Shennan Circuit Company (002916) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 reached ¥4.73 billion, up 37.95% year-over-year; YTD revenue was ¥13.05 billion, up 37.92% year-over-year.

• Net profit attributable to shareholders for Q3 was ¥501 million, up 15.33% year-over-year; YTD net profit was ¥1.49 billion, up 63.86% year-over-year.

• Excluding non-recurring items, YTD net profit rose 86.67% year-over-year to ¥1.38 billion.

Financial highlights

• Gross margin improved as revenue growth outpaced cost increases; operating profit for the nine months was ¥1.60 billion.

• Basic and diluted EPS for Q3 were both ¥0.98, up 15.29% year-over-year; YTD EPS was ¥2.90, up 63.84% year-over-year.

• Operating cash flow for the nine months was ¥1.66 billion, up 7.36% year-over-year.

• Total assets at quarter-end were ¥24.78 billion, up 9.59% from year-end 2023.

• Shareholders’ equity reached ¥14.23 billion, up 7.91% from year-end 2023.

Segment performance

• R&D expenses increased 45.45% year-over-year due to higher investment in substrate packaging projects.

• Revenue growth driven by increased business orders and strong demand.