Dahua Technology 2017 Annual Report: Substantial Growth, Business Highlights and Future Outlook

Times:2018-03-12 Browse:2129
Hello React! HANGZHOU, China /March 12, 2018 Dahua Technology, a leading solution provider in the global video surveillance industry, has just released its 2017 annual report, which reports substantial growth in the past year as well as a promising outlook.


According to this report, Dahua’s revenues reached RMB 18.84 billion in 2017, indicating a year-on-year growth of 41.38%. Meanwhile, the net profit attributable to shareholders of the company amounted to RMB 2.37 billion, indicating a year-on-year growth of 30.33%.


Key Financial Data and Fiscal Indicators of Dahua’s 2017 performance:


     2017

     2016

YoY Change(%)

     2015

Total Operating Income (RMB)

18,844,458,053.78

13,329,094,010.82

41.38%

10,077,833,438.49

Net profit attributable to shareholders of the Company (RMB)

2,378,726,820.22

1,825,199,447.95

30.33%

1,372,301,211.87

Net profit deducting non-recurring profit and loss attributable to shareholders of the Company (RMB)

2,340,407,357.44

1,719,172,124.08

36.14%

1,350,391,817.72

Net cash flow from operating activities (RMB)

914,231,360.01

470,737,105.34

94.21%

200,763,824.86

Basic earnings per shareRMB/share

0.82

0.63

30.16%

0.48

Diluted earnings per shareRMB/share

0.82

0.63

30.16%

0.48

Weighted average return on net assets

25.47%

24.80%

0.67%

23.59%

At the end of 2017

At the end of 2016

YoY Change(%)

At the end of 2015

Total assets (RMB)

21,333,478,563.97

15,366,397,939.88

38.83%

11,503,470,826.65

Net assets attributable to shareholders of the Company (RMB)

10,466,434,375.19

8,237,011,399.80

27.07%

6,492,483,568.14


Dahua’s continuous strong growth results from the following core competencies:


• Continuous High Investment in Core Technologies &Strong Innovative Capability


In 2017, Dahua invested RMB 1.789 billion (accounting for a YOY increase of 25.55% and 9.49% of this year’s total revenue) in R&D, which allowed the company to keep the leading position in core new technologies such as AI, big data, cloud computing and chipsets. (It’s worth mentioning that in 2017, Dahua ranked NO.1 for three times in ICDAR competition and one time in KITTI competition.) Dahua’s strong innovative capability to develop and commercialize these cutting edge technologies, while leading and reshaping the industry, also creates new opportunities for growth of the company with various new applications and solutions.


• Comprehensive Solutions Based on Deep Insight into Customers’ Needs


Driven by diversified needs of customers, Dahua has transformed itself into a provider of comprehensive solutions now widely applied in smart cities, public transportation, intelligent buildings, finance, energy, manufacturing, education, communication, etc., as well as SMB owners and individual consumers. Compared to selling products alone, providing solutions brings higher gross margin and higher loyalty to the company, which in turn gains deeper insight from big data and develop accordingly new service modes supported by advanced technologies.


• Global Sales System & Burgeoning Overseas Market


2017 overseas revenue reached RMB 6,807,205,320.54 (accounting for 36.12% of total revenue and an increase of 34.64% year-on-year). By the end of 2017, Dahua products and solutions have been serving customers in more than 180 countries and territories and Dahua has set up 42 subsidiaries and representative offices. Nearly 2,000 employees now work overseas for Dahua’s technical and sales teams, directly meeting the needs of high and middle end local markets. With international sales and management teams maturing and localized sales and service centers being established, Dahua expects to gain larger share of overseas market.


• Efficient Cross Culture Management System Based On Fighter Spirit


On the path to globalization, Dahua has developed an efficient cross culture management system which fully respects different customs and practices of different countries and peoples and formed competent localized teams on the basis of mutual respect. Dahua management always embraces a spirit to take on challenging tasks and put in place a clear incentive mechanism to encourage employees to bring values to customers.


Outlook


“We have plenty of reasons to believe in an even brighter future,” Mr. Fu Liquan,Chairman of Dahua, said, “Indeed, the overall economic environment is turning better. The market is getting more diversified, calling for better tailored and smarter solutions, through which I believe Dahua’s core competency will be further highlighted.” Dahua’s many security products and solutions powered by big data, AI and IoT, such as smart city, intelligent building, machine vision, industrial drones and newly launched Lechange products, will bring new business opportunities to the company as well as greater benefits to customers. To enhance supply chain productivity and product quality to support the global sales and application, Dahua Smart (IoT) Industrial Park has put to use in Fuyang District of Hangzhou in June 2017.


As a world leading video-centric smart IoT solution & service provider, Dahua cores in innovation, quality and service. With businesses well aligned with the world's megatrends in urbanization, visualization and intelligentization, Dahua creates values for its global customers and partners in a smoother manner, solidifying the company's mission of enabling a safer society and smarter living.