Empyrean Technology (301269) H2 2024 earnings summary

Executive summary

• Revenue reached ¥1.22 billion in 2024, up 20.98% year-over-year, setting a new record.

• Net profit attributable to shareholders was ¥109.48 million, down 45.46% year-over-year.

• Gross margin remained high at 93.31%, with EDA software sales as the main revenue driver.

• R&D investment hit ¥868.12 million, accounting for 71.02% of revenue.

• The company maintained its position as the leading domestic EDA provider, serving nearly 700 clients.

Financial highlights

• Operating cash flow was negative at -¥51.78 million, a sharp decline from ¥248.52 million in 2023.

• Total assets at year-end were ¥5.63 billion, up 1.69% from the previous year.

• Net assets attributable to shareholders rose 4.62% to ¥5.00 billion.

• Basic and diluted EPS were both ¥0.20, down 45.95% year-over-year.

• Non-recurring gains (mainly asset disposals and government grants) totaled ¥166.55 million.

Outlook and guidance

• Focus on strengthening R&D, especially in 3DIC, digital simulation, and advanced process EDA tools.

• Plans to expand market share domestically and globally, leveraging strong client relationships.

• Emphasis on talent development and industry-academia collaboration to build a robust technical team.

• Continued investment in product innovation and ecosystem expansion to maintain competitive edge.