Joyson Electronics plans public listing on HKEX

Shanghai (Gasgoo)- On December 6, Ningbo Joyson Electronic Corp. ("Joyson Electronics") announced plans to issue H-shares and list on the Main Board of the Hong Kong Stock Exchange (HKEX). The funds raised will be used for the development and commercialization of next-generation intelligent automotive electronics and cutting-edge technologies, production capacity expansion, supply chain enhancements, international business growth, and potential industry investments or acquisitions.

Photo credit:  Joyson Electronics

Joyson Electronics stated that the Hong Kong listing will accelerate its global strategy by aligning business operations with capital expansion, establishing an international platform for financial operations, meeting the demands of global investors, and enhancing its global brand and competitiveness.

Founded in 2004, Joyson Electronics is a leading global supplier of automotive electronics and safety systems. The company specializes in intelligent cockpits, smart connectivity, autonomous driving, energy management for new energy vehicles (NEVs), and automotive safety solutions.

In the first three quarters of 2024 (Q1-Q3 2024), Joyson Electronics achieved a net profit attributable to shareholders of approximately 941 million yuan, a year-on-year jump of 20.9%. Excluding non-recurring items, its net profit also reached about 941 million yuan in the period, surging 40.25% year on year. In the third quarter (Q3) alone, the company posted a net profit of around 305 million yuan, with 303 million yuan in adjusted net profit.

The company's gross margin has steadily improved, rising by 1.6 percentage points year-on-year to 15.6% in the first three quarters. The automotive safety segment's gross margin increased by 2.6 percentage points to 14%, while the automotive electronics arm maintained a stable gross margin of 19.2%.

Revenue for the first three quarters remained stable year-on-year at 41.1 billion yuan, with automotive safety and electronics segments contributing 28.4 billion yuan and 12.7 billion yuan, respectively.

In the Q1-Q3 period this year, the company secured new orders with a total lifecycle value of approximately 70.4 billion yuan, of which over 50%—around 37.6 billion yuan—were for NEV-related projects. By business segment, the automotive safety business garnered 49.1 billion yuan in new orders, while the automotive electronics segment secured 21.4 billion yuan. Orders from the Chinese market, especially from local brands and NEV startups, totaled 31 billion yuan, accounting for 44% of the total.

To maintain competitiveness in emerging sectors and convert new orders into future revenue, Joyson Electronics invested roughly 1.772 billion yuan in R&D during the first three quarters of 2024. Key focus areas include 800V energy management systems, intelligent driving, connected vehicle technologies, and innovative safety solutions designed for future autonomous vehicles.