Hundsun Technologies (600570) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached RMB 2.84 billion, up 0.32% year-over-year; net profit attributable to shareholders was RMB 29.89 million, down 93.30% year-over-year.

• Excluding non-recurring items, net profit was RMB 135.59 million, down 48.81% year-over-year.

• Main business gross margin remained high at 71.32%.

• The company maintained stable operations amid industry headwinds, focusing on product quality, customer satisfaction, and organizational efficiency.

• Non-recurring losses of RMB -106 million mainly due to fair value changes in financial assets.

Financial highlights

• Operating income: RMB 2.84 billion, up 0.32% year-over-year.

• Net profit attributable to shareholders: RMB 29.89 million, down 93.30% year-over-year.

• Net profit excluding non-recurring items: RMB 135.59 million, down 48.81% year-over-year.

• Operating cash flow: RMB -1.18 billion, down from RMB -885 million year-over-year.

• Basic and diluted EPS: RMB 0.02, down 91.67% year-over-year.

Outlook and guidance

• The company continues to focus on high-quality growth, product leadership, and customer satisfaction.

• Management expects ongoing industry challenges but is committed to long-term innovation and efficiency.