Tianshui Huatian Technology Co. (002185) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 reached ¥3.81 billion, up 27.98% year-over-year; YTD revenue was ¥10.53 billion, up 30.52% year-over-year.

• Net income attributable to shareholders for Q3 was ¥134 million, up 571.76% year-over-year; YTD net income was ¥357 million, up 330.83%.

• Basic and diluted EPS for Q3 were ¥0.0419, up 565.08% year-over-year; YTD EPS was ¥0.1114, up 330.12%.

Financial highlights

• Operating cash flow for YTD was ¥1.98 billion, up 34.57% year-over-year.

• Gross margin improved as revenue and other income increased; investment income surged 13,664.36% year-over-year.

• R&D expenses rose 38.60% year-over-year to ¥670.88 million, reflecting increased investment.

• Financial expenses doubled to ¥108.39 million, mainly due to higher interest costs.

• Net increase in cash and equivalents was ¥527 million, up 464.75% year-over-year.

Outlook and guidance

• Revenue and net profit growth attributed to increased orders and product sales volume.

• Company expects continued benefit from government subsidies and investment returns.