Clevo has reported impressive operational performance for the fourth quarter of 2024, with consolidated revenue reaching NT$7.341 billion (approx. US$222.9 million), marking a new high in twelve quarters and achieving both quarter-over-quarter and year-over-year growth targets. The total consolidated revenue for the year was NT$26.6 billion, reflecting a 9% year-over-year increase, its second-highest record in history.
The company's operating profit stood at NT$636 million, a quarter-over-quarter increase of 19% and a year-over-year increase of 48%. For the entire year, consolidated operating income reached NT$26.58 billion, the second highest since going public; operating profit was NT$2.183 billion, a 26% year-over-year increase; net profit after tax amounted to NT$1.77 billion, representing a remarkable 67% year-over-year growth, meeting all three key performance indicators.
In the fourth quarter of 2024, Clevo's notebook business benefited from seasonal demand, driving excellent revenue performance with quarterly sales of NT$6.53 billion, a 3% increase quarter-over-quarter and 9% year-over-year.
The global notebook market is expected to show moderate growth in 2024, with market research data indicating an estimated annual shipment of approximately 174 million units, a 3.9% year-over-year increase. Clevo's total shipments for the year reached 1.9 million units, reflecting a 13% year-over-year increase.
With the highly anticipated Nvidia RTX 50 series set to launch in the first quarter of 2025, there will be increased demand for upgrades and AI PC applications, alongside factors such as the end of support for Windows 10, which are expected to trigger a wave of device replacements.
Clevo's Buy Now retail chain generated a rental income of NT$818 million in the fourth quarter, growing 5% quarter-over-quarter. Through continuous engagement in esports events and general entertainment activities, foot traffic during holidays saw a 10% year-over-year increase, contributing stable rental income of approximately NT$3.1 billion to the group's consolidated revenue. For 2025, the focus will be on expanding into the esports and AI sectors.
Despite the retail sector facing challenges in China, Chicony Plaza, in which Clevo holds a 30% stake, managed to break free from operational lows in the fourth quarter, reporting single-quarter revenue of NT$6.4 billion, a 66% quarter-over-quarter increase, and net profit after tax of NT$214 million, a year-over-year growth of 110%. Throughout the year, changes in operational strategy improved overall profitability, resulting in a net profit after tax of NT$255 million, providing a steady positive cash flow.
Clevo's important investment project, Taipei Twins, commenced construction in 2022 with a total investment amounting to NT$60.6 billion. It boasts the unique "six-rail integrated" transit advantage in Taiwan, covering an area of 9,600 pings (7.872 acres). Upon completion, it will become the second tallest building in Taipei, bringing considerable foot traffic and business opportunities, thus creating stable and long-term returns.
Article edited by Jack Wu
