SHANGHAI FUDAN (01385) announced its preliminary performance for 2024, with a net profit attributable to the parent of approximately 573 million yuan, a year-on-year decrease of about 20.43%.

Shanghai Fudan (01385) releases preliminary results for the year ending December 31, 2024. The group achieved approximately RMB 3.59 billion in total revenue for the year 2024, representing a growth of about 1.51% from the previous year. The group also recorded a net profit attributable to the owners of the company of around RMB 573 million for 2024, a decrease of about 20.43% from the previous year. The net profit attributable to the owners of the company after deducting non-recurring gains and losses for 2024 was approximately RMB 464 million, a decline of about 18.94% from the previous year. In 2024, the group faced intense market competition in various product lines. The group actively expanded into new products and markets, adjusted sales prices of some products timely according to market conditions to maintain or increase market share, leading to an increase in sales volume and revenue. Due to the impact of declining product sale prices and product structure adjustments, the group's comprehensive gross profit margin decreased by 5.26 percentage points, with a gross profit decline of about RMB 156 million for 2024. Research and development expenses increased. In 2024, the group continued to maintain a significant investment in research and development, continuing with technological updates and new product development, enriching product types to meet more application areas, and strengthening product research and development based on diversified supply chain processes. Research and development expenses for 2024 were approximately RMB 1.031 billion, an increase of around RMB 20.0539 million compared to the same period in the previous year. Increase in provision for impairment losses. In 2024, the group saw an increase in the provision for credit impairment losses of approximately RMB 32.0373 million, mainly due to an increase in accounts receivable from high-reliability customers. The group also recorded an increase in provision for asset impairment losses of approximately RMB 35.2486 million, mainly due to a decrease in the net realizable value of certain products in inventory compared to the previous year.