ECARX scores 31% YoY jump in 2023 annual revenue

Beijing (Gasgoo)- On February 28, ECARX Holdings Inc., the Geely-backed global provider of mobility technology solutions, unveiled its unaudited financial performance for the fourth quarter and full year of 2023. 

Photo credit: ECARX

In the final quarter of 2023, the company reported a robust total revenue of 1,868.7 million yuan (US$263.1 million), marking a 22% increase compared to the corresponding period last year. In this period, gross profit amounted to 431.5 million yuan (US$60.6 million), reflecting a slight 1% rise year-on-year, resulting in a gross margin of 23%.

ECARX’s R&D expenditures stood at 473.4 million yuan (US$66.7 million) in the fourth quarter, registering a notable 7% year-on-year decline, which was attributed to reduced share-based compensation expenses while intensifying investments in core product enhancement and global R&D endeavors. 

Despite this, the company’s net loss for the quarter amounted to 322.9 million yuan (US$45.7 million), demonstrating a significant 57% decrease compared to the previous year. However, it marked a 15% increase from that of the previous quarter, primarily due to escalated R&D outlays.

For the full year of 2023, ECARX reported a total revenue of 4,666.1 million yuan (US$657.1 million), depicting a substantial 31% surge compared to the previous year. Gross profit for the year amounted to 1,269.9 million yuan (US$178.8 million), reflecting a 28% increase year-over-year. 

R&D expenses saw a 5% reduction from the previous year to 1,264.3 million yuan (US$178.1 million) in 2023. 

Despite these strides, the company reported an annual net loss of 1,015.3 million yuan (US$143.2 million), signifying a 37% decrease compared to the preceding year, chiefly attributable to augmented gross profit from revenue growth and reduced share-based compensation expenses.

In terms of business development in the fourth quarter of 2023, ECARX witnessed significant expansion in its global customer base and partnerships, with over 6 million vehicles running on roads equipped with ECARX products by December 31, 2023. Moreover, there are 49 vehicle models equipped with ECARX solutions expected to be launched over the next 18 months.

Additionally, the company secured several project wins within the Geely ecosystem and strengthened collaborations to enhance its intelligent driving ecosystem. 

Furthermore, the Volvo EX30 equipped with ECARX Cloudpeak was launched across 33 international markets last year. Meanwhile, the Polestar 4, featuring Polestar OS, the customized OS based on ECARX’s Flyme Auto, and an integrated driver-assist system developed in collaboration with Mobileye, is also on the market.