Financial Performance - Revenue for the six months ended June 30, 2024, was 2,676,717 thousand for the same period in 2023[7] - Gross profit for the same period was 39,621 thousand year-over-year[7] - The company reported a net loss of 49,835 thousand in the prior year, representing a 36.5% improvement[8] - The total comprehensive loss for the period was 202,883 thousand in the same period last year, indicating a substantial reduction in losses[8] - The basic and diluted loss per share for the period was 0.4 US cents, compared to 0.6 US cents in the same period last year[8] - The company reported a net loss attributable to shareholders of 50,016,000 in the same period of 2023[26] - The company’s loss per share for the period was 23,799 thousand, a decrease of 10.1% from 30,318 thousand, an increase of 28.7% from 73.1 million from 49.2 million, due to restructuring and layoffs[78] - The company incurred a total depreciation expense of 80,211,000 in the same period last year[23] Assets and Liabilities - As of June 30, 2024, total assets amounted to 3,458,939 thousand as of December 31, 2023, representing a growth of approximately 11%[9] - Current liabilities rose to 2,736,965 thousand, marking an increase of approximately 15%[9] - The company's equity attributable to owners decreased to 1,558,487 thousand, a decline of about 4%[10] - The total equity decreased to 1,561,372 thousand, representing a decrease of about 4%[10] Cash Flow and Financing - The net cash used in operating activities for the six months was (628.79) million in the previous year, indicating an improvement[13] - The company raised 755.74 million in the previous year[13] - The company incurred a net cash outflow of (38.24) million in the same period last year[13] - The group's free cash flow was a net outflow of 10 million on December 31, 2023[106] Revenue Segmentation - Revenue from the Asia segment was 1,874,505,000 year-over-year[19] - The Americas segment reported revenue of 455,733,000 in the previous year[19] - The total segment profit for the six months was 5,621,000 in the same period last year[19] Strategic Focus and Market Conditions - The company plans to continue focusing on expanding its manufacturing services in the mobile phone sector, leveraging its vertical integration capabilities[14] - The smartphone market showed signs of improvement in the first half of 2024, driven by the proliferation of 5G and integration of AI technologies, despite facing significant challenges such as market saturation and increased competition[65] - The company is diversifying its business strategy through 5G, IoV, AI, and next-generation communication technologies to reduce reliance on the mobile phone market[83] - The company is actively developing AI hardware and software solutions for industrial automation, contributing to sustainable development through the launch of the FIH Robotics smart recycling robot[84] Employee and Governance - The total number of employees as of June 30, 2024, is 44,519, an increase from 36,657 on December 31, 2023[75] - The company emphasizes employee development and training, focusing on attracting and retaining talent through competitive compensation and a supportive work environment[71] - The company has established a written division of responsibilities between the chairman and the CEO to enhance governance[142] Compliance and Regulatory Environment - The group is committed to compliance with the OECD's BEPS action plan and related local transfer pricing regulations[104] - The revised Company Law in Mainland China will take effect on July 1, 2024, impacting corporate governance, capital contributions, and compliance costs for foreign-invested entities[101] - The new Foreign Investment Law in Mainland China requires adjustments to governance structures and compliance models, potentially increasing legal and regulatory costs[102]
富智康集团(02038) - 2024 - 中期财报