Fujing Holdings (2497) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 15.4% YoY to RMB182.2m; net profit increased 5.1% to RMB51.8m, while net margin declined to 28.4%.

• Sales volume grew to 12.5m pots from 10.5m, supported by higher utilisation at existing sites and the December launch of the Beijing facility.

Financial highlights

• Revenue increased 15.4% to RMB182.2m; gross profit rose 12.8% to RMB77.3m, while gross margin eased to 42.4% from 43.4%.

• Net profit reached RMB51.8m versus RMB49.2m; reported basic and diluted EPS was RMB0.11 versus RMB0.12.

• Operating profit was RMB53.0m before biological-asset fair-value adjustments and RMB53.0m? reported profit from operations was RMB53.0m before adjustments and RMB53.0m? Actually reported profit from operations was RMB52.974m after a RMB1.476m fair-value loss.

• Listing expenses were RMB8.4m in FY2024 versus RMB9.6m in FY2023; income tax expense was nil in both years.

Outlook and guidance

• Priorities include expanding cultivation capacity, establishing a facility in a new market, building an organic-substrates facility and upgrading IT systems; no numerical guidance was stated.

• Remaining listing proceeds of RMB25.0m are scheduled for use by December 2025 or December 2026, depending on the project.