Cambricon Technologies (688256) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 was RMB 64.77 million, down 43.42% year-over-year, mainly due to supply chain challenges.

• Net loss attributable to shareholders narrowed to RMB -530.11 million, a 2.70% improvement year-over-year.

• Gross margin reached 62.72% in H1 2024.

• R&D investment remained high at RMB 447.48 million, accounting for 690.92% of revenue.

• Company deepened cooperation with leading internet and AI model companies, supporting large model applications and industry deployments.

Financial highlights

• Operating cash flow was negative RMB 631.22 million, further deteriorating from the previous year.

• Total assets at period end were RMB 6.14 billion, down 4.32% from year-end 2023.

• Net assets attributable to shareholders were RMB 5.22 billion, down 7.53% from year-end 2023.

• Basic and diluted EPS were both -1.27 yuan, improved from -1.34 yuan year-over-year.

• Non-recurring gains totaled RMB 78.78 million, mainly from government grants and fair value changes.

Outlook and guidance

• Company will continue high-intensity R&D investment to maintain technology leadership.

• Plans to expand market share, accelerate application landing, and focus on ecosystem and brand building.

• Expects ongoing supply chain and competitive pressures but remains committed to long-term growth.