Ningbo Joyson Electronic (600699) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached RMB 27.08 billion, up 0.24% year-over-year, with net profit attributable to shareholders rising 33.91% to RMB 636.8 million.

• Gross profit margin improved by up to 2.4 percentage points year-over-year to as high as 15.8%, driven by cost optimization and efficiency programs.

• Automotive Safety segment contributed RMB 18.8 billion in revenue, Automotive Electronics RMB 8.3 billion.

• All four global business regions achieved profitability, with sequential growth in Automotive Safety and notable improvement in Europe and the Americas.

• R&D investment totaled RMB 1.7 billion, focusing on intelligent and electrified vehicle technologies.

Financial highlights

• Net profit attributable to shareholders: RMB 636.8 million, up 33.91% year-over-year.

• Net profit excluding extraordinary items: RMB 640 million, up 61.47% year-over-year.

• Basic and diluted EPS: RMB 0.45, up from RMB 0.35 year-over-year.

• Net cash flow from operating activities: RMB 1.87 billion, up 16.05% year-over-year.

• Operating profit rose 60.94% year-over-year to RMB 1.14 billion.

Outlook and guidance

• Ongoing implementation of the "Profit Improvement" program and cost optimization measures are expected to further enhance profitability.

• Continued focus on expanding key customer base, optimizing new business order structure, and R&D in intelligent and electrified vehicles.

• Anticipates sustained growth in new energy vehicle orders and international expansion of Chinese automakers.