Changchun Faway Automobile Components Co., Ltd. Business Report FY ended Dec. 2015

Financial Overview

(in million yuan)
FY ended Dec. 31, 2015 FY ended Dec. 31, 2014 Rate of Change Factors
Sales 9,863.62 11,273.38 -

In 2015, sales decreased as the following reasons:
-Domestic OEM market downturn
-Sales growth slowing
-Intense market competition
-Cost pressures

Operating profit 483.98 638.53 - -Raw material price increase led to reduced profitability.
Ordinary profit 484.03 634.46 -
Net profit 456.39 606.20 -

-In 2015, the Company's wheels reached 3.43 million sets, 13% decrease than previous year; bumper sales reached 2.26 million, 6.9% increase than previous year; light sales reached 438,000 sets, 130.8% increase than previous year. (From the Company's 2015 annual report)

Business Plan for Next Year

-In 2016, the Company plans to reach CNY 11.47 billion sales.

R&D Expenditure

FY ended Dec. 31, 2015
(million CNY)
FY ended Dec. 31, 2014
(million CNY)
FY ended Dec. 31, 2013
(million CNY)
R&D Expenditure 96.55 105.13 75.59
Ratio of R&D expenses to operating income 0.98% 0.93% 0.8%

R&D Structure

-As of 2015, the Company has a R&D team with about 600 staff. (From the Company's 2015 annual report)

R&D facilities

Name Company
Wheel R&D Center Changchun Faway Automobile Components Co., Ltd. Wheel Company
Faway-Johnson Technical Center Changchun Faway-Johnson Controls Automotive Systems Co., Ltd.

-The Company has two provincal-level technical centers, involving the automotive wheels and the interior components.

-The technical centers have strengthened their development in the field of automotive exteriors and have the ability to simultaneously design 3 sets of bumpers.

-Changchun Faway Johnson Controls Automotive Electronics Co., Ltd. has the ability to research and develop software and hardware.

Investment activities in 2015

(in million yuan)
Project Amount invested in 2015 Status
Project of Audi C7PA 11.53 99%
Light project of Chengdu Faway Hella Automotive Lamps Co., Ltd. 36.68 23.58%