Yuneng Technology Reports Record Revenue Growth Amid Rising Energy Storage Demand and AI Innovations

Yuneng Technology’s Energy Storage Business Continues to Expand, AI Powers Technological Innovation, Revenue Grows Against the Trend

On May 6, 2024, Yuneng Technology (688348.SH) announced its 2024 annual report and the first quarter report for 2025. The company plans to distribute a cash dividend of 4 yuan for every 10 shares to all shareholders, totaling 61.81 million yuan, which accounts for 44.14% of the net profit attributable to the parent company for 2024.

In the previous year, thanks to a surge in commercial and industrial energy storage business, Yuneng Technology achieved an operating income of 1.771 billion yuan, reflecting a year-on-year growth of 24.70%, and a net profit attributable to the parent company of 140 million yuan. Despite a decline in revenue in the first quarter of 2025 due to intensified global trade friction, the company’s resilient global business layout and flexible outsourcing allowed it to maintain stable profits, with a gross margin rising to 43.49%.

Yuneng Technology focuses on the photovoltaic power generation and energy storage sectors, primarily engaged in the research and commercialization of component-level power electronics technology in distributed photovoltaic power generation systems, as well as household and commercial energy storage technology. The company provides comprehensive application solutions that integrate microinverters with distributed photovoltaic and energy storage systems.

The report also disclosed the dividend situation, with a planned distribution of 4 yuan per 10 shares for 2024, summing up to 61.81 million yuan. Over the past three years, the cumulative cash distribution amounts to 349 million yuan, with a cash dividend ratio of 145.05%.

Ecological Synergy Effects Stand Out, Total Installed Capacity Ranks Among the Top

Looking back at 2024, the role of renewable energy in the global energy structure has become increasingly significant as countries actively promote the transition to clean energy. According to the International Energy Agency (IEA), the global installed photovoltaic capacity increased by nearly 452 GW in 2024, representing a year-on-year growth rate of 32.2%.

Moreover, the application model that combines energy storage with photovoltaic power generation has become a common consensus in the development of global new energy. In response to industry trends, Yuneng Technology has launched household and commercial energy storage products based on independent innovation, forming new growth momentum.

Two main reasons were cited for the substantial revenue growth in the previous year: first, the company’s commercial energy storage business rapidly developed domestically, successfully implementing several benchmark projects; second, as inventory depletion in the European market approached completion, household storage demand gradually recovered, leading to increased sales revenue from the company’s household storage products.

Specifically, in 2024, Yuneng Technology’s revenue from commercial energy storage systems and services reached 542 million yuan, a year-on-year increase of 229.42%. The sales volume of commercial energy storage equipment reached 1,666 units, growing by over 400%. The annual report noted that the Ocean200L and Ocean400L series products developed by Yuneng Technology achieved coordinated control of subsystems such as batteries, PCS, cooling systems, and fire safety systems, boasting high safety, reliability, and efficiency.

Leveraging product advantages, Yuneng Technology secured several large orders last year, successfully contributing to projects such as Meishan Steel, Nanjing Steel Energy Storage, and Binhai Energy Storage. Notably, the Jiangsu Binhai 200MW/400MWh energy storage power station ranks among the largest string-type energy storage stations in the country. The company’s total installed capacity exceeded 1 GWh for the year, ranking 8th in the national commercial energy storage system (AC side) shipment volume and 2nd in the national string-type integrated cabinet system shipment volume.

The rapid expansion of domestic commercial energy storage business has also attracted more overseas customers to Yuneng Technology’s household storage products. In the European market, a structural adjustment in demand, coupled with growth driven by energy storage, is evident. Low-cost components are expected to enhance the market share of differentiated products for distributed photovoltaic installations, such as hybrid inverters compatible with energy storage.

Yuneng Technology’s ELS and ELT series household storage products feature safety advantages with low-voltage component and battery access, operating in modes like self-consumption and backup power. They can also form microgrid systems in conjunction with photovoltaic grid-connected inverter systems through AC coupling. As a result, in 2024, revenue from household energy storage products reached 32.6 million yuan, a remarkable year-on-year increase of 364.88%. The sales volume of household energy storage products grew by 255.4%, with inventory levels decreasing by 11.84%.

Looking ahead to this year’s overseas business, Yuneng Technology expressed confidence that its stable product quality and excellent performance have earned it a strong brand reputation and recognition in the industry. The company plans to further enhance its overseas market layout while actively seeking business opportunities in emerging markets in Asia, Africa, and Latin America.

Commitment to Innovation, Accelerating AI Integration in Energy Storage

Notably, on the same day the annual report was released, Yuneng Technology simultaneously announced the “Quality Enhancement and Return Action Plan for 2025.” This plan emphasizes the company’s goal of advancing dual market-driven strategies in both domestic and international markets alongside synergistic promotion of integrated photovoltaic and energy storage solutions. The company also highlighted its intention to increase research and development investment, actively exploring the deep integration of artificial intelligence with power electronics technology, utilizing AI to empower its photovoltaic and energy storage products.

In 2024, the company’s R&D expenses reached 94.06 million yuan. The number of R&D personnel increased by 56, making up 50% of the total workforce. In terms of intellectual property achievements, the company filed for 63 new intellectual property rights and received 22 new authorizations last year. As of year-end, the total number of intellectual properties owned by the company reached 188, including 91 invention patents.

From its inception, Yuneng Technology has broken the technological barriers of microinverters, achieving breakthroughs in component-level disconnectors. The company consistently captures industry trends and realizes technological innovation through ongoing investment. In 2024, the integration of AI technology became a key direction for product upgrades and iterations, leading to the industry’s first launch of “AI Smart Energy Business.” For instance, the “BESS AI” model developed for home scenarios can autonomously analyze historical data, understand photovoltaic generation patterns, and plan battery charge and discharge strategies, significantly enhancing the economic benefits of household energy management.

The future potential of AI is vast, including the ability to accurately predict photovoltaic power generation based on factors such as weather and historical generation data, thereby assisting the power grid in optimizing scheduling. It could also manage the collaborative operation of photovoltaic power stations and energy storage batteries, dynamically optimizing charge and discharge strategies to extend battery life and improve the overall energy management level and economic efficiency of power stations.

The exploration of AI integration with energy storage requires companies like Yuneng Technology to continuously innovate, just as they did 15 years ago when they ventured into a blue ocean, leading the industry’s transformation through technological innovation.