60 billion listed company turns losses into profits, household energy storage business surges by 303%!
On March 31, HeKang New Energy announced personnel changes. Mr. Wu Dehai resigned from his position as a director and a member of the audit committee due to a job transfer. Mr. Chen Ziqiang also stepped down from his roles as a director, a member of the strategic committee, a member of the compensation and assessment committee, vice general manager, and financial director. Following their resignations, neither will hold any positions within the company.
To ensure smooth financial management, the board of directors has appointed Mr. Wang Wenliang as the new vice general manager and financial director, effective from the date of this board meeting until the end of the sixth board’s term. Mr. Wang, born in 1982 and holding Chinese nationality, completed his undergraduate studies in accounting at Hunan University. From November 2014 to December 2021, he served as the cost management manager and budget management manager at Midea Group’s Household Air Conditioning Division. He further held the position of marketing finance director at the same division from December 2021 to February 2025. Additionally, the board has approved the re-election of Mr. Wang Wenliang and Mr. Wang Zonghao as non-independent directors for the sixth board, pending approval at the company’s shareholders’ meeting.
Household energy storage revenue reaches 137 million, up 303% year-on-year
HeKang New Energy, a technology company under the Midea Group focusing on new energy and industrial automation, was established in 2003. The company primarily engages in three business areas: green energy solutions, household energy storage, and photovoltaic grid-tied inverters. On March 26, HeKang released its 2024 annual performance report, revealing a total revenue of 4.776 billion yuan, marking a year-on-year increase of 220.31%. The net profit attributable to shareholders amounted to 10.296 million yuan, up 104.68% compared to the previous year, where the company reported a net loss. The non-recurring net profit was 7.6372 million yuan, reflecting a year-on-year growth of 103.70%. In terms of quarterly performance, the highest revenue was recorded in the fourth quarter at 1.663 billion yuan, while the first and third quarters yielded profits of 11.0312 million yuan and 2.2646 million yuan, respectively. The second and fourth quarters, however, experienced slight losses.
When analyzing revenue by product, the household energy storage segment generated 137.2 million yuan during the reporting period, a remarkable increase of 303% year-on-year. The cost of revenue for this segment was 122.01 million yuan, up 131.59%, leading to a gross margin of 11.07%, which is a significant year-on-year increase of 65.75%.
The company continues to prioritize research and development in its core business areas, significantly increasing its R&D investment to 320 million yuan during the reporting period, reflecting a year-on-year growth of 117.22%. With this intensified focus on R&D, HeKang has launched its first generation of self-developed household energy storage all-in-one machines and is concurrently developing the second generation of all-in-one and split machines, as well as photovoltaic grid-tied inverter products.
HeKang has disclosed that its four household energy storage projects are primarily aimed at meeting the demands of the high-end all-in-one machine market in Europe and Australia, as well as the needs of small commercial energy storage in Europe and products in the Asia-Pacific and Latin America regions.
