In This Article:
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Full-Year Net Revenue: RMB2.1 billion, exceeding previous guidance.
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Income from Operations: RMB156.3 million.
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Net Income: RMB62.3 million, reversing losses from the past two years.
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Second Half Net Revenue: RMB1.2824 billion, a 42.8% increase from the same period in 2023.
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Home Water Systems Revenue (Second Half): RMB925.7 million, a 58.2% increase year-over-year.
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Consumables Revenue (Second Half): RMB136.7 million, a 24.6% decrease year-over-year.
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Kitchen Appliances and Others Revenue (Second Half): RMB220 million, a 67.2% increase year-over-year.
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Gross Profit (Second Half): RMB289.5 million.
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Gross Margin (Second Half): 22.6%, down from 32.8% in the same period of 2023.
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Total Operating Expenses (Second Half): RMB221.5 million, a 6.1% increase year-over-year.
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Net Income Attributable to Ordinary Shareholders (Second Half): RMB57.4 million.
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Cash and Cash Equivalents (End of 2024): RMB1.262 billion.
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Full-Year Gross Profit: RMB548.7 million.
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Full-Year Gross Margin: 25.9%, down from 31.9% in 2023.
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Full-Year Net Income Attributable to Ordinary Shareholders: RMB33.4 million.
Release Date: March 25, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Viomi Technology Co Ltd (NASDAQ:VIOT) achieved a full-year net revenue of RMB2.1 billion, exceeding previous guidance.
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Revenues from home water solutions grew by 39% year over year, significantly driving overall business expansion.
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The company reversed previous losses, achieving a net income of RMB62.3 million.
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Viomi Technology Co Ltd (NASDAQ:VIOT) successfully launched new products, such as the Vortex series, which received positive feedback and strong consumer demand.
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The company established strategic partnerships, including a renewed agreement with Xiaomi and a new partnership with a leading Malaysian home appliance retailer.
Negative Points
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Gross margin decreased to 22.6% from 32.8% in the same period of 2023, primarily due to a higher revenue contribution from low-gross margin products.
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Revenues from consumables decreased by 24.6% due to decreased sales of water purifier files sold to Xiaomi.
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Total operating expenses increased by 6.1% due to higher personnel expenses during the strategic transition period.
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General and administrative expenses rose by 34.8%, primarily due to higher management personnel expenses.
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The company faced challenges in maintaining gross margins due to shifts in product mix and strategic reorganization.
Q & A Highlights
Q: After the divestment of the IoT business in 2024, what adjustments have been made in business operation and organizational management, and what are the results so far? A: Sam Yang, Head of Capital and Investment Department, explained that the strategic reorganization began in the second half of 2023, elevating the water business to a strategic unit. By the second half of 2024, Viomi completed the reorganization by divesting certain IoT businesses and focusing on water purification. The introduction of the Integrated Product Marketing System (IPMS) has strengthened brand awareness and market share. The full-year net revenue reached RMB2.1 billion, with income from operations totaling RMB155 million, exceeding previous guidance.