TI Cloud Inc (2167) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 13.3% to RMB506.4m; gross profit increased 22.2% to RMB262.4m, and net profit was RMB34.0m versus a RMB8.6m loss in 2023.

• SaaS growth and expansion of AI products supported results; management cited cautious customer IT budgets and extended decision timelines as continuing headwinds.

• Proposed final dividend of HK$0.10 per share, subject to shareholder approval.

Financial highlights

• Revenue RMB506.4m, +13.3% YoY; cost of sales RMB244.0m, +5.1% YoY.

• Gross profit RMB262.4m, +22.2% YoY; gross margin 51.8%, versus 48.1% in 2023.

• Profit before tax RMB35.4m versus a RMB9.0m loss; net profit RMB34.0m versus a RMB8.6m loss.

• Basic and diluted EPS 19.55 RMB cents versus a loss of 4.96 RMB cents in 2023.

• R&D expense fell 10.4% to RMB82.3m; administrative expense rose 26.4% to RMB38.8m, mainly on higher employee compensation.

Outlook and guidance

• 2025 priorities include improving R&D efficiency, continuing AI-native product upgrades, and expanding sales coverage beyond tier-1 cities across key China regions.

• Strategy targets sustained SaaS subscriber growth, greater user engagement and high net retention; selective strategic acquisitions and investments remain an option.

• Management expects automation of more customer-contact scenarios to expand commercial opportunities as enterprise demand and AIGC capabilities develop.