Ningbo Joyson Electronic Corp. (Joyson Electronics) (600699)

Equity Research Report　|　Industry: Automotive Parts and Automotive Electronics Tier 1 Supplier　|　Report Date: September 14, 2026　|　As of the close on September 11, 2026

This report was automatically compiled by AI based on publicly available information and is for reference only. It does not constitute investment advice.

1. Executive Summary

Joyson Electronics is a global automotive safety and automotive electronics Tier 1 supplier. In 2025, it generated operating revenue of RMB 61.183 billion and net profit attributable to shareholders of RMB 1.336 billion, representing year-on-year growth of 9.52% and 39.08%, respectively. However, revenue fell to RMB 28.091 billion in the first half of 2026, down 7.43% year on year, while non-recurring net profit attributable to shareholders declined 7.15% year on year to RMB 655 million. This indicates that the company’s current core operating performance is weaker than the headline growth in attributable net profit suggests. The gross margin of the company’s principal businesses increased from 11.46% in 2021 to 18.40% in 2025. Cost reductions and efficiency improvements in overseas operations, together with the recovery in profitability of the automotive safety business, have been important drivers of recent earnings improvement.

The company’s operations cover automotive safety, smart cockpits, intelligent driving, connected vehicles and new-energy management. It has more than 25 R&D centers and more than 60 production bases. However, these global-scale figures are approximate figures disclosed on the company’s website, and the company has not disclosed a unified capacity-utilization indicator covering all products. The gross margin of the automotive safety business rose to 17.07% in 2025, while that of the automotive electronics business was approximately 19.70%. Future growth will depend on whether the product mix of high-technology automotive electronics products can continue to upgrade, projects can enter mass production, and the global manufacturing network can be effectively integrated.

Recently, the company introduced strategic investors to inject a total of RMB 1.5 billion into Anhui Joyson Safety, with the funds mainly used to repay shareholder loans and bank borrowings in order to reduce debt and finance expenses. It also subscribed for approximately RMB 645 million of a private placement by Xiangshan Stock, increasing its shareholding to 39.48%. New businesses including in-vehicle optical communications, AIDC power supplies, liquid cooling, robotics and eVTOL remain at the R&D, sample, validation or customer-introduction stage. No clear order value, mass-production timetable or large-scale revenue contribution has been disclosed.

As of September 11, 2026, the share price was RMB 18.55, below the 10-day, 20-day, 50-day and 250-day moving averages, and close to the RMB 18.25–18.7 support-monitoring zone. Short-term fund flows were weak, with combined net outflows from super-large and large orders of approximately RMB 49.45 million on September 11. Based on the average of institutional forecasts, net profit attributable to shareholders is expected to increase from RMB 1.746 billion in 2026 to RMB 2.370 billion in 2028, while forward P/E is expected to decline from approximately 16.4x to 12.1x. However, these expectations depend heavily on a recovery in revenue during the second half of the year, stable gross margins and improvement in overseas operations.

2. Company Overview

2.1 Basic Information

2.2 Main Businesses and Product Portfolio

• Automotive Safety Division: seat belts and retractors, buckles, webbing, airbags, smart steering wheels, integrated active and passive safety solutions, occupant protection, and collision-safety-related sensors and system products
• Automotive Electronics Division: smart cockpit domain controllers and cockpit solutions, T-BOX, 5G/V2X, digital keys, smart antennas, intelligent-driving domain controllers, driver assistance, human-machine interaction, new-energy management systems and power electronics
• Intelligent Automotive Technology Research Institute: R&D focused on advanced intelligent products including smart cockpits, intelligent driving, central computing units and zone controllers
• New Energy Research Institute: R&D focused on new-energy management, charging and power-distribution systems, and related automotive electronics products
• Xiangshan Stock-related businesses: smart cockpit components, new-energy vehicle components and charging/power-distribution systems, smart charging piles, and premium smart trim components

2.3 Position in the Upstream and Downstream Industry Chain and Cost-Profit Structure

Joyson Electronics is positioned in the midstream of the automotive industry chain and is a Tier 1 supplier of automotive safety, automotive electronics and new-energy-related systems to global automakers. Its core competitiveness comes from customer certification, a global R&D and manufacturing network, project-based mass-production delivery and multi-product synergies, rather than absolute pricing power over upstream resources or downstream end markets.

• Major procurement categories include automotive electronic components, automotive-grade chips, PCBs and electronic boards; metals such as copper, aluminum and magnesium-aluminum alloys; chemical materials such as nylon yarn, plastic pellets and resin; electromechanical components such as wiring harnesses, connectors, sensors and actuators; as well as manufacturing inputs including molds, tooling, automation equipment, energy, logistics and labor.
• In 2025, raw materials accounted for approximately 66.39% of the cost of automotive safety systems, while manufacturing expenses accounted for approximately 33.61%. For automotive electronics systems, raw materials accounted for approximately 85.51% and manufacturing expenses approximately 14.49%. The automotive electronics business is more sensitive to the price and supply stability of chips, electronic components, PCBs and other electronic materials.
• In 2025, purchases from the five largest suppliers amounted to approximately RMB 3.385 billion, accounting for approximately 7% of total annual purchases; in 2024, purchases from the five largest suppliers amounted to approximately RMB 3.905 billion, accounting for approximately 8%. These are consolidated figures and cannot reflect supplier concentration for individual key chips, electronic components or specialized safety materials.
• The company controls costs through centralized procurement, global supplier integration, in-house production or vertical integration of core components, product platformization, cross-regional capacity allocation and automation upgrades. However, it remains exposed to fluctuations in the prices of chips, electronic components, metals and chemical materials, and does not possess absolute pricing power over upstream raw materials.
• The company has improved capacity utilization and its cost structure by transferring some capacity from high-cost countries to relatively lower-cost regions such as China and Southeast Asia, and by closing or consolidating certain inefficient plants. In 2024, it closed the Aschaffenburg plant in Germany and satellite plants around Romania, while advancing the closure of some plants in the Americas.
• Major customers include global automakers such as BMW, Mercedes-Benz, Audi, Volkswagen, General Motors, Ford, Honda and Toyota, as well as domestic brands, emerging automakers and new-energy vehicle manufacturers. Sales are generally conducted on an order- and project-based basis and require customer nomination, R&D validation, small-batch trial production, mass-production certification and ongoing supply.
• In 2025, sales to the five largest customers amounted to approximately RMB 29.723 billion, accounting for 49% of annual sales; in 2024, sales to the five largest customers amounted to approximately RMB 26.614 billion, accounting for 48%. The company disclosed that no single customer accounted for more than 50% of total sales. However, the five largest customers together contributed nearly half of revenue, indicating relatively high downstream customer concentration and considerable purchasing bargaining pressure from automakers.
• The specific names of the five largest customers and their respective sales percentages were not fully disclosed in the publicly available annual-report summary. The above concentration data cover only 2024 and 2025, and the research notes did not provide other figures that could be used for further cross-checking. The latest annual report shall prevail.
• Automakers generally determine product prices at the project-nomination stage and during the vehicle model’s life cycle. Suppliers must bear upfront R&D, tooling, validation and production-line investment, and may face annual price reductions, cost pass-through and quality-claim pressure after mass production begins.
• Once products pass automaker certification and enter mass production, changing suppliers generally involves revalidation and quality risks. The company therefore has a certain degree of customer stickiness and project-life-cycle protection. Nevertheless, it remains a Tier 1 supplier within the systems of large automakers, rather than a consumer brand or resource company with strong pricing power.
• As of December 31, 2025, consolidated notes and accounts receivable amounted to approximately RMB 9.208 billion, equivalent to approximately 15% of 2025 operating revenue of approximately RMB 61.2 billion. At the end of 2024, the figure was approximately RMB 8.678 billion, equivalent to 15.5% of that year’s operating revenue. This ratio is a static calculation of period-end balance divided by full-year revenue and is not equivalent to strictly defined accounts-receivable turnover days. Net cash flow from operating activities in 2025 was approximately RMB 5.398 billion, significantly higher than net profit attributable to shareholders of approximately RMB 1.34 billion, indicating generally sound operating cash collection. However, payment cycles of large customers and supply-chain finance arrangements still create capital occupation.
• Supply side: purchases from the five largest suppliers accounted for approximately 7% in 2025 and approximately 8% in 2024. Overall dependence on a small number of suppliers is not high, but consolidated figures cannot rule out single-source supply risks for key chips, electronic components or specialized safety materials. Customer side: sales to the five largest customers accounted for 49% in 2025 and 48% in 2024. The data cover only the two years above; the names of the five largest customers and the share of any individual customer were not fully disclosed. The latest annual report shall prevail.

The company is positioned in the midstream of the automotive industry chain as a globalized Tier 1 supplier with relatively high technology and certification barriers. It is closer to the midstream systems-integration and manufacturing segments than to high-margin upstream resources or downstream brands. Profitability recovery in the automotive safety business mainly relies on supply-chain cost reductions, global capacity integration and higher manufacturing efficiency. Further improvement in automotive electronics will depend on product-mix upgrades and a higher revenue contribution from higher-technology products such as smart cockpits, intelligent driving, central computing units and new-energy management. The business remains affected by automaker purchasing power and fluctuations in chip and electronic-component costs.

3. Financial Data and Valuation Analysis

3.1 Recent Operating Performance

The 2026 interim report was disclosed on August 26, 2026. It is unaudited and is the latest formal financial report referred to in the research notes. Non-recurring net profit attributable to shareholders in the first half of 2026 was RMB 655 million, down 7.15% year on year; basic EPS was RMB 0.48, compared with RMB 0.51 in the same period of the previous year; and net cash flow from operating activities was RMB 1.934 billion, up 1.44% year on year.

Operating revenue declined year on year in the first half of 2026, mainly due to pressure on global automobile production and sales, declining sales in China and North America, and the fact that revenue related to the scale business of Xiangshan Stock was no longer consolidated following its disposal. Attributable net profit increased year on year, while non-recurring attributable net profit declined, indicating that part of the headline profit growth was affected by non-recurring gains and losses and fair-value changes. Core operating profit therefore performed worse than attributable net profit. The company disclosed that overseas operations benefited from its global footprint and cost reductions and efficiency improvements, with overseas gross margins continuing to improve. Consolidated gross margin in the first half of 2026 was approximately 17.74%, down approximately 0.41 percentage points from the same period of the previous year. Weighted average return on equity declined from the same period of the previous year. At period-end, net assets attributable to shareholders of the listed company were RMB 16.116 billion, while total assets were approximately RMB 68.841 billion.

3.2 Earnings Forecasts

As of September 11, 2026, Tonghuashun F10 showed that 17 institutions had issued forecasts for Joyson Electronics’ 2026 results during the preceding 6 months. Net profit and EPS are the average institutional forecasts. Operating revenue was not provided as a unified multi-institution average; revenue in the table represents forecast ranges from different institutions and cannot be directly equated with market consensus expectations. Representative institutions include Guohai Securities, Guosen Securities, Huatai Securities and Guolian Minsheng Securities. Zhongtai Securities disclosed only its forecast for attributable net profit.

3.3 Valuation and Institutional Ratings

At the close on September 11, 2026, the company’s share price was RMB 18.55, down 3.18% on the day. Total shares outstanding were approximately 1.551 billion, corresponding to a total market capitalization of approximately RMB 28.78 billion. Different data platforms showed a dynamic or TTM P/E of approximately 20.7x to 21.1x. Based on the 2026 institutional average EPS forecast of RMB 1.13, 2026 forward P/E was approximately 16.4x. Based on 2027 EPS of RMB 1.33, forward P/E was approximately 14.0x; based on 2028 EPS of RMB 1.53, forward P/E was approximately 12.1x. Based on net assets attributable to shareholders of the listed company of RMB 16.116 billion at the end of June 2026, P/B was approximately 1.78x to 1.79x. Some market websites showed a P/B of approximately 1.25x, reflecting differences in valuation methodology. Based on net assets and total shares outstanding, net assets per share were approximately RMB 10.39, implying a P/B of approximately 1.79x at a share price of RMB 18.55. Recently disclosed and verifiable A-share target prices ranged from approximately RMB 22.26 to RMB 32.97, all above the September 11, 2026 closing price of RMB 18.55. However, the wide range of target prices reflects market disagreements over the valuation premium for automotive electronics, the pace of intelligent-driving order execution and the extent of earnings recovery. The 7.43% year-on-year decline in first-half 2026 revenue and 7.15% decline in non-recurring attributable net profit mean that earnings forecasts depend heavily on a second-half revenue recovery, stable gross margins and improvement in overseas operations. The research notes state that average institutional forecasts for attributable net profit increase from RMB 1.746 billion in 2026 to RMB 2.370 billion in 2028, implying a three-year compound growth rate of approximately 16.5%. Current valuation is broadly consistent with the expected earnings growth. The Bank of America Securities target price of HKD 18.50 applies to Joyson Electronics’ H shares, 00699.HK, and should not be mixed with the RMB target prices for A-share 600699.

4. Recent News and Announcements

4.1 Interim Results Briefing and New Business Progress

The company held its 2026 interim results briefing on September 4, 2026, and disclosed the related investor-relations activity record on September 7, 2026. The company stated that it had launched in-vehicle optical-communications solutions and was advancing their introduction into automaker projects. It was also jointly developing connected-vehicle products with leading international automakers to support advanced intelligent networks and mobile communications. The company did not disclose specific customer names, order values, mass-production schedules or project revenue scale. The company also stated that it was developing AIDC-related products including AC/DC power-conversion units, high-power DC/DC power-conversion units, fully immersed liquid-cooled power cabinets and coolant distribution units. It planned to launch samples in September 2026 and advance market introduction. These products may have synergies with Xiangshan Stock in technical validation, computing-power testing and customer introduction. No realized sales revenue, formal mass-production orders or nomination by major customers has yet been disclosed for AIDC products.

4.2 Introduction of Strategic Investors into the Automotive Safety Division

The company disclosed the relevant announcement on August 14, 2026. Xingyin Financial Asset Investment Co., Ltd. plans to inject RMB 500 million into Anhui Joyson Automotive Safety System Holding Co., Ltd., obtaining an approximately 2.1459% stake after completion. China Post Financial Asset Investment Co., Ltd. plans to inject RMB 1 billion, obtaining an approximately 4.2918% stake after completion. The two strategic investors will invest a combined RMB 1.5 billion and obtain an aggregate approximately 6.4377% stake in Anhui Joyson Safety. Upon completion, Joyson Electronics’ stake in Anhui Joyson Safety will decline from 61.6372% to 57.6691%. Anhui Joyson Safety will remain a controlled subsidiary and continue to be consolidated. The proceeds will mainly be used to repay shareholder loans, while Joyson Electronics will repay existing bank loans to reduce debt and finance expenses. The company stated that the transaction does not constitute a connected transaction or a material asset restructuring and does not require shareholder approval. The announcement did not disclose the direct impact of the transaction on current-period net profit and did not include an earnings commitment.

4.3 H-Share Repurchase Progress and A-Share Information

The securities-change monthly report disclosed by the company for the period ended August 31, 2026, showed that it repurchased 400,000 H shares on August 26, 2026, at HKD 12.1662 per share, and 454,500 H shares on August 27, 2026, at HKD 12.3227 per share. A total of 854,500 H shares were repurchased during the month, all of which were held as treasury shares. As of August 31, 2026, H-share treasury shares increased from 5,335,500 to 6,190,000. Issued H shares excluding treasury shares declined from 149,764,500 to 148,910,000, while total H shares issued remained 155,100,000. During the same period, registered A shares totaled 1,395,670,563, A-share treasury shares totaled 12,664,015, and total A shares issued were 1,395,670,563. The number of A shares did not change. Therefore, the repurchase related to H shares and should not be counted as repurchases of A-share 600699.

4.4 A-Share Repurchase Plan and Dividend Arrangements

The company stated during investor-relations activities that H-share repurchases were continuing. For A shares, if a repurchase plan were adopted, the company would complete the relevant decision-making and information-disclosure procedures in accordance with the law. As of September 14, 2026, no announcement had been identified indicating that the company had launched a new A-share repurchase plan. The research notes did not provide an announcement or amount relating to a specific dividend plan discussed during the investor-relations activity.

4.5 Subscription for Xiangshan Stock’s Private Placement

The company disclosed an update announcement on August 11, 2026, regarding its participation in the subscription of shares issued to specific investors by its controlled subsidiary, Guangdong Xiangshan Weighing Instrument Group Co., Ltd. Joyson Electronics used approximately RMB 645 million of its own funds to subscribe for 20,682,711 shares, subject to a three-year lock-up period. The new shares were registered on July 31, 2026, and were scheduled to be listed on the Shenzhen Stock Exchange on August 12, 2026. Following completion of the issuance, Joyson Electronics held 60,304,311 shares of Xiangshan Stock, increasing its stake to 39.48%, and remained Xiangshan Stock’s controlling shareholder. The transaction represents capital support for and consolidation of control over a subsidiary, rather than an external acquisition by the listed company. Future returns will depend on Xiangshan Stock’s operating performance and the realization of business synergies.

4.6 2026 Interim Report and Business Plan

On August 26, 2026, the company disclosed its 2026 interim report, interim report summary, board resolution, accounting-policy change announcement, update on guarantees provided to subsidiaries, and the semiannual evaluation report on its “Improve Quality, Increase Efficiency and Deliver Better Returns” initiative. The company continued to expand into new businesses including in-vehicle optical communications, robotics, AIDC power supplies, liquid cooling and eVTOL. AIDC products remained at the R&D, sample and customer-introduction stage and had not generated confirmed large-scale commercial revenue. The future business plan in the interim report constitutes forward-looking statements. The company has stated that these contents do not constitute substantive commitments to investors and that actual progress may be affected by customer validation, project nomination, mass-production progress and changes in industry demand.

4.7 Increase in Holdings by the Actual Controller and Recent Shareholder Developments

On June 12, 2026, the company’s actual controller and chairman, Wang Jianfeng, acquired 270,000 A shares through centralized bidding on the Shanghai Stock Exchange at an average transaction price of approximately RMB 24.0014 per share. The acquisition amount was approximately RMB 6.4804 million, equivalent to approximately 0.0174% of total shares. The acquisition did not result in a change in the controlling shareholder or actual controller. As of September 14, 2026, no announcement had been identified in the latest September 2026 announcement list indicating a new increase or reduction in A-share holdings by the company’s controlling shareholder, directors or senior executives during September 2026. Public announcement lists may be subject to disclosure delays, and the announcements of the Shanghai Stock Exchange and the company shall prevail.

4.8 Search Results for Earnings Forecasts and Regulatory Matters

As of September 14, 2026, no clear earnings forecast, preannouncement of earnings growth or preannouncement of earnings decline for the first three quarters of 2026 had been identified. The company’s most recent major periodic report was the 2026 interim report, disclosed on August 26, 2026. Among the company announcements, Shanghai Stock Exchange announcement index and major announcement databases reviewed for this report, no announcement was found indicating that the company had received a regulatory investigation, administrative penalty, exchange disciplinary sanction or material regulatory inquiry from August to September 2026. This conclusion means that no such matter was found through searches of public announcements; it does not mean that such matters absolutely did not exist.

4.9 Overall Assessment of Recent News and Risk Alerts

As of September 14, 2026, the company’s recent news centers on four themes. First, the automotive safety division introduced strategic investors contributing a combined RMB 1.5 billion, with the funds mainly used to repay shareholder loans and bank borrowings, with the goal of optimizing the capital structure and reducing leverage and finance expenses. Second, the company repurchased 854,500 H shares, but the number of A-share 600699 shares did not change during the same period, so this should not yet be regarded as an A-share repurchase catalyst. Third, new businesses including in-vehicle optical communications, AIDC power supplies, liquid cooling, robotics and eVTOL remain at the R&D, sample, validation or customer-introduction stage, and their short-term earnings contribution remains uncertain. Fourth, the company subscribed for approximately RMB 645 million of Xiangshan Stock’s private placement, increasing its stake to 39.48% and maintaining control. Key uncertainties include the absence of clear order values, customer names, mass-production schedules and profit-contribution data for new businesses; the completion progress of the strategic investors’ capital injection and changes in minority interests; and the fact that H-share repurchases do not directly reduce the number of A-share 600699 shares. Some investor-relations information came from media summaries of roadshow Q&A sessions. Progress involving AIDC customers, semi-solid-state batteries and eVTOL should be based on the company’s original investor-relations records and subsequent formal announcements.

5. Share Price Trend and Technical Analysis

5.1 Price Overview

5.2 Technical Indicators

As of September 11, 2026, Joyson Electronics closed at RMB 18.55, close to the 52-week low range of RMB 18.25–18.68 shown by different data sources, and below the 10-day, 20-day, 50-day and 250-day moving averages. The short-term moving-average cluster was RMB 19.4–19.6, while RMB 20.0–20.4 was a further resistance-monitoring zone. The estimated lower Bollinger Band was approximately RMB 18.2–18.3, placing the share price near the edge of a weak zone. The stock declined consecutively from September 9 to 11, and combined net outflows from super-large and large orders were approximately RMB 49.45 million on September 11, indicating weak short-term fund flows. Simplified RSI estimates were approximately 33–35, indicating weakened short-term momentum but not yet independently confirming a reversal. Overall, the technical structure is weak. Key points to monitor are whether the RMB 18.25–18.7 support zone can stabilize and whether the stock can regain RMB 19.4–19.6 with support from turnover and fund flows.

5.3 Short-Term Outlook (Next Week; Scenario Analysis for Reference Only)

⚠️ Risk warning: The following content is only a subjective scenario analysis based on closing data, historical prices and technical indicators as of September 11, 2026. It does not constitute investment advice or a definitive forecast of future prices.

1. Key Technical Levels

2. Scenarios for the Next Week (Subjective Weights, Not Statistical Probabilities)

• Range-bound consolidation (relatively higher subjective weight, approximately 60%; this is a subjective heuristic judgment based on the current technical pattern and fund flows, not a statistical probability): The price-monitoring range is RMB 18.25–19.5. Trigger conditions include stabilization in the RMB 18.25–18.7 area, turnover remaining around RMB 400–600 million without obvious heavy-volume selling, narrowing net outflows from major funds, and a gradual recovery above RMB 19.0 without a decisive break above RMB 19.5.
• Weak decline (medium subjective weight; a subjective scenario weight, not a statistical probability): If the closing price decisively breaks below RMB 18.25, daily turnover significantly exceeds the recent average, super-large and large orders continue to post net outflows, and the automotive-parts sector weakens or market risk appetite declines, the price may seek a new balance in the RMB 17.2–18.0 area.
• Stronger rebound (low-to-medium subjective weight; a subjective scenario weight, not a statistical probability): If the share price regains the RMB 19.4–19.6 moving-average cluster, daily turnover recovers to above RMB 750–800 million, super-large and large orders shift from consecutive net outflows to net inflows, and automotive parts, intelligent driving or robotics-related themes strengthen simultaneously, the rebound-recovery potential toward RMB 20.0–20.4 can be monitored.

3. Fund-Flow and Liquidity Background

As of September 11, 2026, the turnover ratio was approximately 1.89%–1.90%, while turnover over the most recent five trading days was approximately RMB 445 million to RMB 983 million, overall at a medium-to-low level. Turnover expanded to RMB 983 million on September 8 but subsequently declined as the share price weakened consecutively, indicating that upward-moving funds failed to persist. In terms of shareholder structure, as of June 30, 2026, the ten largest tradable shareholders collectively held approximately 51.4% of the tradable share capital. Institutions with disclosed positions collectively held approximately 45.55% of tradable A shares, including other institutions at approximately 41.53%, funds at approximately 3.65%, QFII at approximately 0.23%, and Stock Connect holdings at approximately 5.66% of tradable A shares. The above shareholder-count, concentration and institutional-holding data are all as of June 30, 2026 and are subject to quarterly lag. The share price experienced substantial volatility after the end of June, so the actual shareholding structure may have changed and cannot be directly equated with the real-time structure on September 11, 2026. The stock is not an extremely illiquid small-cap stock, but current turnover is at a medium-to-low level and fund flows are negative. Without volume support, a low share price alone may not be sufficient to generate a sustained rebound. Price elasticity may increase when large orders are concentrated.

Observable volume-confirmation signals: If the share price regains RMB 19.4–19.6, daily turnover expands to above RMB 750–800 million for several consecutive sessions, and combined super-large and large orders turn to net inflows, this may be regarded as a signal that short-term fund participation has improved. If turnover expands but the share price still cannot regain RMB 19.4, attention should be paid to the possibility of stagnant gains on heavy volume or funds reducing positions into a rebound.

4. Points to Monitor (Observation Ideas Only, Not Trading Instructions)

• Observe whether the RMB 18.25–18.7 support zone stabilizes on declining volume; this is an observation idea, not a trading instruction.
• Observe whether the RMB 19.4–19.6 moving-average cluster can be regained, while monitoring the further resistance zone at RMB 20.0–20.4; this is an observation idea, not a trading instruction.
• Observe whether daily turnover can remain above RMB 750–800 million and move in tandem with a price breakout; this is an observation idea, not a trading instruction.
• Observe whether super-large and large orders end their consecutive net outflows. Shareholder-concentration data are as of June 30, 2026 and subject to lag, and should not directly replace real-time assessment of the ownership structure; this is an observation idea, not a trading instruction.

The above scenario analysis is based on the September 11, 2026 closing data and calculations using historical prices and technical indicators. Short-term share prices will also be affected by news, fund flows, broader market conditions and multiple other factors. Technical indicators themselves have lag and limitations. This analysis does not guarantee actual future performance and does not constitute a buy or sell recommendation. Investors should independently assess the situation based on the latest market information and bear investment risks themselves.

6. Industry Landscape and Competitor Analysis

6.1 Industry Overview

The automotive parts industry in which Joyson Electronics operates has relatively high customer-certification, regulatory, quality, R&D and scale barriers. The global passive automotive safety market is dominated by a small number of large suppliers. Competition in automotive electronics is gradually shifting from traditional functional components toward smart cockpits, intelligent driving, central computing, in-vehicle software, connected vehicles, new-energy management and hardware-software integration.

6.2 Competitive Landscape

• The global passive automotive safety industry is relatively concentrated. Competition mainly concerns seat belts, airbags, steering wheels and integrated occupant-protection systems. Market demand is driven by global light-vehicle production and sales and the value of safety equipment per vehicle.
• Major global competitors include Autoliv, Joyson Safety Systems and ZF LIFETEC. Japanese and Chinese regional suppliers compete mainly in seat belts, steering wheels, airbags and niche components.
• Competition in automotive electronics focuses on smart-cockpit domain controllers, intelligent-driving domain controllers, central-computing platforms, in-vehicle operating systems and software, connected-vehicle and communications modules, new-energy management and power electronics, as well as functional and cybersecurity.
• Global automotive electronics competitors include Bosch, ZF, Continental, Valeo and FORVIA. Chinese companies include Joyson Electronics, Desay SV, Huayu Automotive, Foryou and Keboda.
• Joyson Electronics has both a sizable automotive safety business and a global manufacturing network. Its automotive electronics business is positioned in growth areas including smart cockpits, intelligent driving, intelligent connectivity and new-energy management. Orders and project plans for related advanced intelligent products do not equate to confirmed operating revenue.

6.3 Major Competitors

Joyson Electronics’ main competition with Autoliv and ZF LIFETEC is in automotive safety systems. Its comparability with Desay SV mainly lies in smart cockpits, intelligent driving, intelligent connectivity and domain controllers. Compared with Huayu Automotive, Joyson Electronics is more prominent in global automotive safety and supply to overseas customers, whereas Huayu Automotive is more focused on China’s domestic automaker system and integrated parts supply. Compared with FORVIA, both companies are active in automotive electronics, cockpits, autonomous driving and energy management, but automotive passive safety accounts for a larger share of Joyson Electronics’ business.

7. Risk Factors

• Automotive-market and customer-concentration risk: Sales to the five largest customers accounted for 49% of the company’s annual sales in 2025. If sales by major automakers decline, vehicle projects are delayed, procurement shares are adjusted or customers continue to demand annual price reductions, the company’s revenue and profit could be materially affected.
• Automotive electronics supply-chain and cost risk: Raw materials accounted for approximately 85.51% of automotive electronics system costs in 2025. The company is sensitive to the price and supply stability of automotive-grade chips, electronic components, PCBs, connectors and sensors. Although the five largest suppliers accounted for only approximately 7% on a consolidated basis, single-source supply risks for key chips or specialized electronic components cannot be ruled out.
• Risk of pressure on core operations in 2026: Operating revenue declined 7.43% year on year in the first half of 2026, while non-recurring attributable net profit declined 7.15% year on year. Consolidated gross margin was approximately 17.74%, down approximately 0.41 percentage points from the same period of the previous year. If the second-half revenue recovery or improvement in overseas operations falls short of expectations, institutional earnings forecasts may be revised downward.
• Global operations and overseas-integration risk: The company operates across Asia, Europe and North America and is advancing capacity transfers from high-cost regions, plant closures and regional operating adjustments. If the closure or integration of the Aschaffenburg plant in Germany, satellite plants around Romania and certain plants in the Americas results in execution costs, customer transitions or supply interruptions, delivery and profitability may be affected.
• New-business commercialization risk: Businesses including in-vehicle optical communications, AIDC power supplies, liquid cooling, robotics and eVTOL are currently at the R&D, sample, validation or customer-introduction stage. The company has not disclosed clear customer names, order values, mass-production schedules or realized sales revenue, creating risks that customer validation may fail, project nominations may be delayed or revenue contributions may fall short of expectations.
• Capital operations and capital-occupation risk: The company used approximately RMB 645 million of its own funds to subscribe for Xiangshan Stock’s private placement, subject to a three-year lock-up period. Future returns will depend on Xiangshan Stock’s operating performance and realization of synergies. Notes and accounts receivable were approximately RMB 9.208 billion at the end of 2025, and payment cycles of large automakers and supply-chain finance arrangements may continue to occupy capital.
• Earnings-forecast and valuation-realization risk: Average institutional forecasts for attributable net profit from 2026 to 2028 are RMB 1.746 billion, RMB 2.061 billion and RMB 2.370 billion, respectively. However, non-recurring profit declined year on year in the first half of 2026, and the revenue forecasts do not represent a unified multi-institution average. If intelligent-driving orders, the automotive electronics mix upgrade or overseas profitability recovery falls short of expectations, the profit growth implied by the current valuation may not materialize.
• Share-price and liquidity risk: As of September 11, 2026, the share price was below the major moving averages and weakened consecutively from September 9 to 11. Combined net outflows from super-large and large orders were approximately RMB 49.45 million. If support near RMB 18.25 fails amid a heavy-volume decline, technical weakness may continue, while the recent medium-to-low turnover may amplify price volatility.

8. Conclusion and Outlook

The company’s current growth thesis consists mainly of two parts. First, the automotive safety business is recovering profitability through raw-material cost reductions, overseas capacity streamlining, plant integration and improved manufacturing efficiency. Second, the automotive electronics business is expanding into high-technology products such as smart cockpits, intelligent driving, central computing, connected vehicles and new-energy management. In terms of operating cash flow, net cash flow from operating activities was approximately RMB 5.398 billion in 2025, significantly higher than attributable net profit, indicating generally sound cash collection. The strategic investors’ capital injection should also help optimize the capital structure of the automotive safety business.

However, revenue and non-recurring profit declined year on year in the first half of 2026, indicating that the recovery in results remains subject to validation. Sales to the five largest customers increased from 48% of total sales in 2024 to 49% in 2025. Annual price reductions by automakers, customer concentration and project-based investment may continue to constrain earnings elasticity. The automotive electronics business is sensitive to the price and supply stability of chips, electronic components and PCBs. New businesses have not yet generated verifiable large-scale revenue, so institutional earnings forecasts and valuation assessments remain sensitive to project nominations, customer validation, mass-production timing and the recovery of operations during the second half of the year.

From a technical perspective, key points to monitor are whether the share price can stabilize around RMB 18.25–18.7 and whether it can regain the RMB 19.4–19.6 moving-average cluster with support from volume and large-order fund flows. The current H-share repurchase does not change the number of A-share 600699 shares and cannot directly serve as an A-share repurchase catalyst. The company’s future performance should be assessed comprehensively in light of principal-business profitability, overseas integration, execution of automotive electronics orders and commercialization progress in new businesses.

Data Sources

• Joyson Electronics (600699)_Company Announcements_Joyson Electronics: 2026 Interim Report_Sina Finance_Sina.com
• Joyson Electronics (600699)_Company Announcements_Joyson Electronics: 2025 Annual Report_Sina Finance_Sina.com
• Joyson Electronics (600699) Earnings Forecast_F10_Tonghuashun Financial Services
• Earnings Forecast
• Strong Gross-Margin Resilience and Accelerated Deployment in Emerging Businesses Such as Robotics—Review of Joyson Electronics’ 2026 Interim Report - Zhongtai Securities ｜ Fxbaogao
• Joyson Electronics (600699.SH) Series Review VII: 2026Q2 Earnings Under Pressure as Global Footprint Accelerates - Guolian Minsheng Securities ｜ Fxbaogao
• The Past and Present of Joyson Electronics: Automotive Electronics and Safety Businesses Under Wang Jianfeng’s Leadership, 2025 Revenue of RMB 61.183 Billion, the Industry’s Highest; Research Reports Raise Target Price to RMB 38.98 | Joyson Electronics_Sina Finance_Sina.com
• Joyson Electronics (600699) 2026 Interim Report Review: Solid First-Half Performance and Continued Expansion of Emerging Businesses
• Joyson Electronics’ 2026Q2 Margin Below Expectations; Strong New Orders; AD Project Launched - Bank of America Securities ｜ Fxbaogao
• Joyson Electronics (600699)_Stock Quote, Market Overview_China Financial Network
• Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited Take No Responsibility for the Contents of This Announcement, Its Accuracy or
• Joyson Electronics (600699)_Company Announcements_Joyson Electronics: Announcement on the 2026 Interim Results Briefing_Sina Finance_Sina.com
• Joyson Electronics: In-Vehicle Optical-Communications Solution Launched and Automaker Project Introduction Underway ｜ Eastmoney
• Unknown Institution: “600699 Joyson Electronics September 4, 2026 Investor-Relations Activity Record Research and Investment Analysis” - Fxbaogao
• https://file.finance.sina.com.cn/211.154.219.97%3A9494/MRGG/CNSESH_STOCK/2026/2026-9/2026-09-05/12585232.PDF
• Joyson Electronics (600699)_Company Announcements_Joyson Electronics: Announcement on Introducing Strategic Investors into the Automotive Safety Division_Sina Finance_Sina.com
• https://file.finance.sina.com.cn/211.154.219.97%3A9494/MRGG/CNSESH_STOCK/2026/2026-8/2026-08-11/12486146.PDF
• Joyson Electronics (600699) Company Announcements_Sina Finance_Sina.com
• Joyson Electronics (600699)_Company Announcements_Joyson Electronics: Announcement on the Actual Controller and Chairman Increasing Their Holdings in the Company_Sina Finance_Sina.com
• Earnings Pre-Disclosure_Data Center_Tonghuashun Finance
• List of Companies Listed on the Shanghai Stock Exchange Main Board
• Joyson Electronics (600699) - Historical Trading Data | Dabanke
• 600699 | Ningbo Joyson Electronic Corp Stock - Investing.com
• SH.600699 Joyson Electronics - A-Share Real-Time Quote - Detailed Quote - etnet Hong Kong
• Joyson Electronics (600699) Stock Trend and Technical Analysis_Future Forecast_Buy/Sell Operating Recommendations_Investing.com
• Joyson Electronics (600699)_Fund Flows_Securities Star
• Joyson Electronics (600699.SH) Stock Quote_Historical Data_Main Fund Flows_Dabolang Data
• Joyson Electronics (600699) Latest Developments_F10_Tonghuashun Financial Services

This report was automatically retrieved, compiled and generated by AI based on publicly available information. Information is current as of the close on September 11, 2026 and may be subject to timing differences. Specific data should be based on the company’s formal announcements and authoritative data terminals. This report is for information organization and research reference only and does not constitute investment advice. Investors should make independent judgments and bear investment risks themselves.