Hoshine Silicon Industry (603260) Q4 2024 earnings summary

Executive summary

• Revenue for 2024 was ¥26.69 billion, up 0.41% year-over-year; net profit attributable to shareholders was ¥1.74 billion, down 33.64% year-over-year due to lower product prices.

• Gross margin for industrial silicon improved, but overall profitability declined as organic silicon margins fell.

• The company maintained industry leadership in silicon-based materials, with significant R&D and production upgrades.

• Major projects in photovoltaic and new materials sectors advanced, with new production lines coming online.

Financial highlights

• Operating income: ¥26.69 billion (up 0.41% year-over-year).

• Net profit attributable to shareholders: ¥1.74 billion (down 33.64% year-over-year).

• Operating cash flow: ¥4.52 billion (vs. -¥0.79 billion last year).

• Basic EPS: ¥1.48 (down 33.93% year-over-year).

• Gross margin for industrial silicon: 26.10% (up 5.95 percentage points); organic silicon: 16.71% (down 9.14 percentage points).

Outlook and guidance

• 2025 focus: stabilize core business, optimize cost structure, and advance digital transformation.

• Continued investment in R&D, green energy, and downstream high-value products.

• Anticipates industry demand growth in organic silicon and new energy, but expects slower growth in industrial silicon.