Shengyi Technology (600183) Q3 2024 earnings summary

Executive summary

• Revenue for the first nine months of 2024 reached RMB 14.74 billion, up 19.42% year-over-year, with Q3 revenue at RMB 5.12 billion, up 14.52% compared to the same quarter last year.

• Net profit attributable to shareholders for the first nine months was RMB 1.37 billion, a 52.65% increase year-over-year; Q3 net profit was RMB 440 million, up 27.83% year-over-year.

• Growth driven by higher production and sales of copper-clad laminates, cost reductions, and improved sales structure.

Financial highlights

• Gross margin and net margin improved due to increased sales of high-value products and cost optimization.

• Basic EPS for the first nine months was RMB 0.58, up 52.63% year-over-year.

• Operating cash flow for the first nine months was RMB 1.13 billion, down 48.08% year-over-year, mainly due to increased cash outflows for goods and services.

• Total assets at quarter-end were RMB 26.27 billion, up 5.28% from the end of last year.

• Shareholders’ equity attributable to listed company shareholders was RMB 14.35 billion, up 2.62% from year-end 2023.

Outlook and guidance

• Demand for high-layer, high-precision, high-density, and high-reliability multilayer PCBs continues to grow, supporting future revenue and profit growth.