Shanghai Xianhui Automation Technology Co., Ltd. (stock code: 688155) is a high-tech enterprise focusing on R&D, production and sales of intelligent manufacturing equipment. The company mainly serves new energy vehicles and traditional manufacturing industries, providing solutions such as intelligent production line design and manufacturing, automated control system integration, and production information collection system development and testing. In 2022, by acquiring 51% of Ningde Dongheng (now renamed “Fujian Dongheng”), the company further expanded its lithium battery module structural parts business and formed a “intelligent manufacturing equipment+new energy battery components” two-wheel drive product layout.
During the reporting period, the total assets of Xianhui Technology were 4.586 billion yuan, a slight increase from 4.567 billion yuan at the beginning of the period, an increase of 0.40%. Total liabilities amounted to $3,088 billion, a decrease of 3.46% from $3.199 billion at the beginning of the period. The balance ratio fell to 67.34% from 70.03% at the beginning of the period, indicating that the company has achieved certain results in reducing debt. Notably, the company's goodwill remained unchanged, with a balance of 630 million yuan at the end of the period, indicating that the company has maintained stability in mergers and acquisitions.
In terms of profit, Xianhui Technology achieved revenue of 2,448 billion yuan, an increase of 35.63% over the previous year. Net profit attributable to shareholders of listed companies was 39.95 million yuan, a significant improvement from -94.43 million yuan the previous year. Net profit after deducting non-recurring profit and loss was 29.52 million yuan, a significant increase from -118 million yuan the previous year. Gross margin increased from 17.13% last year to 25.1%, and net margin increased from -3.21% to 5.17%, showing that the company has achieved significant results in “reducing costs and increasing efficiency”. The return on net assets (ROE) increased from -4.5% at the beginning of the period to 8.83%, further proving the company's increased profitability.
In terms of cash flow, the net cash flow from Xianhui Technology's operating activities was -58.56 million yuan, a significant improvement over the previous year's -535 million yuan. The net cash flow from investment activities was -565 million yuan, a year-on-year decrease, mainly due to the increase in the company's investment in fund-raising projects. Net cash flow from fund-raising activities was $536 million, a year-on-year decrease of 47.80%, mainly due to the company's repayment of part of bank loans. Overall, the company's cash flow from operating activities has improved, but investment and fund-raising activities still need further optimization.
In summary, Xianhui Technology achieved both revenue and net profit growth in 2023. The balance and liability structure was optimized, and operating efficiency improved markedly. The company's two-wheel drive strategy in the field of intelligent manufacturing equipment and new energy battery components is beginning to bear fruit. It is expected that it will continue to make efforts in core technology research and market expansion in the future to create greater value for shareholders.