“Science and Technology Innovation Board Daily”, May 20 (Reporter Yu Jiaxin) Due to overseas inventory removal, Goodway's performance has changed from profit to loss since the fourth quarter of last year. Regarding the current overseas inventory removal situation, at the 2023 and 2024 first quarter results briefing held today (May 20), Goodway Chairman and General Manager Huang Min said, “The company's own inventory of finished products is at a reasonable level, and inventory removal in the European inverter industry is still gradually improving. Furthermore, overall market demand in Europe is still in a relatively steady upward trend.”

Wang Yinchao, secretary of the company's board of directors, further stated, “It is expected that industry inventories will be eliminated in the middle or second half of this year.” The “Science and Technology Innovation Board Daily” reporter noticed that this time was relatively later than the time the company had previously anticipated to leave the warehouse. Earlier, at the results meeting in November last year, investors asked “How long will the impact of overseas inventories continue?” Huang Min, chairman and general manager of Goodway, responded at the time, “It is expected that the industry's inventory removal will end in the first quarter of next year.”

Goodwell is engaged in R&D, production and sales of new energy power supply equipment such as solar energy and energy storage, and is committed to providing overall solutions such as smart energy management for households, industrial and commercial users, and ground power plants. Main business products include photovoltaic grid-connected inverters, photovoltaic energy storage inverters, energy storage batteries, and household systems.

Looking at specific results, Goodway achieved both revenue and net profit growth in 2023, with revenue of 7.353 billion yuan, up 56.10% year on year; net profit of 866 million yuan, up 36.14% year on year. However, looking at a single quarter, the company had a net loss of 40.74 million yuan in the fourth quarter of 2023, changing from profit to loss, and continued to have a net loss of 28.82 million yuan in the first quarter of this year.

Goodway's revenue for the first quarter was $1,126 million, a year-on-year decrease of 34.50%. Looking at the revenue structure, Huang Min, chairman and general manager of Goodway, said, “The company's domestic household system development business contributed a lot of revenue in the first quarter.”

Goodway said earlier that the company's domestic household market orders picked up year-on-year due to IGBT mitigation and other reasons. At the performance meeting, Huang Min said, “The company's current IGBT localization rate is about 40%-50%, and the related supply situation is normal.”

Looking at gross margin, Goodway's financial director Du Jinli said, “The company's gross margin for the first quarter was less than 30%, a slight decrease from last year; domestic gross margin for the first quarter was about 20%, and foreign gross margin was about 45%; the overall gross margin is expected to be relatively stable this year.”

On the business side, Goodway is currently expanding commercial and terrestrial inverter products and related new businesses. Huang Min, chairman and general manager of Goodway, said, “Overall, the company's BIPV business has maintained a good upward trend. The main customer groups include PV project EPC investors, construction sector developers, and general contractors.”

In terms of overseas markets, Huang Min said that due to industry inventory factors, European sales will account for about 40% to 50% of sales revenue for the full year of 2023. The company's overseas revenue for the first quarter was about 400 million yuan, accounting for about 36%. “The company has accumulated many customers in many countries and regions around the world, such as Germany, Italy, Australia, the Netherlands, Belgium, Turkey, Mexico, Brazil, Poland, South Africa, and the United States. The company has long insisted on opening up overseas markets as an important strategic layout direction, and will continue to adhere to the global layout of 'joint development of domestic and international markets' and actively explore domestic and foreign markets in the future.”