Nusun Landscape(SZ:300536) Zheng Quan Zhi Xing·2025-05-21 13:14Core Viewpoint - Wuhan Nongshang Environment Co., Ltd. reported a significant increase in revenue for 2024, achieving 2.32 billion yuan, a year-on-year increase of 224.30%, while net profit decreased to -77.08 million yuan, a decline of 158.96% [1][18]. Group 1: Financial Performance - The company achieved a total revenue of 2.32 billion yuan in 2024, with a notable contribution from the fourth quarter, which accounted for 54.17% of the annual revenue [1]. - The net profit for 2024 was -77.08 million yuan, reflecting a significant decline compared to the previous year [18]. - The net cash flow from operating activities was -43.12 million yuan, a decrease of 291.85% year-on-year [18]. Group 2: Business Segments - The company has diversified its operations into five core areas within the comprehensive computing service sector, generating 108.08 million yuan in revenue, which represents 46.66% of total revenue [3]. - The display driver chip segment generated 11.13 million yuan, accounting for 4.81% of total revenue, with the global market for display driver chips expected to grow significantly [4]. - The landscaping construction business generated 110.85 million yuan, making up 47.85% of total revenue, primarily driven by previously contracted projects [5][12]. Group 3: Industry Environment - The comprehensive computing service industry is experiencing rapid growth due to advancements in artificial intelligence and the increasing demand for AI-ready data center facilities [2]. - The landscaping industry is facing challenges due to market fluctuations and reduced demand from the real estate sector, prompting the company to implement strategies to mitigate risks [5][14]. - The display driver chip market in China reached approximately 41.6 billion yuan in 2023, with expectations for further growth in 2024 [4]. Group 4: Cash Flow and Receivables - The company reported a cash flow from operating activities that does not exhibit seasonal distribution, with fluctuations attributed to timing differences in cash receipts and payments [14]. - As of the end of 2024, the company’s receivables from landscaping projects showed a lower aging ratio compared to industry averages, indicating effective receivables management [17]. - The company plans to focus on improving receivables collection and managing cash flow to support sustainable growth [18]. Group 5: Future Strategy - The company aims to strategically reduce its landscaping business while focusing on the growth of the comprehensive computing service and display driver chip segments [14]. - The transition towards these core business areas is expected to mitigate the impact of seasonal fluctuations on revenue [14]. - The company is committed to enhancing its asset quality and managing risks associated with its operations [18].