Shangsheng Electronics (stock code: 688533) is a high-tech enterprise focusing on car audio systems. It is committed to providing high-quality car speakers, amplifiers and AVAS products to automobile manufacturers around the world. In 2023, under the leadership of the board of directors, the company seized opportunities and forge ahead, not only consolidating its dominant position in traditional overseas markets, but also seizing opportunities for rapid domestic NEV growth, and continued to maintain rapid revenue and profit growth.

At the end of 2023, SAIC Electronics' total assets were 2,884 billion yuan, an increase of 29.04% over 2,235 billion yuan at the end of 2022. The increase in assets was mainly due to the increase in capital raised and net profit from the issuance of convertible bonds by the company. In terms of debt, the company's total debt at the end of 2023 was 1,579 billion yuan, up 39.52% from 1,132 billion yuan at the end of 2022. The balance ratio rose from 50.64% in 2022 to 54.76% in 2023, indicating that while the company is expanding its business, its liabilities have also increased. In terms of net assets, net assets attributable to shareholders of listed companies at the end of 2023 were $1,301 billion, up 18.11% from $1,101 billion at the end of 2022.

In terms of profit, the company achieved revenue of 2,326 billion yuan in 2023, an increase of 31.52% over the same period last year. Operating costs were $1,734 million, up 22.95% year over year. The gross margin rose to 25.48% from 20.29% last year, showing that the company has achieved significant results in cost control and product structure optimization. Net profit attributable to shareholders of listed companies was 159 million yuan, a significant increase of 82.40% over the previous year. Net profit after deducting non-recurring profit and loss was $156 million, up 140.41% year over year. The net interest rate rose to 6.83% from 4.91% last year, indicating a significant increase in the company's profitability.

In terms of cash flow, the net cash flow from the company's operating activities in 2023 was 237 million yuan, compared to -34.92 million yuan in the same period last year, showing significant improvements in the company's sales repayment and cost control. Net cash flow from investment activities was -640 million yuan, up 1,111.89% year on year, mainly due to the company's increased investment in new projects and technology research and development in 2023. Net cash flow from fund-raising activities was 318 million yuan, up 10.82% year on year, mainly due to the company issuing convertible bonds to raise capital.

Overall, Shangsheng Electronics achieved significant financial growth in 2023, with significant increases in operating income and net profit, and significant improvements in gross margin and net margin. The company changed its cash flow from operating activities from negative to positive, showing good operating conditions and ability to manage cash flow. However, with business expansion and investment, the company's debt has also increased, and we need to continue to pay attention to changes in debt levels and balance ratios in the future. Overall, SAIC Electronics performed well in 2023 and is expected to continue to maintain a good growth trend in the future.