Huizhou Desay SV Automotive (002920) H2 2024 earnings summary

Executive summary

• Revenue reached ¥27.62 billion in 2024, up 26.06% year-over-year, with a CAGR of 42.38% from 2021 to 2024.

• Net profit attributable to shareholders was ¥2.00 billion, up 29.62% year-over-year.

• Major growth in smart cockpit, smart driving, and connected services, with international expansion and new orders from global OEMs.

• R&D investment was ¥2.19 billion, 7.94% of revenue, with over 3,600 patents filed and 100+ technical standards led or participated in.

• No controlling shareholder or actual controller as of February 2024.

Financial highlights

• Operating income: ¥27.62 billion, up 26.06% year-over-year.

• Net profit attributable to shareholders: ¥2.00 billion, up 29.62% year-over-year.

• Operating cash flow: ¥1.49 billion, up 30.89% year-over-year.

• Basic EPS: ¥3.63, up 29.18% year-over-year.

• Gross margin: 19.88%, nearly flat year-over-year.

• Total assets: ¥21.48 billion, up 19.26% from previous year.

• Net assets: ¥9.64 billion, up 21.26% from previous year.

Outlook and guidance

• Focus on AI-driven smart driving and cockpit solutions, with further international expansion.

• 2025 to see accelerated application of high-level NOA and AI large models in automotive products.

• Continued investment in R&D and global operations, with new factories in Spain and Germany.