SHENGFENG DEVELOPMENT Ltd (SFWL) News & EventsSFWLSHENGFENG DEVELOPMENT Ltd

Shengfeng Development announces joint venture with Fujian Fulai Aviation

Shengfeng Development announced that on November 5, 2024, Shengfeng Logistics Group, a variable interest entity that the Company controls via a series of contractual arrangements, forms a joint venture with Fujian Fulai Aviation Technology. The new entity formed in respect of the Joint Venture, Fujian Shengfeng Fulai Low Altitude Comprehensive Services Co., Ltd., is expected to leverage Shengfeng Logistics's expertise in logistics with Fulai Aviation's drone technology to deliver drone-based logistics solutions across China's low-altitude logistics sector.

Shengfeng Development secures contract renewal with BYD

Shengfeng Development announced the renewal of its logistics services contract with BYD, China-based company principally engaged in the manufacture and sales of transportation equipment, including electric vehicles, battery technologies, and renewable energy. Under the renewed Contract, Shengfeng will continue to provide critical logistics services, including the transportation of auto parts, molds, components, and fixtures for BYD's operations. The collaboration with BYD has been a major growth driver for Shengfeng's new energy sector. In FY23, BYD contributed approximately $3.6M of Shengfeng's revenue, and in the first half of FY24 alone, revenues from BYD reached approximately $3.4M. Shengfeng's new energy sector has witnessed growth with revenue increasing by 47% year-over-year in FY23. During the first half of FY24, the new energy sector generated approximately $40.2M, surpassing the total revenue generated from the new energy sector in FY23. The new energy sector now accounts for 17% of Shengfeng's total revenue.