Huafon Chemical Co. (002064) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue was ¥6.63 billion, down 6.11% year-over-year; net profit attributable to shareholders was ¥496 million, down 12.88% year-over-year.

• Year-to-date revenue reached ¥20.37 billion, up 3.51% year-over-year; net profit attributable to shareholders was ¥2.01 billion, up 4.46% year-over-year.

• Operating cash flow for Q3 surged 122.87% year-over-year to ¥981 million.

Financial highlights

• Q3 basic and diluted EPS were ¥0.10, down 12.89% year-over-year; year-to-date EPS was ¥0.41, up 5.13%.

• Total assets at quarter-end were ¥35.52 billion, nearly flat from year-end; shareholders' equity increased 5.13% to ¥26.2 billion.

• Non-recurring gains in Q3 totaled ¥43.33 million, mainly from government subsidies and fair value changes.

• Cash and cash equivalents at period-end were ¥5.53 billion, down from ¥10.70 billion at the start of the year.

Outlook and guidance

• The company completed partial production of a 300,000-ton/year differentiated spandex expansion project in Q3.

• Adjustments were made to the spandex industry chain deepening project by a subsidiary during the quarter.