Unisplendour (000938) H2 2024 earnings summary

Executive summary

• Achieved revenue of ¥79.02 billion in 2024, up 2.22% year-over-year, with net profit attributable to shareholders at ¥1.57 billion, down 25.23% year-over-year.

• ICT infrastructure and services revenue grew 5.73% to ¥54.46 billion, accounting for 68.91% of total revenue.

• Major acquisition: increased stake in H3C from 51% to 81% for $2.14 billion, completed in September 2024.

• R&D investment reached ¥5.10 billion, focusing on AI, cloud, and digital transformation.

Financial highlights

• Operating cash flow turned positive to ¥2.44 billion from a negative ¥1.86 billion in 2023.

• Gross margin was 17.39%, down 2.21 percentage points year-over-year.

• Basic and diluted EPS were ¥0.5498, down 25.23% year-over-year.

• Total assets at year-end were ¥88.81 billion, with net assets attributable to shareholders at ¥13.33 billion.

• Dividend: ¥0.75 per 10 shares, total cash payout ¥214.5 million.

Outlook and guidance

• Plans to maintain ICT market leadership, accelerate R&D in AI and domestic technology, and expand international business.

• Focus on product innovation, AI integration, and industry-specific solutions.

• H-share listing in Hong Kong planned, pending regulatory approval.