Apollo Future Mobility Group Announces 2022 Interim Results
Over 30% top-line growth driven by robust mobility business
(Hong Kong, 30 November 2022) — Apollo Future Mobility Group Limited (“AFMG” or the “Company” ; HKEX stock code: 860, together with its subsidiaries, the “Group”) is pleased to announce the unaudited condensed consolidated interim results of the Company and its subsidiaries (collectively, the “Group”) for the twelve months ended 30 September 2022 (the “Period”), due to the change of financial year end date to 31 December.
During the Period, the Group continued to deliver strong top-line growth with revenue of approximately HK$689.9 million, a significant increase of approximately 30.5% over the same period last year. Revenue from the Group’s mobility business segment grew to approximately HK$185.5 million from HK$104.8 million last year, primarily driven by licensing income from its vehicle platform and the contribution from engineering services outsourcing business. The Group generated gross profit of approximately HK$163.4 million during the Period, up from approximately HK$131.5 million last year. Profit attributable to owners of the Company was approximately HK$37.8 million, recorded a turnaround from last year.
Mr. Ho King Fung, Eric, Chairman of AFMG, commented, “These solid financial results fully demonstrated the robustness of the Group’s strategy to tread deeper into the new energy vehicles (“NEV(s)”) industry. We made significant progress with various ambitious projects during the Period, reflecting the Group's determination to establishing a foothold in the luxury EV market.”
Mr. Ho continues, “Looking ahead, the Group will continue to build strong momentum and further grow its luxury EV business leveraging on the unique DNA of Apollo brand, its in-house technological capabilities as well as the synergies with WM Motor in automobile manufacturing, thereby building a future-focused luxury mobility ecosystem.”
During the Period, the Group has strategically positioned to focus on its own branded vehicles development by riding on the increasing adoption of electric vehicles (“EV(s)”) across the globe. Various initiatives were implemented to consolidate the Group’s unique position in the luxury mobility market.
More Apollo IE hypercars Delivered and Launch of Apollo Project EVO
The Group delivered a total of three Apollo Intensa Emozione (“Apollo IE”) vehicles, the Group’s flagship hypercar model, during the Period. The successor to the critically-acclaimed Apollo IE hypercar, the Apollo Project EVO was unveiled at the China International Import Expo ("CIIE 2021") in November 2021, setting the benchmark for the next generation of collectible internal combustion engine hypercars. The vehicle has been undergoing testing and participated in a number of public events during the Period, including the Nürburgring in Germany and Monterey Car Week in the US, generating excitement among enthusiasts and potential customers.
Strategic Plan for Electrification Unveiled
The Group announced its entry into the promising luxury EV segment with the unveiling of its Apollo EVision S concept car in CIIE 2021. This vehicle showcased the Group’s future vision in luxury electric mobility, bridging ‘The Intense Emotions’ of Apollo hypercars with the approach of daily usability.
To further mark the Group’s commitment to creating a foothold in the luxury EV market, the Group unveiled its strategic plan on electrification and EV product roadmap with the announcement that a new AFMG EV model would debut soon. The new model is developed based on a platform developed by GLM and G2J advanced engineering prototype which draws upon the vehicle development, engineering, powertrain and platform technology expertise of the vehicle technology department in Japan. It is a drivable concept car that will inherit Apollo’s hypercar DNA with carbon-fiber bodyworks and aesthetic design.
Succeed in AFMG’s 2021 Mobility Innovation Roadshow
Following its successful participation at CIIE 2021, the Group hosted the “APOLLO FIRE AND ICE” mobility showcase during the 68th Macau Grand Prix and the showcase with the theme of “THE ULTIMATE SUSTAINABLE FUTURE OF MOBILITY” in Hong Kong as the grand finale of AFMG’s 2021 Mobility Innovation Roadshow.
Licensing Income from In-house Proprietary Technologies
The Group signed its first vehicular platform licensing agreement with Italian brand De Tomaso in May 2020 and received licensing revenue from them during the Period. Comprising a complete rolling chassis with crash structure, powertrain, electronics and suspension, the platform can be used in a variety of vehicle types globally. This provides a solid foundation for the Group to expand its vehicle licensing arrangements with other original equipment manufacturers.
Being Recognized as A Major Player in Smart Mobility Industry
To fully convey the Group’s determination and confidence in the field of smart mobility, the Company’s Chinese name was officially changed to “Apollo 智慧出行集團有限公司”, with effect from 26 August 2022. This new Chinese name aligns better with the Group’s strategy of being a leading provider of smart mobility services and will enable the Group to be better positioned to capture potential business opportunities.
In addition, the Company was admitted to the “Consumer Discretionary” industry — “Automobiles” sector — “Automobiles” subsector under the Hang Seng Industry Classification System, with effect from 30 September 2022. This change in classification informs the market of the Group’s latest mobility developments, enabling investors to more accurately identify AFMG as a key industry participant and make better-informed decisions.
New Senior Management Team Takes the Group Forward
AFMG welcomed seasoned professionals from the automotive and finance industry joining the Group during the Period. The valuable experience that these top executives bring will enable the Group to penetrate deeper into the NEV industry chain and establish stronger footholds in the NEV industry in China and overseas markets.
Continuous Disposal of Legacy Business
During the Period, the Group reached an agreement to dispose part of its watches wholesale business for a total cash consideration of HK$50 million. The Group will apply the proceeds to further develop its high-performance hypercars and luxury EVs, provide mobility technology solutions to businesses, and as general working capital.