Business
China Automotive Systems Reports Fourth Quarter and Fiscal Year 2021 Results
WUHAN, China, March 30, 2022 /PRNewswire/ -- China Automotive Systems, Inc. (NASDAQ: CAAS) ("CAAS" or the "Company"), a leading power steering components and
About this update from China Automotive Systems, Inc.
[{"type":"text","content":"WUHAN, China, March 30, 2022 /PRNewswire/ -- China Automotive Systems, Inc. (NASDAQ: CAAS) (\"CAAS\" or the \"Company\"), a leading power steering components and systems supplier in China, today announced its unaudited financial results for the fourth quarter and the audited results for the fiscal year ended December 31, 2021.\nFourth Quarter 2021 Highlights\nNet sales declined by 5.3% to $138.8 million from $146.5 million in the fourth quarter of 2020 Gross margin was 14.2% compared with 15.6% in the fourth quarter of 2020 Income from operations was $0.6 million compared to loss from operations of $4.0 million in the fourth quarter of 2020 Net income attributable to parent company's common shareholders was $5.0 million, or diluted net income per share of $0.16, compared to a net loss of $3.2 million, or diluted loss per share of $0.10 in the fourth quarter of 2020.Fiscal Year 2021 Highlights\nNet sales were $498.0 million compared to $417.6 million in 2020 Gross profit increased by 30.4% to $72.1 million compared to $55.3 million in 2020. Gross margin increased to 14.5% from 13.3% in 2020 Operating income was $5.5 million compared to operating loss of $8.1 million in 2020 Diluted net income per share was $0.36 in 2021 compared to diluted loss per share of $0.16 in 2020 Total cash and cash equivalents, pledged cash and short-term investments were $161.3 million Net cash flow provided by operating activities was $28.3 million.Mr. Qizhou Wu, Chief Executive Officer of CAAS, commented, \"We are pleased to report that our operations returned to profitability in the fourth quarter in a challenging macroeconomic environment. According to the China Association of Automobile Manufacturers, overall sales of automobiles in China only grew by 3.8% in 2021. Our net sales increased by 19.3% year-over-year to $498.0 million in 2021 as sales in the domestic Chinese passenger market, our revenue from North America and our Brazilian operations all had strong growth. Our electric power steering (\"EPS\") revenue increased 86.0% year-over-year and represented 23.2% of total revenues in 2021 compared with 14.8% a year ago. To enhance our New Energy Vehicle (\"NEV\") products, we purchased a 40% interest in Sweden's Sentient AB, and we also developed new steering for Alfa Romeo's first luxury plug-in-hybrid SUV, the model 2021 Tonale.\" \n\"We are e...