Hangcha Group (603298) Q3 2024 earnings summary

Executive summary

• Revenue for Q3 2024 was RMB 4.18 billion, down 2.65% compared to the same quarter last year.

• Net profit attributable to shareholders for Q3 2024 reached RMB 566 million, up 9.07% year-over-year.

• For the first nine months, revenue grew 1.55% year-over-year to RMB 12.73 billion, and net profit rose 21.20% to RMB 1.57 billion.

Financial highlights

• Basic and diluted EPS for Q3 2024 were RMB 0.43, up 10.26% year-over-year; for the first nine months, EPS was RMB 1.20, up 18.81%.

• Operating cash flow for the first nine months was RMB 673.85 million, down 27.07% year-over-year.

• Gross margin improved as cost of sales decreased despite modest revenue growth.

Key financial ratios and metrics

• Return on equity (ROE) for the first nine months was 17.47%, down 0.87 percentage points year-over-year.

• Total assets at quarter-end were RMB 15.49 billion, up 10.66% from the end of last year.

• Shareholders’ equity reached RMB 9.71 billion, up 12.86% from year-end 2023.