Estun Automation (002747) Q3 2024 earnings summary

Executive summary

• Q3 revenue reached ¥1.20 billion, up 21.66% year-over-year; 9M revenue was ¥3.37 billion, up 4.38% year-over-year.

• Q3 net profit attributable to shareholders was ¥6.72 million, down 84.33% year-over-year; 9M net loss was ¥66.70 million, down 147.55% year-over-year.

• Industrial robots and intelligent manufacturing systems sales grew 19.33% year-over-year in Q3; automation core components and motion control systems sales rose 30.57%.

• Q3 EBITDA was ¥86.28 million, up 10.45% year-over-year; 9M EBITDA was ¥152.54 million, down 41.38%.

Financial highlights

• Gross margin for 9M was 29.67%, down 3.45 percentage points year-over-year; Q3 gross margin was 30.27%, down 2.91 points year-over-year but up 3.77 points sequentially.

• Basic and diluted EPS for Q3 was ¥0.0077, down 84.38% year-over-year; for 9M, EPS was -¥0.0767, down 147.52%.

• Net cash flow from operating activities for 9M was -¥575.35 million, down 73.37% year-over-year due to higher procurement and personnel costs.

• Total assets at Q3-end were ¥10.38 billion, up 2.95% from year-end 2023.

Outlook and guidance

• Company aims to improve profitability through cost reduction, supply chain optimization, and enhanced budget management.

• Focus remains on new product development and increasing market share in industrial robotics.