Anjoy Foods Group (603345) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 reached RMB 3.53 billion, up 4.63% year-over-year; nine-month revenue totaled RMB 11.08 billion, up 7.84% year-over-year.

• Net profit attributable to shareholders in Q3 was RMB 244 million, down 36.76% year-over-year; nine-month net profit was RMB 1.05 billion, down 6.65% year-over-year.

• Excluding non-recurring items, Q3 net profit dropped 30.90% year-over-year; nine-month adjusted net profit fell 2.46% year-over-year.

Financial highlights

• Basic and diluted EPS for Q3 were RMB 0.83, down over 36% year-over-year; nine-month EPS was RMB 3.58, down over 6%.

• Operating cash flow for the nine months was RMB 1.59 billion, up 32.06% year-over-year.

• Gross margin for the nine months was approximately 19.2%, down from 22% in the prior year.

• Total assets at quarter-end were RMB 16.49 billion, down 4.66% from year-end 2023.

• Shareholders’ equity increased 1.16% to RMB 12.77 billion since year-end 2023.

Outlook and guidance

• Profit decline attributed to reduced government subsidies and increased marketing, promotion, and share-based payment expenses.