Hongquan things Union (stock code: 688288) is a high-tech enterprise specializing in the research, development, production and sale of automotive intelligent network equipment and big data cloud platform and other products. The company's main business includes intelligent networking products, such as intelligent enhanced driving systems, in-vehicle networking terminals and advanced driving assistance system hardware, as well as driving recorders, T-BOX, sensors and ADAS advanced driving assistance systems and other products. The company is committed to becoming a comprehensive solution provider and leader of automotive intelligent network connection business, with the mission of reducing the cost of transportation and providing customers with intelligent driving experience.

According to the 2023 report of Hongquan things Union, the total end-of-period balance of the company's assets is 994 million yuan, an increase compared with the initial balance of 985 million yuan. The total balance at the end of the period is 207 million yuan, which is higher than that of 178 million yuan at the beginning of the period. This indicates that the size of the company's assets and liabilities expanded during the reporting period. At the same time, the end-of-period balance of the company's net assets was 787 million yuan, slightly lower than the initial balance of 807 million yuan. The asset-liability ratio at the end of the period was 20.83%, up from 18.09% at the beginning of the period, which may be due to the increase in the size of the company's liabilities during the reporting period.

From the perspective of profitability, the net profit of the company belonging to shareholders of listed companies after deducting non-recurring gains and losses is-253 million yuan in the reporting period, compared with-316 million yuan in the same period last year. The gross profit margin for the reporting period was 36.19%, up from 35.23% in the same period last year. The net interest rate during the reporting period was-14.2%, compared with-27.61% in the same period last year, and the loss was also reduced. Return on equity (ROE) was-3.04% during the reporting period, indicating that the company's profitability is relatively weak.

Judging from the business situation, the company's operating income in the reporting period was 171 million yuan, an increase compared with 120 million yuan in the same period last year. Operating profit during the reporting period was-24 million yuan, compared with-37 million yuan in the same period last year, and the loss was reduced. The operating cost in the reporting period was 109 million yuan, an increase compared with 775 million yuan in the same period last year. The net profit in the reporting period was-243 million yuan, compared with-33 million yuan in the same period last year, and the loss was reduced.

In terms of cash flow, the net cash flow generated by operating activities was-139 million yuan in the reporting period, compared with-749 million yuan in the same period last year. The net cash flow from investment activities was-187 million yuan in the reporting period, which was lower than that of-42 million yuan in the same period last year. The net cash flow generated by fund-raising activities was 3.91 million yuan in the reporting period, an increase compared with-1.07 million yuan in the same period last year. The balance of cash and cash equivalents at the end of the period was 178 million yuan during the reporting period, which was lower than that of 279 million yuan in the same period last year.

Generally speaking, the performance of Hongquan Wulian in the report in 2023 is generally stable, although it is still in a state of loss, but the extent of loss has decreased, operating income and operating profit have increased, indicating that the company's operating condition is gradually improving. However, the asset-liability ratio of the company has increased, and the return on net assets is on the low side, indicating that the financial risk of the company is relatively high.

As a financial analyst, I think investors should fully consider the financial and operating conditions of the company when considering investing in Hongquan, especially the profitability and financial risks of the company. At the same time, we should also pay attention to the company's development strategy and market competition in the field of intelligent network connection business, so as to make more comprehensive and accurate investment decisions.

This article only represents the judgment made by the analyst himself or the analyst on the basis of AI analysis, and can not be used as any investment index, nor does it constitute any investment advice. The original intention of this paper is to help investors analyze and judge the capital market data in the most intuitive and fast way and from the most professional perspective.