**AAC Technologies Announces Strong Interim Results for H1 2017**
In the first half of 2017, AAC Technologies Holdings Limited ("AAC Technologies" or "the Company"; stock code: 02018) delivered impressive financial performance. The company reported net profit of RMB2,127 million, a 57% year-on-year increase. The interim dividend was raised to HK$0.4 per share from HK$0.3 in the previous period. The growth was driven by both acoustic and non-acoustic solutions, with sales rising by 22% and 130%, respectively. The optical business also showed strong momentum, with production capacity reaching 10 million units per month.
The unaudited interim results for the six months ended June 30, 2017, revealed revenue of approximately RMB8,644 million, marking a 55% year-on-year increase. Net profit reached a record high of RMB2,126.8 million, reflecting the company's robust performance. The Chairman’s Report highlighted the key achievements and strategic direction of the company during this period.
Key highlights from the 2017 interim results include:
- Revenue increased by 55% to RMB8,644.3 million, while net profit rose by 57% to RMB2,126.8 million.
- Acoustic and non-acoustic segments saw growth of 22% and 130%, respectively, with gross margins exceeding 40%.
- The optical lens business, based on proprietary design and manufacturing technology, reached a monthly capacity of 10 million units, positioning it as a future growth driver.
- Annualized return on equity improved to 29.2%, up from 23.5% in H1 2016.
- The balance sheet remained strong, with cash reserves of RMB3,088.1 million and low gearing ratios of 19.4% and 6.8%.
- The proposed interim dividend for H1 2017 was HK$0.40 per share, a 33% increase compared to the same period last year.
In the second quarter of 2017, revenue grew by 47% year-on-year to RMB4,429.2 million, with net profit rising to RMB1,065.2 million, a 45% increase. Non-acoustic business continued to outperform, growing by 74% and contributing over 45% of total sales. The company maintained a strong focus on cost control and R&D investment, which helped improve operational efficiency and profitability.
Overall, the first half of 2017 demonstrated AAC Technologies’ strong execution and its ability to deliver innovative solutions that meet customer needs. With continued investment in R&D and expansion into new markets, the company is well-positioned for sustained growth in the future.
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