熵基科技:熵基科技股份有限公司2024年年度报告(英文版)

ZKTECO CO., LTD.
2024Annual Report
Announcement No.: 2025-037
April 2025

Agilely embracing changes, building customer lifetime value withAI and cloud services
ALetter to Shareholders
In 2024, ZKTeco continued to invest in and develop along the main trajectory of high-quality development, which focuses on
"establishing a service system based on the self-innovated Minerva IoT while emphasizing the lifetime value of customers through
BioCV AI productivity." Over the past year, ZKTeco has made significant strides by advancing product concepts, optimizing service
details, and continuously innovating. The Company has consistently introduced new application scenarios. Guided by a commitment
to continuous innovation and zero-based thinking, ZKTeco staff have steadily progressed various business initiatives with a focus on
stable innovation and ongoing excellence. This effort culminates in a straightforward yet impactful report card presented to our
shareholders. In 2024, the Company achieved operating revenue of RMB 1,991.2004 million, aYoYincrease of 1.07%, and realized a
netprofitattributabletotheparentcompanyofRMB183.046million, aYoYincreaseof3.26%.Whilethedatamaynotbeextraordinary,
this accomplishment is a testament to the hard work and dedication of ZKTeco staff. Here, on behalf of the Board of Directors, I would
liketoextend myheartfelt gratitudeto allourcolleagues, users, partners, andinvestorswho havesupported ZKTeco.Yourcollaboration
has been invaluable as we navigated challenges together and seized opportunities over the past year. Thank you for your unwavering
commitment to advancing alongside ZKTeco.
In 2024, the Company remained committed to its development objectives of precision, expansiveness, and excellence. We
concentratedonrefiningour corebusinesswith meticulousattentiontodetail,cultivating arobust ecosystemthroughbroad engagement,
and driving innovation with elevated aspirations. We have integrated products, ecosystems, and services into a cohesive solution,
achieving innovative applications in the BioCV unmanned management scenarios at the industry's general entry and exit points.
Additionally, we have endeavored to transform ZKTeco's offline platform of high-quality screens into cloud services within the smart
retail sector. Through ongoing technological innovation in core computer vision technologies and edge-side multimodal AI human-
computer interaction, we have facilitated the enhancement of our products and solutions. This has led to significant opportunities and
breakthroughs for multimodal AI technology within the "end-edge-cloud-service" framework related to entry and exit operations. In
2024, we established ZKTeco Cloud Brain-Computer (Hangzhou) Technology Co., Ltd. to conduct research and integrate multimodal
data, including biometric iris and retina information, EEG data, clinical records, and genetic data. Utilizing advanced deep learning
and data mining technologies for comprehensive analysis, we explored the correlations and potential patterns among various data
modalities. This innovative approach enabled us to develop new technologies and products aimed at enhancing technical research and
exploring treatment methodologies in the fields of education, healthcare, and elderly care.
In 2025, as the wave of artificial intelligence and large models sweeps across the globe, propelling human society into a new era
of AIoT at an unprecedented pace, ZKTeco will undertake a comprehensive integration of customer value within the realm of AI
cognitive space computing technology. This integration will occur in a three-dimensional manner—transitioning from digitalization to
intelligence and ultimately to cognition. The Company will prioritize R&D as well as optimization of BioCV TinyML (micro
multimodallearning)edgemodels.TheCompanyisdedicatedtointegratingautonomousdecision-makingandevolutionarycapabilities
into edge devices, thereby enhancing ZKTeco's spatial cognition in the perception of scenarios involving "people, vehicles, objects,
and environments."
In 2025, ZKTeco will continue to deeply integrate AI cognitive technology with multimodal biometrics and computer vision
technologies. This integration assists enterprises in optimizing their time, space, and resources while enhancing the intelligence of
productsanduserexperiences. Furthermore, itwillimproveoperational efficiencybybridging thephysical world with thedigitalrealm.
ZKTeco's achievements in innovation are not only evident in the continuous expansion and optimization of product functionalities but
also in the redefinition and establishment of industry standards. This ensures the Company's technological leadership while providing
users with enhanced experiences that are more comfortable, intelligent, safe, and conducive to sustainable development. Furthermore,
these advancements promote industrial innovation and usher in a new era of coexistence betwe