China Auto Electronics Group Limited (THB Group) 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 | 2,776.78 | 2,295.85 | 20.95% | 1) |
| Operating profit | 523.13 | 458.10 | 14.20% | - |
| Profit before tax | 162.68 | 159.25 | 2.15% | |
| Profit after tax | 127.71 | 134.52 | - |
Factors
1) Sales
-In 2015, Company sales increased 20.95% to approximately RMB 2,776.78 million. The Company's gross profit increased 14.2% to RMB 523.1 million in 2015.
China Operations
-In 2015, the Company's China operations revenue improved by 25.0% to RMB 2.2 billion. The gross profit of China operations had increased by 16.1% mainly due to higher sales volume.
Operations Outside China
-The Company's overseas operations recorded a 7.6% increase in revenue to approximately RMB 579.4 million in 2015. This was mainly attributable to higher number of new car models being launched to meet customers’ demands in the US.
Contract
-Wuhu Tianxin Electric Parts Co., Ltd., a subsidiary of the Company, announced that it has won a contract to supply wire harnesses for SAIC Motor Passenger Vehicle's ZS11 (development code) compact SUVs. Production of the new model is scheduled to begin in March 2017, and the automaker expects to sell over 35,000 units in 2017. Wuhu Tianxin Electric Parts will officially become the automaker's supplier with this new business. (From a press release on August 18, 2015)
New Plant
-In 2015, a 40,000 square meters new plant opened in Hebi North Industrial Park. (From the Company's 2015 annual report)
Pass the Test
-In December 2014, the Company announced that Hebi Tianhai Huanqiu Electric Co., Ltd., its subsidiary, has passed quality control testing conducted by Daimler. The company expects this achievement will lead to cable and wire harness business for Mercedes-Benz vehicles. (From a press release on January 5, 2015)
R&D Structure
-The Company has a total of six engineering research centers. These centers include its research institute, which is a national-level technology center, the Henan Province automotive electrical engineering technology research center and the Henan Province automotive electronics engineering technology research center. The Company conducts R&D activities on connectors, wiring harnesses, auto electronics, harness equipment and parts for clean-energy vehicles.
-The Company established a R&D Centre in Shanghai, which focuses on automotive electrical and electronics distribution system.
R&D Expenditure
| FY ended Dec. 31, 2015 (million yuan) |
FY ended Dec. 31, 2014 (million yuan) |
|
| R&D Expenditure | 92.90 | 72.50 |
| Ratio of R&D expenses to operating income | 3.35% | 3.16% |