April 3, 2025: Leoch has reported a near 20% boost in topline growth in annual results for 2024, driven by robust sales of the group’s mainstay lead battery technology across global markets.
Revenue for the year was Rmb16.1 billion ($2.2 billion) compared to Rmb13.5 billion the previous year, according to results posted on March 27, while net profit dipped to Rmb564 million from Rmb568 million in 2023.
The Asia-based lead and lithium major reported year-on-year double-digit growth of more than 60% for SLI battery revenue, with sales amounting to Rmb6 billion for the period.
Leoch said sales were fuelled by the launch of new advanced start batteries with extended lifespans and maintenance-free designs, catering to the needs of modern vehicles and equipment.
Meanwhile, the group said it had expanded its reach in emerging markets, particularly in southeast Asia, Africa, and South America, where demand for start batteries was driven by economic growth and increasing vehicle ownership.
However, another key pillar of the group’s business — lead recycling — saw revenue fall 20% year-on-year to Rmb1.7 billion.
The decline was the result of several challenges in Leoch’s China recycling business, including regulatory changes, market dynamics and the removal of a government tax incentive policy. Leoch said these impacted the group’s ability to maintain profitability and expand its recycling operations.
However, margins are expected to increase following new extended producer responsibility rules, requiring battery manufacturers to ensure higher recycling ratio rates, and moves to stamp out unregulated recycling — in favour of government-approved recyclers such as Leoch.
On the group’s increasing encroachment into the lithium battery sector, Leoch chairman Dong Li said: “While deeply engaged in the lead acid battery sector, we are accelerating our strategic transformation towards the lithium ion battery field to seize the historic opportunities brought about by the global energy structure transformation.”
He said the group’s R&D team in Singapore is accelerating the improvement of a new generation of lithium products, including batteries and battery management systems, which have already passed certifications in “multiple European countries” and are awaiting various regulatory approvals before being launched on the market.
