $200 million in revolving credit financing[170]. Shareholder Returns - The board declared an interim dividend of HKD 0.17 per share, equivalent to USD 0.0218, to be distributed on January 6, 2026[18]. - The company announced an interim dividend of HKD 0.17 per share, equivalent to USD 0.0218, to be paid on January 6, 2026[109]. - The company distributed cash dividends amounting to $52.086 million for the fiscal year 2023/24, reflecting its commitment to returning value to shareholders[121]. Governance and Compliance - The company continues to comply with corporate governance standards as outlined in its annual report[91]. - The board of directors remains unchanged except for the resignation of a non-executive director on July 17, 2025[94]. - The company has complied with the standard code of conduct as per the listing rules, confirming adherence for the six months ending September 30, 2025[96]. - The interim performance report for the six months ending September 30, 2025, has been reviewed by the audit committee and the company's auditor[97]. Market and Economic Conditions - The company expects moderate revenue growth in the second half of the fiscal year, despite uncertainties in the macroeconomic outlook[19]. - In the Asia-Pacific region, revenue decreased by 6%, primarily due to a decline in demand for non-local automotive brands and pricing measures to maintain competitiveness[32]. - Revenue in Europe, the Middle East, and Africa slightly decreased by 1%, with declines in cooling management and closure systems offset by growth in brake systems and oil pumps[32]. - In the Americas, revenue also slightly decreased by 1%, driven by weak demand from several customers, although this was offset by growth in powder metal components and cooling management products[32]. Asset Management - Inventory increased by $63.9 million to $595.7 million as of September 30, 2025, with inventory days rising to 78 days from 67 days[49]. - Accounts receivable remained stable at $816.9 million, with days sales outstanding decreasing to 68 days from 70 days[51]. - Accounts payable increased by $75.2 million to $807.1 million, with days payable outstanding rising to 100 days from 86 days[53]. - The company reported a total of $36,554 thousand in other non-current assets as of September 30, 2025, an increase from $26,961 thousand as of March 31, 2025[142]. Risks and Hedging - The company faces commodity price risk primarily from fluctuations in copper, steel, silver, and aluminum prices, which can be managed through appropriate contract terms[88]. - The company has implemented cash flow hedging contracts to mitigate copper price risk where feasible[89]. - The company reported a fair value change of $22.9 million in derivative instruments designated as cash flow hedges during the period[150]. - The net gain from commodity and foreign exchange contracts recognized in the income statement for the first half of the fiscal year 25/26 was $14.6 million, compared to $15.6 million for the same period in the previous fiscal year[154]. Employee Compensation and Share Plans - The total remuneration for directors was $5,180 thousand for the six months ended September 30, 2025, compared to $3,297 thousand in 2024, reflecting a significant increase of 57%[199]. - Senior management compensation totaled $9,359 thousand for the same period, up from $5,689 thousand in 2024, marking a rise of 64%[199]. - The company approved a new restricted and performance-linked share unit plan on July 13, 2023, replacing the previous plan from July 9, 2015, to enhance employee incentives[179]. - The total number of unvested shares granted under the share unit plan is 16,951,000, representing 1.81% of the issued shares[105].
德昌电机控股(00179) - 2026 - 中期财报