Onewo (2602) H2 2024 earnings summary

Executive summary

• Total revenue for 2024 reached RMB36,223.8 million, up 9.2% year-over-year, driven by growth in recurring businesses and market expansion.

• Core net profit was RMB2,226.9 million, down 4.8% year-over-year, but met performance guidelines.

• Profit for the year dropped 38.3% to RMB1,256.0 million, mainly due to increased extraordinary losses and lower government grants.

• The Board recommends a total annual dividend of RMB1.900 per share, representing 100% of core net profit.

Financial highlights

• Recurring business revenue rose 15.5% to RMB30,793.2 million, accounting for 85% of total revenue.

• Gross profit from recurring business increased 10.0% to RMB3,736.0 million, making up 79.5% of total gross profit.

• Administrative expenses ratio decreased by 0.9 percentage points year-over-year.

• Net cash flows from operating activities were RMB1,918.8 million.

• Trade and retention receivables fell 3.5% year-over-year to RMB6,541.5 million.

• Earnings per share were RMB0.98, down from RMB1.66 in 2023.

Outlook and guidance

• Focus for 2025–2027 is on capacity building in assets, intelligence, and low carbon, with AI-driven process transformation.

• Plans to scale the Onewo Town model, enhance supply chain performance, and expand asset services.

• Continued emphasis on customer diversification, intelligent and low-carbon service capabilities, and full lifecycle building services.

• AI adoption to drive qualitative process changes and operational efficiency.