Shangneng Electric reported its 2024 annual results on the evening of April 23, revealing a net profit attributable to shareholders of 4.19 billion yuan, marking a 46.49% increase compared to the previous year. This growth is primarily driven by the rapid expansion of the company’s overseas solar storage business. However, the company’s total revenue was 4.773 billion yuan, a 3.23% decrease year-on-year, mainly due to a reduction in domestic energy storage system integration services. The net cash flow from operating activities reached 1.22 billion yuan, reflecting a significant increase of 435.81%, which indicates the company’s success in accelerating cash collection.
Shangneng Electric continues to maintain its leading position in the domestic high-power energy storage PCS market. Despite strategic adjustments that resulted in a reduction of certain business areas, the company’s technological advantages and market share in high-power energy storage PCS products remain robust. By continuously optimizing product performance, the company meets the needs of photovoltaic power stations and energy storage systems, securing several large orders for energy storage systems from major photovoltaic projects.
In 2024, Shangneng Electric’s overseas solar storage business made significant strides, becoming a key driver of revenue growth. Leveraging innovative energy storage solutions and extensive project experience, the company successfully entered energy storage projects in multiple countries, including India, Saudi Arabia, the UAE, the USA, Brazil, Spain, Germany, Greece, South Africa, Algeria, South Korea, and the Philippines. This global expansion has further enhanced the company’s brand influence and market share.
With a strong technological foundation and leading R&D capabilities, Shangneng Electric’s products have gained broad recognition from mainstream customers both domestically and internationally, solidifying the company’s position and brand impact in the industry. The company has established long-term partnerships with several state-owned enterprises and large private companies, becoming a qualified supplier for major players such as State Power Investment Corporation, China Energy Group, and China National Nuclear Corporation.
In the overseas market, the company has formed collaborations with globally recognized firms such as TATA, ACWA Power, and Adani, extending its reach across North America, Europe, and the Middle East. Since the beginning of 2024, the company has been recognized as a national intelligent photovoltaic pilot enterprise, a national green supply chain management enterprise, and a leading manufacturing enterprise in Jiangsu Province. According to S&P Global statistics, Shangneng Electric ranked fourth in global shipments of photovoltaic inverter products in 2023. Additionally, the company has been among the top two in domestic energy storage PCS shipments from 2021 to 2024, as reported by the China Energy Storage Industry Technology Alliance (CNESA).
Shangneng Electric remains committed to technological innovation, continuously increasing its R&D investment, particularly in areas such as solar storage products, energy storage systems, and intelligent power management systems. In 2024, the R&D expenditure amounted to 290 million yuan, accounting for 6.07% of its revenue, reflecting the company’s ongoing commitment to research and development. The establishment of multiple R&D centers has enabled the formation of a strong research team, achieving notable advancements in photovoltaic inverters, energy storage systems, and comprehensive solar storage solutions.
Looking ahead, Shangneng Electric aims to become a global leader in the field of new energy power conversion technology and solutions. The company will continue to enhance its global strategy, solidifying its domestic market presence while accelerating the growth of its global solar storage business. Domestically, the company plans to strengthen its leadership position in the high-power energy storage PCS market through technological innovation and product optimization, enhancing its market adaptability and competitiveness.
In the international market, the company will deepen its investments in key areas such as North America, the Middle East, and Southeast Asia, further expanding its market share and promoting sustained global growth. Additionally, Shangneng Electric intends to strengthen its market development in the Middle East and countries participating in the Belt and Road Initiative, enhancing supply chain construction and after-sales service networks to boost competitiveness in emerging markets.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/sungrow-reports-46-49-increase-in-net-profit-for-2024-driven-by-technological-innovation-and-global-expansion/
