Beijing Easpring Material Technology (300073) Q4 2024 earnings summary

Executive summary

• Revenue for 2024 was RMB 7.59 billion, down 49.80% year-over-year due to slower overseas NEV growth and intensified competition.

• Net profit attributable to shareholders was RMB 471.83 million, a 75.48% decrease year-over-year.

• Significant bad debt provision was made for Northvolt Ett AB after its bankruptcy and failed restructuring.

• Core business and industry fundamentals remain stable, with no major adverse changes in competitiveness or sector outlook.

Financial highlights

• Operating cash flow increased 30.74% year-over-year to RMB 1.60 billion.

• Gross margin for lithium battery materials was 11.99%, down 5.90 percentage points year-over-year.

• Basic and diluted EPS were RMB 0.9316, down 75.48% year-over-year.

• Total assets at year-end were RMB 17.12 billion, a 1.65% decrease from the previous year.

• R&D expenses were RMB 370.26 million, representing 4.88% of revenue.

Outlook and guidance

• 2025 strategy focuses on core technology breakthroughs, product upgrades, and global capacity expansion.

• Plans to accelerate next-generation battery materials commercialization and deepen strategic customer cooperation.

• Emphasis on global resource integration, supply chain security, and ESG leadership.