① Judging from historical performance, the net profit growth rate of Stone Technology's revenue all hit the highest level in three years. Among them, the net profit growth rate escaped single-digit growth in 2021 and negative growth in 2022. ② A reporter from the Financial Services Association discovered that the gross margin gap between the company's domestic and foreign markets has widened further. The company said it was mainly the increase in the launch of new products. The new products performed well in overseas markets, contributing to the increase in gross margin.
Financial Services Association, March 28 (Reporter Ren Chaoyu) Double harvests in domestic and foreign markets enabled Stone Technology (688169. SH) returned to a high growth trajectory after a two-year trough period. A Finance Association reporter discovered that the gross margin gap between the company's domestic and foreign markets has widened further, and gross margin in overseas markets has increased by more than 8 percentage points. Stone Technology told the Financial Federation reporter that the main thing is that the launch of new products has increased. The new products have performed well in overseas markets, contributing to the increase in gross margin.
According to the annual report disclosed today, Stone Technology achieved operating income of 8.654 billion yuan in 2023, an increase of 30.55% over the previous year; net profit to mother was 2,051 billion yuan, an increase of 73.32% over the previous year. Furthermore, the net cash flow from operating activities surged 95.09% year-on-year to $2,186 billion.
The company stated in its annual report that the increase in performance was mainly due to the launch of various new products and the expansion of domestic and international markets this year, the expansion of sales scale, increased market competitiveness, and improved profitability and business performance. Changes in net cash flow from operating activities are mainly due to an increase in net cash inflows due to increased operating income.
Judging from historical performance, the net profit growth rate of Shitou Technology's revenue all hit the highest level in three years. Among them, the net profit growth rate escaped single-digit growth in 2021 and negative growth in 2022, and was quite rapid.
By region, the company's domestic revenue last year increased by 41.01% year on year, and overseas revenue increased by 21.42% year on year.
A Financial Services Association reporter discovered that the gap between the company's gross margin in domestic and foreign markets has widened further. In 2023, overseas gross margin increased 8.55 percentage points year on year, and domestic gross margin increased 4.16 percentage points year on year. The gap between the two changed from about 8 percentage points in 2022 to about 12 percentage points.
To a certain extent, this shows the importance of overseas markets.
The company told the Financial Federation reporter that Stone Technology will step up its new product launch efforts in 2023. The new products performed well in overseas markets, contributing to the increase in gross margin.
In fact, in 2023, there was limited recovery in the domestic clean appliance market, and the growth rate slowed. According to data from Aowei Cloud Network, retail sales of clean appliances in China were 34.4 billion yuan in 2023, up 6.8% year on year, and retail sales volume was 25.34 million units, down 0.5% year on year.
In overseas markets, Stone Technology focuses on developing the US, Europe and Asia Pacific markets and gradually establishing a global distribution network. It is worth noting that the company first entered the US offline physical retail chain Target in 2023.
Stone Technology told the Financial Federation reporter that in 2024, on the one hand, the company will further cultivate markets in North America, Europe, Asia Pacific and other regions, where Stone already has a good foundation, and increase the construction of self-operated channels. On the other hand, replicate Stone's proven experience in operating overseas markets to more emerging markets.