Xuan Wu Cloud Announces 2024 Annual Results
Achieving a turnaround from loss to profit year-on-year, and committing to high-quality business development with focus on AI + SaaS
Net profit attributable to the owners of the Company reached RMB6.9 million, achieving a turnaround from loss to profit year-on-year (all figures in RMB unless stated otherwise)
Gross profit increased by 2.5% year-on-year to $209.8 million, and gross margin grew by 2.2 percentage points year-on-year
Due to the implementation of various cost-reduction strategies and improvements in operational efficiency, the company's operating expense ratio achieved 17.9%, down by 3.6 percentage points compared to the same period last year
The total number of clients reached 3,056, including 2,282 SaaS clients with steady growth of 7.6% compared to the same period last year
Completed the full integration with DeepSeek large model, and actively explored the use of AI agents for business scenarios in the vertical domains of mass consumption
Overseas business expansion momentum remained strong, covering multiple countries in Asia, Europe, South America and etc
GUANGZHOU, China, March 26, 2025 /PRNewswire/ -- Xuan Wu Cloud Technology Holdings Limited ("Xuan Wu Cloud" or the "Company", together with its subsidiaries, the "Group"; stock code: 2392.HK), a leading local intelligent CRM services provider in China, announced its annual results for the year ended 31 December 2024 on March 26th.
During the reporting period, the Company further improved the overall profitability, through measures such as focusing on high gross-profit businesses, upgrading business brand, expanding new customer segments, and optimising product system, and etc. During the reporting period, the net profit attributable to the owners of the Company reached RMB6.9million, achieving a turnaround from loss to profit year-on-year.
Achieving a year-on-year turnaround and the proportion of SaaS business exceeded 60% for the first time
According to the announcement, the company recorded revenue of RMB1,151.3 million in 2024, while the SaaS segment with higher gross profit margins achieved revenue of RMB731.9 million, a year-on-year increase of 23.8%, and its revenue proportion was further increased to 63.6%.
In terms of clients, the total number of Company's clients exceeded 3,000, reaching 3,056 during the reporting period, while the number of clients in the SaaS segment achieved 2,282, representing a year-on-year growth of 7.6%. Meanwhile, the Average Revenue Per User (ARPU) contributed by core customers amounted to RMB3.0 million, and that of the SaaS segment reached RMB2.6 million, representing a year-on-year growth of 7.5%, which further validated the Company's strategic direction of focusing on AI+SaaS.
While continuing to improve its profitability, the Company also deepened its personnel and organizational structure, and reorganized the Group's brand and business product structure, with an aim to further unleash organizational vitality. In particular, for Sales Cloud, the Company's second growth curve, upgraded the original brand from "Xuanxun" to "Xuantong" to make it an independent brand. At the same time, the Company continued to update and optimize personnel organization structure and talent cultivation, especially at the level of management and business development, and progressively improved the operational control capacity of marketing management personnel through a variety of measures. Based on the above initiatives, the Company's operating expense ratio dropped to 17.9% in 2024, a decrease of 3.6 percentage points compared to the same period of the previous year. Furthermore, the company also realized a year-on-year turnaround in the reporting period, with net profit attributable to owners of the Company amounting to RMB6.9 million.
The continuous improvement of products and technologies is also an important guarantee for the company to achieve the above achievements in 2024. By the end of the reporting period, the Company has obtained a total of 399 authorized patents and computer software copyrights, with 67 new ones added during the reporting period. On the product side, the Company has also released new products and solutions such as SKU Super Model, Smart Xiao Xuan, International SMS, and etc. This achieved the intelligent closed-loop management of multiple business scenarios in the industries of mass consumption and finance, thus resolving clients' further requirements and business pain points.
In addition, the Company has also made significant progress in overseas business and ecological construction. In terms of overseas business, the company has further expanded it business to a number of countries in Asia, Europe, South America and other regions, at the same time, reached resource cooperation with more overseas mainstream telecom operators, which further satisfied the demand of clients for business globalization. In terms of ecological pipeline, the company has reached a HarmonyOS cooperation with Huawei, and its multiple products have undergone native HarmonyOS application development. This move will also provide clients with more diversified choices. At the same time, the Company has also launched the entire line of Smart Sales 100 products, ICC, and AI standard products on the Huawei Cloud Store, thereby further increasing product sales channels and market exposure.
Creating an intelligent product system with strategic focus on AI+SaaS
In 2024, AI applications, represented by large models and generative AI, exhibited a flourishing trend, and AI+ applications began to take root and grow in the"soil" of digitalisation across various industries. As a leading domestic intelligent CRM vendor that has achieved full-stack self-research in AI technology, ...
