Ningbo Joyson Electronic Corporation Business Report FY ended Dec. 2016
|(in million CNY)|
|FY ended Dec. 31, 2016||FY ended Dec. 31, 2015||Rate of change||Factors|
-The Company operated in good condition, thus, the original business increased 13% than previous year.
-Preh GmbH, the Company’s subsidiary in Germany, will supply its battery management system (BMS) to Mercedes-Benz for the automaker's new 48V mild hybrid vehicles. Preh has already launched the mass production of the BMS. Mercedes-Benz is now included in the list of global customers of Ningbo Joyson Electronic in the area of new energy vehicles. (From a press release on June 28, 2017)
-The Company said in June 2017, that one of its group companies, KSS Holdings, Inc., will sign a memorandum for asset purchasing with Takata Corp. KSS Holdings will purchase the assets of Takata, excluding those for ammonium nitrate generator business, at a price not greater than USD 1.59 billion. By acquiring Takata’s main assets, KSS wants to expand its production and win a greater number of new orders. At the same time, it aims to enter the Japanese market and Japanese automakers’ supply networks. Takata’s active and passive safety technologies will also reinforce KSS, the company said. (From a corporate announcement on June 26, 2017)
-The Company announced that it will acquire KSS Holdings Inc. to strengthen its automotive intelligent safety system business. The shares will be acquired by Knight Merger Inc., Ningbo Joyson's new subsidiary in the U.S. The transaction is worth USD 920 million. Knight Merger will thereafter be absorbed by KSS, which will operate as a wholly owned subsidiary of Ningbo Joyson. (From an announcement by the company on June 7, 2016)
-Preh IMA Automation GmbH, a wholly owned subsidiary of the Company, announced that it will acquire all EVANA Automation shares owned by Phillips Service Industries Inc. for USD 19.5 million. EVANA, located in Evansville, Indiana, U.S., specializes in development and sales of industrial robots and automation systems. Its major customers include TRW, Magna, and Alere. (From an announcement by the company on May 5, 2016)
-The Company announced the company and its German subsidiary, Preh Holding GmbH, will jointly acquire the automotive division of TechniSat Digital GmbH, Daun in Germany. The two companies will invest EUR 180 million to take over this business that develops and produces innovative products and software solutions in the fields of car infotainment, navigation, connectivity, telematics and data services. TechniSat Digital will initially spin off its automotive division and integrate the operations into TS Dresden, its subsidiary. Then Ningbo Joyson Electronic and Preh will each acquire 50% stake of TS Dresden. (From an announcement by the company on February 3, 2016)
-Ningbo Shengxin Electronic Science & Technology Co., Ltd., which is a subsidiary of the Company, will establish a semiconductor joint venture with Zhongxin Jingyuan Equity Investment (Shanghai) Co., Ltd. and Beijing IC Design & Packaging Testing Equity Investment. The new company will be called Zhongxin IC (Ningbo) Co., Ltd. It will be capitalized at CNY 355 million, of which CNY 237 million (66.76%) will be invested by Zhongxin Jingyuan Equity Investment (Shanghai), CNY 30 million (8.45%) by Beijing IC Design & Packaging, and CNY 88 million (24.79%) by Ningbo Shengxin. Zhongxin IC (Ningbo) will develop and manufacture silicon chips and compound semiconductors. (From an announcement by the company on December 15, 2016)
-The Company said on June 16, 2017, that it will transfer all shares in Preh IMA Automation GmbH, from Preh GmbH, one of Ningbo Joyson Electronic’s subsidiaries and the current owner of the shares, to PIA Automation Holding GmbH. at a transfer price which is expected to exceed EUR 130 million. As of June 16, Ningbo Joyson Electronic has already transferred 60% of the shares in Preh IMA Automation at a transfer price of EUR 78 million. The rest, which is 40%, is scheduled to be transferred in July 2017. (From a corporate announcement on June 16, 2017)
-Preh, a German subsidiary of the Company, and the U.S.-based Qualcomm Incorporated announced that they have entered into a Wireless Electric Vehicle Charging (WEVC) license agreement on November 8, 2016. Preh will include Qualcomm WEVC technology in its product portfolio and will focus on commercializing WEVC systems for plug-in hybrid and electric vehicle manufacturers. Preh intends to develop, produce, and supply WEVC systems by utilizing Qualcomm's technology. (From news releases issued by multiple sources on November 9, 2016)
-In April 2017, Preh GmbH, the Company's subsidiary in Germany, received "2016 Partnership Supplier Award" from Deere.
-In September 2016, Ningbo Preh Joyson Automotive Electronics Co., Ltd., the Company's subsidiary, received Q1 award from Ford.
-In July 2016, Ningbo Joyson Automotive Electronics Co., Ltd., the Company's subsidiary, received "2015 Excellent Quality Supplier" from General Motors.
-In March 2016, Preh GbmH, the Company's subsidiary, received "Special Supplier Award" from Diamler.
-In March 2016, Ningbo Preh Joyson Automotive Electronics Co., Ltd., the Company's subsidiary, received "2015 Quality Supplier Award" from SAIC GM.
|FY ended Dec. 31, 2016
|FY ended Dec. 31, 2015
|FY ended Dec. 31, 2014
|Ratio of R&D expenses to sales||6.25%||6.57%||5.05%|
-The Company has R&D centers in Ningbo, Shanghai and Changchun. It has ability of synchronizing development with domestic and foreign customers. The research areas include:
- Product modeling
- Product design and development
- Mold design and development
- Tooling equipment design and development
- Technology development
- Hardware and software development
- Electronic information development.
-The Company has R&D center in Germany as the core of Preh GmbH. The core competence covers product design, structural design, hardware and software development and testing, sensor technology, industrial engineering and tooling technology, etc.
-KSS: There are three R&D centers in the world, which are located in Michigan, US, Suzhou, China and Seoul, Korea. R&D centers worked on internal, front and side-looking products. In addition, the company is expanding R&D centers of the active safety division of KSS and Preh intelligent vehicle division in China.
-Preh GmbH: The company has R&D functions in Germany, the United States, Romania and China. Preh opened a new research and development (R&D) center in Bad Neustadt an der Saale, Germany in April 2017. The core competence covers product design, structural design, hardware and software development and testing, sensor technology, industrial engineering and tooling technology, etc. The lab will focus on developing intelligent drive control systems and new-energy-vehicle power management systems.
|(in millions CNY)|
|Project||Investment in 2016|
|Machinery and equipments||846.89|
|Decoration, renovation and other projects||132.19|
|Constrution project of new industrial city||111.96|