Skyworth Digital: Net profit fell by more than 60% last year, and R&D investment decreased

On March 24, the company announced its 2024 annual report. During the reporting period, the operating income was 8.693 billion yuan, a year-on-year decrease of 18.20%, and the net profit attributable to shareholders of the listed company was 251 million yuan, a year-on-year decrease. After deducting non-recurring gains and losses, the net profit attributable to shareholders of the listed company was 202 million yuan, a year-on-year decrease of 63.85%, and the basic earnings per share was 0.2197 yuan, a year-on-year decrease of 58.34%. 

Company in The 2024 annual report pointed out that the operating business experienced major changes during the reporting period, especially in the digital smart set-top box and smart terminal business. The smart terminal business fell by 16.59% year-on-year due to insufficient market demand and declining product unit prices. In addition, during the reporting period, the smart set-top box business performed outstandingly in the centralized procurement projects of the three major domestic telecom operators and successfully won the bid for many important projects. The financial report shows that as of December 31, 2024, the company's total assets were 10.658 billion yuan, a decrease of 6.90% compared with the same period last year, including 3.322 billion yuan in monetary funds and accounts receivable. 2.638 billion yuan, and the inventory is 1.521 billion yuan. 

The company's total liabilities are 4.233 billion yuan, a decrease of 16.65% compared with the same period last year, of which the company's debt-to-asset ratio is 1.752 billion yuan. %, total shareholders’ equity is 6.425 billion yuan. The company’s R&D expenses in 2024 will be 513 million yuan, a decrease of 14.84% from the previous year. 

From the perspective of R&D projects, many projects, such as the 8KIPTV smart set-top box software platform development project and the R&D project based on Amlogic AndroidAOSP game somatosensory terminal, have been completed and entered the market sales or promotion stage, but it is not yet known whether they can bring impetus to the company’s future development. In addition , the company plans to distribute a cash dividend of 0.5 yuan (tax included) to all shareholders for every 10 shares. Public information shows that the company's main business involves the research, development, production, sales, operation and services of digital intelligent terminals and front-end systems, the research and development, production and sales of small and medium-sized LCD modules, and the processing of digital equipment and hardware products such as mobile phones. 

In terms of performance, the company's operating income from 2021 to 2023 will be 10.847 billion yuan, 12.009 billion yuan and 10.627 billion yuan, a year-on-year increase of 27.49%, 10.71% and -11.50% respectively. The net profits attributable to the parent company were 422 million yuan, 823 million yuan and 602 million yuan respectively, and the year-on-year growth rates of net profits attributable to the parent company were 9.93%, 95.13% and -26.85% respectively. During the same period, the company's asset-liability ratios were 59.29%, 44.37% and 44.36% respectively.