Chaozhou Three-Circle (300408) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 reached ¥1.95 billion, up 32.29% year-over-year; net income attributable to shareholders was ¥577.74 million, up 40.59% year-over-year.

• Year-to-date revenue totaled ¥5.38 billion, a 31.05% increase from the same period last year; net income for the period was ¥1.60 billion, up 40.38% year-over-year.

• Growth attributed to recovering downstream demand and increased market recognition of products.

Financial highlights

• Gross margin and operating profit improved, with basic and diluted EPS at ¥0.30 for Q3 (up 42.86% year-over-year) and ¥0.84 year-to-date (up 40%).

• Net cash from operating activities for the period was ¥1.51 billion, up 33.35% year-over-year.

• Total assets at period end were ¥23.04 billion, up 5.54% from last year-end; shareholders’ equity was ¥19.30 billion, up 5.87%.

• Non-recurring gains included government subsidies and fair value changes, totaling ¥166.22 million year-to-date.

Key financial ratios and metrics

• Weighted average ROE for Q3 was 2.69%, up 0.35 percentage points year-over-year; year-to-date ROE was 8.50%, up 1.98 percentage points.

• Adjusted net profit (excluding non-recurring items) for Q3 was ¥523.55 million, up 69.56% year-over-year; year-to-date adjusted net profit was ¥1.44 billion, up 63.66%.