Shenzhen Fluence Technology PLC.(300647)2024-12-12 10:44Business Overview - The company focuses on lithium-ion battery materials and thermal management as its core businesses [3] - It has over 10 years of experience in consumer electronics and LED lighting thermal solutions [3] - As of June 2024, the company and its subsidiaries hold 584 valid patents, 137 registered trademarks, and 68 copyrights [3] Financial Performance - Q1-Q3 2024 revenue decreased by 22.86% year-over-year, mainly due to intensified competition in the lithium-ion battery materials industry [5] - Q1-Q3 2024 net loss reached 46.82 million RMB, primarily caused by significant inventory write-downs [5] - The company is implementing cost reduction and efficiency improvement measures, including commodity futures hedging to mitigate raw material price fluctuations [5] Strategic Development - The company acquired 73% equity in Jiangxi Santon Lithium Industry Co., Ltd to strengthen its position in the lithium battery materials industry [3] - It is developing a complete industrial chain from lithium-ion battery recycling to precursor/lithium carbonate production and cathode materials [3] - The company is constructing phase I of its lithium battery cathode material production base in Gejiu [5] Market Outlook - The lithium battery recycling and materials industry is expected to grow significantly due to approaching end-of-life battery peaks and supportive government policies [2] - LED lighting technology has reached a relatively mature stage with increasing market competition [5] - The company plans to expand in the new energy vehicle sector through its lithium battery materials business [3] Risk Management - The company is implementing commodity futures hedging to manage raw material price volatility [6] - It is optimizing inventory management and establishing price transmission mechanisms to mitigate raw material price impacts [6] - The company is strengthening R&D and talent reserves to address potential technology roadmap changes [6] Corporate Governance - The company emphasizes transparent information disclosure to protect shareholder rights [6] - It has established comprehensive information disclosure management systems [6] - The company will promptly disclose any significant matters according to regulatory requirements [6] Future Plans - The company will continue to focus on its core businesses while exploring new opportunities based on market demand and strategic development [5] - It will carefully consider investment and M&A decisions based on strategic planning and business needs [6] - The company plans to leverage its technological advantages to expand in related business areas [3]