Fibocom Wireless Inc (300638) Q4 2024 earnings summary

Executive summary

• FY24 revenue rose 6.13% YoY to RMB8.19bn; net income attributable to shareholders increased 18.53% to RMB668.0m, supported by revenue growth and the disposal gain from the overseas automotive front-fit business.

• Excluding the disposed business, revenue increased 23.34% YoY; smart modules contributed over 40% of revenue at year-end.

Financial highlights

• FY24 revenue was RMB8.19bn, up 6.13% YoY; operating income was RMB670.3m and net income attributable to shareholders was RMB668.0m.

• Adjusted net income, excluding non-recurring items, was RMB504.4m, down 5.84% YoY; the RMB162.9m disposal-related investment gain was a major non-recurring contributor to reported profit.

• Q4 revenue was RMB1.97bn; attributable net income was RMB16.0m and adjusted net income was RMB54.1m.

• FY24 module sales volume increased 26.87% YoY to 49.74m units; production rose 23.85% to 50.18m units.

Outlook and guidance

• Priorities include advancing 5G RedCap, satellite communications and vehicle-road collaboration, with product iterations targeting higher performance, lower power use and competitive cost for IoT applications.

• Planned investment in edge AI and robotics includes AI modules, mowing and snow-clearing robots, embodied-robotics platforms and an AI computing appliance ecosystem.

• Global expansion plans include extending sales coverage, developing EMS capacity in South America and Asia, and establishing overseas R&D centers.