Tongkun Group (601233) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 reached ¥48.21 billion, up 30.67% year-over-year, driven by higher sales volume.

• Net profit attributable to shareholders was ¥1.07 billion, a 911.35% increase year-over-year.

• Excluding non-recurring items, net profit was ¥903 million, up 2799.52% year-over-year.

• The report covers main operating data for the first half of 2024, including production, sales, and revenue for key products.

• No material risks or significant negative events impacted operations during the period.

Financial highlights

• Operating income: ¥48.21 billion, up 30.67% year-over-year.

• Net profit attributable to shareholders: ¥1.07 billion, up 911.35% year-over-year.

• Net profit excluding non-recurring items: ¥903 million, up 2799.52% year-over-year.

• POY revenue reached ¥3,018.97 million, FDY ¥733.38 million, DTY ¥430.13 million, and PTA ¥380.81 million for January–June 2024.

• Operating cash flow: -¥1.86 billion, down 167.77% year-over-year due to increased cash outflows for goods and services.

Outlook and guidance

• The company expects continued high operating rates and stable demand in the polyester filament sector, with supply pressure mainly in the off-season (July–August).

• Management will focus on sales growth, cost control, and advancing key projects in the second half of 2024.