Aoto Electronics' net profit in the first half of the year decreased by 83.87% Year-on-year (YoY)

On the evening of August 7, Aoto Electronics released its semi-annual report. The company's revenue for the first half of the year was RMB 366 million, a Year-on-year (YoY) decrease of 26.63%; the net profit attributable to shareholders of the listed company was RMB 11.3317 million, a Year-on-year (YoY) decrease of 83.87%.

Aoto Electronics' main business consists of three segments: fintech, LED displays, and smart lighting. Regarding the decline in performance in the first half of this year, Aoto Electronics stated that it was mainly due to the impact of the pandemic and other factors in the first half, which significantly affected the construction and business expansion of domestic smart lighting projects, while also impacting normal project acceptance and payment collection, leading to an increase in bad debt provisions and a significant decline in the scale of the smart lighting business. In addition, due to the global pandemic and other factors, the delivery and business expansion of overseas LED display projects were affected, resulting in delayed delivery of overseas orders and hindered development of new projects, causing a certain degree of decline in the scale of the LED display business.

However, Aoto Electronics adjusted its business strategy in a timely manner during the first half of the year, increased efforts to develop the domestic market, and focused on strengthening market expansion for fintech business. The fintech business achieved a Year-on-year (YoY) growth of 2.69% in the first half of the year, maintaining a stable growth trend.

Aoto Electronics also mentioned that the company's revenue increased by 5.41% Year-on-year (YoY) in the second quarter. As the epidemic is gradually brought under control, the company's performance will gradually return to normal.