TRANSSION(688036) 新浪证券·2025-04-24 10:28Core Insights - Transsion Holdings achieved a record high of 201 million mobile phone shipments in 2024, becoming the first Chinese smartphone manufacturer to surpass the 200 million mark in annual shipments [1] - The company's global market share rose to 14%, maintaining its position as the third-largest smartphone manufacturer globally for five consecutive years, despite a 3.2% decline in the global smartphone market [1] - The primary growth driver remains the African market, where smartphone market share exceeds 40% and feature phone market share is over 78% [1] Group 1: Financial Performance - Revenue increased by 10.31% year-on-year to 68.715 billion yuan, but non-net profit decreased by 11.54% to 4.541 billion yuan, resulting in a net profit margin drop from 9.8% in 2020 to 6.6% [2] - Supply chain costs surged, with 4G chip procurement prices rising by 22% and DRAM memory prices increasing by 18%, leading to a 3.2 percentage point decline in gross margin to 21.3% [2] - Currency depreciation in emerging markets, such as a 35% devaluation of the Nigerian Naira and a 28% devaluation of the Ethiopian Birr, resulted in exchange losses of 820 million yuan, equivalent to 14.8% of net profit [2] Group 2: Market Dynamics - Increased competition led to a price war, with Xiaomi's quarterly shipments in Africa growing by 22% and realme's by 70%, causing Transsion's fourth-quarter shipments in Africa to grow only by 1%, reducing market share from 51% to 49% [2] - Inventory pressure rose, with inventory amounts climbing to 15.3 billion yuan, a 29% year-on-year increase, and inventory turnover days extending to 107 days [2] Group 3: Strategic Initiatives - Transsion is pursuing a strategic transformation to break through profitability constraints by entering the mid-to-high-end market with the Tecno Phantom X3 series priced above $400 [3] - The company is expanding its AIoT ecosystem, with its digital accessory brand oraimo ranking 81st in Africa's top 100 brands, and expanding its smart home product line to 32 SKUs, although this segment still accounts for less than 5% of total revenue [3] - Financial strategies show a dual nature, with a total dividend of 3.421 billion yuan, representing 61.65% of net profit, while capital expenditure was reduced to 1.8 billion yuan, a 12% decrease year-on-year [3] Group 4: Industry Challenges - Analysts highlight three critical challenges for Transsion: competing against localized offerings from Xiaomi in Africa, facing low-cost Samsung A-series models in Asia, and achieving a 15% share of 5G models by 2025, up from less than 5% currently [4]