Summary by Moomoo AI
Solomon Systech Limited faced challenges in the first half of 2024 due to global economic slowdown, influenced by factors such as persistent inflation, tightening monetary policies, and geopolitical tensions. Particularly in the China market, the reduction in real estate activities and weak domestic demand significantly impacted the demand for consumer electronics. Despite downward pressure on prices of end products, the overall industry inventory destocking is nearing completion and the market supply and demand are gradually balancing. During the period, Solomon Systech's shipment volume decreased by 3.7% to approximately 170 million units compared to the same period last year, but increased by 6.6% compared to the second half of 2023. Sales revenue decreased by 27.4% to 61.9 million US dollars, mainly due to the decrease in shipment volume and average product price. The net profit attributable to the owners of the company decreased by 43.3% to 7.5 million US dollars. The Board of Directors does not recommend the declaration of an interim dividend for the six months ended June 30, 2024.
