Saimo Technology (300466) Q2 2024 earnings summary

Executive summary

• H1 revenue fell 36.46% YoY to RMB239.15m, mainly as intelligent logistics system revenue declined RMB124m; attributable net income fell 82.12% to RMB2.73m.

• Operating cash flow turned positive at RMB5.42m from an outflow of RMB99.18m in H1 2023, supported by lower cash payments for purchases and services.

Financial highlights

• Revenue was RMB239.15m, down 36.46% YoY; operating costs fell 41.29% to RMB143.05m.

• Net income attributable to shareholders was RMB2.73m, down 82.12%; adjusted for non-recurring items, it was RMB1.53m, down 88.03%.

• Basic and diluted EPS were RMB0.0051, down 82.11% YoY; non-recurring gains totaled RMB1.20m, including government grants and receivable-impairment reversals.

• Investing cash flow was negative RMB21.58m and financing cash flow negative RMB23.54m; cash and cash equivalents declined RMB39.69m to RMB58.29m.

Outlook and guidance

• Industrial equipment-renewal policies and manufacturing digitalization are expected to support demand for smart equipment, industrial software and industrial internet solutions.

• Low-carbon coal-power upgrades, biomass co-firing and growth in n-type photovoltaic technologies are identified as opportunities for fuel-management systems and smart-factory equipment.