China Automotive Sys Inc Stock Price, News & Analysis

China Automotive Systems, Inc. (Nasdaq: CAAS) will hold its Annual Meeting of Stockholders on July 28, 2021, at 9:00 AM local time in Wuhan, China. Shareholders can join via a WebEx conference call scheduled for July 27, 2021, at 9:00 PM at Henglong USA Corporation, Michigan. The meeting will discuss key business developments, including the company's standing as a leading supplier of power steering components in China, with an annual production capacity exceeding 6 million steering system parts.

China Automotive Systems, Inc. (CAAS) announced that its subsidiary, Hubei Henglong Automotive Systems Group, achieved SGS TÜV ISO26262:2018 ASIL-D certification. This certification signifies that Henglong meets the highest safety standards for functional safety product development in automotive systems. The ISO26262:2018 standard addresses safety for electrical and electronic systems in vehicles throughout their lifecycle. CEO Qizhou Wu emphasized this certification enhances their product quality and sets them apart from competitors amidst the newly introduced GB17675-2021 standard in China.

China Automotive Systems, Inc. (Nasdaq: CAAS) has entered the OTOP phase for developing a new steering system for Alfa Romeo's luxury 2021 Tonale plug-in hybrid SUV. The anticipated order for approximately 100,000 annual units highlights CAAS's continuing collaboration with major automakers. This project marks CAAS's second undertaking in Europe and its first with a luxury brand under Stellantis. CEO Qizhou Wu expressed enthusiasm about CAAS's role in automotive electrification and engineering quality.

China Automotive Systems, Inc. (Nasdaq: CAAS) announced the acquisition of a 40% stake in Swedish technology firm Sentient AB for Euro 20 million. This strategic purchase aligns with CAAS's aim to enhance its capabilities in steering functions and autonomous driving technology. The acquisition is part of CAAS's five-year plan to penetrate the growing autonomous driving market. Sentient, known for its advanced software and hardware designs, holds 10 patents and has been operational since 2013, making significant contributions to vehicle control and steering technologies.

China Automotive Systems, Inc. (NASDAQ: CAAS) reported a significant Q1 2021, with net sales soaring 77% to $130.3 million, driven by robust demand across key markets. Gross profit rose 75.9% to $19.7 million, and net income turned to $3.2 million from a loss last year. EPS product sales surged 204.9%, comprising 19% of total sales. The company raised its full-year revenue guidance from $470 million to $485 million, reflecting positive market conditions. Cash and equivalents stood at $122 million, ensuring strong liquidity.

China Automotive Systems, Inc. (CAAS) plans to release its unaudited financial results for Q1 2021 on May 12, 2021, before market opening. A conference call is scheduled for the same day at 8:00 A.M. EDT to discuss the results, followed by a Q&A session. The company, a leading power steering components supplier in China, operates through numerous joint ventures and has a customer base that includes major automotive manufacturers like Ford and Fiat Chrysler.

China Automotive Systems (Nasdaq: CAAS) announced a projected 200% increase in steering unit sales to OEM customers in South America for 2021, primarily driven by its joint venture, Brazil Henglong. The company will supply five new vehicle models from Stellantis, raising its total to 12. CAAS anticipates exceeding 450,000 total units sold in South America this year. The CEO expressed confidence in continued international growth, especially in North and South America and potential European market penetration.

China Automotive Systems (NASDAQ: CAAS) reported unaudited financial results for Q4 and audited results for fiscal year 2020, highlighting a 26.4% increase in net sales to $146.5 million compared to Q4 2019. However, the company faced a net loss of $3.2 million attributable to shareholders, driven by a $4.5 million expected credit loss provision related to customer Brilliance Auto's bankruptcy. For FY 2020, net sales decreased by 3.2% to $417.6 million while net loss was $5.0 million. Despite challenges, cash flow from operations improved by 90% to $57.4 million.