According to Zhitong Finance App News, Linden Electronic Control (688667.SH) released its 2023 annual report. During the reporting period, the company achieved operating income of 1,008 billion yuan, an increase of 41.64%; net profit attributable to shareholders of listed companies was 49.1337 million yuan, a year-on-year decrease of 26.70%; net profit attributable to shareholders of listed companies deducted non-recurring profit and loss of 334.626 million yuan, a year-on-year decrease of 17.73%; and basic earnings per share were 0.95 yuan/share.
The company's 2023 profit distribution plan is to distribute a cash dividend of RMB 2.85 (tax included) to all shareholders for every 10 shares based on the total share capital on the share registration date of this equity distribution.
During the reporting period, total revenue increased by 41.64% year on year; the main reason is that during the reporting period, the company achieved major sales breakthroughs in passenger vehicle EMS products and electrified products such as GCU; at the same time, the commercial vehicle market was affected by factors such as stable macroeconomic stability and recovery in consumer demand. Driven by various favorable policies, the market rebounded to the bottom and achieved restorative growth, leading to a sharp increase in the company's basic commercial vehicle sales.
The decline in profit was mainly due to intense competition in the passenger car EMS market and the electrification product market such as GCU during the reporting period. The increase in the company's operating income did not lead to an increase in product gross profit due to the double influence of low gross margin of new product sales revenue and the high share of European 4 and 5 European products with high gross margins in the previous period. At the same time, the increase in sales scale led to an increase in the company's sales expenses and management expenses, and the increase in accounts receivable and inventory size led to an increase in impairment accrued at the end of the period; in addition, fund-raising projects were completed and put into use, and costs and expenses increased due to depreciation of new construction and equipment assets.