Core Insights - Hengbo Co., Ltd. reported a revenue of 865 million yuan for 2024, representing a year-on-year growth of 10.15% [1] - The net profit reached 131 million yuan, with a year-on-year increase of 14.23% [1] - Basic earnings per share were 1.29 yuan, reflecting a growth of 1.57% year-on-year [1] Business Overview - The company's core business includes the R&D and production of intake systems for internal combustion engines and hybrid vehicles, fuel evaporation systems, thermal management systems for new energy vehicles, and cathode filtration systems for hydrogen fuel cells [1] - The traditional intake system business remains a stable revenue contributor, supported by market expansion and product optimization [1] New Energy Vehicle Developments - Hengbo Co., Ltd. has made significant progress in thermal management systems for new energy vehicles, which have become a new growth point for performance [1] - Products such as cooling water tanks and expansion tanks have achieved mature mass production, with major clients including GAC Group and Geely Group [1] - The company is also developing products like water-side diverters and coolant fluid modules, having secured 13 project development qualifications, with 7 already in mass production [1] R&D Investment - In 2024, the R&D expenditure reached 52.59 million yuan, a year-on-year increase of 15.05%, accounting for 6.08% of total revenue [2] - The company has consistently increased R&D investment over the past three years, focusing on various systems including ICE, HEV, fuel evaporation, and hydrogen fuel cell technologies [2] Hydrogen Energy Initiatives - Hengbo Co., Ltd. is advancing the application of hydrogen fuel cell components in medium and heavy-duty vehicles, exploring the market for hydrogen fuel cell passenger and commercial vehicles [2] - The company has developed key filtration efficiency parameters for fuel cell cathode filters and is testing new materials to enhance product performance [2] International Expansion - The company has successfully completed registration and land acquisition for a factory in Japan, with production expected to commence in 2025 [3] - This factory aims to reduce raw material costs and improve product quality while expanding into the Japanese and surrounding markets [3] - In Southeast Asia, the company has completed preliminary preparations for a project in Malaysia and is planning to establish a manufacturing network centered around Singapore, covering Malaysia, Thailand, and Indonesia [3]

Core Viewpoint - Hengbo Co., Ltd. reported a steady growth in revenue and profit for the year 2024, indicating a positive outlook for the company in the automotive and new energy sectors [1][2]. Financial Performance - The company achieved an operating income of 865 million yuan, a year-on-year increase of 10.15% - The net profit attributable to shareholders was 131 million yuan, reflecting a growth of 14.23% - Basic earnings per share stood at 1.29 yuan per share [1]. Business Segments - Hengbo Co., Ltd. specializes in the research, production, and sales of ICE & HEV intake systems, fuel evaporation systems, new energy vehicle thermal management systems, and hydrogen fuel cell cathode filtration systems [1]. - The traditional intake system business remains a stable revenue contributor, while the new energy vehicle thermal management systems have emerged as a significant growth driver [1][2]. Product Development and Innovation - The company has made notable advancements in thermal management systems for new energy vehicles, enhancing battery thermal management and improving vehicle range and safety [1]. - Hengbo has expanded its thermal management applications to data center cooling systems and charging station thermal management systems, showcasing its strong R&D capabilities and innovation [2]. R&D Investment - In 2024, the company allocated 52.59 million yuan for R&D, marking a 15.05% increase from the previous year [2]. - Hengbo has invested heavily in developing technologies across various sectors, filling domestic technological gaps and establishing a presence in the international supply chain [2]. Client Relationships - The company has strengthened its customer base by deepening partnerships with renowned international brands such as Honda, Yamaha, and Suzuki, as well as major domestic automakers like GAC Group, Geely Group, and Chery Group [2]. - Hengbo has successfully broken foreign monopolies in competitive bidding for high-performance intake systems [2]. Dividend Distribution - Hengbo Co., Ltd. plans to distribute a cash dividend of 4.20 yuan per 10 shares, totaling 42.63 million yuan [3]. - The total expected cash dividends and share buybacks for 2024 amount to 96.13 million yuan, representing 73.36% of the net profit attributable to shareholders [3].