As a global security leader, Hikvision, whose main business growth potential is controversial, has continued to promote the "1+N" spin-off and listing plan in recent years, and spin off its innovative business.
According to the 2022 performance report released by Hikvision, the company's operating income exceeded 83 billion yuan, a sharp drop in year-on-year growth rate, and the net profit attributable to shareholders of listed companies was about 12.8 billion yuan, a year-on-year decrease of about 4 billion yuan, an increase of more than 20%.
The first quarterly report for 2023 shows that Hikvision’s main operating income was 16.201 billion yuan, a year-on-year decrease of 1.94%; net profit attributable to the parent company was 1.811 billion yuan, a year-on-year decrease of 20.69%; non-net profit deducted was 1.554 billion yuan, a year-on-year decrease of 29.67%.
However, in recent years, the proportion of innovative business revenue to Hikvision's revenue has continued to increase. A number of subsidiaries, including EZVIZ Networks, Hikvision Robotics, and Hikvision Automotive Electronics, have been or are in the process of splitting up and sprinting for IPOs.
According to Hikvision's concept, when the innovative business is mature, it will be spun off and listed independently, which will help it grow bigger and stronger. Hikvision Automotive Electronics will be the next IPO "plan".
According to public information, Hikvision focuses on the R&D, manufacturing and sales of automotive electronics and safety driving systems. Its business focuses on the field of smart cockpit and smart driving, with video sensors as the core, combined with technologies such as radar, AI, video analysis and processing.
At present, the company has comprehensively served domestic and foreign passenger car and commercial vehicle OEMs as well as consumers and industry users at all levels. The products cover various cameras, ultrasonic radar, millimeter wave radar, intelligent cockpit system and intelligent driving system.
The specific product line involves automotive front and rear installation business, including car cameras, driving recorders, car multimedia entertainment systems, 360-degree panoramic view systems, streaming media rearview mirrors, multimedia smart rearview mirrors, ADAS, TBOX and car networking platforms, etc. plan.
According to Hikvision's 2022 financial report data, the automotive electronics business achieved a total revenue of 1.905 billion yuan, a year-on-year increase of 33.06%, and the growth rate ranked among the top among the group's business lines.
In terms of visual sensors, Hikvision Automotive Electronics will continue to expand its leading market share in 2022, and has achieved effective breakthroughs in new project designation and new customer development. Mass production has been achieved in platform models;
In terms of intelligent driving, the company focuses on UV fusion perception technology and cockpit visual perception technology, expands investment in parking products and VIMS (Video Intelligent Monitor System) products, and realizes the mass production of more than 10 projects of many leading domestic car companies;
In terms of high-end intelligent driving products integrating parking and parking, the company integrates vision, ultrasonic and millimeter-wave radar and other perception capabilities to provide customers with intelligent driving domain controller products that cover the needs of all levels. In 2022, it will achieve a breakthrough in mass production and open up further growth space.
In 2023, Hikvision Automotive Electronics plans to continue to increase investment in research and development, focus on L2+ intelligent driving scenarios, and create an intelligent driving domain control system that covers the needs of all levels.
Prior to this, in April 2022, Hikvision announced that it had formally signed a strategic cooperation agreement with AutoBrain, an autonomous driving company, to promote the development and commercialization of mass-produced products in the field of intelligent driving.
In the automotive aftermarket, Hikvision Automotive Electronics provides a full range of driving recorder products ranging from 2 million to 4K, and the sales and shipments of multiple product lines such as 360° panoramic imaging systems and electronic rearview mirror products have both increased year-on-year. .
In the commercial vehicle market, thanks to regulatory requirements, Hikvision Automotive Electronics continues to optimize the combined positioning algorithm of Beidou and inertial navigation to greatly improve positioning accuracy; Improve the applicability of intelligent algorithms such as ADAS/DMS.
In addition, Hikvision Automotive Electronics has completed solution upgrades for buses, school buses, and engineering vehicles, and launched a new matrix of on-board monitoring products suitable for the international market, covering various monitoring scenarios.
Just in February this year, Hikvision announced that its subsidiary Shijiazhuang Senstech plans to increase its registered capital by 2.398 billion yuan. resource allocation.
Among them, Hikvision intends to use 60% of the equity of its holding subsidiary Hangzhou Hikvision Automobile Technology Co., Ltd., and 44.4% of its holding subsidiary Wuhu Sensitech Intelligent Technology Co., Ltd., for a total price of 1.345 billion yuan. Shijiazhuang Sensi Tektronix capital increase.
Finally, the two intended investors (including the consortium) were determined to be Hangzhou Qianmo Qinghe Equity Investment Partnership (Limited Partnership), and Wuhu Sensi Yingwo Investment Center (Limited Partnership) and Qin Yi, the founder of Sensitech. body.
From the perspective of the overall revenue scale, the annual revenue of 2 billion yuan is at the upper-middle level in the domestic smart auto parts industry. Judging from this equity change, the possibility that Hikvision plans to launch an independent IPO of the automotive electronics business cannot be ruled out.