Zhongshan Broad-Ocean Motor Co., Ltd. Business Report FY ended Dec. 2023
Financial overview |
(CNY millions) |
FY ended Dec. 31, 2023 | FY ended Dec. 31, 2022 | Rate of change (%) | Factors | |
Sales | 11,288.22 | 10,930.14 | 3.28% | -Despite facing a challenging domestic and international economic situation, the company vigorously promoted organizational transformation and management efficiency, continued to implement a flat organizational structure, and improved resource coordination capabilities, lean manufacturing capabilities, and digital construction capabilities to promote revenue growth. |
Operating income | 785.59 | 591.48 | 32.82% | |
Ordinary income | 782.70 | 567.71 | 37.87% | |
Net income | 674.54 | 424.84 | 58.78% |
Business Trends
•Shanghai Electric Drive (SHedrive)
Project | Content |
Powertrain System for New Energy Passenger Vehicles |
1. Based on the second-generation and third-generation electric drive assembly product technology platform for new energy passenger vehicles, the company continue to promote and mass-produce electric drive assembly products suitable for different voltage levels, power levels and product categories, and provide them to multiple new energy vehicle models for multiple vehicle customers at home and abroad and achieve stable production and sales, mainly including: 2. Based on the third-generation high-performance passenger car electric drive assembly platform technology, we have promoted multiple "3-in-1" electric drive assembly and range extender generator assembly projects, mainly including: |
Powertrain system for new energy commercial vehicles |
1. Continue to develop drive assembly products with different voltage platforms and power series for new energy public buses, achieve comprehensive performance improvement and product iteration upgrade, and match different models of domestic and foreign customers: 2. The series of flat wire motor systems developed based on the platform technology of passenger car electric drive system are integrated with electric drive axles/high-speed reducers and successfully applied to microvans, micro trucks and light trucks: 3. The powertrain systems for medium and heavy trucks developed based on different voltage platforms and different punching platforms have obtained batch orders, mainly including: 4. Cooperate with European powertrain suppliers to develop 800V high-voltage fan two-in-one drive motor system, complete multiple rounds of whole machine testing and delivery, and obtain mass production designation; 5. The powertrain system based on the 800V voltage platform is applied to engineering machinery and has obtained the designation of Caterpillar high-voltage excavator project, and the prototype test verification has been completed; 6. The serialized low-voltage drive motor system used in non-road engineering machinery has completed the test, has been equipped with the whole vehicle for test verification and has started small batch delivery. |
Electric drive assembly new technology and new product development |
1. In the electric drive assembly of new energy passenger vehicles, the company will continue to promote the development and application of a number of key technologies: |
2. The vehicle rotating electrical business are implemented and carried out by subsidiaries Prestolite and GNR. Among them, Prestolite is mainly responsible for the commercial vehicle market, and GNR is mainly responsible for the passenger vehicle market. In 2023, benefiting from the continued growth in production and sales in the automotive industry, especially the significant recovery in the year-on-year growth rate of the commercial vehicle market, Prestolite and GNR's related products have made great breakthroughs in the business expansion at home and abroad, achieving operating income of CNY 280,514.24 million, an increase of 21.03% over the same period of the previous year.
•Hydrogen fuel cell business
-Currently, the company's advantages in the hydrogen fuel cell business are mainly power electronics and software integration technology and high-speed motor technology, focusing on the research and development of hydrogen fuel cell BOP (Balance Of Plant), including fuel cell all-in-one controller, high-speed centrifugal compressor, DCDC, high-voltage electronic pump, hydrogen circulation system, high-pressure cooling fan, etc. As of the end of December 2023, the company has applied for a total of 235 patents in the hydrogen fuel cell business, and has authorized 133 patents.
Project | Content |
Hydrogen fuel cell BOP development | The company has completed the development and test verification of multiple BOP products such as air circuit, hydrogen circuit, cooling circuit and power electronics circuit, mainly including: 1. High-pressure shielded water pump: Based on the 1.5kW, 2kW and 5kW platform products, develop 3.5kW platform products to meet the 150kW-200kW product needs of fuel cell system customers; carry out pre-research on high-speed shielded water pump platform products to help system customers achieve higher power density and better product cost performance. 2. Fuel cell all-in-one controller: Based on the software and hardware design and development capabilities of air circuit, hydrogen circuit, cooling circuit and power electronics circuit, develop a highly integrated first-generation fuel cell all-in-one controller, and carry out import verification work with a number of fuel cell system customers. The relevant products are expected to be launched in the market in 2024; develop the second-generation fuel cell all-in-one controller, which will increase the power density by more than 30% based on the first-generation products, while further reducing product costs. 3. Hydrogen circulation system: Focus on the research and development of ejector product solutions, the minimum effective ejection range can reach 4%, which can meet the idle ejection requirements of most fuel cell systems, and the reliability verification of the integrated hydrogen valve is currently underway. 4. Centrifugal air compressor: Develop and adapt 200+kW turbo-electric high-speed centrifugal air compressor, which can achieve 360g/s flow, 3.0 pressure ratio, and electric power <41KW under rated conditions. Compared with centrifugal air compressors without energy recovery, the overall power consumption is reduced by more than 28%. Reliability verification is currently underway. 5. High-pressure cooling fan: Developed 800W high-pressure cooling fan, and carried out import verification with several fuel cell system customers. Related products are expected to be put on the market in 2024; initiated the development of 4.5kW high-pressure cooling fan to reduce the difficulty of vehicle cooling layout of 200+kW fuel cell system, and further reduce the overall cost of high-pressure cooling fan. |
New projects
-The company announced its intention to invest in the construction of the “Broad-ocean Motor New Energy Vehicle Powertrain System and Parts (Chongqing) R&D and Manufacturing Site” in Yubei District, Chongqing. With a planned total investment of about CNY 1 billion and a land area of about 73,333 square meters, the project is planned to have a project company to be established in an area under the jurisdiction of the Chongqing Innovation Economic Corridor as the subject of implementation. The project will contribute to further expanding the New Energy Vehicle powertrain capacity of the company. (From a Broad-ocean Motor Shenzhen Stock Exchange press release dated June 10, 2023)
2024 Outlook
-The company's performance is expected to maintain steady growth in the fiscal year ending December 2024, with sales of CNY 12,033,307,300, a year-over-year (y/y) increase of 6.60%, and estimated operating costs of CNY 9,280,230,500, a y/y increase of 6.34%; the planned net income is CNY 753,658,500, a y/y increase of 11.73%, and the planned net profit attributable to the owners of the parent company is CNY 698,390,600, a y/y increase of 10.81%. (Excerpt from the company's 2023 annual report)
R&D expenditure |
(CNY millions) |
FY ended Dec. 31, 2023 | FY ended Dec. 31, 2022 | FY ended Dec. 31, 2021 | |
R&D Expenditure | 552.17 | 526.42 | 512.69 |
Ratio of R&D expenses to sales (%) | 4.89 | 4.82 | 5.12 |
-As of Dec. 31, 2023, the Company has 2,054 R&D staff, accounting for 17.56% of the total staff.
R&D Facilities
-The Company has R&D centers in China (Zhongshan, Beijing, Shanghai, Shenzhen, Wuhan, and Wuhu) and Detroit in the U.S.
-The Company has three national-level laboratories, three provincial-level enterprise technical centers, and two provincial-level factory technical centers. Established a post-doctoral workshop and a researcher/expert workshop.
Patent
-As of December 31, 2023, the Company had applied for a total of 3,991 patents and has been granted 3,053 patents, of which 2,160 are valid patents. Of these, 625 are invention patents.