China Tungsten And Hightech Materials (000657) Q3 2024 earnings summary

Executive summary

• Revenue for the first nine months reached ¥10.23 billion, up 7.13% year-over-year, despite weak industry demand and intensified market competition.

• Net profit attributable to shareholders was ¥206 million, down 34.66% year-over-year, mainly due to higher costs and lower gross margin.

• Gross margin declined to 14.86% from 16.17% year-over-year, reflecting increased raw material costs and competitive pressures.

Financial highlights

• Q3 revenue: ¥3.42 billion, up 13.99% compared to the same quarter last year.

• Q3 net profit attributable to shareholders: ¥59.19 million, down 19.35% year-over-year.

• Basic and diluted EPS for Q3: ¥0.0424, down 19.31% year-over-year.

• Operating cash flow for the first nine months: -¥379.7 million.

• Total assets at period end: ¥14.31 billion, up 10.28% from the previous year-end.

• Shareholders’ equity: ¥5.85 billion, up 1.32% from the previous year-end.

Outlook and guidance

• Management remains focused on lean operations, market expansion, and risk control to address ongoing industry challenges.

• Continued investment in R&D and innovation to drive high-quality growth.