NaaS Technology (NAAS) Q4 2023 earnings summary

Executive summary

• FY2023 revenue rose 245% YoY to RMB320.1 million; gross margin expanded to 27.7% from 6.6%, and gross profit reached RMB88.8 million.

• Network charging volume increased 81% YoY to 4,958 GWh; connected chargers grew 70% to 875,655 across 77,017 stations at year-end.

Financial highlights

• Q4 revenue rose 119% YoY to RMB64.4 million; gross profit increased 2.3x to RMB16.7 million, with gross margin up to 26.0% from 24.4%.

• FY2023 net loss attributable to ordinary shareholders was RMB1.3 billion versus RMB5.6 billion in 2022; adjusted net loss was RMB703.8 million versus RMB354.1 million.

• Q4 net loss attributable to ordinary shareholders was RMB495.7 million versus RMB126.9 million; adjusted net loss was RMB317.8 million versus RMB111.8 million.

• FY2023 operating expenses were RMB1.2 billion versus RMB2.5 billion in 2022; excluding the 2022 listing cost, administrative expenses increased 136% to RMB669.8 million.

Outlook and guidance

• Management emphasized profitability and strategic execution; NTR improved for five consecutive months and reached 0.75% in February 2024, alongside a 13.02% GTR.

• Strategic initiatives target expanded charging and energy infrastructure, photovoltaic development, energy storage, and integrated energy projects in China and internationally.