Contiocean Environment Tech Group (2613) H2 2024 earnings summary

Executive summary

• Revenue rose 20.4% year-over-year to RMB614.4 million, with profit stable at RMB120.3 million for 2024.

• Growth driven by marine clean-energy supply systems and maritime services, offsetting a decline in marine exhaust gas cleaning systems.

• Gross profit margin decreased to 40.0% from 47.4% due to higher cost ratios in emerging segments.

• Final dividend of RMB1.5 per share proposed, down from RMB1.6 per share last year.

• H shares listed on the Hong Kong Stock Exchange on 9 January 2025, enhancing capital market access.

Financial highlights

• Revenue: RMB614.4 million (2024) vs RMB510.3 million (2023), up 20.4%.

• Net profit: RMB120.3 million (2024) vs RMB120.5 million (2023), down 0.2%.

• Basic EPS: RMB4.03 (2024) vs RMB4.02 (2023).

• Gross profit: RMB245.8 million, up 1.7% year-over-year.

• Gross margin: 40.0% (2024) vs 47.4% (2023).

Outlook and guidance

• Global marine environmental equipment market projected to grow at 29.7% CAGR to USD11.4 billion by 2028.

• Regulatory drivers (IMO, ESG, decarbonization) expected to sustain demand for environmental protection systems.

• Company to increase R&D investment and expand global market presence.