Hua Er Jie Jian Wen·2025-03-27 13:35Revenue Performance - In Q4, the company achieved revenue of 15.917 billion yuan, a quarter-on-quarter increase of 2%, marking a record high for a single quarter, with total annual revenue reaching 57.108 billion yuan, an increase of 28.1% year-on-year [1] - The wafer sales volume reached a historical high, increasing by 36.7% year-on-year to 8,021 thousand pieces, with a capacity utilization rate of 85.6% [1] Profitability - The net profit attributable to shareholders in Q4 was 999.2 million yuan, a year-on-year decrease of 13.5%, with a gross margin of 18.6%, also showing a decline [1] - The annual net profit was 3.699 billion yuan, down 23.3% year-on-year, primarily impacted by declines in investment income and financial income [1] Research and Development - The company invested 765 million USD in R&D for the year, accounting for 9.5% of revenue, with R&D personnel making up 12.1% of the workforce [2] Capital Expenditure - Total cash payments for fixed assets, intangible assets, and other long-term assets amounted to 54.559 billion yuan for the year, an increase of 1.3% compared to the previous year [2] - The company expects capital expenditure in 2025 to remain flat compared to the previous year [4] Cash Reserves - At the end of the year, cash and cash equivalents reached 6.36 billion USD, ensuring future capital expenditure needs [3] Market Dynamics - The company experienced a contradiction between increasing sales volume and declining average selling prices, with the average selling price of wafers decreasing by 4.7% [6] - Demand for consumer electronics (37.8% share) and smartphones (27.8% share) is recovering, but the proportion of high-priced products like high-voltage drivers and RF chips remains insufficient [6] Operational Cash Flow - Operating cash flow in Q4 was 10.394 billion yuan, a quarter-on-quarter increase of 15.3%, while total capital expenditure for the year was 54.559 billion yuan [8] - The company anticipates that free cash flow will need to support both expansion and R&D, with caution advised regarding rising leverage risks [8] Strategic Outlook - The company aims to capture the growing demand for local manufacturing by quickly identifying incremental product categories and responding to customer demand changes [8] - For 2025, the company projects revenue growth to exceed the average of comparable peers, while maintaining a commitment to R&D investment and capacity expansion [8]