ZTE(000063) Jin Rong Jie·2025-03-31 06:19Core Viewpoint - ZTE Corporation has completed its executive restructuring, with Fang Rong appointed as the new chairperson and Xu Ziyang continuing as president, emphasizing a transformation strategy centered on "connection + computing power" to adapt to global technological changes [1][2][5] Group 1: Leadership Changes - Fang Rong, a seasoned executive with extensive industry experience, has taken over as chairperson, focusing on technological innovation and the urgency of transitioning to an AI-driven industrial revolution [2] - Xu Ziyang's continuation as president ensures management stability, with a commitment to leveraging AI opportunities across communication and computing infrastructure [3] Group 2: Financial Performance - In 2024, ZTE reported revenues of 121.299 billion yuan, a year-on-year decline of 2.38%, and a net profit of 8.425 billion yuan, down 9.66% [4] - The operator network business saw revenues of 70.327 billion yuan, a decrease of 15.02%, although gross margin improved to 50.90% [4] Group 3: Strategic Focus - The "connection + computing power" strategy aims to reshape growth engines and drive revenue recovery by addressing the shift in capital expenditure from 5G infrastructure to AI investments [4] - ZTE plans to develop AI-native ICT infrastructure solutions and a series of intelligent computing servers to support various AI models [3][4] Group 4: Future Outlook - The leadership transition reflects ZTE's commitment to technological innovation and strategic stability in the AI era, with a focus on enhancing technical capabilities and innovation [5] - The company aims to seize new industrial transformation opportunities and promote sustainable growth while creating higher value for global customers [5]