Amazon is facing a crisis of huge sales! It sold 4 billion in a year, but its profit showed negative growth...

With the prevalence of the stay-at-home economy, home projector products have become popular. Many companies have seized the business opportunity and ushered in rapid development.

XGIMI Technology's revenue and net profit growth slowed down

Recently, XGIMI Technology, a leading projector company , announced its performance report for 2022. Surprisingly, as a major projector brand of Amazon , the revenue and net profit growth of XGIMI Technology began to slow down .

In 2022, Xgimi Technology achieved operating revenue of approximately RMB 4.222 billion, an increase of 4.57 % compared to RMB 4.038 billion in the same period of 2021 .

In 2022, XGIMI Technology 's operating profit was approximately 502 million yuan, a decrease of 7.26% from 542 million yuan in 2021. Net profit attributable to the parent company's owners was approximately 516 million yuan , an increase of 6.69 % from 483 million yuan in the same period of 2021 .

In 2022, after deducting non-recurring gains and losses, the net profit attributable to the parent company's owners of XGIMI Technology was approximately RMB 447 million , an increase of 4.29 % compared with RMB 429 million in the same period of 2021. Basic earnings per share during the reporting period were RMB 7.37, up 2.22 % from RMB 7.21 in the same period of 2021 .

As of the end of the reporting period, the total assets of Xgimi Technology Co., Ltd. were 5.285 billion yuan, an increase of 2.8% from the beginning of the reporting period; the owners' equity attributable to the parent company was 3.155 billion yuan, an increase of 14.24% from the beginning of the reporting period; the net assets per share attributable to the parent company's owners were 45.08 yuan, a decrease of 18.4% from the beginning of the reporting period.

Judging from the performance report of Xgimi Technology in 2022, the company's revenue and net profit growth have slowed down significantly.

As for the reason, XGIMI Technology said that the company faced a complex external environment in 2022. First, the exchange rates of foreign currencies such as the US dollar and the euro fluctuated significantly, which had a certain impact on the company's overseas sales and procurement of raw materials. At the same time, the repeated outbreaks in China also affected logistics and consumption demand in different regions.

In such a market environment, in order to maintain the growth of the company's performance, Xgimi Technology has released a number of new products including H5. At the same time, it has also increased investment in research and development, reserved technology and products, steadily promoted the progress of the company's various tasks, and maintained the development of its main business.

Although the growth rate of Xgimi Technology's revenue and net profit slowed down in 2022, Xgimi Technology's overseas business achieved rapid growth in the fourth quarter of 2022.

In Q1, Q2 and Q3 of 2022, Xgimi Technology's revenue increased by 20%, 25% and 17% respectively.

In Q4, the sales and management expense rates of Xgimi Technology were diluted and decreased, and profits also increased.

On the other hand, the launch of new products has also driven the market demand for Xgimi Technology. The product matrix with different performance and technologies is also being continuously improved. It is expected that the growth rate of Xgimi Technology's revenue will gradually increase this year.

At the same time, XGIMI is also actively expanding overseas markets, because its overseas channels still have great development opportunities. XGIMI has developed very well in the German-speaking region of Europe, and is currently actively expanding in the English-speaking and French-speaking regions as well as the Nordic countries. In terms of channels, with the return of the offline shopping boom, the company is also planning to expand offline channels in the US market.

Founded in 2013 and headquartered in Chengdu, China, Xgimi Technology focuses on the research and development, production and sales of smart projector products, and also provides projector accessories.

Its products are sold both online and offline. Overseas, they are mainly sold through online platforms such as Amazon, AliExpress and its own website. They are sold to markets such as Japan, Europe and the United States. Currently, they have covered overseas markets in more than 100 countries and regions.

As a leading brand in the projector market, Xgimi Technology has been increasing its investment in product research and development. In the first half of 2022 , Xgimi Technology invested 195 million yuan in research and development, a year-on-year increase of 73.27%, and the proportion of research and development expenses to revenue increased from 6.66% in the first half of 2021 to 9.56% . In the first three quarters of 2022 , Xgimi Technology's research and development expenses reached 285 million yuan, a year -on-year increase of 62.67% , even exceeding the total investment of 263 million yuan in 2021.

Specifically, in 2022 , Xgimi Technology's R&D investment in each quarter from Q1 to Q3 exceeded 90 million.

A supplier in the industry revealed that Xgimi Technology 's investment in R&D in 2022 could reach 50% of the R&D investment of the entire domestic smart projection industry ( smart projection brand companies) .

In addition to increasing investment in research and development funds, the research and development team of Xgimi Technology is also growing. The number of R&D personnel has increased from 668 at the end of 2021 to 722. Among them, 17% of R& D personnel have a master's degree or above , and 3 R&D personnel have a doctorate degree . According to data released by Zhihuiya , as of December 2022, Xgimi Technology has 219 employees holding patents . At the same time, the level of employee compensation is also very important. In the first half of 2022, the average salary of Xgimi Technology's R&D personnel reached 194,800 yuan , an increase of 28% year-on-year. Whether it is the size of the R&D team or the academic qualifications of the personnel, Xgimi Technology has certain advantages over its peers.

From the above data , it can be seen that Xgimi Technology attaches great importance to R&D . Although the current revenue and net profit growth rates have slowed down, in 2023, R&D can drive product innovation and promote rapid growth in the company's revenue through technical strength .

The global smart projection track is experiencing rapid development

At present , there are great development opportunities in the global smart projection track .

According to data released by RUNTO , the global projector market shipments reached 17.83 million units in 2022 , an increase of 15.2% compared to 2021. It is expected that by 2024, global projector shipments will exceed 20 million units for the first time . By 2026, global projector shipments are expected to reach 25.26 million units . From 2021 to 2026, the global projector compound annual growth rate reached 10.3%.

Specifically, global shipments of home projectors in 2022 reached 14.53 million units, with a market share exceeding 80%, an increase of 21% compared to 2021 .

However, the demand in the commercial projector market is declining. In 2022, global shipments of commercial projectors were 3.3 million units, a decrease of 5% compared to 2021 .

In the future, the market share of home projectors will continue to rise . It is expected that by 2024 , the market share of home projectors will exceed 85%, and by 2026 , its market share will be close to 90% .

At present , the market trend of home projectors is to improve image quality, optimize functions and systems. In addition to home scenes, projectors are increasingly used in outdoor camping. Therefore, the industry should also meet market demand and launch portable projector products.

In general, the global home projector market has great development potential , and more and more brands and companies are beginning to join this track. If each brand and company wants to achieve long-term growth, it must pay attention to user needs and improve its own product strength and competitiveness.

From the perspective of overseas market selection, North America 's projector shipments accounted for 18.5 % in 2022 , ranking first in the overseas market. Therefore, sellers can seize the current development opportunities.