Changzhou Xingyu Automotive Lighting Systems Co., Ltd. Business Report FY ended Dec. 2023

Financial Overview

(CNY millions)

	FY ended Dec. 31, 2023	FY ended Dec. 31, 2022	Change %	Factors
Sales	10,248.45	8,247.99	24.25	-Increase in major business income.
Operating income	1,199.41	1,053.98	13.80
Ordinary income	1,203.09	1,049.92	14.59
Net income	1,102.13	941.42	17.07

Strategic alliances

-The company announced that it formed a strategic partnership with Shenzhen Oritek Semiconductor Co., Ltd. (Oritek) for cooperation in such fields as intelligent automotive lamps, R&D of intelligent driving technologies, integration of automotive lamps, and customized development of intelligent chips. In terms of R&D of intelligent automotive products, based on Oritek’s Longquan series chip platforms, the two parties will jointly develop innovative products meeting market demand, such as intelligent automotive lamps and autonomous driving. (From a Xingyu press release dated June 1, 2023)

-The company signed a strategic cooperation agreement with Zvision Technologies Co., Ltd. (Zvision) to conduct strategic cooperation in such fields as R&D of automotive LiDARs and intelligent driving technologies, integration of automotive lighting products, and production and manufacturing. The companies will jointly carry out the innovation of product technologies and market expansion. (From a Xingyu press release dated May 23, 2023)

-The company signed a strategic cooperation agreement with Beijing Horizon Robotics Technology R&D Co., Ltd. (Horizon Robotics). Based on automotive chips and algorithms, the two companies set three business goals: compliance with vehicle regulations, mass production, and qualification for delivery. Horizon Robotics and Xingyu Lighting will jointly promote the mass production and commercialization of integrated driving and parking solutions, and strive to make this technology a standard feature of smart cars. In addition, Xingyu Lighting’s integrated driving and parking solution built on the Horizon Robotics Journey 3 chip has been ordered by a leading Chinese automaker, with mass production scheduled to begin in 2023. (From a press release dated February 15, 2023)

Orders

-The company announced that it has provided a smart lighting system for the Wenjie M9, a flagship model under the AITO brand of SERES Automobile Co., Ltd. Featuring Xingyu’s in-house 84-pixel ADB (adaptive driving beam) system and a DLP (digital light processing) module jointly developed with Huawei, the smart lighting system can precisely occlude vehicles ahead, thus improving user safety experience. The system adopts CANFD communication and AUTOSAR architecture. The front and rear ISD (intelligent signal display) lamps have more than a thousand pixels. These lamps apply a daisy chain system architecture and refresh 25 frames of pictures per second through 4M high-speed serial port communication, thus achieving a smoother animation effect. The system has more than 10 built-in animation effects such as greetings, charging animation, and lamp signals, as well as more than 40 customized graphic patterns. The customized animation can be refreshed through OTA updates to meet the customized needs of different customer groups. (From a press release dated December 27, 2023)

Latest progress on plant construction

To further improve its global footprint, Xingyu Lighting established companies in Mexico and the United States.

R&D projects

DLP (digital light processing) smart headlight module based on DMD (digital micromirror device) technology
Smart headlight module based on Micro LED technology
Pixel display interactive light based on Micro LED/Mini LED technology
Development of HCM/RCM/LCU (headlamp control module / rear lamp control module / light control unit) for car lamp controller
Development of intelligent drive related products for driving and parking

R&D expenditure

	FY ended Dec. 31, 2023	FY ended Dec. 31, 2022	FY ended Dec. 31, 2021
R&D expenditure (CNY millions)	610.24	522.09	387.75
Ratio of R&D expenses to Sales(%)	5.95	6.33	4.90
Number of R&D personnel (persons)	1506	1,532	1,493
The proportion of R&D personnel in the company (%)	17.20	21	18.98

Patents

-The company announced that its vision controller designed for intelligent driving received ISO 26262 ASIL D functional safety certification from CATARC Huangcheng Certification (Tianjin) Co., Ltd. As Xingyu’s first intelligent driving domain controller, it applies a multi-sensor fusion solution, ensuring switchable driving assistance and parking assistance functions. (From a press release dated January 16, 2024)