Intron Technology (1760) H2 2024 earnings summary

Executive summary

• Revenue grew 15% year-over-year to RMB6.69 billion, driven by strong performance in new energy and automated & connected vehicle segments.

• Net profit declined 35% year-over-year to RMB204.2 million due to lower gross margin amid industry-wide price competition.

• New energy segment revenue rose 24% and automated & connected vehicles segment increased 27%, now accounting for 52% and 8% of total revenue, respectively.

• Gross profit margin fell to 14.5% from 18.7% year-over-year, reflecting intensified price competition and cost pressures.

• Final dividend proposed at HK6.3 cents per share, down 36% from the prior year.

Financial highlights

• Total revenue: RMB6,693.1 million, up 15% year-over-year.

• Gross profit: RMB968.6 million, down 11% year-over-year.

• Net profit: RMB204.2 million, down 35% year-over-year.

• Basic and diluted EPS: RMB19.18 cents, down 34% year-over-year.

• Proposed final dividend: HK6.3 cents per share.

Outlook and guidance

• New energy vehicle market in China expected to maintain steady growth and higher penetration in 2025, supporting further revenue expansion.

• Automated & connected vehicles segment anticipated to secure more intelligent driving projects, especially in L2+ and L3+ domain controllers.

• AI server-related business expected to achieve double-digit growth in 2025.

• Continued focus on R&D investment and international expansion to drive long-term sustainable growth.